Big Data. Big Decisions
InformationWeek
Special Coverage Series

Commentary

Rob Preston

Rob Preston

VP & Editor in Chief, InformationWeek

Down To Business: Customers Fire A Few Shots At Cloud Computing

Security, regulatory compliance, and long-term vendor commitment are among the chief concerns.

It's a variation on the old straw man argument, whereby a vendor defines its customers' main concerns about a product, technology, or technology model and then proceeds to explain them away one by one. When it comes to cloud computing, the next great information technology movement, the leading vendors express customer concerns along these lines: Is it secure enough? Is it reliable enough? Does it make financial sense?

Potential customers are indeed grappling with those issues, but they have so many more questions about cloud computing. Will they get locked into a single vendor, with their data or applications held hostage? Will mostly consumer-oriented vendors such as Google and Amazon.com stay in the enterprise IT business for the long haul? Given the laws and regulations governing certain industries and business practices, what data can live in the Internet cloud and what data must organizations keep closer to the vest? Are there adequate applications and other IT resources to be found in the cloud?

At a session on June 9 at the Enterprise 2.0 Conference in Boston, a panel of executives from Google, Amazon Web Services (AWS), and Salesforce.com pitched their cloud-based services to a panel of CXOs from potential customer organizations and then answered their pointed questions. Here's what's on those CXOs' minds, and how the vendors responded.

Security. Yes, it's still top of mind for most customers. Is data held somewhere in the cloud (customers don't always know its exact location) and piped over the Internet as secure as data protected in enterprise-controlled repositories and networks?

The vendor argument usually comes down to scale and centralized control. Few enterprises can allocate the money and resources that companies such as Amazon, Google, IBM, and Salesforce do to secure their data centers. Salesforce senior VP Ross Piper makes the point that Salesforce's data centers had to pass the intense muster of security vendor customers Cisco and Symantec. Adam Selipsky, VP of product management and developer relations for AWS, which offers cloud-based storage, compute, billing, and other services to enterprises and individuals, notes Amazon's years of experience protecting tens of millions of credit card numbers of retail customers.

Data stored within the cloud, the vendors argue, is inherently safer than data that inevitably ends up on scattered laptops, smartphones, and home PCs. Google relates how one of its execs, Dave Girouard, had his laptop stolen at a San Francisco Giants game. Girouard evidently called the CIO with one concern: Do I replace it with a PC or a Mac?

But the cloud vendors realize that when it comes to security, enterprise customers aren't going to take their word for it. "We need to prove to you that security is strong with all Web apps," Google Enterprise product manager Rishi Chandra said in a keynote address at Enterprise 2.0.

Vendor lock-in and standards. Object Management Group CEO Richard Soley, a leading standards setter in his own right, wonders if Internet specifications are mature enough to ensure data portability across the cloud. "How easily could I pick up my application from one vendor and move it to another?" Soley says.

The cloud vendors emphasize the openness and extensibility of SOAP, XMPP, and other Web services protocols. AWS's Selinsky notes that the vendor's IT infrastructure services require no capital or other up-front investments, and Piper points out that Salesforce's app service customers can start with as few as five users and commit gradually. A cloud vendor retort: How easy is it, by comparison, for customers of SAP, Oracle, or EMC premises-based wares to up and leave?

 1 | 2  | Next Page »


Related Reading


More Insights




Currently we allow the following HTML tags in comments:

Single tags

These tags can be used alone and don't need an ending tag.

