Welcome!

Microservices Expo Authors: Pat Romanski, Liz McMillan, Stackify Blog, Elizabeth White, Dalibor Siroky

Related Topics: @CloudExpo, Microservices Expo, Cognitive Computing , Agile Computing, Apache, Cloud Security

@CloudExpo: Article

The Case for Cloud Brokers

Brokers make markets in any industry and cloud computing is no exception

As per Wikipedia, a typical supply chain is a system of organizations, people, technology, activities, information and resources involved in moving a product or service from supplier to customer. Supply chain activities transform natural resources, raw materials and components into a finished product / service that is delivered to the end customer. In sophisticated market systems, used products may re-enter the supply chain at any point where residual value is recyclable. Supply chains link value chains. As per Wikipedia, a typical supply chain is a system of organizations, people, technology, activities, information and resources involved in moving a product or service from supplier to customer. Supply chain activities transform natural resources, raw materials and components into a finished product / service that is delivered to the end customer. In sophisticated market systems, used products may re-enter the supply chain at any point where residual value is recyclable. Supply chains link value chains.

Value chains outline the activities involved in creating value from the supply side of economics - where raw materials are used to manufacture a product / service - to the demand side when finished products or components are marketed and shipped to re-sellers or end users.

The value chain proposition in cloud computing is as simple as depicted in the figure below:

Currently, in the cloud market, the value creation activity is limited to a specific segment of the industry value chain (It's changing very fast though). There are huge opportunities when we talk about the value system as a whole because the linkages are not just a compilation of activities that are independent of each other but it is a intricate system of activities that are highly interdependent because they are related by their linkages (often multi-dimensional). Through these linkages, the performance of one activity affects the cost / performance / value of another. The cloud brokers business is all about exploiting these linkages and adding value to these linkages. Cloud market provides a unique opportunity in these linkages. The "cloud broker" model, as discussed above, can be applied to various stages of the cloud value chain. Cloud brokerages bring together buyers and sellers of cloud services. The cloud broker market is being accelerated by the emergence of solutions that make it quick and easy to implement. Some of the activities that brokers in a cloud ecosystem are actively engaging in are:

  • Facilitate and operate business-to-business (B2B) transactions
  • Facilitate and operate business-to-consumer (B2C) transactions
  • Facilitate and operate consumer-to-consumer (C2C) markets across the complete value chain.
  • Act as service aggregators by bringing business owners and consumers together to get better cost / service
  • Acts as metamediaries by not only bring interested parties together, but also provide different services related to the actual transaction, such as billing or order tracking, support and maintenance etc.
  • Technology and process integration across various cloud and business services
  • Cloud service intermediation: Offer intermediation for multiple services to add value-adds like identity management or access management.
  • Management and operational services

This not only brings interested parties together, but also provides different services related to the actual transaction, such as billing or order tracking, support and maintenance, etc.

Conclusion
Cloud brokers make a very strong case for faster cloud adoption and unifying the market. Other benefits such as cost reduction, better and faster discovery, lower transaction costs, finding new business, supply chain efficiency, monitoring demand and market trends are common. The big guns of the industry are already aware and are now trying to integrate and expand in all directions (vertically, horizontally and via alliances) which is in principal similar to the broker model. Whether they will be able to replace the brokers or they will lose their core competence remains to be seen (I will discuss this in a future blog...) Bottom-line is that Brokers make markets in any industry and Cloud computing is no exception. Period.

More Stories By Sunil Pathak

Sunil has close to 16 years experience in Information Technology providing leadership, management, planning, system development and engineering, training, people development, methodologies, and process support. He has worked in the area of internet based technology solutions, ecommerce applications, product development, product maintenance, e-business platforms, portals, collaboration, content management, and business intelligence.

He currently works for Colt Technologies Services, Bangalore, India as Head of Systems Development and Support. Sunil holds an Executive MBA (IIM Calcutta), Masters in Technology (IIT Kanpur) and a Bachelor of Engineering in Electrical Engineering. He also holds diploma in entrepreneurship from EDI Ahmedabad. He can be reached at :
Linkedin - http://in.linkedin.com/pub/sunil-pathak/4/501/a9b
Twitter - @sunil__pathak


Disclaimer:The opinion expressed here are my own and not necessarily those of my employer.

