With all services on the internet going to cloud, a layman is bound to come across the term and wonder how the hell would that affect me, I am happy as long as you give me cheap and reliable service.
The reason that services are moving to cloud to ensure that they can scale easily when their customer increase. Scaling simply implies to increasing resources when customers or traffic increases. They start with minimal infra hence keeping their costs low and as their services become popular they add more infrastructure. By doing this they ensure that costs are minimum without compromising in the reliability.
So the reason the companies are going to cloud boils down to the simple concern a person will have “affordable” and “reliable” service. Not saying that companies just go to cloud hosting just to reduce cost, some requirements like adhoc computations, date warehousing etc the companies use resources on the internet.
Cloud provides companies with the liberty of maintaining their server infrastructure on the fly. They can start and shut servers as per their requirement hence maintaining their server budget and giving the benefit to the user.