Cloud Computing is a relatively new technology and aims to offer “utility based IT services”. Cloud Computing is now becoming increasingly popular because of the potential number of advantages that it aims to offer. However, with the growing popularity comes the increasing power consumption. Therefore, there is an utmost need to develop solutions that aim to save energy consumption without compromising much on the performance. Such solutions would also help reducing the costs thereby benefitting the cloud service providers. In this paper, an optimization technique called Bacterial Foraging has been used in order to continuously optimize the allocation of resources thereby improving the energy efficiency of the data centre. The results obtained after simulating a cloud computing environment and implementing the proposed algorithm make it clearly evident that cloud computing has great potential and offers significant performance gains as well as cost savings even under dynamic workload conditions.
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