- Microsoft will float cloud OS this month
- Top 16 Chinese iPhoneys
- Pimp your ride: Cool car technology
- Laptop stolen from McCain campaign
- Cisco, Microsoft roll out server, networking appliance
Newsletters | Podcasts | Chats | Opinions | RSS Feeds | This Week In Print | IT Careers | Community | Reports | Downloads | Slideshows | New Data Center
Partner Sites:Application Performance Solutions | App Performance | Networking Solution | SafeGuard Enterprise Solution Center | SOA | Value of WDS
With Google's recent launch of its App Engine, and with the likes of IBM and Amazon having staked claims, cloud computing is clearly a major development in the IT landscape. The benefits are obvious, enabling enterprises to scale rapidly with a level of performance previously available to only the largest companies — all without adding equipment, software or staff.
It's early in the game — consistent definitions aren't even agreed upon in the industry. Is utility computing really in the cloud? What about managed services? The major companies in the category will certainly drive the definition of cloud computing. But as usual, expect start-up companies to disrupt it.
So far, the market entrants have played to their strengths. Amazon is leveraging its tremendous computing capabilities by providing customers with a virtual computing environment via EC2. Salesforce is riding its software-as-a-service (SaaS) wave with Force.com — dubbing it "platform-as-a-service" — giving developers tools for creating business applications on-demand and without software. Pile on offerings from Sun, Yahoo, Ariba and more, all doing what they do best.
That still leaves plenty of room on the field for start-ups to do something different, which is what they do best. Unlike slow-moving market leaders, early-stage companies have the uncanny ability to identify beachheads adjacent to the market opportunities being established by the big boys. And more than that, they know how to move fast, growing right along with the niche market need they've chosen to address, turning that into a legitimate market which, in retrospect, looks obvious to everyone else. So what might be those beachheads in cloud computing?
To find their entry point, entrepreneurs will first need to determine what, in the enterprise infrastructure, can be cleaved off, or outsourced -- something the other players are not addressing yet. Cloud computing start-ups should work to find enterprise computing requirements that meet the following criteria:
* Computing needs that are not core to the business but are still required to support it. By that token, any enterprise computing requirement that relies on IT time, energy and budget for such processing needs as algorithms, heavy analytics and the like is one that enterprises would be likely to hand off to a vendor. For example, a financial institution calculating portfolio risk, or an enterprise trying to understand the optimal marketing mix for a campaign by using statistical and simulation analyses, could benefit from a cloud computing model.

The Vista era of Windows is here. Yet most organizations will retain Windows XP alongside new Vista...
A Unified Approach to Workload Lifecycle ManagementDiscover how solutions that support workload profiling and enable anywhere-to-anywhere workload...
Consolidated Disaster Recovery Using VirtualizationServer virtualization is providing enterprises of all sizes with exciting new options for...

The Vista era of Windows is here. Yet most organizations will retain Windows XP alongside new Vista...
Turning information into a Competitive AdvantageCompanies today are realizing that competitive advantage is harder to sustain when based solely on...
PoE Plus: Impact on the PoE MarketThe standard for Power over Ethernet (PoE), IEEE Std. 802.3af(tm)-2003, advanced networking,...

Managing a newly virtualized environment can be tricky. Effectively deploy this technology with the...
Data Center DecisionsData Center Decisions Made Easier. Learn about the latest tech trends that impact your data center...
Closing the Loop: Extending Wireless LAN Security to Wireless PrintersEnterprises cannot overlook wireless printers when assessing network security. The print jobs and...
Partner Content
Explore the Ultrium Edge
The powerful tape technology can address data security with tape encryption as well as long term data protection.
Find out more
Disk and Tape Square Off
Discover what disk and tape really cost -- and which solution provides lower total cost of ownership and optimizes energy use for your organization
Download the White Paper
Don't Fall For The Myths
The Clipper Group explores the truth behind the myths of tape, digging into the misconceptions in the disk vs. tape debate.
Download the White Paper
Will You Add Tape Too?
Over two thirds of disk-only users look to add tape back into storage infrastructure according to recent survey.
Download Survey Information
Comments (1)
Start-ups are behind alreadyBy Michael_Sheehan on May 5, 2008, 6:10 pmGreat article. It's probably one of the first to talk about start-ups tackling cloud computing as an offering rather than as an end-user. You hit it right on when...
Reply | Read entire comment
View all comments