AWS set to flex its muscles at re:Invent conference

Posted by Ron Miller on Nov 29, 2016 1:31:32 PM

AWS is about to embark on its biggest user conference ever as it hosts the re:Invent conference this week in Las Vegas. What started just five years ago as an intimate gathering of 6,000 users, has grown to over 32,000 attendees. It illustrates the rapid growth of the Infrastructure as a Service behemoth.

In just a decade, AWS has transformed the way we think of computing, growing from a minor part of the Amazon empire to a business that is currently on an $11.5 billion run rate — and it's accelerating quickly. Companies like Google, Microsoft, IBM, and Oracle who came late to the IaaS game, are trailing badly, even as the market grows at a rapid rate.

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Topics: Cloud Trends

Alibaba continues Quixotic quest to take on AWS

Posted by Ron Miller on Nov 22, 2016 11:55:00 AM

Alibaba announced an ambitious plan to expand its worldwide data center presence today. The company wants to have local presence across Europe, Asia, the Middle East, and Australia. It hopes that having a more extensive worldwide presence can help it take on AWS, Microsoft, IBM, and Google (and even Oracle) in the cloud infrastructure game.

While it's a sensible move to try and expand its data center footprint, the reality is that Alibaba came very late to the cloud computing game. A decade into the Infrastructure as a Service market, there are clear market leaders. While the revenue pie is expanding, the idea that Alibaba can make a significant dent in the market outside of China is a longshot, at best. (Although it's worth noting the Chinese market itself could be by its sheer size significant.)

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Topics: Cloud Trends

Salesforce steamrolls toward $10 billion revenue goal

Posted by Ron Miller on Nov 18, 2016 1:24:39 PM

Salesforce reported its earnings on Thursday, and on almost every level, it has to be considered a success. The world's most successful SaaS vendor continued to march toward $10 billion in annual revenue, with CEO Marc Benioff boldly predicting in the earnings call, the company would reach that lofty height in the 2018 fiscal year (next year).

Before we look at the significance of an almost $10 billion SaaS vendor, let's look at the numbers. The company generated 2.14 billion in revenue for the 2017 third quarter. That's up from $1.71 billion for the same period last year.

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Topics: Cloud Trends

AWS public cloud domination even greater than previously thought

Posted by Ron Miller on Nov 2, 2016 1:27:56 PM

We've been watching the cloud infrastructure market for a long time, using Synergy Research's numbers as a baseline. Looking at those past numbers, AWS has always had a huge lead with over a third of the market. Microsoft, Google, and IBM were less than half of that when you put all their market share numbers together.

Synergy Research came out with some new research last week, breaking out the pure public cloud infrastructure market, and when it looked at the numbers through that prism, AWS's lead was even more pronounced with a whopping 45 percent. Microsoft, Google, and IBM were less than 20 percent combined. 

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Topics: Cloud Trends

Data gravity becomes irresistible force in the cloud

Posted by Mike Vizard on Nov 1, 2016 11:44:26 AM

Cloud applications of all types have generally been a very good thing for managed service providers (MSPs). As more applications move into the cloud, IT becomes more complex to manage for the average IT organization. Not only are there multiple applications running in multiple data centers, there are also still all those workloads running on premise that aren't going away any time soon.

But the one trend MSPs should take note of is the rate at which many cloud applications are starting to consolidate on Amazon Web Services (AWS). A recent survey of 336 privately-held software-as-a-service (SaaS) application providers published by Pacific Crest Securities, a unit of KeyBanc Capital Markets, finds that 55 percent currently rely on AWS to deliver their applications. The rest rely mainly on their own self-managed servers (33 percent), a third-party (10 percent) or Microsoft Azure (4 percent).

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Topics: Cloud Trends

Dyn DDoS attack false fodder for anti-cloud crowd

Posted by Ron Miller on Oct 27, 2016 3:51:55 PM

There's no doubt that you heard about, and were probably affected by the Distributed Denial of Service (DDoS) attack on domain registrar Dyn last week. It was a devastating attack that took down services like Spotify and Netflix along with business cloud services like Box and Zendesk for a time on Friday.

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Topics: IT Security, Cloud Trends

IBM's cloud strategy is finally about to pay off

Posted by Ron Miller on Oct 20, 2016 11:05:27 AM

IBM is the poster child for a company having the roughest of transitions. It has seen its revenue drop an astonishing 18 straight quarters. The good news was that this quarter it didn't drop that much and even beat analyst's expectations (that frankly have to be pretty low at this point).

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Topics: Cloud Trends

Assessing TCO in the age of the cloud

Posted by Mike Vizard on Oct 18, 2016 10:03:00 AM

Historically, there has been a fierce debate over what type of cloud computing model is most efficient. Every provider of a public cloud service or private cloud software claims their model is the most cost effective.

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Topics: Cloud Trends

Salesforce-Microsoft relationship tipping from friendly to frenemy

Posted by Ron Miller on Oct 13, 2016 9:45:00 AM

It seemed like such a nice story when Salesforce and Microsoft, two companies that were battling it out in court not that long ago,  buried the hatchet last year—or so it seemed.

It could be that the friendship is strained once again as the competitive nature of both companies has begun to surface over the last several months.

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Topics: Cloud Trends

The myth about big cloud infrastructure customer wins

Posted by Ron Miller on Sep 28, 2016 3:48:13 PM

Cloud vendors are fighting a huge battle these days over customers. Each company, especially those chasing market leader AWS, like to scream from the hill tops when they get a big customer win, but how seriously should we take these announcements, and are they as significant as these companies would have us believe?

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Topics: Cloud Trends

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