What does "elasticity" in cloud computing refer to?

Elasticity in cloud computing specifically refers to the ability to dynamically allocate and deallocate resources as needed. This concept is fundamental to cloud services because it allows organizations to automatically scale their infrastructure up or down based on demand. For example, during peak usage, additional resources can be quickly deployed to handle the increased load, while during periods of lower activity, those resources can be scaled back to minimize costs.

This capability ensures that users only pay for what they actually use, providing both flexibility and cost efficiency. It contrasts with traditional on-premises infrastructure, which often requires significant time and investment to scale. Therefore, the accurate definition of elasticity encompasses the dynamic nature of resource management that cloud services provide.