Welcome!

Microsoft Cloud Authors: Pat Romanski, Elizabeth White, Liz McMillan, Mihai Corbuleac, David Bermingham

Related Topics: @CloudExpo, Java IoT, Microservices Expo, Open Source Cloud, Containers Expo Blog, API Journal

@CloudExpo: Blog Feed Post

New Cloud Ecosystem

Managed service market?

I was touring what reminded me of the Cheyenne Mountain nuclear bunker – one of the safest places on earth. Except in this case, this was one of the safest places for your enterprise data on earth. “The entrance will open, you will drive in, and an armed guard will be out to escort you.”

That was the beginning of my tour of a Tier 4 datacenter, furthest from any natural disaster. 100% guaranteed up time.

I was staking out where we would launch our newest version of the Infochimps Big Data cloud service - our enterprise cloud service would soon be launched in the most trusted datacenter in the world, along side the largest enterprise data installations in the world.

Managed service market?
Analysts forecast that worldwide IT spend in 2013 will be $2.1 trillion with an annual growth rate of 6% (CAGR). Most of this will be spending for equipment being installed within the enterprise datacenter.

This being said, when you talk to CIOs of the Fortune 1000 or of the Global 2000, you will find out that many (if not most) have initiated a datacenter consolidation project, with the end-goal of moving to a 30%/70% mix of infrastructure under internal management versus outsourced infrastructure.

Envision a world where there's an outsourced managed service market that is larger than on-premise and public cloud markets. It might look something like this:

Platform vendors like Teradata, Oracle, and IBM continue to own the on-premise market, servicing Fortune 1000. Public cloud providers like Amazon, Rackspace, and soon Google Compute own long-tail deployments supporting smaller companies.

And then there is the emerging market of cloud services which live in trusted data centers like Equinix, Digital Reality, Telx, Savvis, Terremark, InterNAP, SwitchNAP, and SoftLayer.

When you decide to outsource to a third party datacenter partner like those mentioned above, you are offered an instant menu of service providers who make up a New Cloud Ecosystem.

Why is this important? Because as a "tenant" in your trusted outsourced datacenter, you have a plethora of cloud services who have launched within the same data center....right where your data lives. These cloud providers range from infrastructure clouds like Amazon's EC2, or cloud storage, disaster recovery and high availability services, and more.

Morgan Stanley classified the size of the 2013 cloud service market across three main categories:

  • Private Cloud (8% CAGR)
  • Virtual Private Cloud (25% CAGR)
  • Public Cloud (50% CAGR)

Public Cloud, although small, is growing the fastest at 50%. The on-premise infrastructure market grows at 8%.....and in between is the Virtual Private Cloud in third party datacenters growing at 25%.

If public cloud is too risky while on-premise being outsourced due to economics, I think the "white space" is this emerging market in the middle...the New Cloud Ecosystem.

Where does your data infrastructure live?

Read the original blog entry...

More Stories By Jim Kaskade

Jim Kaskade is Vice President and General Manager, Big Data & Analytics, at CSC. Prior to that he was CEO of Infochimps. Before that he served as SVP and General Manager at SIOS Technology, a publicly traded firm in Japan, where he led a business unit focused on developing private cloud Platform as a Service targeted for Fortune 500 enterprises. He has been heavily involved in all aspects of cloud, meeting with prominent CIOs, CISOs, datacenter architects of Fortune 100 companies to better understand their cloud computing needs. He also has hands-on cloud domain knowledge from his experience as founder and CEO of a SaaS company, which secured the digital media assets of over 10,000 businesses including Fortune 100 customers such as Lucasfilm, the NBA, Sony BMG, News Corp, Viacom, and IAC. Kaskade is also one of the Top 100 bloggers on Cloud Computing selected by the Cloud Computing Journal.

