Honestly, I am not checking my twits everyday –who really does it cast the first stone-, just a couple of days ago I’ve grabbed my phone to try the new twitter app version that I’ve updated since some weeks –BTW. It was a nice change, I was a bit tired of the last one- and I’ve got interest on a twit from @elenaneira highlighting “Startups Move away from#Cloud”
Probably this note is not a big surprise for so smart guys like you, but it makes me wonder when it’s time to leave public cloud and go for your own stuff.
If you read it, it will show you that some companies like Uber and memSQL have simply left Amazon to save costs. They’ve passed the tipping point when you get your own stuff to reduce TCO. And that cannot be so weird, if you get some enough volume of IT resources, there is a point when scale economy doesn’t help you anymore.
My first note at this blog was about IaaS commoditization, and this is the perfect example. At the beginning there wasn’t so many companies with the capability to offer an automated and orchestrated IaaS that you can buy online as soon as you need it. Now, you can find products to build you own on-premise at every corner.
Every advantage is temporary guys 😉
Now, you need to offer more things than just the compute and storage ones, if you want to help companies to reduce their TCO. Let’s create a better gap against build it by yourself:
- We can start offering PaaS with some automation. You can offer Web Application Platform with some automation to speed provisioning or auto-scale; or with some tools to protect themselves against common external attacks.
- Yes, SaaS would be fine also, but I don’t want to go so high yet 😉
- Let’s play Hybrid. Build a dedicated PaaS on/off premise and extend some resources to Public when its over-perform could be needed.
- What about the new aPaaS trend to speed App Development? You can create an on-demand service model for aPaaS to show more value to your users.
- My favorite: App-oriented PaaS that packs specialized and experienced services like our super SAP Kloud or our HANA OnDemand offering. If the customer tries to do it byhimself, it will find that compute and storage are one of the less important concerns to careabout so far.
How to build an App-oriented PaaS? Clean up your ears and listen to your customer and you will get awesome ideas to raise this gap between you and any on-premise option they could build by their own.
This type of PaaS is reduced to bring a good quality, affordable and agile services packed in one platform. If this service is so complex to build, and you build it in an orchestrated and automated platform, and you have reduced it to a solid and easy to understand product portfolio, you’ve got something very difficult to reproduce, at least for a while.
A better service is not just put together a bunch of pieces of hardware and software. You will require skilled people, and a great company’s culture to make this work.
An important value for any innovative company’s culture: agility. You can have an amazing PaaS, but as soon as you release it, you will have to think in your next innovation cycle, the countdown has just started. Talented people are key, and combined with agility, are the biggest advantage that your company can offer to the market.
Public Cloud is an extraordinary concept, but it not so worthy if it’s disconnected to customer needs. Company’s culture defines how agile you are to answer to your customer’s expectations, and again, people define culture. Flexibility to adapt to your customer’s needs requires Agility.
Here you have a list of my previous notes that could be interesting to read as complement to this one: