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	<title>Comments on: Cloud Infrastructure: The Next Fat Dumb and Happy Pipe?</title>
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	<link>http://blogs.gartner.com/daryl_plummer/2009/02/10/cloud-infrastructure-the-next-fat-dumb-and-happy-pipe/</link>
	<description>A member of the Gartner Blog Network</description>
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		<title>By: Telecom Companies: The Cloud Clock is Ticking!</title>
		<link>http://blogs.gartner.com/daryl_plummer/2009/02/10/cloud-infrastructure-the-next-fat-dumb-and-happy-pipe/comment-page-1/#comment-179</link>
		<dc:creator>Telecom Companies: The Cloud Clock is Ticking!</dc:creator>
		<pubDate>Tue, 03 Mar 2009 12:59:09 +0000</pubDate>
		<guid isPermaLink="false">http://blogs.gartner.com/daryl_plummer/?p=53#comment-179</guid>
		<description>[...] to the ultimate consumer&#8221; if you want to be relevant long term in anything. See my post in cloud infrastructure commoditization to see where this [...]</description>
		<content:encoded><![CDATA[<p>[...] to the ultimate consumer&#8221; if you want to be relevant long term in anything. See my post in cloud infrastructure commoditization to see where this [...]</p>
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		<title>By: Cloud Infrastructure Commoditization is Inevitable: Make Money While You Can</title>
		<link>http://blogs.gartner.com/daryl_plummer/2009/02/10/cloud-infrastructure-the-next-fat-dumb-and-happy-pipe/comment-page-1/#comment-167</link>
		<dc:creator>Cloud Infrastructure Commoditization is Inevitable: Make Money While You Can</dc:creator>
		<pubDate>Mon, 23 Feb 2009 23:36:15 +0000</pubDate>
		<guid isPermaLink="false">http://blogs.gartner.com/daryl_plummer/?p=53#comment-167</guid>
		<description>[...] on the commoditization of cloud infrastructure in her response to my original post titled &#8220;Cloud Infrastructure: The Next Fat Dumb and Happy Pipe?&#8221; Her post, titled &#8220;Does cloud infrastructure become commoditized?&#8220;, rightly [...]</description>
		<content:encoded><![CDATA[<p>[...] on the commoditization of cloud infrastructure in her response to my original post titled &#8220;Cloud Infrastructure: The Next Fat Dumb and Happy Pipe?&#8221; Her post, titled &#8220;Does cloud infrastructure become commoditized?&#8220;, rightly [...]</p>
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		<title>By: Service-Oriented Architecture mobile edition</title>
		<link>http://blogs.gartner.com/daryl_plummer/2009/02/10/cloud-infrastructure-the-next-fat-dumb-and-happy-pipe/comment-page-1/#comment-158</link>
		<dc:creator>Service-Oriented Architecture mobile edition</dc:creator>
		<pubDate>Fri, 20 Feb 2009 04:14:01 +0000</pubDate>
		<guid isPermaLink="false">http://blogs.gartner.com/daryl_plummer/?p=53#comment-158</guid>
		<description>[...] public clouds may offer greater flexibility and economies of scale. Gartner&#039;s Daryl Plummer provides his usual sage advice to software vendors seeking to convert their offerings to cloud mode, but I [...]</description>
		<content:encoded><![CDATA[<p>[...] public clouds may offer greater flexibility and economies of scale. Gartner&#8217;s Daryl Plummer provides his usual sage advice to software vendors seeking to convert their offerings to cloud mode, but I [...]</p>
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		<title>By: Daryl Plummer</title>
		<link>http://blogs.gartner.com/daryl_plummer/2009/02/10/cloud-infrastructure-the-next-fat-dumb-and-happy-pipe/comment-page-1/#comment-148</link>
		<dc:creator>Daryl Plummer</dc:creator>
		<pubDate>Thu, 12 Feb 2009 21:02:35 +0000</pubDate>
		<guid isPermaLink="false">http://blogs.gartner.com/daryl_plummer/?p=53#comment-148</guid>
		<description>Diminishing retuerns are elated to the idea that if you do private cloud computing then your opportunities to gain cloud value are limited. For example, elasticity can only go as far as the capacity you have already bought and have in your private cloud. In the public cloud context, elasticity is ever changing and opportunities  are widely varied. Not so in the Enterprise. so, even though you get more flexibility, you begin to lose out as you need to continue increasing capacity with depreciable assets on site. Anoher example is economies of scale. Sure, you get them with a private cloud but they are miniscule by comparison to what Amazon or OpSource will give you. You can&#039;t keep up with their ability to take advantages of economies. As time goes on, your customer base stabilizes and your economies of scale just become a capacity management issue again. Public cloud proviers will have a business model based on gaining millions of customers. I doubt most enterprises can hope for that level of scale. Also, remember that