Businesses Moving From Amazon's Cloud To Build Their Own
itwbennett writes "There are rumblings around this week's OpenStack conference that companies are moving away from AWS, ready to ditch their training wheels and build their own private clouds. Inbound marketing services company HubSpot is the latest to announce that it's shifting workloads off AWS, citing problems with 'zombie servers,' unused servers that the company was paying for. Others that are leaving point to 'business issues,' like tightening the reins on developers who turned to the cloud without permission."
It doesn't surprise me and I don't think it will matter much.
Amazon is not particularly cheap. If you host your own, even with power, cooling and hardware, the payback time is about 4 to 6 months.
If you have a lot of load then it is going to be cheaper to host it yourself, so it's worth doing for big companies.
With Amazon of course you can start as a one man band and still have potential to grow without it getting painful from an administrative point of view.
SJW n. One who posts facts.
...will be to give every user their own personal cloud housed in a box under their desk.
At which point the cycle will begin again.
So what is around for a SoHo type outfit that wants to do the Self Hosted Cloud thing but can't waste money? EyeOs would work if it
1 was a still being developed project
2 hadn't gone Closed Source
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It's one of those awesome new fangled /. trolling bots
Businesses don't want to miss the next big thing but like most decisions, time will tell. "I've looked at clouds from both sides now, From up and down, and still somehow It's cloud illusions i recall. I really don't know clouds at all"
I work at one such company. We recently setup openstack and plan to eventually use it for our production environment. But ec2 will still stay in the picture. Both for services were the end user needs more direct access to the machine and for failover purposes. I just don't know that openstack means the end of ec2.
We need to get away from the term "cloud" -- it's a misnomer. Nothing has changed since the advent of client/server architecture. More data gets crunched on the server side, more data get stored on the server side, etc. I severely dislike marketing terms used solely for money making. THis is the same crap in the hunting industry, whereby everything is now labeled as "tactical".
Companies (non-IT) and even some IT companies don't really understand how things work. They fail to realize that storage has to be redundant first, feature high availability (immediate fail over), have reasonable amounts of security processes in place to cover the threat of loss, and off-site backups that are not available through the same channels as the primary source of data. Companies do not do this well. Even "cloud" companies. I so miss the days of simple client/server. Yes, yes, I know... it wasn't really better.
Complexity is the enemy of security. Now data is funneled through clients, mobile clients, apps that really should know nothing of your data, people that should know nothing of your data, badly implemented VPNs, VPSs, bad firewall rulesets, routers with no ACLS, no blacklists, improper use of PKI and storage of private keys, etc.
One solution, if you can afford the cost, is to colocate servers that YOU own and control, in two or more DIFFERENT colocation facilities and set those servers up for HA. Hire talented admins who understand security is a process, not a product, who understand routing, BGP/ISIS/OSPF/CARP/SSH, etc. Guys who can write good Perl/Python scripts, guys who truly care about what they do. Pay them well. Hire Americans.
I can see colocation facilities becoming popular again. I know I'm leaning this direction.
Thanks to initiatives such as OpenStack and Hadoop and MapReduce (etc) and the countless contributors who commit to the many projects that allow companies (and individuals with commodity hardware in their garage!) to do these amazing things for cheap, this is all possible and should be the trend! The ROI is well within acceptable margins and well.. it's just fun for us computer geeks! Computing really is moving back to it's roots and we're getting to play with amazing software projects.
From this article: "like tightening the reins on developers who turned to the cloud without permission"
Let me state this in other words: "Insecure IT guys are afraid for their own jobs if they can't lord it over developers". Seriously, developers working in an API driven cloud just don't need a classic IT organization around to manage servers for them. Cloud is a disruptive threat to classic IT orgs.
So the idea of "cloud computing" is that out there somewhere, a company has a helluva lot of computing resources (processing, disk, network). There's an abstraction layer between the physical hardware and the user, that lets you spin up virtual machines that consume fractions of this capacity. Because the cloud provider operates at such a large scale, it can guarantee that when you want to spin up a new virtual machine, there's the physical capacity there to back it.
