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Computing utilities are emerging as an important part of the infrastructure for outsourcing computer services.
To achieve this objective, the computing utilities should meet or exceed their SLA constraints most of the time.
One of the major objectives of computing utilities is to maximize their net profit while maintaining customer loyalty.
In recent years Cisco, HP and IBM have been gearing up to provide the next generation of data centres, essentially in-house computing utilities, or "private clouds".
Fundamental to outsourcing is the notion of quality of service, which is defined by service level agreements (SLAs) between the computing utilities and clients.
But to move the concept of distributed computing utilities, or grids, toward practical reality has taken years of continuous improvement in computer processing speeds, data storage and network capacity.
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However, by tuning the SLA parameters conservatively the computing utility might under utilize its resources with a resultant loss of revenue.
It is the traditional computer and network technology including distributed computing, parallel computing, utility computing, network storage technologies, virtualization, load balance, etc. combined with other products [3].
Projecting as an evolutionary step, following the transition from mainframe computers to client/server deployment models, cloud computing encompasses elements from grid computing, utility computing and autonomic computing, into an innovative deployment architecture.
The "computing utility" will separate storage from servers.
In 2006 it started offering a computing utility called Amazon Web Services (AWS).
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