<br> Defines a single line break

<hr> Defines a horizontal line

Matching tags

These require an ending tag - e.g. <i>italic text</i>

<a> Defines an anchor

<b> Defines bold text

<big> Defines big text

<blockquote> Defines a long quotation

<caption> Defines a table caption

<cite> Defines a citation

<code> Defines computer code text

<em> Defines emphasized text

<fieldset> Defines a border around elements in a form

<h1> This is heading 1

<h2> This is heading 2

<h3> This is heading 3

<h4> This is heading 4

<h5> This is heading 5

<h6> This is heading 6

<i> Defines italic text

<p> Defines a paragraph

<pre> Defines preformatted text

<q> Defines a short quotation

<samp> Defines sample computer code text

<small> Defines small text

<span> Defines a section in a document

<s> Defines strikethrough text

<strike> Defines strikethrough text

<strong> Defines strong text

<sub> Defines subscripted text

<sup> Defines superscripted text

<u> Defines underlined text

BYTE encourages readers to engage in spirited, healthy debate, including taking us to task. However, BYTE moderates all comments posted to our site, and reserves the right to modify or remove any content that it determines to be derogatory, offensive, inflammatory, vulgar, irrelevant/off-topic, racist or obvious marketing/SPAM. BYTE further reserves the right to disable the profile of any commenter participating in said activities.

Disqus Tips To upload an avatar photo, first complete your Disqus profile. | View the list of supported HTML tags you can use to style comments. | Please read our commenting policy.

Follow InformationWeek

By The Numbers

What Are Your Primary Concerns About Using Big Data Software?

Base: 417 respondents at organizations using or planning to deploy data analytics, BI or statistical analysis software
Data: InformationWeek 2013 Analytics, Business Intelligence and Information Management Survey of 541 business technology professionals, October 2012

What Do You Think?

What's your attitude about SQL analysis on top of Hadoop?
We want fast, standard SQL analysis capabilities on Hadoop ASAP
Hadoop is for unstructured data; SQL is for relational databases
We'll give SQL on Hadoop a try, but relational DBs will remain the mainstay
Given strong SQL support on Hadoop, we'd nix the data warehouse
We're not interested in Hadoop
No opinion



Related Content

From Our Sponsor

Five Big Data Challenges and How to Overcome Them with Visual Analytics

Five Big Data Challenges and How to Overcome Them with Visual Analytics

Business leaders often need a visual snapshot of data to quickly grasp and use it. This paper identifies five challenges in presenting data and how visual analytics can resolve them. Solutions are suggested to overcome the challenges of: speed, data clarity, data quality, displaying meaningful results, and dealing with outliers.

Game-Changing Analytics: How IT Executives Can Use Analytics to Create Innovation and Business Success

Game-Changing Analytics: How IT Executives Can Use Analytics to Create Innovation and Business Success

Today's competitive advantage requires a deeper understanding of your business, your market and your customers. As an IT executive, you can drive that knowledge transformation. In this white paper, learn how to make decisions as a strategic business leader and three steps to begin an analytics initiative within your enterprise.

Data Visualization Techniques: From Basics to Big Data with SAS Visual Analytics

Data Visualization Techniques: From Basics to Big Data with SAS Visual Analytics

High-performance data visualization turns sophisticated analyses into meaningful graphics, leading to faster and smarter decision making. In this white paper, learn how visual analytics can transform big data, with additional features such as real-time functionality, mobile compatibility, robust applications for technical groups and accessibility for nontechnical users.

Big Data: Lessons from the Leaders

Big Data: Lessons from the Leaders

Financial performance, competitive advantage, operational efficiency, strategic decision making - every business goal can extract value from big data, and the time for doubt or inaction has long passed. In this Economist Intelligence Unit report, in-depth interviews with data pioneers reveal the link between the effective use of big data and the bottom line among other results.

Decision-Driven Data Management: A Strategy for Better Decisions with Better Data

Decision-Driven Data Management: A Strategy for Better Decisions with Better Data

Which came first, the data or the decision? This white paper makes the case for having a decision in mind, then tailoring big data's volume, variety and velocity to achieve business results such as overcoming customer dissatisfaction or creating well-informed strategies in real time.

Informationweek Reports

Research: The Big Data Management Challenge

Research: The Big Data Management Challenge

The challenge of big data is real, but most organizations don't differentiate 'big data' from traditional data, and nearly 90% of respondents to our survey use conventional databases as the primary means of handling data. We'll help you understand what constitutes big data (it's not just size) and the numerous management challenges it poses.