|By Paul Miller||
|December 14, 2012 07:00 AM EST||
Hewlett Packard used its Discover event in Frankfurt last week to reassert the company’s cloud credentials. Public, private, hybrid; HP is painting pictures that encompass them all, whilst seeking to protect hardware revenues and reassure conservative executives at some of its largest and most profitable customers. But HP has been here before, making bold claims and telling people what they wanted to hear about an HP cloud upon which enterprises could depend. This time, will the company deliver?
Earlier this year, satirical news site The Onion took a cruel but funny swipe at HP’s cloud pretensions. HP, the sketch suggested, had the answers, the technology, and a lot of cloud. The company has done — and continues to do — a lot right in this space, but it really did bring this derision upon itself. Mixed messaging, repeated announcements of amazing new cloud services that never quite saw the light of day, an endless stream of apparent strategy U-turns that must surely have left long-time HP executives as dizzy as those trying to understand their intentions? None of this helped HP. But now, Windows Azure is apparently behind us. PalmOS (or whatever it’s called these days) is no longer a glue to bind hardware, peripherals, software and data together. Amazon is an inevitable piece of the whole. And at HP, the new story is one (more or less) of an OpenStack public cloud called HP Cloud (or HP Public Cloud), a VMware private cloud called Cloud System, and a professional services sell called Managed Cloud for Enterprise (which is messily spread across large swathes of HP’s dreadful website, with no obvious landing page to link here).
A public cloud
The biggest cloud news out of Discover was probably the General Availability (at last) of HP’s OpenStack-powered public cloud offering. In keynotes and workshops, it was somewhat surprising to see the extent to which OpenStack and other enabling technologies were not mentioned. This was HP’s cloud, and the implication was clearly that HP know-how was what made it tick. HP hardware, HP software, HP cleverness. None of the ‘Intel Inside’ co-branding, Microsoft Diamond Sponsor loviness or VMware strategic partner rhetoric for this open source project, it seems. But, more relevantly, also none of the recognition that other named open source projects like the various Linux distributions do receive from HP.
Given the rather raw state of some OpenStack components, HP engineers have been busy stitching pieces together, but I would have expected HP to be telling more of a story about portability, about interoperability, and about the breadth and depth of the OpenStack community that customers would be joining. That story wasn’t told, and you had to know where to look to find much mention of the elusive OpenStack at all.
One place, it must be said, where the company was far more forthcoming was in the private Coffee Talks arranged for us by the team at Ivy. In frank cloud discussions such as those with Christian Verstraete, Chris Purcell, Florian Otel and others, far more of the detail — and rationale — was laid on the table.
Pricing is competitive, and it will be interesting to see how HP moves forward here. HP’s public cloud makes plenty of sense for enterprise customers already using HP kit and services elsewhere. But will a startup or a non-customer choose the HP Cloud in preference to Amazon or Google or Rackspace?
They might, if the messaging is right. German cloud analyst René Büst asserted in Frankfurt that “the next Instagram would never choose to start and grow on the HP Cloud”, as Amazon has all the mind-share in the startup community. Does HP care enough about the world beyond existing enterprise accounts to accept René’s challenge and entice that next cool startup? Is it, frankly, worth their while when their entire selling and support machine is geared toward people in suits who value fancy lunches and a Christmas card far more than credit card sign-up and cost competitiveness?
A private cloud
HP’s private cloud offering has been around a little longer, but the company reiterated — and reinforced — messages originally delivered at the Las Vegas Discover a few months back; Cloud System supports ‘bursting’ of compute jobs from an enterprise’s own private cloud to external providers such as HP’s public cloud and Amazon. This is a capability that will become increasingly important as even the most conservative enterprise customers begin their gradual transition out of the data centre and into the cloud.
Whatever Amazon and Salesforce executives might say in public about “the false cloud” or the number of Fortune 100 companies happily doing something on their public cloud infrastructure, they and we know that this is going to be a long game. HP’s flagship customers will move. Eventually, they’ll move almost everything. But it will take a decade or more, and there’s plenty of time to sell a few more private clouds and an awful lot of servers and storage arrays before that day comes.
