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Why the cost of cloud computing is set to rise

In this podcast, cloud consultant Judith Hurwitz discusses the cost of cloud computing and why we'll stop using the term altogether.

In her crystal ball, cloud consultant Judith Hurwitz sees the term "cloud computing" disappearing from our vocabulary and worries about the huge cost of cloud computing being run up by so-called shadow IT projects.

"Cloud came about as a term because it implied that we were not going to use just the data center. We wanted to use services where we didn't have to own and manage the hardware and the software," she says in this podcast. Hurwitz, president and CEO of Hurwitz & Associates, based in Needham, Mass., adds that what companies have come to care little about is the physical location of software and hardware.

"What we're moving to is computing. Companies worry less about where it physically is [compared] to what service it provides, how safe it is, how scalable it is and how predictable it is," she says.

On another topic, Hurwitz says CFOs are becoming apoplectic in light of the huge bills being run up by corporate departments that go out and implement their own software as a service cloud solutions. They are already experiencing sticker shock from public cloud services.

"One of the biggest costs of cloud computing is related to data movement," she says. "When you want to move data from one site to another or one location to another, a lot of companies aren't prepared for that. That's where Amazon makes a lot of its money."

Another cost of cloud computing concern Hurwitz sees frequently is small cloud projects that, once deemed a success, quickly grow into something considerably larger in scope and data volume than expected.

Hurwitz dispels the characterization that the allure of the cloud lies in its simplicity. "If you look at the number of services that Amazon offers, it's not simple." If all that's needed is "an instance," that's simple, but add security, management and dozens of available data services, and it gets very complicated very fast.

In the remainder of the podcast, Hurwitz discusses the issue of cloud cost sustainability and the concept of meta-analytics for understanding the behavior and performance of cloud services.

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