Pop Quiz: If your company has conquered North America and Western Europe and is now looking for the next big market, where should you go? The no-thinking, because it’s obvious, answer is of course China. But if you want low cost of entry and a rapid return on investment you might want to aim a bit further South - to Australia.
While it isn’t as big a market as China (or even India) and may have a higher cost of living, which can make establishing a beachhead there expensive, Australia has significant enough similarities to the western world — a well-educated populace, a high income citizenship and desire for new technologies and innovations — to make success here far easier. And if you are doing ROI calculations around this decision, it has a key advantage over its Asian peers: higher acceptance of cloud services.
I know, more control is an axiom! But the above statement is more often true. When we're talking about configuration control in the public cloud it can be especially true, as control over the configuration of your application can put control in the hands of someone who knows less about the given platform and thus is more likely to get the configuration wrong. Have I fired you up yet? Then you're going to love (or loathe) my latest report, published today.
Let's look at the facts. Your base configuration of an application deployed to the cloud is likely a single VM in a single availability zone without load balancing, redundancy, DR, or a performance guarantee. That's why you demand configuration control so you can address these shortcomings. But how well do you know the cloud platform you are using? Is it better to use their autoscaling service (if they have one) or to bring your own virtual load balancers? How many instances of your VM, in which zones, is best for availability? Would it be better to configure your own database cluster or use their database as a service solution? One answer probably isn't correct — mirroring the configuration of the application as deployed in your corporate virtualization environment. Starting to see my point?
Fact is, more configuration control may just be a bad thing.
With Satya Nadella now warming the CEO seat at Microsoft, executive recruiters can shift their attention to another cloud leader — Rackspace — who bids adieu to its 14-year leader, Lanham Napier. While both companies are clearly cloud platform leaders chasing the same competitor, the similarities in the top job stop there. Rackspace's needs in a CEO center more around how it tells its story than concerns about its strategy.
Where Microsoft is struggling to ensure its ongoing relevancy in a world that is shifting away from the desktop and the on-premise enterprise, Rackspace has strong cloud credibility. Its issues are more around the fact that it isn't a cloud pure play, isn't another managed services cloudwasher, isn't an incumbent enterprise IT supplier, and no longer runs OpenStack. So if you're looking for companies to compare it to in order to value its stock, there aren't good comparisons. And if you’re looking for metrics to use to judge its success, the ones being disclosed don't paint a rosy picture. If you want to understand Rackspace, you'll have to really understand the company and why it isn't what it isn't. So let's start there:
After a couple less-than-home-runs in the cloud game, it looks like CenturyLink might just have a real contender. The US midwestern telecommunications leader pulled the trigger on yet another acquisition this morning - Tier 3, a legitimate cloud platform provider. The real question is whether this is the latest in a long string of acquisitions that have failed to hit the mark, or a sign that they finally got it right.
CenturyLink is a Lego company built through a string of acquisitions all bolted together. It rolled up several telecom players to get to its current size and presence in that market. And it has bought now three cloud companies.
IBM didn't just pick up a hosting company with their acquisition of SoftLayer this week, they picked up a sophisticated data center operations team -- one that could teach IBM Global Technical Services (GTS) a thing or two about efficiency when it comes to next-generation cloud data centers. Here's hoping IBM will listen.
The OpenStack Foundation and Microsoft have released major updates to their cloud platforms and frankly there’s nothing really new or exciting here – which is a good thing.
Sure, there were over 250 new features added in the Grizzly release of OpenStack that brought several nice enhancements to its software-defined networking, storage services, computing scalability and reliability and it delivered better support for multiple hypervisors and better image sharing, too. The vSphere driver was given a significant update, Swift got better monitoring, and there's a new bare metal provisioning option, which was the talk of day one of the OpenStack Summit here in Portland, Oregon.
For Microsoft, it lifted the preview tag from its full Infrastructure as a Service (IaaS) enhancement to the Windows Azure public cloud platform. It’s a big deal for Microsoft who previously didn’t provide this level of virtual infrastructure control but compared to the rest of the public IaaS market, it’s more of a “welcome to the party” announcement than a new innovation or differentiator. To sweeten its appeal, Microsoft added a pledge to match AWS pricing for compute, network and storage services and thus dropped its prices in these areas by 21-33%.
Sometimes you can only coax a reluctant partner and I&O customer community for so long before you feel you have to take matters into your own hands. That is exactly what VMware has decided to do to become relevant in the cloud platforms space. The hypervisor pioneer unveiled vCloud Hybrid Service to investors today in what is more a statement of intention than a true unveiling.
VMware's public cloud service — yep, a full public IaaS cloud meant to compete with Amazon Web Service,IBM SmartCloud Enterprise, HP Cloud, Rackspace, and others — won't be fully unveiled until Q2 2013, so much of the details about the service remain under wraps. VMware hired the former president for Savvis Cloud, Bill Fathers, to run this new offering and said it was a top three initiative for the company and thus would be getting "the level of investment appropriate to that priority and to capitalize on a $14B market opportunity," according to Matthew Lodge, VP of Cloud Services Product Marketing and Management for VMware, who spoke to us Tuesday about the pending announcement.
Today’s announcements at the Open Compute Project (OCP) 2013 Summit could be considered as tangible markers for the OCP crossing the line into real relevance as an important influence on emerging hyper-scale and cloud computing as well as having a potential bleed-through into the world of enterprise data centers and computing. This is obviously a subjective viewpoint – there is no objective standard for relevance, only post-facto recognition that something was important or not. But in this case I’m going to stick my neck out and predict that OCP will have some influence and will be a sticky presence in the industry for many years.
Even if their specs (which look generally quite good) do not get picked up verbatim, they will act as an influence on major vendors who will, much like the auto industry in the 1970s, get the message that there is a market for economical “low-frills” alternatives.
Major OCP Initiatives
To date, OCP has announced a number of useful hardware specifications, including: