This Week in Cloud: August 19, 2016

By Atos Apprenda Support


Welcome to Apprenda’s This Week in Cloud! This is a curated list of the top stories that were published during the past week pertaining to cloud computing, containers, the IoT, acquisitions, product releases, industry studies, and more.

If you’ve got an eye for technology but don’t have the time to keep track of everything cloud, let us give you a hand!

IDC: Global Public Cloud Services Will Reach $195 Billion By 2020

By Dawn Kawamoto, August 12th edition of InformationWeek
“Between now and 2020, worldwide spending on public cloud services is expected to soar to more than $195 billion, essentially doubling the revenue the industry is expected to generate by the end of this year, according to a new report from IDC. The report, which the research firm released Aug. 10, is an update to IDC’s “Worldwide Semiannual Public Cloud Services Spending Guide,” originally published in January. The updated numbers show that the global compound annual growth rate of public cloud services spending will climb 20.4% from 2015 to 2020.”

Cloud Lifts Rodan + Fields Towards $1B Revenue

By Mitch Wagner, August 15th edition of Light Reading
“A cloud-centric management strategy has helped skincare company Rodan + Fields stay lean and grow its global revenues to nearly $1 billion in just a decade with only 500 employees, according to CTO Ralph Loura. Rodan + Fields was founded by two dermatologists — doctors Katie Rodan and Kathy Fields — in 2002, who sold the company to Estee Lauder a year later. The product was initially sold in department stores, but the company realized that all its marketing was coming from word-of-mouth. So Rodan + Fields switched to a “community commerce” or “social selling” model — in other words, multi-level marketing as deployed by Avon and Mary Kay, but with a significant difference, mainly that the company handles the actual sales and fulfillment.”

Obama Administration to Privatize Internet Governance on Oct. 1

By John D. McKinnon, August 16th edition The WSJ
“The Obama administration said Tuesday it will formally shift authority for much of the internet’s governance to a nonprofit multi-stakeholder entity on Oct. 1, a move likely to spark a backlash from parts of Congress. The administration—as well as many in the high-tech community—regard the long-planned move as necessary to maintain international support for the internet and prevent a fracturing of its governance. They say transferring authority for the internet’s domain-name system to the Internet Corporation for Assigned Names and Numbers will have no practical effect on the internet’s functioning or its users.”

Cloud Banking Apps Offer Both Risks and Rewards

By James Sanders, August 16th edition of TechRepublic
“For many people, the use of cloud-based banking aggregators such as, Personal Capital, and related services like FileThis, are vital to keeping track of not just spending habits, but where their money is. With the ease of opening accounts at financial institutions online, it is possible to open accounts at institutions that do not necessarily have a physical presence nearby. Some banks, like Ally, specialize in this. With the relative proliferation of credit cards, mortgages, student loans, investments, and other financial products—each often serviced by different companies—a significant number of people have a very real need to manage accounts across financial institutions.”

Cloud Computing as a Utility is Going Mainstream

By Bob O’Donnell, August 17th edition of Re/Code
“From a technology perspective, the idea of delivering computing services from the cloud has gone mainstream. Every day, it seems, we end up hearing about or interacting with a new service or app that gets its capabilities from the ephemeral and, frankly, sometimes baffling idea of computers in the sky. Well, okay, not exactly — advanced computing topics aren’t always known for their precision of language and clarity of meaning — but we all do use lots of online resources that are powered by servers and other computing devices that we can’t see or touch.”

Billions Go To Cloud Services, But Often Without A Game Plan

By Joe McKendrick, August 17th edition of Forbes
“Are we working in a cloud computing bubble? That is, have business leaders (and perhaps some IT leaders) been lulled into assuming that moving or deploying to cloud is as easy as 1-2-3, without any heavy lifting required? So, have at it, spend the money, get cloud for cloud’s sake? Listening to the cloud vendor messages, one can be forgiven for thinking that cloud deployments are a snap, and will quickly put a business on the path to digital nirvana. However, the history of enterprise software tells a different story. There have been many cases in recent decades of companies slapping expensive technology solutions on top of calcified processes and even more calcified business models, and expecting overnight success — but getting none.”

