How Startups Are Taking Advantage of Cloud Technology

This is a guest article by Rackspace blogger Sharon Florentine. Rackspace Hosting is the service leader in cloud computing, and a founder of OpenStack, an open source cloud operating system. The San Antonio-based company provides Fanatical Support to its customers and partners, across a portfolio of IT services, including Managed Hosting and Cloud Computing.

Cloud Computing concept

Cloud Computing concept (Illustration © DavidArts –

The cloud is the perfect companion for startups. No, really. There are as many reasons for startups to embrace cloud-computing technology as there are for large enterprises. As Janakiram Mocherla, cloud-technology consultant, evangelist and author outlines, there are ten main reasons why startups should consider going to the cloud, including the ability to self-service, lowered capital expenditures, scalability, automation, flexibility and more.

One significant benefit for startups is that they can focus on building the business instead of maintaining a complex IT infrastructure.   In addition to providing improved service levels, cloud computing technology can save both time and money.  These resources can be redeployed to more important activities such as product development, marketing or supply chain.

Here are a few examples of how some smart startups are using the cloud:

Food Genius:  By tracking restaurant menu items and how consumers interact with them, Food Genius leverages the social web to generate high quality and incredibly granular data for an array of commercial and consumer uses. Food Genius provides manufacturers, distributors and consumer packaged goods brands with real- time consumer behavior data and application developers with access to the web’s largest database of restaurants, their dishes and taste-based suggestions.

Peddl:  This service was started by Yale and MIT Media Lab grad Matthew Blackshaw. He and his team are building a marketplace supported by proximal transactions, intelligent post matching, and friendly user experience with a specific focus towards privacy and trust – a breath of fresh air in the tired room of online marketplaces.  This is an online gift card platform that enables you, your family and friends to contribute cash towards travel. With, exclusive deals with travel suppliers are negotiated on your behalf, taking the stress out of hunting for them yourself.

Aporta: A company that helps to promote online donations for non-profit organizations in Mexico.  Aldo Alvarez, the co-founder of the company, was born and raised in Monterrey, Mexico and has a passion for helping non-profits in his home country.

Both startups and established businesses can take advantage of the many benefits that cloud computing technology has to offer.  Regardless of size, almost all businesses continually seek to improve operating efficiency.  Cloud computing technology is just one great tool that can help to achieve this goal.  Jump on the cloud today!



  1. Thank you for including us at Rackspace cloud hosting has been incredible for us in utilizing the best resources so we can focus on the business. It helps us scale our database easily and manage our hosting portal without needing to implement new expensive tactics. Highly recommend Rackspace!

  2. It is definitely time that businesses embrace open source technology. In the field of web application security, we see many small businesses making the move to the cloud. The new world of technology is cheaper and greener.

  3. If you are a small business looking for cloud apps to help you run your own business, check out There are over 1500 different apps to choose from all categorised by business function. Hope that helps. Best wishes for 2013. Ferdi Roberts. Founder.

Leave a Reply

%d bloggers like this: