In the context of cloud computing, what does "elasticity" refer to?

Elasticity in cloud computing specifically refers to the ability to automatically scale resources up or down in response to changing demand. This means that if the demand for a particular resource increases, the cloud system can automatically provision more resources to handle that demand, and conversely, if the demand decreases, it can reduce the provisioned resources accordingly. This dynamic adjustment helps businesses efficiently manage costs while ensuring optimal performance, as they only use and pay for the resources they need at any given time.

This capacity for dynamic resource management is a fundamental advantage of cloud platforms, allowing organizations to respond swiftly to workload fluctuations without the need for manual intervention or pre-provisioning resources. It contrasts with traditional IT infrastructures, where resource allocation is often static, leading to either over-provisioning or under-utilization of resources.