A recognition of Amazon
HP’s messaging no longer tries to persuade customers that it will always meet every one of their cloud needs. HP has products and solutions to offer, but it is recognising that it needs to fit into a complex mixed environment. The company also recognises that Amazon is an inevitable part of that environment, and that HP solutions need to augment and add value with respect to Amazon. Helping customers to use Amazon when it’s appropriate is a far more effective strategy, long term, than either denying Amazon’s existence or insisting that its solutions are not fit for enterprise consumption. Neither are true, and HP’s customers are smart enough to realise that.
The SLA is king, maybe
One area in which HP is trying to differentiate itself from Amazon is in terms of Service Level Agreements, and this should play well with an enterprise audience. Rather than necessarily worrying about what hardware cloud infrastructure runs on, or whether it’s located on-premise, in a known and audited off-premise location, or out there in the fuzziness of the unbounded public cloud, HP is telling a story that focuses far more upon level of service, level of resilience, etc. This makes a lot of sense. I often don’t actually care whether data runs on my own machines or not. What I care about is whether or not my compliance and business requirements are being met. So instead of choosing public or private, off-premise or on, it makes a lot more sense to think about the business and compliance requirements that a particular solution helps me meet. One solution (on or off-premise) may be more secure, more robust, more disaster resilient, and it will come with an SLA (and a price tag) to reflect that. Another (again, on or off-premise) may be more suited to general crunching of less sensitive data. It’ll be more prone to failure, and cheaper. We tend to assume that our own data centre is the logical home of the former, and that the public cloud is a pretty cost-effective way to handle the latter. That’s not necessarily true, and that’s why it’s refreshing to at least begin to think in more nuanced terms. Unfortunately, although HP execs planted these ideas during their keynotes, the follow-up material quickly fell back into public v private, dodgy commodity kit v HP ‘enterprise grade’ hardware, etc. And that’s a shame.
Gartner’s Lydia Leong takes a deeper look at HP’s latest SLAs, and suggests that they may not be living up to their own rhetoric either. There’s plenty of work still to do in this area, and an effective means of differentiating service and value propositions is long overdue.
Dell goes the other way
HP uses OpenStack for the company’s public cloud, and VMware sits beneath their private offerings. Speaking at Dell World this week, Michael Dell announced that his company is doing the exact opposite; Dell’s existing VMware-powered public cloud is to be joined by a private cloud offering powered by OpenStack.
The public and private offerings of HP and Dell certainly aren’t directly comparable, but it is interesting that the two companies have reached such superficially odd decisions. It even raises the prospect that a customer of HP’s private cloud may find it easier to move to Dell’s public cloud than to HP’s, and that a customer of Dell’s private cloud may find it easier to move workloads to HP’s public cloud than to stick with Dell. Odd at best, this should be raising eyebrows in both Round Rock and Palo Alto.
Will the Converged Cloud actually, you know, Converge?
HP has a lot to say about convergence, both in terms of their hardware business but also in the cloud. And yet, it can be surprisingly difficult to see how the public and private pieces of the HP cloud portfolio really fit together. More often than I’d have expected, HP staffers discussing either the public or private cloud offerings spoke as if theirs was the only cloud in HP-land. A slip of the tongue once, or perhaps twice, but this was repeated again and again and again in Frankfurt. The joined-up story, and the reality of customers starting in either HP Cloud or Cloud System before realising a need to embrace parts of the other doesn’t seem to be getting through on the ground.
HP is a big ship, with some smart people and some great technology. But if it doesn’t tell a single — compelling — story and back it up with an attractive business model, it’s toast.
I can’t remember who it was, but someone in Frankfurt remarked in passing that HP would come through its current troubles “because it had technical chops.” Sadly for HP, that is simply not true. You can have the best technology in the world. But without a defined (or creatable) market requirement, a viable business proposition, and some credible messaging, all of that amazing technology is just some very expensive scrap metal. And a fatal red stain, spreading across the balance sheet.
HP has the technical pieces. It has the people pieces. It has some of the business model pieces. It has parts of the compelling story. It’s time the company joined those together credibly, filled in the gaps, and stopped shooting itself in the foot.
At least starve The Onion of material, so its writers have to try a little harder next time.
Disclosure: acting on behalf of Hewlett Packard, Ivy Worldwide invited me to Discover and covered travel and expenses associated with the trip. There was no requirement that I write about HP, and no requirement that any coverage be favourable.