as the infrastructure commoditizes you are still held back on platforms that probalby have not kept up with technology and certainly are not as widely used as the public cloud platforms. Your returns on investment begin to look more and more like just a large heavily virtualized Data Center. One more example, although there are many more. In a private cloud, the services you deliver will be limited in number, in variety, in price, and in breadth of capability. Certainly, you can build and deliver the services you feel you need but how agile will you be in allowing your business to source new services or to swap out older ones? The more of them you are deliovering in a private context, the less capability you will have to mae changes to them or to add new ones since your resources are limited. A public cloud provider has resources limited only by the willingness of customers to buy their stuff. Additionally, there will be multiple cloud providersfrom whom you could choose. If you do private cloud, you are the only one. So, sure, use it, but remember you will also need public cloud or your value proposition is limited. And if you use pubic cloud in addition to private cloud, why not go for the whole thing except for really critical workloads - which probably should not be cloud yet anyway - private or otherwise. Make sense?</description>
		<content:encoded><![CDATA[<p>Diminishing retuerns are elated to the idea that if you do private cloud computing then your opportunities to gain cloud value are limited. For example, elasticity can only go as far as the capacity you have already bought and have in your private cloud. In the public cloud context, elasticity is ever changing and opportunities  are widely varied. Not so in the Enterprise. so, even though you get more flexibility, you begin to lose out as you need to continue increasing capacity with depreciable assets on site. Anoher example is economies of scale. Sure, you get them with a private cloud but they are miniscule by comparison to what Amazon or OpSource will give you. You can&#8217;t keep up with their ability to take advantages of economies. As time goes on, your customer base stabilizes and your economies of scale just become a capacity management issue again. Public cloud proviers will have a business model based on gaining millions of customers. I doubt most enterprises can hope for that level of scale. Also, remember that as the infrastructure commoditizes you are still held back on platforms that probalby have not kept up with technology and certainly are not as widely used as the public cloud platforms. Your returns on investment begin to look more and more like just a large heavily virtualized Data Center. One more example, although there are many more. In a private cloud, the services you deliver will be limited in number, in variety, in price, and in breadth of capability. Certainly, you can build and deliver the services you feel you need but how agile will you be in allowing your business to source new services or to swap out older ones? The more of them you are deliovering in a private context, the less capability you will have to mae changes to them or to add new ones since your resources are limited. A public cloud provider has resources limited only by the willingness of customers to buy their stuff. Additionally, there will be multiple cloud providersfrom whom you could choose. If you do private cloud, you are the only one. So, sure, use it, but remember you will also need public cloud or your value proposition is limited. And if you use pubic cloud in addition to private cloud, why not go for the whole thing except for really critical workloads &#8211; which probably should not be cloud yet anyway &#8211; private or otherwise. Make sense?</p>
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		<title>By: Russ Castronovo</title>
		<link>http://blogs.gartner.com/daryl_plummer/2009/02/10/cloud-infrastructure-the-next-fat-dumb-and-happy-pipe/comment-page-1/#comment-147</link>
		<dc:creator>Russ Castronovo</dc:creator>
		<pubDate>Thu, 12 Feb 2009 20:47:34 +0000</pubDate>
		<guid isPermaLink="false">http://blogs.gartner.com/daryl_plummer/?p=53#comment-147</guid>
		<description>Darryl,

Can you clarify a bit more how there are diminishing returns on the great value one can get by either adopting or selling cloud infrastructure for next-generation applications?

I&#039;m not certain I follow what you mean there.

Russ</description>
		<content:encoded><![CDATA[<p>Darryl,</p>
<p>Can you clarify a bit more how there are diminishing returns on the great value one can get by either adopting or selling cloud infrastructure for next-generation applications?</p>
<p>I&#8217;m not certain I follow what you mean there.</p>
<p>Russ</p>
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