10 reasons why cloud and startups are inseparable

10 reasons why cloud and startups are inseparable

Sunday October 16, 2016,

4 min Read

Janakiram MSV, cloud computing expert, analyst, architect and advisor to startups at the first edition of DigitalOcean Tide, said that cloud and startups are inseparable. “Cloud helps startups and founders overcome several blindspots and barriers,” he said. He backed his statement with 10 reasons:

Janakiram MSV at Digital Ocean Tide
Janakiram MSV at Digital Ocean Tide

Without cloud there wouldn’t be a vibrant startup culture and economy

Today, it is impossible to think of a successful product that doesn’t leverage a cloud platform. “Earlier, you had to sign contracts, had to talk to investors, plan their infrastructure and it was a huge lock-in. Today, you have an idea and you want to try it out and share it with 10 of your friends; it is so much faster and quicker on the cloud,” says Janakiram.


In pre-cloud era, locating a server was a huge challenge for startups. There were reams of papers and a plethora of jargon. Today one can log onto a portal and server with route access. It is the biggest attribute of cloud – self-service.

No Capex

There is no signing up for long-term contracts, and no lock-ins and you don’t have to spend a weekly amount of money for infrastructure.

Easy to scale

The thing about being in cloud is that with all the easy access and self-service, you can start small on any cloud platform and then you can scale. You start with one geography and become relevant in other geographies without you having a contract in place. So while sitting in Bengaluru you can be relevant to a customer in Portugal.

  1. Automation

Without any doubt, this is a great advantage of being on the cloud. Automation today is going to transform most jobs. Janakiram said:

“If you are doing anything more than twice, you need to look at a way to automate it.”

Automation avoids human error, is more efficient and delivers consistency every time. Cloud is the best example of automation.

You create a template and spin it off the exact number of times with the same precision and consistency.


Cloud allows you to scale out and scale in on demand and as per your needs. One of the biggest examples of elasticity is Uber's surge pricing. The fleet of cars is there but the user demand is so high, and matchmaking between the driver and passenger needs to scale, so Uber has an automated elastic infrastructure, which makes them shrink and expand based on needs and demands.

Pay by use

With cloud you can start with a few cents for an hour or go as high as few hundred dollars a month. Again this is based on your need and requirements. There are times when you just have pay for that particular duration. This empowers any startup on a shoestring budget to go as far as they can without taking a toll on their ability to innovate.

Continuous innovation

With a cloud platform, startups get the power to innovate continuously. Unlike the previous era, there are no lock-in periods, and with elasticity, and pay-per-use models, you have the opportunity to innovate, build quicker and faster.

Accessibility to all

The same set of tools that are available to Fortune 500 companies and leaders of technology are now available to every organisation. Startups can pick and choose what they want to use and work with.

Free resources

Any cloud provider, be it Digital Ocean or any other platform, they give up resources and services that help build and scale a product.

Janakiram added:

This is the best time to be an entrepreneur and build a product, you are attracting attention and vendors are competing to empower you and help you. This in turn opens up choices of geographies, technology and platform. You just need to be cautious and sure of what you pick.

In conclusion, Janakiram added that you need to exploit the power of cloud to stay focussed on your offering. “You get an infrastructure that is reliable and scalable for a few dollars per month, and that takes away a huge burden from innovators,” he explained.