Cloud Computing: The commodity data center?
November 1, 2013
Grazed from DataCenterDynamics. Author: Nick Razey.
For those working in the fast moving world of cloud computing it is easy to take the somewhat arrogant view that the choice of data center is irrelevant; that although it is an essential piece of the jigsaw, one data center is just the same as another when compared to the complexities of differing Infrastructure-as-a-Service (IaaS) and Software-as-a-Service (SaaS) platforms. On this basis it is assumed that all the value in the IT chain will migrate to the cloud provider’s leaving data centers to earn meagre commodity margins.
The data center, however, is a very long way from being a commodity. A commodity typically has three characteristics; the product is the same, the quality is the same and the price is the same. And because the products are interchangeable they are usually bought and sold via efficient spot markets which exactly match supply and demand and which prevent any suppliers earning excessive returns…
Data center products vary in many ways such as Tier level, space and power capacity, connectivity options, service levels and location. A good data center service also needs well trained staff and embedded policies and procedures. These parameters directly affect both the quality of the product and its price although interestingly it is the data center location more than its quality that dictates price…
Read more from the source @ http://www.datacenterdynamics.com/focus/archive/2013/11/commodity-data-center