@ThingsExpo Stories
Connected devices and the industrial internet are growing exponentially every year with Cisco expecting 50 billion devices to be in operation by 2020. In this period of growth, location-based insights are becoming invaluable to many businesses as they adopt new connected technologies. Knowing when and where these devices connect from is critical for a number of scenarios in supply chain management, disaster management, emergency response, M2M, location marketing and more. In his session at @Th...
Extracting business value from Internet of Things (IoT) data doesn’t happen overnight. There are several requirements that must be satisfied, including IoT device enablement, data analysis, real-time detection of complex events and automated orchestration of actions. Unfortunately, too many companies fall short in achieving their business goals by implementing incomplete solutions or not focusing on tangible use cases. In his general session at @ThingsExpo, Dave McCarthy, Director of Products...
There are several IoTs: the Industrial Internet, Consumer Wearables, Wearables and Healthcare, Supply Chains, and the movement toward Smart Grids, Cities, Regions, and Nations. There are competing communications standards every step of the way, a bewildering array of sensors and devices, and an entire world of competing data analytics platforms. To some this appears to be chaos. In this power panel at @ThingsExpo, moderated by Conference Chair Roger Strukhoff, Bradley Holt, Developer Advocate a...
The Internet of Things will challenge the status quo of how IT and development organizations operate. Or will it? Certainly the fog layer of IoT requires special insights about data ontology, security and transactional integrity. But the developmental challenges are the same: People, Process and Platform and how we integrate our thinking to solve complicated problems. In his session at 19th Cloud Expo, Craig Sproule, CEO of Metavine, will demonstrate how to move beyond today's coding paradigm ...
"There's a growing demand from users for things to be faster. When you think about all the transactions or interactions users will have with your product and everything that is between those transactions and interactions - what drives us at Catchpoint Systems is the idea to measure that and to analyze it," explained Leo Vasiliou, Director of Web Performance Engineering at Catchpoint Systems, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York Ci...
Apixio Inc. has raised $19.3 million in Series D venture capital funding led by SSM Partners with participation from First Analysis, Bain Capital Ventures and Apixio’s largest angel investor. Apixio will dedicate the proceeds toward advancing and scaling products powered by its cognitive computing platform, further enabling insights for optimal patient care. The Series D funding comes as Apixio experiences strong momentum and increasing demand for its HCC Profiler solution, which mines unstruc...
SYS-CON Events has announced today that Roger Strukhoff has been named conference chair of Cloud Expo and @ThingsExpo 2016 Silicon Valley. The 19th Cloud Expo and 6th @ThingsExpo will take place on November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. "The Internet of Things brings trillions of dollars of opportunity to developers and enterprise IT, no matter how you measure it," stated Roger Strukhoff. "More importantly, it leverages the power of devices and the Interne...
In addition to all the benefits, IoT is also bringing new kind of customer experience challenges - cars that unlock themselves, thermostats turning houses into saunas and baby video monitors broadcasting over the internet. This list can only increase because while IoT services should be intuitive and simple to use, the delivery ecosystem is a myriad of potential problems as IoT explodes complexity. So finding a performance issue is like finding the proverbial needle in the haystack.
Machine Learning helps make complex systems more efficient. By applying advanced Machine Learning techniques such as Cognitive Fingerprinting, wind project operators can utilize these tools to learn from collected data, detect regular patterns, and optimize their own operations. In his session at 18th Cloud Expo, Stuart Gillen, Director of Business Development at SparkCognition, discussed how research has demonstrated the value of Machine Learning in delivering next generation analytics to imp...
Whether your IoT service is connecting cars, homes, appliances, wearable, cameras or other devices, one question hangs in the balance – how do you actually make money from this service? The ability to turn your IoT service into profit requires the ability to create a monetization strategy that is flexible, scalable and working for you in real-time. It must be a transparent, smoothly implemented strategy that all stakeholders – from customers to the board – will be able to understand and comprehe...
The cloud market growth today is largely in public clouds. While there is a lot of spend in IT departments in virtualization, these aren’t yet translating into a true “cloud” experience within the enterprise. What is stopping the growth of the “private cloud” market? In his general session at 18th Cloud Expo, Nara Rajagopalan, CEO of Accelerite, explored the challenges in deploying, managing, and getting adoption for a private cloud within an enterprise. What are the key differences between wh...
Ask someone to architect an Internet of Things (IoT) solution and you are guaranteed to see a reference to the cloud. This would lead you to believe that IoT requires the cloud to exist. However, there are many IoT use cases where the cloud is not feasible or desirable. In his session at @ThingsExpo, Dave McCarthy, Director of Products at Bsquare Corporation, will discuss the strategies that exist to extend intelligence directly to IoT devices and sensors, freeing them from the constraints of ...
The IoT is changing the way enterprises conduct business. In his session at @ThingsExpo, Eric Hoffman, Vice President at EastBanc Technologies, discussed how businesses can gain an edge over competitors by empowering consumers to take control through IoT. He cited examples such as a Washington, D.C.-based sports club that leveraged IoT and the cloud to develop a comprehensive booking system. He also highlighted how IoT can revitalize and restore outdated business models, making them profitable ...
IoT offers a value of almost $4 trillion to the manufacturing industry through platforms that can improve margins, optimize operations & drive high performance work teams. By using IoT technologies as a foundation, manufacturing customers are integrating worker safety with manufacturing systems, driving deep collaboration and utilizing analytics to exponentially increased per-unit margins. However, as Benoit Lheureux, the VP for Research at Gartner points out, “IoT project implementers often ...
When people aren’t talking about VMs and containers, they’re talking about serverless architecture. Serverless is about no maintenance. It means you are not worried about low-level infrastructural and operational details. An event-driven serverless platform is a great use case for IoT. In his session at @ThingsExpo, Animesh Singh, an STSM and Lead for IBM Cloud Platform and Infrastructure, will detail how to build a distributed serverless, polyglot, microservices framework using open source tec...
The idea of comparing data in motion (at the sensor level) to data at rest (in a Big Data server warehouse) with predictive analytics in the cloud is very appealing to the industrial IoT sector. The problem Big Data vendors have, however, is access to that data in motion at the sensor location. In his session at @ThingsExpo, Scott Allen, CMO of FreeWave, discussed how as IoT is increasingly adopted by industrial markets, there is going to be an increased demand for sensor data from the outermos...
CenturyLink has announced that application server solutions from GENBAND are now available as part of CenturyLink’s Networx contracts. The General Services Administration (GSA)’s Networx program includes the largest telecommunications contract vehicles ever awarded by the federal government. CenturyLink recently secured an extension through spring 2020 of its offerings available to federal government agencies via GSA’s Networx Universal and Enterprise contracts. GENBAND’s EXPERiUS™ Application...
A strange thing is happening along the way to the Internet of Things, namely far too many devices to work with and manage. It has become clear that we'll need much higher efficiency user experiences that can allow us to more easily and scalably work with the thousands of devices that will soon be in each of our lives. Enter the conversational interface revolution, combining bots we can literally talk with, gesture to, and even direct with our thoughts, with embedded artificial intelligence, wh...
"delaPlex is a software development company. We do team-based outsourcing development," explained Mark Rivers, COO and Co-founder of delaPlex Software, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
"We work in the area of Big Data analytics and Big Data analytics is a very crowded space - you have Hadoop, ETL, warehousing, visualization and there's a lot of effort trying to get these tools to talk to each other," explained Mukund Deshpande, head of the Analytics practice at Accelerite, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.