Definition

computing arbitrage

Computing arbitrage is a cloud services business model in which a company purchases computing resources -- typically a large block of bandwidth – at wholesale rates and offers it in smaller packages, with a greater cumulative value, to other companies.

Computing arbitrage, cloud aggregation and cloud intermediation are three types of cloud service brokerages (CSB). Cloud service brokerages are businesses that serve as intermediaries between cloud service providers and service customers to help negotiate the complexities of cloud services.

Arbitrage, in general, is the practice of buying something to resell immediately at a profit. The term originates from the financial sector, where it usually refers to transactions with shares or currencies.

This was last updated in September 2011
Posted by: Margaret Rouse

Email Alerts

Register now to receive SearchCloudProvider.com-related news, tips and more, delivered to your inbox.
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

More News and Tutorials

Do you have something to add to this definition? Let us know.

Send your comments to techterms@whatis.com

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: