|By John Cowan||
|July 16, 2009 10:00 AM EDT||
My watered down translation of Long Tail theory is simply the notion that the aggregate sum of stuff buyers take in small, infrequent quantities will invariably outstrip the aggregate sum of the most popular counterparts.
Research evidence is beginning to corroborate what we saw some three years ago: There is a Long Tail in Cloud Computing. Consider some well accepted research points from IDC and others of late:
- The Cloud Computing market will hit USD $42 Billion by 2012
- Of that, more than 50% will comprise business process applications (the stuff we all use daily to run companies big and small)
So, I can infer then that some $20 Billion will comprise the 2012 feed bag from which all the little cloud computing piggies will line up at the trough to consume. Not a bad market, from 10,000 feet away. But here's the thing. The cloud computing market is already becoming pretty full. I mean rush hour commuter train full and it will get even more crowded in the coming few years. $20 Billion doesn't last long when you have a litany of players stepping up to the plate, and with the recent moves made by Oracle, Microsoft, EDS and other big time shops, the groovy young open source outfits that are all the rage now could very well be fighting over table scraps by 2012 (um, what's your exit strategy?). Table scraps in a $20 Billion market? Imagine that. Welcome to the hysteria of cloud computing.
So where is the refuge for agile boots trappers like 6fusion and the fraternity of cloud junkies in 2009?
There is another little research stat that is important, but that you won't find on any other cloud computing blog: IDC estimates that the net spending on IT services within the SMB space to eclipse USD $160 Billion by 2012.
Wait a sec. Hold the phone. How can SMB's spend that much money on IT services, yet the business apps the cloud industry is going to cuts it own throat to grab will only comprise some $20B? That's a pretty big gap, doncha think?
Herein lies the Long Tail of cloud computing.
Whilst the present day cloud computing vendors flock to gobble up the web based applications that made Web 2.0 more popular than a Rolling Stones reunion tour, the bigger market is all those business applications that automate processes and make the average SMB take flight. "Rubbish!" says the average pimple-faced freshman-drop-out-turned-internet-entrepreneur. The world is going to run on web services! Legacy apps are passé and unsexy. They are a dying breed, ready for the IT graveyard.
Maybe. But the research says not for the foreseeable future.
Here is what I don't think cloud computing companies ‘get' today: Technology is made to fit business; business is not made to fit technology. This point was nicely driven home recently by VMware's Dan Chu. In his blog post, Dan delivered a nice little kidney shot to the Google-ites. Here is my favorite line: "Customers are looking to match their IT platform to their business needs, not the inverse. The Google approach calls for a least common denominator set of non integrated cloud services that everyone squeezes into. Customers want the flexibility and breadth of solutions that exist today along with the efficiency of the cloud." I couldn't agree more, Dano. And I'll take that one step further. Real businesses are a made up of a collection of processes and procedures, which technology typically augments to make things faster or easier. So, unless what you are peddling can plug into Reality 1.0, I wouldn't want to the guy whose paycheck depends on widespread adoption.
Of course, Chu sounds like a kool-aid-drinking evangelist too. He just belongs to a different cult. But if you look to the school of product management, a field that suffers from a little less myopia, you will get the same type of message. In his concise post-mortem on The Demise of Cassatt, Saeed Khan illustrates a critical axiom that I think a lot of cloud service providers either ignore or don't understand: "Nobody, and I mean nobody, gets up in the morning and thinks, "I'm willing to change everything about how my business operates because a vendor has a really great product that could save me money."" In my opinion, that's why there is such a discrepancy between what the SMB market is going to spend and how much the cloud computing market for business applications will be worth, now and in the future.
It stands to reason then that the Long Tail of cloud computing could very well be the operation of critical business applications that are not sexy Web 2.0 apps or otherwise qualify as ‘way cool'. Is it possible the purveyors of cloud computing are missing untapped potential of harvesting less of more?
Akana, a leading provider of API Management, API Security and Cloud Integration solutions, announced that it is introducing DevOps automation to the API lifecycle. New capabilities in Akana's API Management platform significantly reduce the time required to update API definitions and versions. DevOps teams will be able to work faster in designing and developing APIs, as well as managing them at runtime and publishing them to a portal.