- At Discover, HP takes the beta sticker off its public cloud (venturebeat.com)
- HP Switches On Public Cloud, Thanks To OpenStack (readwrite.com)
- Hewlett-Packard Cloud Strategy Starts Coming Together (seekingalpha.com)
- When an HP cloud is not an HP cloud (and whether it matters) [GigaOM] (gigaom.com)
- Rackspace CTO: Services & OpenStack – Not Price – Key To Winning Cloud Computing (readwrite.com)
- What HP’s cloud chief wants you to know about HP’s cloud [GigaOM] (gigaom.com)
Fifty billion connected devices and still no winning protocols standards. HTTP, WebSockets, MQTT, and CoAP seem to be leading in the IoT protocol race at the moment but many more protocols are getting introduced on a regular basis. Each protocol has its pros and cons depending on the nature of the communications. Does there really need to be only one protocol to rule them all? Of course not. In his session at @ThingsExpo, Chris Matthieu, co-founder and CTO of Octoblu, walk you through how Oct...
Sep. 27, 2016 02:45 PM EDT Reads: 2,193
Digital innovation is the next big wave of business transformation based on digital technologies of which IoT and Big Data are key components, For example: Business boundary innovation is a challenge to excavate third-party business value using IoT and BigData, like Nest Business structure innovation may propose re-building business structure from scratch, as Uber does in the taxicab industry The social model innovation is also a big challenge to the new social architecture with the design fr...
Sep. 27, 2016 02:45 PM EDT Reads: 1,242
Complete Internet of Things (IoT) embedded device security is not just about the device but involves the entire product’s identity, data and control integrity, and services traversing the cloud. A device can no longer be looked at as an island; it is a part of a system. In fact, given the cross-domain interactions enabled by IoT it could be a part of many systems. Also, depending on where the device is deployed, for example, in the office building versus a factory floor or oil field, security ha...
Sep. 27, 2016 02:30 PM EDT Reads: 283
Is your aging software platform suffering from technical debt while the market changes and demands new solutions at a faster clip? It’s a bold move, but you might consider walking away from your core platform and starting fresh. ReadyTalk did exactly that. In his General Session at 19th Cloud Expo, Michael Chambliss, Head of Engineering at ReadyTalk, will discuss why and how ReadyTalk diverted from healthy revenue and over a decade of audio conferencing product development to start an innovati...
Sep. 27, 2016 02:15 PM EDT Reads: 1,972
Data is an unusual currency; it is not restricted by the same transactional limitations as money or people. In fact, the more that you leverage your data across multiple business use cases, the more valuable it becomes to the organization. And the same can be said about the organization’s analytics. In his session at 19th Cloud Expo, Bill Schmarzo, CTO for the Big Data Practice at EMC, will introduce a methodology for capturing, enriching and sharing data (and analytics) across the organizati...
Sep. 27, 2016 01:30 PM EDT Reads: 1,711
SYS-CON Events announced today that Commvault, a global leader in enterprise data protection and information management, has been named “Bronze Sponsor” of SYS-CON's 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Commvault is a leading provider of data protection and information management solutions, helping companies worldwide activate their data to drive more value and business insight and to transform moder...
Sep. 27, 2016 01:15 PM EDT Reads: 2,745
IoT is fundamentally transforming the auto industry, turning the vehicle into a hub for connected services, including safety, infotainment and usage-based insurance. Auto manufacturers – and businesses across all verticals – have built an entire ecosystem around the Connected Car, creating new customer touch points and revenue streams. In his session at @ThingsExpo, Macario Namie, Head of IoT Strategy at Cisco Jasper, will share real-world examples of how IoT transforms the car from a static p...
Sep. 27, 2016 01:00 PM EDT Reads: 1,594
There is little doubt that Big Data solutions will have an increasing role in the Enterprise IT mainstream over time. Big Data at Cloud Expo - to be held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA - has announced its Call for Papers is open. Cloud computing is being adopted in one form or another by 94% of enterprises today. Tens of billions of new devices are being connected to The Internet of Things. And Big Data is driving this bus. An exponential increase is...
Sep. 27, 2016 01:00 PM EDT Reads: 2,657
If you had a chance to enter on the ground level of the largest e-commerce market in the world – would you? China is the world’s most populated country with the second largest economy and the world’s fastest growing market. It is estimated that by 2018 the Chinese market will be reaching over $30 billion in gaming revenue alone. Admittedly for a foreign company, doing business in China can be challenging. Often changing laws, administrative regulations and the often inscrutable Chinese Interne...
