Changing Cloud Market

In this blog we will cover changing face of cloud market.

Public cloud market is getting crowded. Now days everyone wants to provide public cloud services to the customers. The shake up has already started.

HP has declared that it is getting out of public cloud market. Wise decision.

Since the Cloud market thrives on razor thin margins, each VM costs Cents, it is increasing difficult for many vendors to survive in public cloud. Only the Big three Remains as dominant player: Google, Amazon and Microsoft.

Infrastructure as a service (IAAS) has now  high entry barrier. With huge investments and minimal returns, no new player can join the market.

So,

What other a players should do?

My thinking is that there is only few place where the money is right now in Cloud.

1) Software as a Service (SAAS): Now days anyone can go to public cloud and publish its COTS /custom application and give it as a service. SAAS has huge monetary benefits for software companies.

2) Application Transformation: There is a huge market in application transformation consulting. If the Organization wants to move its application to public or hybrid cloud environment, then it needs to make sure thats its application are cloud enabled. Application re-archeting, re-design and making them cloud enable is a goldmine.



So question is : Would you like to provide cloud services? If yes, then be prepared to provide something unique.