What is Microsoft Azure and How Does it Work?

Microsoft

frazerld  Frazer Lloyd-Davies

Cloud computing is everywhere. Whether you realise it or not, most of the technology you rely on each day runs on cloud-based systems. Instead of being stored on a local server or hard drive, these technologies are hosted by a provider and made available over the internet.

Microsoft Azure is the second-largest public cloud platform in the world, just behind Amazon Web Services (AWS), and is trusted by some of the biggest companies out there. In fact, 95% of Fortune 500 companies use Azure to run their IT operations and manage their data. While that’s an impressive statistic, it might also make you wonder if Azure is only for massive corporations with unlimited budgets.

It’s not.

Azure is designed to work for businesses of all sizes. The same tools that global enterprises use to process millions of transactions and petabytes of data can also help businesses like yours strengthen security, lower operational costs and eliminate the need for on-site infrastructure. If you’ve ever thought about migrating to the cloud but assumed Azure wasn’t for your business, it may be worth a second look.

What is Microsoft Azure?

We know that Microsoft Azure is a cloud computing platform, but what actually is it? In simple terms, Azure is a collection of over 200 products and services that businesses can use to run applications, store data, manage networks and handle IT operations, all without the need for on-site infrastructure.

Traditionally, businesses had to buy and maintain their own IT hardware to store data and run software. Azure reduces the need for physical infrastructure by letting businesses access these IT resources in the cloud. Instead of hosting applications and files on a local server, companies can store them in Microsoft’s secure global data centres, where they can be accessed from anywhere with an internet connection.

Azure’s services are generally divided into three main categories:

  • Infrastructure as a Service (IaaS) – Provides businesses with essential computing resources on demand. Instead of purchasing and maintaining physical servers, businesses can rent these resources from Azure and scale them up or down as needed.
  • Platform as a Service (PaaS) – Provides a managed environment for businesses to develop, test and deploy applications without handling the underlying infrastructure. This includes everything from operating systems and databases to analytics and artificial intelligence.
  • Software as a Service (SaaS) – Delivers fully managed applications and industry-specific software that businesses can access on demand, like Microsoft 365. This eliminates the need for businesses to install, update or maintain software on their own computers or servers.

So while Azure is often thought of as just a cloud platform, it’s actually much more than that. It’s a complete IT ecosystem that brings together everything you need to take your business further.

How Microsoft Azure Works

Microsoft Azure operates through a global network of physical data centres. Inside these facilities are thousands of physical servers – high-powered machines that store data and run applications for businesses using Azure.

However, rather than assigning an entire server to a single business, Azure uses a process called virtualisation to split the resources of each physical machine into multiple independent virtual machines (VMs). This means businesses can access the computing power they need without having to buy or maintain their own servers.

What is Virtualisation?

Virtualisation is a method of creating multiple virtual machines (VMs) that run independently, even though they share the same hardware. This is made possible by special software called a hypervisor, which sits between the physical server and the VMs.

The hypervisor’s job is to divide the physical server’s resources, such as computing power (CPU), memory (RAM), storage and networking, so that each VM operates as if it were a standalone computer.

Here’s how it works step by step:

  1. Inside Azure’s data centres, thousands of physical servers are running powerful processors, storage systems and networking equipment.
  2. Hypervisor software is installed on these servers, allowing them to run multiple virtual machines (VMs) at the same time.
  3. Each VM is allocated a share of the server’s resources based on what a business needs.
  4. Businesses rent these virtual machines from Azure, choosing the amount of computing power they require, along with the operating system (Windows, Linux, etc.).
  5. Each VM is isolated from the others, meaning businesses using the same physical server don’t interact or interfere with one another.
  6. If one server fails or needs maintenance, Azure automatically moves affected VMs to another available server without disrupting operations.

5 Reasons Why Your Business Should be Using Microsoft Azure

IT That Scales With Your Business

It’s hard to predict exactly how much computing capacity your business will need. Buy too much, and you’re paying for resources that aren’t being used. Buy too little, and you could run into problems when demand increases. With Azure, you can scale infrastructure up or down instantly, so you’re only using (and paying for) what makes sense at the time. There’s no need to wait around for hardware deliveries or worry about running out of capacity, it can be adjusted on demand.

The Cloud, on Your Terms

Moving to the cloud doesn’t have to mean changing everything overnight. Azure works alongside your existing IT systems, so you can decide which parts of your setup you want to keep on-premise and which make sense to move to the cloud. It’s compatible with multiple operating systems, programming languages and frameworks, so you can keep using the software you’re familiar with. Everything is managed through the Azure Portal, where you can add or remove services as your needs change.

Stronger Cyber Security Without Extra Complexity

Microsoft invests billions each year into cyber security, and Azure benefits directly from this – which means your business does too. Microsoft Entra ID (formerly Azure Active Directory), for example, is a built-in security feature that controls who has access to sensitive data with authentication and security policies. Azure also makes it easier for your business to comply with industry regulations, supporting GDPR, ISO 27001 and Cyber Essentials.

Recover Quickly From Disruptions and Data Loss

IT issues can happen at any time. If your systems go down, whatever the reason, you need a way to restore data quickly and keep your business running. Azure automatically creates multiple copies of your data across different locations, so if one system fails, you still have access to a backup. With geo-redundant storage, these backups are stored in separate regions, reducing the risk of data loss if there’s a local outage.

A Secure Connection for Remote Work

If your employees work remotely, they need a secure way to access company resources when working outside a controlled IT environment. With Azure Point-to-Site (P2S) VPN, employees can connect to business systems privately from any location. If your business has on-premise infrastructure, Azure Site-to-Site (S2S) VPN extends your private network to Azure, creating a direct and encrypted connection between office locations, cloud resources and remote staff. This ensures that remote access is as safe and reliable as working on-site.

Get Started with Microsoft Azure from Acronyms

Moving to the cloud is a big decision, and it needs to be done properly to avoid disruption. At Acronyms, we take the time to understand how your business operates so we can configure Azure in a way that works for you. Whether you’re migrating data, improving security or setting up a hybrid cloud, we’ll make sure everything is set up correctly from the start.

Our team of technicians, consultants and engineers will guide you through the process, handling the technical side so you don’t have to. Once Azure is in place, we provide ongoing support to keep everything running reliably and securely, leaving you to focus on your business.

If you’d like to discuss how Azure can work for your business, get in touch with our team today.

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