NSA Leaks Pricked The ‘Cloud’ Bubble For US Tech Companies
Grazed from BusinessInsider. Author: Wolf Richter.
The cloud is a growth industry. And a religion in Silicon Valley: you’re better off with all your data and software stored in a data center somewhere on the planet. It’s at the core of Big Data. It’s a beacon of growth that revenue-challenged tech giants like Oracle and IBM wave in the faces of antsy investors.
IBM used the word 14 times during its earnings call in July. “Cloud computing,” “cloud offerings,” “cloud infrastructure,” it was all there. Revenues from the cloud jumped 70% during the first half, IBM bragged – to cover up an ugly tidbit: overall revenues fell 3.3%, and revenues at its US hardware division, Systems and Technology group, plunged 12%…

