How is "elasticity" defined in cloud computing?

In cloud computing, elasticity is defined as the capability to automatically adjust resources based on demand. This means that a cloud system can dynamically allocate or deallocate resources such as computing power, storage, and networking as needed. When demand spikes, the system can provision additional resources to handle the increased load, ensuring optimal performance and availability. Conversely, when demand decreases, the system can reduce resources, which helps in cost efficiency and resource management.

This attribute allows businesses to efficiently scale their IT infrastructure without the need for over-provisioning or underutilization, thus making operations more agile and responsive to changing workloads.