The big question I keep asking myself is, “Is cloud a utility yet?” In other words, can I choose an Infrastructure as a Service (IaaS) cloud based on utility pricing and expect the same thing I expect from a utility—as in, “it just works”—or is there more to it than that? In order to decide if the cloud is a utility yet, we need first to define the traits of a utility. There is a difference between electricity and gas, as well as between water and trash services. If cloud is a utility today, which type is it?
In our previous article “Can the Vendors Eat Their Own Dog Food on Cloud Billing?” we offered a provoking insight on what it is that Cloud Computing is and how it should be billed to you. It was suggested that Cloud Computing was fundamentally about “making IT a utility”.
However is “Cloud computing” a utility computing? And if it isn’t, what is it?
I keep hearing we are now in a Cloud based world, I keep hearing that to “Do Cloud” properly you need to bill like a utility company, small standing charge and then a charge per unit used. I like this model, pay for what you use. it is great for the clients as they are in control of their costs they know that if they use X amount of time they get charged XX amount of Dollars. So what is the problem? The very business model that the cloud providers are peddling is being undermined by the vendors telling the providers that it is the way you should charge but not charging that way themselves. There are two cost models:
- Charge for all hardware and software upfront
- Small standing charge for all hardware and software then a charge for what you use Continue reading Can the Vendors Eat Their Own Dog Food on Cloud Billing?