Capacity on demand allows cloud resources, such as storage, to automatically scale up based on usage. This feature ensures that cloud applications can accommodate increased data storage needs without requiring manual intervention. As the data grows past projected levels, the system dynamically adjusts the capacity to meet the demand, making it a key feature for applications with variable workloads.

Object storage is designed for storing large amounts of unstructured data, such as backup files, in a scalable and cost-effective manner. It is the best option for creating an off-site copy of files generated by a backup solution, as it provides durability, redundancy, and easy accessibility for backup and disaster recovery purposes.