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Six Things I Think I Think for IaaS in 2013
Another year, another dollar - or something like that

Another year, another dollar… or something like that.  It’s time for an update on the 6 things I think I think for Infrastructure-as-a-Service (IaaS) in the coming year!

1. Hybrid Cloud Computing

2012 Perspective: Hybridization WAS key in 2011 and I’m doubling down in 2012.  If you’ve paid attention to the consolidation in the industry, you’d best do the same.  The big boys are snapping up anything that smells like bridging the enterprise to the multi-tenant host.  Look for this trend to intensify.

2013 Perspective: VMware buys DynamicOpsRed Hat buys ManageIQCisco buys Cloupia.  Consider the consolidation trend intensified.  The big question for 2013 is what the big boys have in mind for the cool technologies they’ve acquired in 2012. Whatever they might have in mind, the signal from the customer is clear.  Hybrid cloud computing is considered critically important to wide-scale adoption of cloud computing in general.  As I highlighted earlier this year, as big as the cloud computing market is becoming it still pales in comparison to private IT operations. Hybrid cloud computing is correctly viewed as a technology tap to this underlying market.

2. Cloud Federation & Interoperability

2012 Perspective: I’ve spoken with some pretty big names in the business and scale is an issue with their regional plays in the market.  The challenge in 2011 for cloud federation was the degree of difficulty associated with interoperability.  There was much progress on this front in 2011 but I think before broad based federation goes from concept to reality there needs to be more plumbing.  2012 will be the year real interoperability tracks are laid as a foundation for scalable cloud federation.

2013 Perspective: We as an industry had the opportunity to lay down tracks for real cloud federation and interoperability at this time last year.  What happened was rather disappointing.  Basically, industry titans from OpenStack, Amazon, Citrix, and others all postured. I remember sitting in the crowd at GigaOm Structure when the first official shots were fired on the subject of API standardization.  What could have been a wonderful opportunity to seize the moment and end vendor lock-in before it ever started in cloud computing, big vendors did what they do best.  They opened up their respective Kimonos and bragged about the size of their case studies.  What a (albeit entertaining) waste of time and opportunity.

Because we all anticipate the cloud market, particularly IaaS, growing at a serious CAGR in 2013 there will be growing customer pressure to allow the movement and billing transfer of workloads between independent cloud operators.  The opportunity for a new or existing company to emerge with a solution to this problem will become significant in the coming year.

3. Cloud Ecosystem Enablement

2012 Perspective: VMware unveiled its plans to stitch together Vcloud operators at its big VMworld shindig, but this wasn’t the only giant making big bets on the cloud ecosystem concept.  Equinix, one of the world’s largest data center operators, hatched is master plan for a ‘Marketplace’ of Platform Equinix Partners and Synnex, one of the most powerful IT Distributors in North America took a huge step with its Cloudsolv application and services portal.  Watch what these three companies do in 2012 to drive ecosystem growth.

2013 Perspective: Dell, HP, Cisco, Arrow, Avnet, Telefonica, Singtel…just to name a few. Billions in unstructured cloud business potential spanning distribution, hardware and telecoms just waiting to be harnessed.  The lure of these types of captive markets will push the envelope on cloud ecosystem enablement despite a big challenge encountered in 2012.  That big challenge was the relative learning curve incurred when you cross-pollinate large singularly focused business units.

4. Emerging Cloud Communities

2012 Update:  By the middle of the 2nd quarter I was beginning to worry about this prediction.  Was I going a bit too far out on a limb?  Then, bang!  VMware announces the big deal with the NYSE.  Wow.  Talk about going big or going home.  The NYSE community cloud has a lot of eyes on it.  A large number of other vertical deals are hanging in the balance, hoping to learn what not to do when details of the NYSE project become more public.  I think this VMware play will be a big success and in 2012, you will see many other big players follow suit.

2013 Perspective: Do you hear that sound?  No? I didn’t think so.  There’s no sound in a vacuum that is the lack of follow up from the big NYSE deal in 2011.  No big pharma cloud.  No big banking cloud.  No big offshore financial cloud.

How come?

Would-be community cloud enablers in 2012 figured out what they needed to figure out, which they are hoping to do in 2013.  What they need to figure out has nothing to do with the technology and everything to do with operational and contractual concerns.  The commonality of vertical market integration resolves certain compliance risks, but it doesn’t mean private IT operators are ready, suited or even capable of offering a legitimate outbound customer service. Ask any CFO or CEO of a publically traded company about the idea of taking on the liability risk created by a new service that, oh by the way, has nothing to do with existing strategy. At a minimum in 2013 look for new corporate structures to emerge in order to facilitate offering community clouds as a service.

