That’s right, a horse named Cloud Computing won the prestigious Preakness Stakes, the second of the coveted Triple Crown. Why is this of interest to a technology blogger? Because it certainly says that Cloud Computing has arrived in the popular vernacular.
My daughters rode horses for over a dozen years, competing in both the English and Western styles, not racing fortunately. Too dangerous for a father. It was hard enough watching them compete and occasionally fall. My girls enjoyed great success in their riding careers, reaching national finals at the collegiate and public school levels. Each finished in 7th place on the same day at respective national finals. Over their careers they rode horses named Bond, Dancer, Itchy, Johnny and more, but never one named for a technology.
So, if a horse winning a race as prestigious and well known as the Preakness Stakes is named Cloud Computing, what’s your winning strategy for harnessing the Cloud in your business? Yes, the pun was intentional.
The Cloud has received a lot of hype over the years, as I have often written about. Hype aside, every business I work with uses the Cloud, even if they don’t know it. What’s important is how you use the Cloud and is it optimized to help you reach your business goals. There are three primary types of Cloud Computing, in addition to the horse type, Private Cloud, Public Cloud and Hybrid Cloud. Here is a quick, basic summary of what each means:
- Private Cloud is when you host your own servers in a data center and make them available to users across the Internet or a private connection like a VPN tunnel or a dark connection (one that exists only between your office sites and the data center).
- Public Cloud is when you leverage a company like Amazon Web Services, Microsoft, Google or one of several other companies that specialize in hosting virtual servers in their data center for you.
- Hybrid Cloud is a mixture of both private and public and may also integrate servers on-premise in your office. Often this involves a robust business continuity plan that leverages the geographic diversity of these options to provide high availability, regardless of issues that may be impacting any one of these options.
Cloud Computing is one of the hottest buzzwords in the IT industry and most businesses, across all industries. Companies are still trying to determine how to best use the Cloud to help them be more competitive and profitable. Whether this involved moving entire systems to the Cloud or just certain types of services, the goal is to provide a better internal user and customer experience, to help the business achieve its goals.
One of the ongoing risks with Cloud Computing is cost. There remains a large misperception that Cloud often means lower TCO (Total Cost of Ownership). This is not always the case. In my experience, only the smallest of customers are able to move their entire IT infrastructure to the Cloud and also realize cost savings. Most businesses may see increased costs when introducing robust Cloud solutions. This is because Cloud moves expenses from the Balance Sheet to the Profit & Loss, so most businesses see an increase in monthly expense. This is where the finance team needs to be involved, as this may not necessarily be a bad thing, even though it may first appear to be.
Like any technology, don’t jump to the latest and greatest without a well thought out evaluation of the benefits you expect to realize. You also want to be sure to employ proper management solutions for your Cloud systems, just as you would if it were on-premise. Of specific concern with Cloud solutions, especially those in the public Cloud, is managing cost. Public Cloud price models are one of the most complex in the market today. You will hear terms like compute cycle, IOPS and more. These all add to your costs and need to be proactively managed so you don’t get an unpleasant surprise with your next monthly billing statement.
I know of one company that learned they were spending $400,000.00 more annually, than they needed to be. Don’t let that be you! There are tools that will help you understand, manage and optimize your configurations and utilization so you are not spending more than you need to be.
Cloud Computing is a winner and businesses are leveraging the Cloud for impressive wins. Are you?
And just for the record, even Fortune Magazine picked up on this story idea 😉