Report: Mid-Market Companies Grow More Comfortable With Cloud Security Risks

By Stephanie Condon, August 18th edition of ZDNet
“Mid-market companies are becoming more comfortable with the security risks that come with cloud adoption, a new Deloitte report finds. After surveying 500 companies with annual revenues ranging from $100 million to more than $1 billion, Deloitte found that the biggest factor influencing the pace of adoption of cloud-based services is integration of existing applications and infrastructure — more than 25 percent of companies said so. Slightly fewer respondents (24 percent) said that security risks were the biggest factor. Last year, as many as 35 percent of respondents said it was the biggest factor.”

The Trouble With the Hybrid Cloud

By Eric Knorr, August 15th edition of InfoWorld
“Ask industry analysts about enterprise cloud adoption, and they’ll tell you that it’s all about hybrid. Sure, startups might build entirely on the public cloud, but no large enterprise is going to move everything wholesale to AWS, Azure, or Google Cloud. Instead, they’ll build some sort of private cloud, create new stuff on (and/or migrate some old stuff to) the public cloud, and closely integrate the two — the definition of the hybrid cloud. The question is, if you need a private cloud to have a hybrid cloud, where are all the private clouds?

Why Private Clouds Will Suffer a Long, Slow Death

By Bernard Golden, August 15th edition of CIO
“A couple of weeks ago Amazon announced its quarterly numbers. As has been the case over the past year or so, the numbers looked good. Really good. Derided for years as a profitless company propped up by investor largesse, Amazon grew its revenues by 31 percent, from $23.9 billion to $30.4 billion, while profits leapt 832 percent, from $92 million to $857 million. Most of the profit came from AWS: on $2.88 billion in revenues, AWS reported $718 million in operating income.”

IaaS in 2016: Who Can Challenge Amazon?

By Charles McLellan, July August 15th edition of ZDNet
“Infrastructure as a service (IaaS) is a maturing segment of the cloud computing market. In its 2015 Cloud Computing Hype Cycle, Gartner placed IaaS on the ‘Slope of Enlightenment’, which is the last stage before mainstream adoption (a.k.a the Plateau of Productivity). Also approaching the SoE is ‘IaaS+’, which provides additional services on top of basic compute, storage, and networking (such as database services and content delivery networks) but falls short of those offered by full-blown PaaS (Platform as a Service) providers. Meanwhile, ‘Private IaaS’ (single-tenant cloud infrastructure, hosted by a provider or on the client’s premises) currently languishes in the Trough of Disillusionment.”

Creating a ‘NoOps’ CI Pipeline with the Apprenda PaaS on OpenStack

By Sasha Jeltuhin, August 17th edition of the Apprenda Blog
“…In summary, the Apprenda PaaS integrated with Jenkins and OpenStack provides an efficient foundation for a seamless and secure CI pipeline. The solution significantly reduces the overhead and cost of maintaining CI through the elasticity of the infrastructure and efficient container management. These benefits are achieved without compromising the mandatory secure separation between the software development environments with respect to multi-tenancy.”

DoD ‘In The Right Spot’ With Cloud, CIO Says

By Frank Konkel, August 12th edition of NextGov
“For years, critics–particularly those in industry–have lambasted the Defense Department for its cautious approach toward cloud computing adoption, even as the intelligence community and civilian agencies have gone all in. DOD Chief Information Officer Terry Halvorsen doesn’t agree. Nor does he care what the haters have to say. “A lot of people say we’re behind in cloud, I don’t actually care,” Halvorsen said Wednesday at an event hosted by FCW. “I don’t think I am. My job is to support one primary mission. Given that, and given the level of security of the data, I think I’m about in the right spot today.”

OpenStack Silicon Valley Pancake Podcast: Kubernetes, OpenStack and PaaS 2.0

By Kiran CK Oliver, August 17th edition of The New Stack
“In many ways, the open source world is something of a galaxy. It is interconnected, though certain pieces may not go together, or ever align at all. With open source projects quickly becoming a cornerstone not only in today’s startups but across the enterprise, all business must adapt to the ever-changing nature of open source software. “If you are just working in one galaxy, or with one set of project coordinates, it all works decently together. The biggest issue we see with our customers is a lot of complaints In trying to build a solution out of a different product that came from different galaxies,” said Ken Owens, Cisco’s chief technology officer of Cloud Systems.”

