cloud federation

Cloud federation is the practice of interconnecting the cloud computing environments of two or more service providers for the purpose of load balancing traffic and accommodating spikes in demand.

Cloud federation requires one provider to wholesale or rent computing resources to another cloud provider. Those resources become a temporary or permanent extension of the buyer's cloud computing environment, depending on the specific federation agreement between providers. 

Cloud federation offers two substantial benefits to cloud providers. First, it allows providers to earn revenue from computing resources that would otherwise be idle or underutilized. Second, cloud federation enables cloud providers to expand their geographic footprints and accommodate sudden spikes in demand without having to build new points-of-presence (POPs).

Service providers strive to make all aspects of cloud federation—from cloud provisioning to billing support systems (BSS) and customer support— transparent to customers. When federating cloud services with a partner, cloud providers will also establish extensions of their customer-facing service-level agreements (SLAs) into their partner provider's data centers.  

Contributor(s): Jessica Scarpati
This was last updated in September 2011
Posted by: Margaret Rouse
View the next item in this Essential Guide: cloud ecosystem or view the full guide: Understanding the cloud service broker model

More News and Tutorials

There are Comments. Add yours.

 
TIP: Want to include a code block in your comment? Use <pre> or <code> tags around the desired text. Ex: <code>insert code</code>

REGISTER or login:

Forgot Password?
By submitting you agree to receive email from TechTarget and its partners. If you reside outside of the United States, you consent to having your personal data transferred to and processed in the United States. Privacy
Sort by: OldestNewest

Forgot Password?

No problem! Submit your e-mail address below. We'll send you an email containing your password.

Your password has been sent to:

Research More Tech Terms

  • Search thousands of tech definitions
  • Browse tech definitions
    Browse Alphabetically:

Powered by WhatIs.com

File Extensions and File Formats

File Extension and File Formats List:

Powered by WhatIs.com