PayPal To Replace VMware With OpenStack

Julie188 writes "This should make VMware nervous. PayPal and eBay are yanking VMware software from some 80,000 servers and replacing it with OpenStack. Initially, PayPal is replacing VMware on about 10,000 computer servers. Those servers will go live this summer."

Comments

Re:Lesson: Licensing costs suck

[MightyMartian]

For now. But I've found hyper-v is at best an adequate product and VMware is obscenely priced, so in the end enterprise software houses will adapt as they did to a landscape that shifted away from closed source *nix solutions like SCO and Solaris. Sure, they may only support Redhat as far as distros go, but the fact is that VMware and Microsoft's shoddy little product hardly rate as the only virtualization solutions out there.

Re:Lesson: Licensing costs suck

[Jeremiah Cornelius]

This story from Gigaom is a little more tempered than the article on Businessinsider. It quotes the Paypal director, saying they will continue to use VMware - if you read right through to the end of it.

http://gigaom.com/2013/03/25/mirantis-open-sources-its-openstack-cloud-management-tools/

This, in any case, is not a "tipping-point" indicator.

With or without Mirantis or Fuel, Openstack is a tool kit for building your own CloudOS. Unless you can make a business based on the internal IP generated, there's no win here for most enterprise shops.

Amazon did this sucessfully - getting value from reselling access to raw infrastructure, based on development created for internal needs.

Yahoo failed at this, after more than a decade optimising their own OS layer for internet scale-out. They would have been better served to eliminate their OS engineering unit, buying common OTS Linux/Windows.

PayPal are somewhere between these poles. Having been on their own linux-based, scale-out physical architecture for more than a decade, they are well-positioned to derive value from Openstack. If you were Williams-Sonoma or Chevron? They do not want or need to become an OS developer/integrator.