How to Scale Microservice APIs With Kubernetes and Google Cloud Engine

By Martin W. Brennan, August 13th edition of ProgrammableWeb
“Microservices are an architectural approach for building distributed software systems, and the concept extends to APIs as well. Microservices-based APIs allow teams to focus on building small and independent components for executing one particular API call, rather than perform an individual service as in a typical microservices implementation. Since each component is independent, each endpoint can be written in a different language and you can offer a range of SLAs. Each microservice can even be scaled independently, and this tutorial by Sandeep Dinesh on the Google Cloud Platform Blog shows followers how to create a scalable API with microservices using Google Cloud Engine and container scheduling and management service Kubernetes.”

Google Cloud Databases Reach General Availability

By Thomas Claburn, August 16th edition of InformationWeek
“Google’s managed databases now come with a guarantee in the form of a Service Level Agreement, or SLA. On Tuesday, Cloud SQL, Cloud Bigtable, and Cloud Datastore — databases offered through the Google Cloud Platform (GCP) — are set to shed their beta designation, a scarlet letter among enterprises, and enter general availability. In so doing, they will qualify for SLAs like other production-ready GCP services.”

Navigating the Open Source Galaxy

By Kiran CK Oliver, August 16th edition of The New Stack
“In many ways, the open source world is something of a galaxy. It is interconnected, though certain pieces may not go together, or ever align at all. With open source projects quickly becoming a cornerstone not only in today’s startups but across the enterprise, all business must adapt to the ever-changing nature of open source software. “If you are just working in one galaxy, or with one set of project coordinates, it all works decently together. The biggest issue we see with our customers is a lot of complaints In trying to build a solution out of a different product that came from different galaxies,” said Ken Owens, Cisco’s chief technology officer of Cloud Systems.”

Microsoft is Taking on Amazon and Winning Developers with a Kinder, Gentler Cloud

By Matt Asay, August 15th edition of TechRepublic
“…Rewind the industry a few years and this headline would seem soft. Back in the bad old days of Microsoft’s Windows and Office hegemonies, Microsoft ordered everyone around: Partners, competitors, even customers. That is, until cloud and mobile humbled the Redmond giant. The newly resurgent Microsoft under CEO Satya Nadella, however, speaks softly and carries a big stick…made out of peppermint and sugar. It’s a collaborative approach that is winning the company accolades—and customers—in the cloud as developers flock to a kinder, gentler (and much more open) Microsoft…”

Workday Inks Seven-Year Deal to Use IBM Cloud Services

By Rachael King, August 15th edition of The WSJ
“Business software provider Workday Inc. on Monday expects to announce a seven-year deal to use International Business Machine Corp.’s cloud-computing services for some internal operations. The deal, in which Big Blue is winning a marquee customer with solid cloud credentials, comes soon after two recent reports from analysts raised questions about IBM’s ability to compete with Inc., Microsoft Corp., and Alphabet Inc. in the contentious market for computing horsepower delivered over the internet.”

How to Develop a Cloud-First Architecture and Strategy

By Conner Forrest, August 15th edition of TechRepublic
“At the 2016 Gartner Catalyst Conference on Monday, Gartner research director Mindy Cancila hosted a session titled Developing Cloud-First Strategies and Architectures. Cancila examined the shift in cloud becoming a necessary piece of enterprise infrastructure, and gave best practices on how to build a “cloud-first” strategy in business. Opening the presentation, Cancila offered a few points that illustrate the strength of the cloud market. For starters, 15-20% of all VMs run in the public cloud today. Additionally, by 2018, half of the applications running in public cloud will be mission-critical. These are strong figures, but they don’t exactly explain how much money is on the table. Take Amazon Web Services (AWS) and Microsoft Azure, the two leaders in the space. According to Cancila, their combined revenue is about $14 billion.”

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