Cloud computing plays an important role in the evolution of mobile networks. It enables the virtualization of network functions, allowing them to be deployed as software-based services in the cloud. This is named 'Network Function Virtualization (NFV)'.

This approach provides greater flexibility, scalability, and cost-efficiency compared to traditional hardware-based network functions.

Cloud Computing allows to rapidly scale resources up or down based on demand. This allows mobile network operators to efficiently manage fluctuations in network traffic and user requirements. This helps to optimize resource utilization, and reduce operational costs.

In addition, the cloud's distributed nature and redundancy features provide mobile network operators with improved disaster recovery capabilities, which ensures service availability.