Jason Stowe, Cycle Computing, at AWS Summit 2014 with John Furrier and Jeff Frick
@thecube #theCUBE #AWS #CycleComputing #SiliconANGLE #AWSSummit
In my earlier column I raised the question of whether AWS would expand into the traditional enterprise computing area. This week's announcements at the AWS Summit in San Francisco answered that question with an emphatic "Yes!" And IBM, EMC and HP will have to up their game to hold onto their market.
First AWS announced dramatic price cuts in its services across the board in what SiliconANGLE CIO and host of theCUBE John Furrier called "price cutting-as-a-service" in the AWS Summit CrowdChat. It cut the price of Amazon S3 by an average of 51 percent with tier pricing falling 36 percent to 65 percent. It reduced Amazon EC2 by 30 percent to 38 percent for new generation (M3 and C3) instances and 10 percent to 40 percent for previous generation (M1, M2, C1) instances. It reduced the price of Amazon RDS by an average of 28 percent and the price of Amazon ElastiCache by an average 34 percent. It reduced the cost of EMR by 27 percent-61 percent for On Demand instances and added five new instance types. These prices go into effect April 1.
It is tempting to see these as a response to the recent price cuts announced by Google Compute Engine. However, AWS sees its competition in the enterprise market as internal IT, not Google or IBM, and this dramatic repricing is aimed at making AWS less expensive than running compute loads in-house. In part that can be seen as a defensive move to keep its existing users, some of whom have moved off AWS over pricing. While it should accomplish that, it also positions the service for an assault on the enterprise market, where CIO budgets are constantly being squeezed. If it is less expensive to run on AWS, then CIOs have to have specific reasons to keep their main compute loads in-house.
Also, as Jason Stowe of Cycle Computing said in his interview in theCUBE, "As AWS keeps dropping prices it will make more uses cases...practical."
Second, AWS announced a set of new services. Of particular interest is the roll-out of Amazon WorkSpaces, a fully managed virtualized desktop computing service in the cloud. This is Amazon's answer to VDI, allowing subscribers to access their full desktop from virtually any device -- laptops, iPads, Kindle Fire, Windows 8, and Android handhelds -- anywhere where they can access the Internet. WorkSpaces is available across North America now and will be rolled out in the other AWS regions worldwide over a presumably short time.
It also announced VPC peering between Virtual Private Clouds (VPCs) in the same AWS region. This allows Amazon Elastic Compute Cloud (EC2) instances in the peered VPCs to communication with each other using their private IP addresses. A VPC can have peering connection with as many as 50 other VPCs in the same region.
Forgot Password
Almost there!
We just sent you a verification email. Please verify your account to gain access to
AWS Summit 2014 | San Francisco. If you don’t think you received an email check your
spam folder.
In order to sign in, enter the email address you used to registered for the event. Once completed, you will receive an email with a verification link. Open this link to automatically sign into the site.
Register For AWS Summit 2014 | San Francisco
Please fill out the information below. You will recieve an email with a verification link confirming your registration. Click the link to automatically sign into the site.
You’re almost there!
We just sent you a verification email. Please click the verification button in the email. Once your email address is verified, you will have full access to all event content for AWS Summit 2014 | San Francisco.
I want my badge and interests to be visible to all attendees.
Checking this box will display your presense on the attendees list, view your profile and allow other attendees to contact you via 1-1 chat. Read the Privacy Policy. At any time, you can choose to disable this preference.
Select your Interests!
add
Upload your photo
Uploading..
OR
Connect via Twitter
Connect via Linkedin
EDIT PASSWORD
Share
Forgot Password
Almost there!
We just sent you a verification email. Please verify your account to gain access to
AWS Summit 2014 | San Francisco. If you don’t think you received an email check your
spam folder.
In order to sign in, enter the email address you used to registered for the event. Once completed, you will receive an email with a verification link. Open this link to automatically sign into the site.
Sign in to gain access to AWS Summit 2014 | San Francisco
Please sign in with LinkedIn to continue to AWS Summit 2014 | San Francisco. Signing in with LinkedIn ensures a professional environment.
Are you sure you want to remove access rights for this user?
Details
Manage Access
email address
Community Invitation
Jason Stowe, Cycle Computing | AWS Summit 2014
Jason Stowe, Cycle Computing, at AWS Summit 2014 with John Furrier and Jeff Frick
@thecube #theCUBE #AWS #CycleComputing #SiliconANGLE #AWSSummit
In my earlier column I raised the question of whether AWS would expand into the traditional enterprise computing area. This week's announcements at the AWS Summit in San Francisco answered that question with an emphatic "Yes!" And IBM, EMC and HP will have to up their game to hold onto their market.
First AWS announced dramatic price cuts in its services across the board in what SiliconANGLE CIO and host of theCUBE John Furrier called "price cutting-as-a-service" in the AWS Summit CrowdChat. It cut the price of Amazon S3 by an average of 51 percent with tier pricing falling 36 percent to 65 percent. It reduced Amazon EC2 by 30 percent to 38 percent for new generation (M3 and C3) instances and 10 percent to 40 percent for previous generation (M1, M2, C1) instances. It reduced the price of Amazon RDS by an average of 28 percent and the price of Amazon ElastiCache by an average 34 percent. It reduced the cost of EMR by 27 percent-61 percent for On Demand instances and added five new instance types. These prices go into effect April 1.
It is tempting to see these as a response to the recent price cuts announced by Google Compute Engine. However, AWS sees its competition in the enterprise market as internal IT, not Google or IBM, and this dramatic repricing is aimed at making AWS less expensive than running compute loads in-house. In part that can be seen as a defensive move to keep its existing users, some of whom have moved off AWS over pricing. While it should accomplish that, it also positions the service for an assault on the enterprise market, where CIO budgets are constantly being squeezed. If it is less expensive to run on AWS, then CIOs have to have specific reasons to keep their main compute loads in-house.
Also, as Jason Stowe of Cycle Computing said in his interview in theCUBE, "As AWS keeps dropping prices it will make more uses cases...practical."
Second, AWS announced a set of new services. Of particular interest is the roll-out of Amazon WorkSpaces, a fully managed virtualized desktop computing service in the cloud. This is Amazon's answer to VDI, allowing subscribers to access their full desktop from virtually any device -- laptops, iPads, Kindle Fire, Windows 8, and Android handhelds -- anywhere where they can access the Internet. WorkSpaces is available across North America now and will be rolled out in the other AWS regions worldwide over a presumably short time.
It also announced VPC peering between Virtual Private Clouds (VPCs) in the same AWS region. This allows Amazon Elastic Compute Cloud (EC2) instances in the peered VPCs to communication with each other using their private IP addresses. A VPC can have peering connection with as many as 50 other VPCs in the same region.
