Following Larry Ellison’s jab against Cloud Computing, Tim posts a good counter-punch…
So when Larry Ellison says that cloud computing and open source won’t produce many hugely profitable companies, he’s right, but only if you look at the pure software layer. This is a lot like saying that the PC wouldn’t produce many hugely profitable companies, and looking only at hardware vendors! First Microsoft, and now Google give the lie to Ellison’s analysis. The big winners are those who best grasp the rules of the new platform.
So here’s the real trick: cloud computing is real. Everything is moving into the cloud, in whole or in part. The utility layer of cloud computing will be just that, a utility, without outsized profits.
But the cloud platform, like the software platform before it, has new rules for competitive advantage. And chief among those advantages are those that we’ve identified as “Web 2.0″, the design of systems that harness network effects to get better the more people use them.
Nick argues there are inherent flaws to what Tim has to say… both are worth a read.
This is very cool… mainly because the team has been working so hard on social media. Thanks to all the team for their hard work and passion for the conversation.
- Dell, Inc., the 2008 SNCR Brand of the Year. The Brand of the Year is awarded to the organization that made the most significant advances in utilizing new communications and social media tools, technologies and practices.
- Gartner had expected budgets to grow 3.3 percent in 2009.
- Now the most likely case is IT budget growth of 2.3 percent to 0 percent;
- The worst case is that IT budgets will be down 2.5 percent.
If you’re in the middle of the US Election you probably aren’t too aware that New Zealand is also about to stage it’s election. The National party (think Republican) is taking a real run at Labor (think Democrat).
Was interesting to read these comments from two of NZ’s tech leaders on National’s policies… real worry if they do cancel R&D credits when so many Governments offer them around the world.