Monday, August 04, 2008

Who will own the Cloud finally?

Image Source:ZDNet

What is Cloud Computing?

Yes I know many of you already know. But for the sake of completion and for those who do not, let me brief it.

Ok first a lil piece of story. In a company called Sanmina-SCI, a handful of employees began using Google Apps for tasks like email, document sharing, scheduling appointments etc. In six months, in the same company(11 billion worth), 1000 employees use Google Apps instead of Microsoft Office, a desktop suite.
This snippet speaks of the fundamental shift in the way companies are moving operations in software and computing capacity. This trend has seen companies like Amazon, Salesforce, IBM help companies in providing extra server space and applications on the web (The whole concept of Software as a Service(SaaS)). This concept of procuring computing tasks from a third party instead of having your own infrastructure is referred to as cloud computing.
Cloud computing can include SaaS (like GoogleAps), hardware as a service, where you lend space for storage and server capacity(like Amazon provides).
Cloud computing services are only meant for services on Internet, on demand.

Who are going to be the leaders, say 10 years from now?

The market for cloud computing according to Merryl Lynch is $95 billion.
Two companies eBay and Amazon, have infrastructure expertise and an existing business divisions devoted to processing consumer transactions. Google is a big threat because they already invested billions in their hardware infrastructure for their search service and can use that pool of resources for SaaS applications,
To understand 2018, you have to view one key components of IT: - Infrastructure. These huge "Cloud computers" will be owned by a few very powerful organizations who can invest billions of dollars every year. And only Google, Amazon, ebay and Microsoft look pretty loaded with these. Lets see then.

Till then I am enjoying working with Google Apps. I gave my sister a demo and she too is hooked.

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