Focusing on the cheapest cloud price could cost you more

Amazon Web Services really leads the way in determining market price for cloud services, and the second-, third-, and lower-tier cloud providers try to price their cloud services below that of AWS to steal its business. That is, until AWS drops prices—again.

Enterprises that focus only on cloud usage prices are missing the big—and more important—picture.

For example, say that you move 100 applications and their linked data to a public cloud provider. It charges you a certain usage price for compute and storage, which is set at the time you provision those resources. 

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InfoWorld Cloud Computing

IDG Contributor Network: The high cost and risk of On-Premise vs. Cloud

When was the last time I bought an on-prem application?  Over five years ago and I am not looking back. Having been a CIO for many years, I have seen my share of large-scale software implementations and the maintenance and upgrade overhead that comes with on-prem applications. The numbers are varied, but it’s safe to assume that 30-40% of companies have moved into the Cloud and use it as a resource for their applications and/or infrastructure.

Should you simply jump into the pool with the others?  Of course not. First off, a simple “lift and shift” of applications from on-prem into the Cloud will produce minimal benefit if any, and those may be consumed by the resources required for the move itself. That said, a careful strategy to re-engineer your applications platform into the Cloud could have significant cost savings and operational efficiencies. A very detailed TCO (Total Cost of Ownership) is required before making such a strategic decision. There are a variety of published methods for calculating TCO.  My advice is to make friends with the team in Finance and together agree on which method is best for your environment.  Then partner with Finance to do the TCO.  If it has Finance’s fingerprint on it, the credibility ranking goes real high.  

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CIO Cloud Computing

IDG Contributor Network: When does tech make you money and when does it cost you?

There’s an interesting Forbes article on the topic of turning a cost center into a profit center. In it, author Larry Myler talks about three ways to “become a hero” by:

  1. Killing overhead,
  2. Inventing revenue, and
  3. Supporting company strategy.

Having worked in cost centers within organizations myself, I was skeptical as to whether this can actually be done. If so, it would change the game for just about any company trying to reduce costs and increase revenues (and that would be almost every organization).

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Computerworld Cloud Computing

A blockchain ‘smart contract’ could cost investors millions

Investors in a “smart contract” built on the Ethereum blockchain platform may have lost cryptocurrency worth millions of dollars because they missed a loophole in the contract’s fine print.

The contract was written in Ethereum’s Solidity programming language, and the fine print was the code that set out the rules for investing in, operating, and withdrawing from a crowd-sourced venture capital fund called The DAO (The Distributed Autonomous Organization.) .

Ethereum, like other blockchains, is a distributed public ledger, or record of transactions. Where the bitcoin ledger records bitcoin transactions, the Ethereum blockchain records transfers of a cryptocurrency called Ether. But there’s more: Ethereum is also a platform for running smart contracts. Its creator, the Ethereum Foundation, describes smart contracts as “applications that run exactly as programmed without any possibility of downtime, censorship, fraud or third party interference.”

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Network World Cloud Computing

Amazon cuts cost of running Oracle’s database in its cloud

Amazon Web Services now lets companies run Oracle’s database for about 3 cents per hour, while at the same time adding more options for enterprises that want to move high-performance workloads to the cloud.

The offering that makes this possible is Amazon RDS (Relational Database Service), which aims to offer cheap and resizable capacity, and take over many database administration tasks.

The last two months have seen Amazon step up its efforts to make RDS and its cloud a viable option for running databases. Improvements include using SQL Server Enterprise Edition without buying separate licenses, the general availability of its own MySQL-compatible Aurora database, and an increase of the maximum database storage size.

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Computerworld Cloud Computing