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The Twighlight of Small In-House Data Centers

dcblogs writes "Virtualization, cloud services and software-as-a-service (SaaS) is making it much easier to shift IT infrastructure operations to service providers, and that is exactly what many users are doing. Of the new data center space being built in the U.S., service providers accounted for about 13% of it last year, but by 2017 they will be responsible for more than 30% of this new space, says IDC. 'We are definitely seeing a trend away from in-house data centers toward external data centers, external provisioning,' said Gartner analyst Jon Hardcastle. Among those planning for a transition is the University of Kentucky's CIO, who wants to reduce his data center footprint by half to two thirds. He expects in three to five years service provider pricing models 'will be very attractive to us and allow us to take most of our computing off of our data center.' IT managers says a big reason for the shift is IT pros don't want to work in data centers at small-to-mid size firms that can't offer them a career path. Hank Seader, managing principal of the Uptime Institute, said that it takes a 'certain set of legacy skills, a certain commitment to the less than glorious career fields to make data centers work, and it's hard to find people to do it.'"

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  1. Wont happen by Charliemopps · · Score: 5, Interesting

    We've been using Saas and cloud services for years now... and it's a mess. Contract negotiations are such a nightmare with these companies, we end up employing more people specializing in "contracts" than we would have if we just kept the service in house. We recently had a major project held up for 4 months because we found out the vendor had a different "understanding" of how our data was supposed to be encrypted and they had to haggle all that nonsense out before we could move forward. Don't even get me started on Oracle...

    Then you have the whole problem of: You have no control over the vendors financial well being. Not only that, but it's in their best interest to hide financial troubles from you. So suddenly they go belly up and your entire service vanishes. We had a vendor maintaining our series of websites for us and they vanished overnight. Their staff walked out, but lucky for us the owner was a reasonable guy and did his best to get all the data he could to our guys. Meanwhile we had no staff that was in the business of doing web development, though some had a pretty good idea of what to do. But once we got the data we could from the owner, it ended up parts of it were compiled and there was no source code. (I'm sure it was somewhere but the owner wasn't a developer so...) It was a freaking mess. We ended up having to run a website for months with no idea what the source code looked like for some of the more complex bits until we were able to rebuild it from scratch ourselves.