Everybody's head was in the cloud, or so it seemed in 2010. Both well established and startup vendors developed solutions and strategies designed to extend their reach or provide entry into this booming market. After all, IDC estimated the cloud market will be worth $55 billion by 2014; Gartner predicted the cloud world could be valued at $148 billion at that time, in part because Gartner included Google AdWords advertising revenue in its figures, said Gregor Petri, adviser, lean IT and cloud co
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Cloud computing doesn't always work out as expected, and Google's App Engine suffered a setback when its customers pointed out in May that its storage service, Datastore, was operating much more slowly than they expected and they had even experienced a 45-minute outage. Google acknowledged the problem in a public statement, suspended fees for use of Datastore, and blamed it on App Engine's rapid growth. But startups, talked into relying on Google as an expert builder of cloud services instead of building their own, were taken aback. "We are very, very concerned with these instances of failure. ...If we can't depend 99.9% on Google App Engine, that is fine. We will come back when you are ready. But as a startup building a business application, we can't risk these sorts of downtimes," said Bill Edwards, a developer using App Engine, in a Google Groups post on June 2.
Google in the Enterprise SurveyThere's no doubt Google has made headway into businesses: Just 28 percent discourage or ban use of its productivity products, and 69 percent cite Google Apps' good or excellent mobility. But progress could still stall: 59 percent of nonusers distrust the security of Google's cloud. Its data privacy is an open question, and 37 percent worry about integration.
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