Jun. 2, 2015 03:15 PM EDT Reads: 690
"People are a lot more knowledgeable about APIs now. There are two types of people who work with APIs - IT people who want to use APIs for something internal and the product managers who want to do something outside APIs for people to connect to them," explained Roberto Medrano, Executive Vice President at SOA Software, in this SYS-CON.tv interview at Cloud Expo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Jun. 2, 2015 03:00 PM EDT Reads: 4,599
DevOps Summit at Cloud Expo New York is offering a limited time FREE "Expo Plus" registration option in New York. On site registration price of $1,95 will be set to 'free' for delegates who register during special offer. To take advantage of this opportunity, attendees can use the coupon code, and secure their registration to attend all keynotes, @DevOpsSummit sessions at Cloud Expo, expo floor, and SYS-CON.tv power panels. Special FREE registration givess access to all Containers and Microservices sessions. Registration page is located at the DevOps Summit site. Your DevOps Summit registratio...
Jun. 2, 2015 03:00 PM EDT Reads: 985
“Connect2Me is basically a game changer in the IoT industry. We have created IoT connecter middleware that can enable a connection to any kind of device," explained Yasser Khan, CTO of Connect2Me, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Jun. 2, 2015 02:15 PM EDT Reads: 2,990
SYS-CON Events announced today that the "First Containers & Microservices Conference" will take place June 9-11, 2015, at the Javits Center in New York City. The “Second Containers & Microservices Conference” will take place November 3-5, 2015, at Santa Clara Convention Center, Santa Clara, CA. Containers and microservices have become topics of intense interest throughout the cloud developer and enterprise IT communities.
Jun. 2, 2015 02:15 PM EDT Reads: 924
ThingsExpo New York is offering a limited time FREE "Expo Plus" registration option in New York. On site registration price of $1,95 will be set to 'free' for delegates who register during special offer. To take advantage of this opportunity, attendees can use the coupon code, and secure their registration to attend all keynotes, ThingsExpo sessions, expo floor, and SYS-CON.tv power panels. Special FREE registration givess access to all DevOps, Containers and Microservices sessions as well. Registration page is located at the ThingsExpo site.
Jun. 2, 2015 02:00 PM EDT Reads: 1,029
2015 predictions circa 1970: houses anticipate our needs and adapt, city infrastructure is citizen and situation aware, office buildings identify and preprocess you. Today smart buildings have no such collective conscience, no shared set of fundamental services to identify, predict and synchronize around us. LiveSpace and M2Mi are changing that. LiveSpace Smart Environment devices deliver over the M2Mi IoT Platform real time presence, awareness and intent analytics as a service to local connected devices. In her session at @ThingsExpo, Sarah Cooper, VP Business of Development at M2Mi, will d...
Jun. 2, 2015 01:00 PM EDT Reads: 1,075
"Matrix is an ambitious open standard and implementation that's set up to break down the fragmentation problems that exist in IP messaging and VoIP communication," explained John Woolf, Technical Evangelist at Matrix, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Jun. 2, 2015 01:00 PM EDT Reads: 4,387
The only place to be Nov 3-5 is Cloud Expo | @ThingsExpo | DevOps Summit 2015 West at the Santa Clara Convention Center in Santa Clara, CA. Join us there as delegates from all over the world come to listen to and engage with speakers & sponsors from the leading Cloud Computing, IoT, Big Data and DevOps companies. Cloud Expo & @ThingsExpo are the leading events covering the booming market of Cloud Computing, IoT & Big Data for the enterprise. Speakers from all over the world will be hand-picked for their ability to explore the economic strategies that utility/cloud computing provides. Whether...
Jun. 2, 2015 12:45 PM EDT Reads: 1,778
The basic integration architecture, as defined by ESBs, hasn’t changed for more than a decade. Most cloud integration providers still rely on an ESB architecture and their proprietary connectors. As a result, enterprise integration projects suffer from constraints of availability and reliability of these connectors that are not re-usable across other integration vendors. However, the rapid adoption of APIs and almost ubiquitous availability of APIs amongst most SaaS and Cloud applications are rapidly redefining traditional integration approaches and their reliance on proprietary connectors. ...
Jun. 2, 2015 12:45 PM EDT Reads: 720
The world is at a tipping point where the technology, the device and global adoption are converging to such a point that we will see an explosion of a world where smartphone devices not only allow us to talk to each other, but allow for communication between everything – serving as a central hub from which we control our world – MediaTek is at the heart of both driving this and allowing the markets to drive this reality forward themselves. The next wave of consumer gadgets is here – smart, connected, and small. If your ambitions are big, so are ours. In his session at @ThingsExpo, Jack Hu, D...
