Is public cloud angst an illusion?

Is public cloud angst an illusion?

Summary: Who's afraid of the Big Bad Cloud? Up to a third of Amazon Web Services' customers may be large enterprises.

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TOPICS: Cloud
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Despite a lot of reported nervousness about relying on public cloud services for applications and data, there are estimates that at least 30% of Amazon Web Services' customers are large enterprises. This may be a quiet movement.

That's the word from GigaOm's Barb Darrow, who recently spoke with various cloud industry leaders, concluding there is actually far less angst than it appears, with many enterprises quietly deploying many new applications on public cloud providers such as Amazon.

The emphasis here is on "quietly," she observes:

"Some AWS partners said the company prefers to work under the radar in general and that stealth mode hid what they say is an escalated enterprise sales push. AWS has hired sales engineers and others from enterprise-focused companies like HP, SunGard and EMC. 'One of the senior AWS guys told us ‘we like that our competitors don’t think we’re active in the enterprise. When they find out it’ll be too late,’ he said."

Darrow estimates that AWS now pulls in about $2 billion a year (the "other" category in Amazon's income statements). Many other big players are also already in the enterprise public cloud space -- including IBM, RackSpace, HP and Microsoft. It's now a big business. 

Amazon doesn't talk a whole lot of about its enterprise standing, but industry partners provide some clues. Cloudyn CEO Sharon Wagner, whose company helps businesses make best use of AWS, estimates that 30% of its AWS customers are large enterprises.  You’d be surprised just how many companies have already made the move [to AWS]," adds Ken Ziegler, CEO of Logicworks. "It’s not just Netflix."

There are many business technology services organizations can manage and host from their own data centers, and there are many, many others that can be accessed from a growing range of Software-as-a-Service and cloud providers. Enterprises will be relying on both, depending on cost and customer requirements. The key takeaway here is that a service is hosted outside the firewall is no longer a barrier for many -- it's providing far greater choice. And more choice is always a good thing. 

Topic: Cloud

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5 comments
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  • No, it's real.

    But that depends on the target market. Who needs convincing that angst, fear, or concerns are just an illusion? PT Barnum, or his customers?

    Still, let's have everybody blindly jump into this - then giggle and laugh as they all get burned by the latest whiz-bang thang...
    HypnoToad72
  • As for choice,

    More choice is good, until a bigger provider uses tactics to eliminate everyone else, since everyone else prevents the big boy from "his" profit. Forget high profits, try a high chair and a bib...
    HypnoToad72
  • troll bait title.

    "Is public cloud angst an illusion?"

    That's an easy one: No. People who have angst about the cloud are perfectly real.

    The only illusion is that the title has anything to do with the article.

    Basically, the title is troll bait.
    CobraA1
    • And many of these bloggers give the impression that companies are 100% in

      we host one of our emails on a cloud based service, but our corporate data we use is all based locally on our internal servers.
      Just because some company hosts less critical data on a cloud based service means they've no angst against public cloud servers.
      William Farrel
  • Need HIPPA type regulations for data snoopers, to make cloud safe.

    I think to put the angst of the public to rest about the "Data Security" in the cloud, we need HIPPA type regulations to punish the snoopers who look into the data, that they are not supposed to, or not related to. The public is always vary about the business interests, and other sensitive personal information being some where in the cloud being accessible to any hacker.
    The same people who are propagating the safety of the Cloud, promote a lot about off line storage of the data. That is an "Oxy-moron" statement there. How is that the Off-Site storage is more secure than cloud computing? They both are almost in the same situation, except for the Saas.
    Whether anyone or any company likes it or not, I think "Cloud Computing" is here and is going to stay. The era of software being on personal devices is waning.
    Either way, we need strict restrictions to prevent data to be seen by unintended persons, to make it safe and secure for the future, so everyone get the best out of it.

    Rao
    Vyas Rao