Some days ago I was discussing with an important analyst about cloud trends in LATAM. Usually stats show an amazing growth rate for Cloud services between 30% and 60% – the rate depends on the region and the scoped services-
Personally I feel these stats show trends that requires to be drilled down to understand how exactly it’s affecting you.
Today, thanks to the quick adoption of cloud open architectures – architectures built on technologies like OpenStack, OpenVSwitch, Ceph… – you will notice that the real business behind is managed services.
firstly comes the culture, then the real business
The reason that we need to get from why Cloud instances’ costs could lower and lower continuously is the cloud infrastructure and it is also just the excuse to put more man power at your service. Any business case, that supports the required CAPEX and OPEX to build your massive scale cloud platform based on an open cloud architecture has a big cost part regards to people to operate and, why not, to automate it.
Innovation is tied to people more than other company’s resource. People make things happen, but some time, they don’t
To turn managed services in the worthiest resource in your portfolio, however, if you want it, you need to invest heavily more than anything in the most incompressible and intangible assess: culture!
Innovation is culture, it’s part of the mindset that any guy in the team is carrying to work every day. They have to feel a sense of belonging to any cloud strategy to really succeed. You cannot just hire talented and smart people to tell what to do every minute.
Culture helps your cloud’s plans work. You can plan whatever you want, but it’s a plan, and I don’t know until this very moment any successful project with a perfect execution that fully fits every defined timing and task in advanced. There are so many conditions to meet, your team need to be prepared to face any fortunate or unfortunate event -again, you need a company’s culture that can fit on it-
The new era of Cloud Open Architectures has already arrived. Providers that want to stay in their comfortable status resting on world class vendors to support their Cloud infrastructure must start aiming to the above layers. Eventually, when your costs can not be lowered even more, you will struggle trying to fill your expensive stack almost giving everything for free – ask yourself then, what is the real business?-
Software Defined requires talent to get a real advantage from, but SDDC on OpenSource requires an strong culture with the advocacy to innovate.
Powering up your Cloud portfolio against Off-Shore
Most of the LATAM Cloud Market is coming from Off-Shore SaaS/IaaS. Services like salesforce.com, AWS, Azure and Google Apps are a clear example of it. There are a few providers (like us) investing heavily to step in as Cloud provider contender in the local market, rest of them are trying to stay at the business reselling private enterprise cloud platforms or reselling something from these known global contenders.
Anyway, If you are a Service Provider, you have to choose, and not doing anything is not an option.
See you around!