2 articles tagged ‘Amazon’
- Cloud scalability: Sleight of hand
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In part one of this article I introduced Phil Wainewright’s five layer PaaS model. Phil asked readers to say which layer they would prefer to use for building a SaaS application. Readers had cast 173 votes by May 15th.
In part two I looked at layer one: do-it-yourself and layer two: managed-hosting. Neither is suitable for SaaS ISVs. In part three I move up to PaaS layer three: cloud computing. Might this be more suitable for ISVs building SaaS solutions?
Cloud computing was the most popular choice of Phil’s readers. 27% said they would prefer it to develop a SaaS application. I wonder how many of them realise that cloud computing, just like banking, relies on a simple confidence trick…
- Cloud providers: Squeezing costs or profits?
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As an SaaS ISV you can’t build a data centre; CPU cycles must come from utility providers. Amazon’s EC2 cloud computing platform is the current market leader. Microsoft is coming soon; Google and IBM will likely follow.
Relying on one CPU service provider, no matter who it is, is a bad idea. There is a risk a future monopoly provider could lock you in. Running your SaaS applications is a major part of your running costs. If your CPU service provider can lock you there’s a good chance your costs will increase.
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