But that depends on scale. Ok, so an individual company buys a bunch of hardware, runs some abstraction stuff on top, and starts spinning up virtual machines. How is this different from the what they were doing pre-cloud - that is, running their own cluster of physical machines? Oh sure, you can probably make your physical machines a little bit more flexible by running arbitrary virtual machines on them, but the main benefit of the cloud is that you can utilise the provider's scale to quickly ramp up if needed. The only way you could do that in a private cloud is if you massively over-invest in the physical machines your cloud's running on. What company's going to do that? Why run a "private cloud" over a cluster?
Also, the "zombie machine" argument is pretty hilarious. I'm sure we've all heard of the infamous drywalled server - and that's just an extreme example of a common issue. How many places have you worked were there's random machines running that people are too afraid to turn off because nobody knows what they do anymore? Zombie machines hardly seem to be a cloud-specific issue. At least cloud providers give you an itemized list of every server you're paying for, and you can decomission them with the click of a mouse.
Just because you're paranoid doesn't mean there isn't an invisible demon about to eat your face
You just did a story about businesses creating server rooms.
Ooooh... the cloud!
Well, OK, not full circle, but you get the idea.
I think businesses are starting to realize that the cloud just means VMs, network access and storage controlled by someone else. With OpenStack maturing, regular businesses are finding it easier to host things internally, AND get all the cloudy goodness they had with AWS, Azure, Rackspace, etc.
EC2 is great when you need to rent machines for demand spikes, or if you have a massive web-based application that needs hundreds of web servers across a geography and you can't afford to buy local data center space. It's also good for startups that don't want to or can't invest in infrastructure. There will always be those niches. But it doesn't make sense for internal application hosting once you get to a certain point of stability.
Now, all of us in-house systems people have to hope the outsourcing wave is coming back around again, and if we haven't already, learn about the underlying technologies that were driving this hype.
How hard is it to understand that the cost/benefit depends on your size?
Car analogy: If you're an individual who needs a car a couple of times a year, you rent one on those occasions. If you drive almost every day, you buy a car and you get it insured. If you're a small company, you give your travelling staff a car allowance. If you're a big company, you buy a company car scheme and insure all the cars under one policy. If you're a gigantic company, you self-insure all your staff's company cars.
Draw a graph of the cost vs scale of a third-party cloud, versus your own datacentre. At some point the graphs will cross. That's where you switch.
It’s impossible to know whether a significant number of businesses are deserting AWS and public clouds in favor of private. My guess is there’s some movement as businesses get more experience in the cloud but certainly not enough to dent the potential of the public cloud. Still, the murmurs are an indication that AWS competitors are starting to get more aggressive.
That's exactly the kind of hard data nerds use to arrive at conclusions...
There are tools to deal with them, and were even recently featured on Slashdot: http://news.slashdot.org/story/13/01/07/1551231/netflix-open-sources-janitor-monkey-aws-cleanup-tool
So, in other words, companies are leaving cloud comuputing to set up co-los? This is an option that's been available for, like, at least 15 years.
You ever get the feeling the term "cloud computing" was coined because people were desperate for something new while the economy was getting its legs back?
....for OpenStack. C'mon, can you be a little less obvious next time?
Hey, that's great. Managers who don't really understand IT operations, or what a cloud is, are having "save 50%!" dangled in front of them and are jumping at it.
I have no doubt that the "fixed costs" for servers for "roll your own" cloud are way cheaper than AWS. I have no doubt that, if you could find them and motivate them, a staff that could reasonably run this would still mean significantly lower costs.
But this is not a trivial exercise. You need good engineers. A plan. Excess capacity. Geographic diversity. Understanding of what will still cost money and what won't. Changing models of how provisioning works to take advantage of flexibility.
And most organizations, who primarily see IT as a cost center, aren't good at this. If some savings are good, more savings are better! We'll host a cloud that only has capacity for our existing apps in one of our existing data centers! You want a new virtual server for 3 hours of testing? Hey, great - fill out the same "sever request" form with three managers' signatures and a cost/benefit justification you do today for hardware we're buying.
And then they'll blame IT for being incompetent the day there's a power failure to the datacenter and everything goes down, because "the could should mean we're resilient!" according to the marketing literature.
I trust management to plan a "cost saving" move well as far as I can throw them.
on the other side..
no surprise that companies are finally figuring out the true value of owning (and controlling) their own hardware instead of relying on 3rd parties with which you have not only no control but also no guarantees other than a anti-customer/pro-provider service 'agreement'.
