Cloud Mini-Series Part 2: The Economics Behind the Cloud and the Protectionist Threat
Grazed from DisCo.org. Author: Matthias Langenegger.
This post is part of a series on the opportunities and challenges of cloud computing in the developing world. The previous post covered the transformative potential of the cloud and the different types of cloud services. Let us now turn to the economics behind the cloud. It’s a tough, fast-moving business involving substantial investments, and, most importantly, cloud services are effectively competing in a global marketplace.
The ‘borderless’, instantaneous nature of online communications means that cloud services can be provided from anywhere in the world, creating almost perfect markets in some areas. At least technically, competition is just a click away. That’s particularly relevant in an environment where many of the competing services are “free” to end-users (supported through ads, donations or other business models)…


Piston Cloud Computing Makes Creating and Managing Private Cloud Servers Easy with OpenStack 3.0. OpenStack is a project that shares a free, open source cloud computing Infrastructure as a Service (IaaS), written in the Python coding language. This project was initiated by Rackspace Hosting and NASA in July 2010. Big name tech companies such as Cisco, Dell, Intel, IBM, Hewlett-Packard, Go Daddy and Yahoo! have all contributed processing, storage and networking resources to the OpenStack community.