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March 06 Where are the Opportunities: A Global View – Analyst PerspectiveDan Golding, Vice President and Research Director, Tier1Research
Q: What is Cloud Computing and why is it important for Hosting Providers? A: Cloud computing is the “new” name for on-demand, fast provisioned hosted services. Its “new” because to most people, the idea of putting computing and storage resources in the cloud is rather novel even though most hosting providers have been involved in these sorts of activities for some time. The biggest changes for hosting providers getting on the cloud bandwagon will be “on-demand” and “fast provisioned”.
Q: Who are the Major Players in Cloud Services? A: Right now, its tough to classify anyone as major – its very early on. That being said, there is some recognition that Google, Microsoft, and Amazon are leaders. Personally, I think that’s completely open to change as the sector develops.
Q: What are SMBs and Enterprises asking for? A: SMBs need their servers to go away and be replaced by services – SaaS, cloud storage, and others. In most cases, they don’t know that yet. Enterprises need to move from a CapEx to an OpEx based IT organization – they are much more interested in cloud computing.
Q: Who are the Top Managed Hosting Cloud Players and what are they doing? A: Some of the most interesting efforts in the sector are from providers like Terremark (Enterprise Cloud), Nirvanix (cloud storage), Rackspace (CloudFiles, Slicehost), XCalibre, and Raging Wire (IronScale). The key point of commonality include on-the-fly provisioning, usage based billing, and clever usage of virtualization.
Q: What are the Keys to Success to Hosting Providers in the Cloud? A: Don’t get intimidated by the “major players” – this is a wide open field. You have a tremendous number of choices, particularly in terms of partnering vs providing your own solution. The losing strategy is to do nothing – cloud is really the wave of the future. Moving aggressively is the key to success.
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