5. Channelization

2012 Perspective: I am still a firm believer in the channel and I’m still banking my company’s future on it.  However, the Channel failed to capitalize on the cloud opportunity in 2011 the way I thought it would.  Don’t get me wrong, the needle definitely moved.  But the cloud operators and the broader channel are still separated by an expertise gulf that is limiting how much cloud money flows via the intermediary.  The investment from the IaaS providers continues to be there.  Find me one IaaS services or software provider that doesn’t showcase a channel program today.  2012 will see the gulf shrink and the channel heat up because Distribution will hit its stride and carry with it more evidence of the gold rush I saw last year.

2013 Perspective: The channel didn’t emerge as the boon of cloud computing adoption in 2012, but it continued to make significant progress.   Cloud Sherpas recently raised $40M on a bet that it had figured out the model to integrate cloud into the enterprise.  That’s not a small bet on the channel intermediary concept.  There were other big wins in the market too.

In 2013 you will see vendors get very serious about forcing channel intermediaries to declare their allegiance.  Programs are maturing and dollars are flowing inbound to support the intermediary to the customer.  This is a sure sign that we are on the cusp of growing the cloud wave in a big way.

6. IaaS Futures Market

2012 Perspective: Spot market concepts made progress in 2011 but as expected were not able to truly capture the imagination of the market.   However, the groundswell around commodity compute resource trading is gaining momentum.  And in 2012 look for general progress in this area with a few players coming out of the woodwork to surprise some.

2013 Perspective: Fact – trading compute contracts is going to happen.  If you trust nothing else I write, trust me on this.

As predicted, a few players came out of the woodwork on this.  Specifically, the Eurex and Zimory (via TSystems) in Europe announced that they had formed a partnership to build a trading platform in 2013.

What is unclear is exactly how this is going to happen.  How will the market be organized?  Look for clarity to emerge in 2013 on this subject.

Since last year’s 6.1 bonus prediction was such a hit (um, cloud brokerage, anyone?) I will keep with the new tradition.  Here’s my scoop:  Keep an eye on the fall of old empires.  The world economy is definitely not what it was two years ago, but neither are some of these tech titans of yesterday:

Dell

Dell stock chart

Microsoft

Microsoft stock chart

Oracle

Oracle stock chart

HP

HP stock chart

Cloud Computing – the agent of change – can mean rebirth or extinction for some of the biggest companies to dominate the tech landscape in the last 30 years.  Look for significant strategic moves by some of the giants as they posture for survival in the new era.

Have a great 2013!

The post 6 things I think I think for IaaS in 2013 appeared first on 6fusion.

Read the original blog entry...

About John Cowan
John Cowan is co-founder and CEO of 6fusion. John is credited as 6fusion's business model visionary, bridging concepts and services behind cloud computing to the IT Service channel. In 2008, he along with his 6fusion collaborators successfully launched the industry's first single unit of meausurement for x86 computing, known as the Workload Allocation Cube (WAC). John is a 12 year veteran of business and product development within the IT and Telecommunications sectors and a graduate of Queen's University at Kingston.

