What is resource pooling in cloud computing?
Resource pooling is a cloud computing model where computing resources like storage, processing power, and memory are combined into a shared pool and handed out to customers dynamically based on what they need. It is one of the defining traits of cloud computing. NIST counts it among the five essential characteristics of the cloud model in The NIST Definition of Cloud Computing, where the provider’s computing resources are pooled to serve multiple consumers using a multi-tenant model, with resources dynamically assigned and reassigned according to consumer demand.
Storage, processing power, and memory combined and handed out to customers dynamically, based on what they need.
One of the five essential characteristics of the cloud model in The NIST Definition of Cloud Computing.
Instead of assigning fixed hardware to each customer, the provider draws from a common pool.
You pay for what you use, and the provider keeps utilization high across the whole pool.
Instead of assigning fixed hardware to each customer, the provider draws from a common pool and allocates on demand. When you need more, you get more. When you do not, those resources go to someone else.
Figure 1. How resource pooling allocates
Drawn from this post’s definition, each line in the post’s own words. Nothing in it is a measurement.
This is what makes the cloud elastic and cost efficient. You pay for what you use, and the provider keeps utilization high across the whole pool.
- Elastic
- Cost efficient
- You pay for what you use
- Utilization stays high across the whole pool
Related terms: multi tenancy, multi tenant architecture, cloud cost optimization.
How does resource pooling save money?
Sharing a common pool keeps hardware busy and removes the waste of idle, dedicated machines.
Fixed hardware for each customer
- Idle, dedicated machines
A common pool
- Hardware stays busy
- Resources allocated on demand

