CloudIburst hurts IT hardware pros
February 15, 2014
Grazed from DNA. Author: Editorial Staff.
IT industry players are not surprised with the latest layoffs estimated to be at over 15,000 employees globally by hardware manufacturer IBM or of over 1,000 employees at IBM India, and a similar development at Dell. This churn is happening because hardware companies like IBM and Dell, which makes high-end servers and computers, have been hit because it is cheaper to outsource infrastructure as a service to Amazon or a Google. "There has been a paradigm shift in focus by corporate customers who are preferring cheaper IT infrastructure like ‘cloud’ from Amazon or Google and this is the reality," said Srinath Batni, member of the Infosys board.
Cloud computing means the ability to run a program or application on many connected computers at the same time. This is where many corporates have either migrated to or are in the process of migrating, thanks to the immense cost-benefit ratio. This, in turn, has led to higher level of redundancy among existing staffers, especially hardware engineers…
As of now, corporates have to incur huge maintenance costs once companies like IBM or Hewlett Packard – they are two major players in the IT infrastructure space – sell their machines. Some of the recurring costs involve new applications upgrades, technology, software upgrades and licence renewals – both for hardware and software. Such would not be the case with cloud computing where the costs are based on usage and maintenance done by the host company…
Read more from the source @ http://www.dnaindia.com/money/report-cloudiburst-hurts-it-hardware-pros-1962158
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