... last decade's processes. It's just a different environment to make ever more use of computers.
now we need to go OSS in diesel cars
I've reined in cowboys like you for years, from one fortune 500 to another. Arrogant jackasses that can't be bothered with change management, best practices, version control, documentation, pesky things like policies, regulations and laws. Self righteous developers that can't see past their own nose too see how thier actions or inactions affect those around them.
Every single time they think they are above these things and that they know better than the industry around them. They never realize why something that works in their special environment works perfectly fine where they have the rights of a God but has all kinds of mysterious errors in production where there they are brought back down to earth. They then chafe when their development environment is set up identical to production, yet it is amazing how quickly previous mysterious bugs that plagued production and caused incredible operational costs suddenly get fixed. They of course never have to clean up multi-million dollar messes, talk to regulatory agencies, sit down with lawyers to plan how to mitigate their mess or have a face to face with an angry Attorney General.
I've only won this argument and helped companies save millions by reining in the cowboys like yourself a couple dozen times. Probably something to do.with cleaning up large multi-million dollar messes more than once.
get off the cloud, build our own cloud. also known as bringing the server room back into your own hands.
also known as BOFH never dies.
if this is supposed to be a new economy, how come they still want my old fashioned money?
One thing that has kept me away from Amazon's cloud is the unknowns with its pricing. I have visions of a DDOS either clearing out my bank account or using up my monthly budget in the first 2 days of the month. Plus if I mis-click on something I might get an awesome setup that cleans me out. I am not a large corporation so one good bill and I am out of business. But even larger companies don't like surprises. So regardless of the potential savings I am willing to spend more if the price is fixed in stone instead of chancing being wiped out. I like sleeping through the night.
Plus as a human I really like being able to reach out and touch my machines, even if I have to fly 5 hours to do it. So the flexibility of the cloud sounds really cool where the pricing is not so flexible. It would be nice to spool up an instance of a machine that isn't going to do much most of the time that doesn't actually use up a whole machine. But then when one machine starts to get pounded to give it some more juice. Plus upgrading your hardware would be much more of a dream. You move your most demanding servers to your hottest hardware and slide the idle servers over to the older crap. Plus restores and redundancy are a dream.
Then you still have the option to fully dedicate a machine in "realspace" to a demanding process. While VM does not have much overhead it does have some. So taking a server(s) that is being pushed to the maximum and sliding it onto bare metal will then allow your hardware to be used to maximum efficiency.
Then by having no real cost overhead to having more near idle machines spool up your developers can play interesting games. Maybe they want to see what your software will do with 20 MongoDB servers running instead of the current 3; or 200.
This all said, I am a fan of Linode; where I can predict my pricing very well.
OF COURSE people at an OPENSTACK conference will be talking about alternatives to AWS. That's the point of the conference. What did you expect?
I'd love to see more people taking on scale themselves, but unless the perception that Amazon is a good deal changes, this won't change much in the way of their dominance. Unless you've actually been taken to the cleaners by them on a project, and can convince your boss that owning/renting gear is a better plan, they will still be a first choice vendor. Decision makers read magazine articles (when they aren't playing games on their phone) that tell them Amazon saves them money. Everyone sits around in a meeting and nods their head.
It's usually "cleaner" if you either don't out-source sensitive data or if you out-source it in a way that is either 100% encrypted and you hold the only keys or if it's stored in an "identifiable" physical place ("it's on THAT set of hard drives, and it's being processed on THAT set of CPUs" etc.) that isn't shared with other users.
Knowledge is how to play a game, intelligence is how to win, wisdom is knowing what game to play.
Stop feeding the trolls, damn it! Moderators, please mod anyone as troll who responds to trolls as "troll"; the whole point of downmodding is to make a comment less visible, and when someone responds to a -1 troll it's like they've partly undone your moderation by pointing to the stinker.
Look, kid, your "wat" adds nothing to the conversation, is offtopic, and brings attention to a buried troll. May your karma drop to APK's level, asshole. Just fucking stop it!!
It's still data on a server, you either rent the storage or you own it.
I for one am afraid to move away from Amazon. It took 6 months to understand it. Someone needs a simple exit button for us scaredy-cats.
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