Jun. 2, 2015 12:45 PM EDT Reads: 1,126
The enterprise market will drive IoT device adoption over the next five years. In his session at @ThingsExpo, John Greenough, an analyst at BI Intelligence, division of Business Insider, will analyze how companies will adopt IoT products and the associated cost of adopting those products. John Greenough is the lead analyst covering the Internet of Things for BI Intelligence- Business Insider’s paid research service. Numerous IoT companies have cited his analysis of the IoT. Prior to joining BI Intelligence, he worked analyzing bank technology for Corporate Insight and The Clearing House Pay...
Jun. 2, 2015 12:30 PM EDT Reads: 968
Explosive growth in connected devices. Enormous amounts of data for collection and analysis. Critical use of data for split-second decision making and actionable information. All three are factors in making the Internet of Things a reality. Yet, any one factor would have an IT organization pondering its infrastructure strategy. How should your organization enhance its IT framework to enable an Internet of Things implementation? In this session, James Kirkland, Red Hat's Chief Architect for the Internet of Things and Intelligent Systems, will describe how to revolutionize your architecture and...
Jun. 2, 2015 12:00 PM EDT Reads: 1,187
All major researchers estimate there will be tens of billions devices - computers, smartphones, tablets, and sensors - connected to the Internet by 2020. This number will continue to grow at a rapid pace for the next several decades. With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo, June 9-11, 2015, at the Javits Center in New York City. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be
Jun. 2, 2015 12:00 PM EDT Reads: 2,395
SYS-CON Events announced today that MetraTech, now part of Ericsson, has been named “Silver Sponsor” of SYS-CON's 16th International Cloud Expo®, which will take place on June 9–11, 2015, at the Javits Center in New York, NY. Ericsson is the driving force behind the Networked Society- a world leader in communications infrastructure, software and services. Some 40% of the world’s mobile traffic runs through networks Ericsson has supplied, serving more than 2.5 billion subscribers.
Jun. 2, 2015 12:00 PM EDT Reads: 1,702
"BSQUARE is in the business of selling software solutions for smart connected devices. It's obvious that IoT has moved from being a technology to being a fundamental part of business, and in the last 18 months people have said let's figure out how to do it and let's put some focus on it, " explained Dave Wagstaff, VP & Chief Architect, at BSQUARE Corporation, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4-6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Jun. 2, 2015 12:00 PM EDT Reads: 3,743
Growth hacking is common for startups to make unheard-of progress in building their business. Career Hacks can help Geek Girls and those who support them (yes, that's you too, Dad!) to excel in this typically male-dominated world. Get ready to learn the facts: Is there a bias against women in the tech / developer communities? Why are women 50% of the workforce, but hold only 24% of the STEM or IT positions? Some beginnings of what to do about it!
Jun. 2, 2015 12:00 PM EDT Reads: 941
SYS-CON Events announced today that O'Reilly Media has been named “Media Sponsor” of SYS-CON's 16th International Cloud Expo®, which will take place on June 9–11, 2015, at the Javits Center in New York City, NY. O'Reilly Media spreads the knowledge of innovators through its books, online services, magazines, and conferences. Since 1978, O'Reilly Media has been a chronicler and catalyst of cutting-edge development, homing in on the technology trends that really matter and spurring their adoption by amplifying "faint signals" from the alpha geeks who are creating the future. An active participa...
Jun. 2, 2015 11:30 AM EDT Reads: 1,212
There will be 150 billion connected devices by 2020. New digital businesses have already disrupted value chains across every industry. APIs are at the center of the digital business. You need to understand what assets you have that can be exposed digitally, what their digital value chain is, and how to create an effective business model around that value chain to compete in this economy. No enterprise can be complacent and not engage in the digital economy. Learn how to be the disruptor and not the disruptee.
Jun. 2, 2015 11:00 AM EDT Reads: 1,032
The Internet of Things is not only adding billions of sensors and billions of terabytes to the Internet. It is also forcing a fundamental change in the way we envision Information Technology. For the first time, more data is being created by devices at the edge of the Internet rather than from centralized systems. What does this mean for today's IT professional? In this Power Panel at @ThingsExpo, moderated by Conference Chair Roger Strukhoff, panelists will addresses this very serious issue of profound change in the industry.
Jun. 2, 2015 11:00 AM EDT Reads: 1,272