Sep. 27, 2016 12:26 PM EDT Reads: 211
SYS-CON Events has announced today that Roger Strukhoff has been named conference chair of Cloud Expo and @ThingsExpo 2016 Silicon Valley. The 19th Cloud Expo and 6th @ThingsExpo will take place on November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. "The Internet of Things brings trillions of dollars of opportunity to developers and enterprise IT, no matter how you measure it," stated Roger Strukhoff. "More importantly, it leverages the power of devices and the Interne...
Sep. 27, 2016 12:15 PM EDT Reads: 3,209
Internet of @ThingsExpo, taking place November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with the 19th International Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world and ThingsExpo Silicon Valley Call for Papers is now open.
Sep. 27, 2016 12:15 PM EDT Reads: 4,553
In his keynote at 18th Cloud Expo, Andrew Keys, Co-Founder of ConsenSys Enterprise, provided an overview of the evolution of the Internet and the Database and the future of their combination – the Blockchain. Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life sett...
Sep. 27, 2016 12:00 PM EDT Reads: 3,493
SYS-CON Events announced today that China Unicom will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. China United Network Communications Group Co. Ltd ("China Unicom") was officially established in 2009 on the basis of the merger of former China Netcom and former China Unicom. China Unicom mainly operates a full range of telecommunications services including mobile broadband (GSM, WCDMA, LTE F...
Sep. 27, 2016 12:00 PM EDT Reads: 1,785
"My role is working with customers, helping them go through this digital transformation. I spend a lot of time talking to banks, big industries, manufacturers working through how they are integrating and transforming their IT platforms and moving them forward," explained William Morrish, General Manager Product Sales at Interoute, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
Sep. 27, 2016 12:00 PM EDT Reads: 3,876
Video experiences should be unique and exciting! But that doesn’t mean you need to patch all the pieces yourself. Users demand rich and engaging experiences and new ways to connect with you. But creating robust video applications at scale can be complicated, time-consuming and expensive. In his session at @ThingsExpo, Zohar Babin, Vice President of Platform, Ecosystem and Community at Kaltura, will discuss how VPaaS enables you to move fast, creating scalable video experiences that reach your...
Sep. 27, 2016 12:00 PM EDT Reads: 1,072
In his general session at 18th Cloud Expo, Lee Atchison, Principal Cloud Architect and Advocate at New Relic, discussed cloud as a ‘better data center’ and how it adds new capacity (faster) and improves application availability (redundancy). The cloud is a ‘Dynamic Tool for Dynamic Apps’ and resource allocation is an integral part of your application architecture, so use only the resources you need and allocate /de-allocate resources on the fly.
Sep. 27, 2016 11:45 AM EDT Reads: 2,737
“We're a global managed hosting provider. Our core customer set is a U.S.-based customer that is looking to go global,” explained Adam Rogers, Managing Director at ANEXIA, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
Sep. 27, 2016 11:30 AM EDT Reads: 3,008
SYS-CON Events announced today that SoftLayer, an IBM Company, has been named “Gold Sponsor” of SYS-CON's 18th Cloud Expo, which will take place on June 7-9, 2016, at the Javits Center in New York, New York. SoftLayer, an IBM Company, provides cloud infrastructure as a service from a growing number of data centers and network points of presence around the world. SoftLayer’s customers range from Web startups to global enterprises.
Sep. 27, 2016 11:15 AM EDT Reads: 964
The vision of a connected smart home is becoming reality with the application of integrated wireless technologies in devices and appliances. The use of standardized and TCP/IP networked wireless technologies in line-powered and battery operated sensors and controls has led to the adoption of radios in the 2.4GHz band, including Wi-Fi, BT/BLE and 802.15.4 applied ZigBee and Thread. This is driving the need for robust wireless coexistence for multiple radios to ensure throughput performance and th...
Sep. 27, 2016 11:00 AM EDT Reads: 1,604
SYS-CON Events announced today that CDS Global Cloud, an Infrastructure as a Service provider, will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. CDS Global Cloud is an IaaS (Infrastructure as a Service) provider specializing in solutions for e-commerce, internet gaming, online education and other internet applications. With a growing number of data centers and network points around the world, ...
Sep. 27, 2016 10:30 AM EDT Reads: 2,883