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Digital transformation has increased the speed at which organizations must adapt. As they do so, it’s more important than ever to be able to choose solutions that will give them a comprehensive, real-time view of the network. Several factors contribute to this new priority: Root causes and threats must be quickly identified, so network and security ops personnel must have the ability to view and share real-time data from multiple network environments.
Microsoft pulls a fast one! Good showing Microsoft. Project Natick is Microsoft's R&D feasibility project to explore, manufacture and operate a underwater. Hey, you don't look for cooling water, if you can take the salt out. How is latency improved? drop the datacenter at the nearest ocean or lake. Energy efficiency is no brainer considering the environment the datacenter is in. Bring in 3D manufacturing and you can have a datacenter manufactured and deployed in no time at all, no need for expensive land acquisition, licenses, certificates etc.
The battle over bimodal IT is heating up. Now that there’s a reasonably broad consensus that Gartner’s advice about bimodal IT is deeply flawed – consensus everywhere except perhaps at Gartner – various ideas are springing up to fill the void. The bimodal problem, of course, is well understood. ‘Traditional’ or ‘slow’ IT uses hidebound, laborious processes that would only get in the way of ‘fast’ or ‘agile’ digital efforts. The result: incoherent IT strategies and shadow IT struggles that lead to dispersed, redundant, and risky technology choices across the organization. The battle, however,...
BYOD is awesome... except for the strain it's putting on IT. It's probably giving your sysadmin migraines. We're going to talk about what you can do about that. It's official - BYOD is now the mobile strategy of choice for the majority of enterprises. According to a comprehensive survey carried out in 2014 by the Information Security LinkedIn Group, over 60% of large organizations either tolerate or allow the use of personal devices on their network. Here's the thing about that statistic, though - allowing it isn't the same as accepting it. Many businesses don't have a choice in the matter...
The Federal Government’s “Cloud First” policy mandates that agencies take full advantage of cloud computing benefits to maximize capacity utilization, improve IT flexibility and responsiveness, and minimize cost. The Federal Risk and Authorization Management Program (FedRAMP) is a mandatory government-wide program that provides a standardized approach to security assessment, authorization, and continuous monitoring for cloud products and services. Advantages for business include being able to market to many federal agencies after a single FedRAMP review following the government’s “approve once...
The start of a new year is always a good time for many businesses to get their IT strategies in place. However, there has been one issue in the past couple of months that may potentially cause a lot of complications in IT departments across the US and EU; the implications for cloud compliance of the recent nullification of the EU Safe Harbour Ruling. Safe Harbour, used by over 4,000 firms to move EU data to the US for the past 15 years, was declared invalid by the European Court of Justice (ECJ) back in October 2015.
Earlier this week it was reported that researchers at Boston-based security company, Rapid7, identified several security flaws in an app connected to a new toy from Mattel's Fisher-Price brand. The news of the security vulnerability caught our attention for a few reasons: The name of the toy - Smart Toy Bear - is strangely close to the name of our company SmartBear Software. More importantly, the story caught our attention because the security vulnerability brought up an important reminder about the important issue of security in today's connected world
As software organizations continue to invest in achieving Continuous Delivery (CD) of their applications, we see increased interest in microservices architectures, which–on the face of it–seem like a natural fit for enabling CD. In microservices (or its predecessor, “SOA”), the business functionality is decomposed into a set of independent, self-contained services that communicate with each other via an API. Each of the services has their own application release cycle, and are developed and deployed independently often using different languages, technology stacks and tools that best fit the jo...
This next weekend our city hosts Super Bowl 50, a week-long media and megastar frenzy overlaid with streaming video, stadium WiFi that may actually work, and for the lucky few in downtown SF, Verizon microcells, a precursor to 5G. But wind the clock back to the winter of 1967. Super Bowl 1, Bart Starr and the Green Bay Packers.
At the heart of the Cloud Native model is a microservices application architecture, and applying this to a telco SDN scenario offers enormous opportunity for product innovation and competitive advantage. For example in the ETSI NFV Ecosystem white paper they describe one of the product markets that SDN might address to be the Home sector. Vendors like Alcatel market SDN-based solutions for the home market, offering Home Gateways – A virtual residential gateway (vRGW) where service providers can streamline service delivery, turn up new and innovative services more efficiently, increase re...
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Past SYS-CON Events
    Cloud Expo West
cloudcomputingexpo
2011west.sys-con.com

 
    Cloud Expo East
cloudcexpo
2011east.sys-con.com

 
    Cloud Expo West
cloudcomputingexpo
2010west.sys-con.com

 
    Virtualization Expo West
virtualization
2010west.sys-con.com
    Cloud Expo Europe
cloudexpoeurope2010.
sys-con.com

 
    Cloud Expo East
cloudcomputingexpo
2010east.sys-con.com

 
    Virtualization Expo East
virtualizationconference
2010east.sys-con.com
    Cloud Expo West
cloudcomputingexpo
2009west.sys-con.com

 
    Virtualization Expo West
virtualizationconference
2009west.sys-con.com
    GovIT Expo
govitexpo.com
 
    Cloud Expo Europe
cloudexpoeurope2009.sys-con.com
 

Cloud Expo 2011 Allstar Conference Faculty

S.F.S.
Dell

Singer
NRO

Pereyra
Oracle

Ryan
OpSource

Butte
PwC

Leone
Oracle

Riley
AWS

Varia
AWS

Lye
Oracle

O'Connor
AppZero

Crandell
RightScale

Nucci
Dell Boomi

Hillier
CiRBA

Morrison
Layer 7 Tech

Robbins
NYT

Schwarz
Oracle

What The Enterprise IT World Says About Cloud Expo
 
"We had extremely positive feedback from both customers and prospects that attended the show and saw live demos of NaviSite's enterprise cloud based services."
  –William Toll
Sr. Director, Marketing & Strategic Alliances
Navisite
 


 
"More and better leads than ever expected! I have 4-6 follow ups personally."
  –Richard Wellner
Chief Scientist
Univa UD
 


 
"Good crowd, good questions. The event looked very successful."
  –Simon Crosby
CTO
Citrix Systems
 


 
"It's the largest cloud computing conference I've ever seen."
  –David Linthicum
CTO
Brick Group