@MicroservicesExpo Stories
You know you need the cloud, but you’re hesitant to simply dump everything at Amazon since you know that not all workloads are suitable for cloud. You know that you want the kind of ease of use and scalability that you get with public cloud, but your applications are architected in a way that makes the public cloud a non-starter. You’re looking at private cloud solutions based on hyperconverged infrastructure, but you’re concerned with the limits inherent in those technologies.
Is advanced scheduling in Kubernetes achievable?Yes, however, how do you properly accommodate every real-life scenario that a Kubernetes user might encounter? How do you leverage advanced scheduling techniques to shape and describe each scenario in easy-to-use rules and configurations? In his session at @DevOpsSummit at 21st Cloud Expo, Oleg Chunikhin, CTO at Kublr, answered these questions and demonstrated techniques for implementing advanced scheduling. For example, using spot instances and co...
It has never been a better time to be a developer! Thanks to cloud computing, deploying our applications is much easier than it used to be. How we deploy our apps continues to evolve thanks to cloud hosting, Platform-as-a-Service (PaaS), and now Function-as-a-Service. FaaS is the concept of serverless computing via serverless architectures. Software developers can leverage this to deploy an individual "function", action, or piece of business logic. They are expected to start within milliseconds...
The cloud era has reached the stage where it is no longer a question of whether a company should migrate, but when. Enterprises have embraced the outsourcing of where their various applications are stored and who manages them, saving significant investment along the way. Plus, the cloud has become a defining competitive edge. Companies that fail to successfully adapt risk failure. The media, of course, continues to extol the virtues of the cloud, including how easy it is to get there. Migrating...
As DevOps methodologies expand their reach across the enterprise, organizations face the daunting challenge of adapting related cloud strategies to ensure optimal alignment, from managing complexity to ensuring proper governance. How can culture, automation, legacy apps and even budget be reexamined to enable this ongoing shift within the modern software factory? In her Day 2 Keynote at @DevOpsSummit at 21st Cloud Expo, Aruna Ravichandran, VP, DevOps Solutions Marketing, CA Technologies, was jo...
The nature of test environments is inherently temporary—you set up an environment, run through an automated test suite, and then tear down the environment. If you can reduce the cycle time for this process down to hours or minutes, then you may be able to cut your test environment budgets considerably. The impact of cloud adoption on test environments is a valuable advancement in both cost savings and agility. The on-demand model takes advantage of public cloud APIs requiring only payment for t...
For DevOps teams, the concepts behind service-oriented architecture (SOA) are nothing new. A style of software design initially made popular in the 1990s, SOA was an alternative to a monolithic application; essentially a collection of coarse-grained components that communicated with each other. Communication would involve either simple data passing or two or more services coordinating some activity. SOA served as a valid approach to solving many architectural problems faced by businesses, as app...
Some journey to cloud on a mission, others, a deadline. Change management is useful when migrating to public, private or hybrid cloud environments in either case. For most, stakeholder engagement peaks during the planning and post migration phases of a project. Legacy engagements are fairly direct: projects follow a linear progression of activities (the “waterfall” approach) – change managers and application coders work from the same functional and technical requirements. Enablement and develo...
Gone are the days when application development was the daunting task of the highly skilled developers backed with strong IT skills, low code application development has democratized app development and empowered a new generation of citizen developers. There was a time when app development was in the domain of people with complex coding and technical skills. We called these people by various names like programmers, coders, techies, and they usually worked in a world oblivious of the everyday pri...
While some developers care passionately about how data centers and clouds are architected, for most, it is only the end result that matters. To the majority of companies, technology exists to solve a business problem, and only delivers value when it is solving that problem. 2017 brings the mainstream adoption of containers for production workloads. In his session at 21st Cloud Expo, Ben McCormack, VP of Operations at Evernote, discussed how data centers of the future will be managed, how the p...
From manual human effort the world is slowly paving its way to a new space where most process are getting replaced with tools and systems to improve efficiency and bring down operational costs. Automation is the next big thing and low code platforms are fueling it in a significant way. The Automation era is here. We are in the fast pace of replacing manual human efforts with machines and processes. In the world of Information Technology too, we are linking disparate systems, softwares and tool...
DevOps is good for organizations. According to the soon to be released State of DevOps Report high-performing IT organizations are 2X more likely to exceed profitability, market share, and productivity goals. But how do they do it? How do they use DevOps to drive value and differentiate their companies? We recently sat down with Nicole Forsgren, CEO and Chief Scientist at DORA (DevOps Research and Assessment) and lead investigator for the State of DevOps Report, to discuss the role of measure...
DevOps is under attack because developers don’t want to mess with infrastructure. They will happily own their code into production, but want to use platforms instead of raw automation. That’s changing the landscape that we understand as DevOps with both architecture concepts (CloudNative) and process redefinition (SRE). Rob Hirschfeld’s recent work in Kubernetes operations has led to the conclusion that containers and related platforms have changed the way we should be thinking about DevOps and...
"As we've gone out into the public cloud we've seen that over time we may have lost a few things - we've lost control, we've given up cost to a certain extent, and then security, flexibility," explained Steve Conner, VP of Sales at Cloudistics,in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
These days, APIs have become an integral part of the digital transformation journey for all enterprises. Every digital innovation story is connected to APIs . But have you ever pondered over to know what are the source of these APIs? Let me explain - APIs sources can be varied, internal or external, solving different purposes, but mostly categorized into the following two categories. Data lakes is a term used to represent disconnected but relevant data that are used by various business units wit...
With continuous delivery (CD) almost always in the spotlight, continuous integration (CI) is often left out in the cold. Indeed, it's been in use for so long and so widely, we often take the model for granted. So what is CI and how can you make the most of it? This blog is intended to answer those questions. Before we step into examining CI, we need to look back. Software developers often work in small teams and modularity, and need to integrate their changes with the rest of the project code b...
"I focus on what we are calling CAST Highlight, which is our SaaS application portfolio analysis tool. It is an extremely lightweight tool that can integrate with pretty much any build process right now," explained Andrew Siegmund, Application Migration Specialist for CAST, in this SYS-CON.tv interview at 21st Cloud Expo, held Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA.
"Cloud4U builds software services that help people build DevOps platforms for cloud-based software and using our platform people can draw a picture of the system, network, software," explained Kihyeon Kim, CEO and Head of R&D at Cloud4U, in this SYS-CON.tv interview at 21st Cloud Expo, held Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA.
Kubernetes is an open source system for automating deployment, scaling, and management of containerized applications. Kubernetes was originally built by Google, leveraging years of experience with managing container workloads, and is now a Cloud Native Compute Foundation (CNCF) project. Kubernetes has been widely adopted by the community, supported on all major public and private cloud providers, and is gaining rapid adoption in enterprises. However, Kubernetes may seem intimidating and complex ...
DevOps is often described as a combination of technology and culture. Without both, DevOps isn't complete. However, applying the culture to outdated technology is a recipe for disaster; as response times grow and connections between teams are delayed by technology, the culture will die. A Nutanix Enterprise Cloud has many benefits that provide the needed base for a true DevOps paradigm. In their Day 3 Keynote at 20th Cloud Expo, Chris Brown, a Solutions Marketing Manager at Nutanix, and Mark Lav...