1 post • joined 6 Aug 2010
Margins may improve with hybrid clouds
I'd like to chime in regarding margins. In addition to the commercial cloud infrastructure offerings by Red Hat and others, I think the moves by Openstack and OW2 toward an open source cloud stack will result in a mushrooming of private clouds at the enterprise and perhaps the SME level. The real benefit of private clouds won't be realized as long as they are closed systems -- otherwise they are just a overly complicated form of virtualization. I see the trend pointing toward hybrid clouds, in which private cloud owners will pay a much higher margin to owners of public clouds like Amazon for intermittant bursting than they are now for VM hosting.