HP takes on Amazon, launches public cloud

New CEO Meg Whitman believes that cloud computing is one of the sectors that will return Hewlett Packard to a position of strength. By increasing cloud computing earnings, it is hoped that will lessen the financial pain of falling PC and printing earnings.

The game remains to be seen

Whether this public cloud computing push will change the game remains to be seen. Amazon is believed to hold a commanding lead in the space, and other Silicon Valley companies are making plays for what's left. IBM, Dell, and RackSpace are as well staking a claim.

With cloud computing growing by leaps and bounds as of late there is space for new competitors. A 2011 survey by Morgan Stanley found that 28 percent of those surveyed were using the public cloud in their deployments. The firm expects that number to increase to half of all businesses by 2015.

The market better be prepared to tackle Amazon head on

Those entering the market better be prepared to tackle Amazon head on, both in price and in service offerings, nevertheless. AWS was responsible for about $1.1 billion of Amazon's total $48 billion revenue for 2011, of which about $100 million was profit.