Multitenancy has a whole array of advantages, which are evident in the popularity of cloud computing.
Multitenancy can save money. Computing is cheaper at scale, and multitenancy allows resources to be consolidated and allocated efficiently, ultimately saving operational costs. For an individual user, paying for access to a cloud service or a SaaS application is often more cost-effective than running single-tenant hardware and software.
Multitenancy enables flexibility. If you’ve invested in your own hardware and software, it might reach capacity during times of high demand or sit idle during times of slow demand. A multitentant cloud, on the other hand, can allocate a pool of resources to the users who need it, as their needs scale up and down. As a customer of a public cloud provider, you can access extra capacity when you need it, and not pay for it when you don’t.
Multitenancy can be more efficient. Multitenancy reduces the need for individual users to manage infrastructure and handle updates and maintenance. Individual tenants can rely on a central cloud provider, rather than their own teams, to handle those routine chores.