Utility computing

Utility computing, or The Computer Utility, is a service provisioning model in which a service provider makes computing resources and infrastructure management available to the customer as needed, and charges them for specific usage rather than a flat rate. Like other types of on-demand computing (such as grid computing), the utility model seeks to maximize the efficient use of resources and/or minimize associated costs. Utility is the packaging of computing resources, such as computation, storage and services, as a metered service. This model has the advantage of a low or no initial cost to acquire computer resources; instead, computational resources are essentially rented.