Transforming Datacenter Infrastructure into a Cloud

Cloud Computing Journal: A very general question first, about Cloud Computing itself: Surely we've heard all of this previously in various forms and guises - grid computing / utility computing, etc.? What is different this time why is everyone so convinced it will now work?

Ditlev Bredahl: That's a bit like asking why everyone is convinced this whole Internet thing is going to work. Amazon¹s cloud revenue is estimated at several hundred million dollars. Rackspace, something like $50m. VPS.NET, $10m. And these are just hosting earnings: the whole cloud ecosystem is much, much broader. There are many thousands of companies generating revenue every day from the cloud, and millions of clients using cloud-based services. It's already here and it's by all means working.

Cloud Computing Journal: And what are the three main barriers preventing some companies from moving some of the on-premise computing to the Cloud?

Bredahl: We work with hosting providers, where it is not so much about moving on-premise computing to the cloud, as transforming datacenter infrastructure into "a cloud." The three main barriers hosts perceive are the cost of doing this; how long it will take; and whether they'll in fact make any money out of it - will it be profitable.

Cloud Computing Journal: Are there other players in the Cloud ecosystem offering the same or is your company in a class by itself? Why?

Cloud Computing Journal: We hear talk of a Cloud Revolution and as well of a Cloud "evolution" - either way, what kind of time span are we talking about, do you think. That is, for how long is Cloud Computing going to exert its pull on the minds, hearts, and budgets of all involved in modern-day Enterprise IT?

In the then and there phase - like as not 12-18 months from now - the vast majority of hosting services will use cloud innovation in some way. Cloud research will become commoditized, and the challenge for providers will be to differentiate on more than just price. We'll see cloud providers partnering with application vendors and focusing on niche markets to offer packaged cloud-based app and hosting services, decommoditizing their offer.

Liz is Associate Online Editor at Ulitzer.com, where she covers emerging technologies including Cloud Computing and Virtualization, as then as mergers and acquisitions and "new-media" strategies as described pursuant to this agreement the Ulitzer Live! umbrella. You can forward your press releases by email lizmcmillan.ulitzer.com.