If software vendors such as Microsoft are looking toward cloud computing as the future of the industry, they are setting themselves up 
He also contends that savings to users won’t be that great because the total cost of ownership of servers has little to do with the cost of the hardware itself. Administration costs are the real killer. In theory, when a user hires a cloud computing vendor, the user is shedding admin costs to the SaaS provider. But in practice sooner-or-later high admin costs will be passed along. He also says that when shifting hardware from a highly distributed architecture (each company owning its own) to a highly centralized model (the mega data center in the cloud), that power consumption and the environmental impact might actually be worse if the data center owner doesn’t know how to effectively virtualize and manage all of those boxes.
All of these drawbacks are right on the money, but none of them negate the long-term viability of cloud computing. The software industry is already finding ways to compensate. Microsoft’s amazing container model for building data centers shows how creativity can solve energy and scalability problems. High powered PCs will run virtualized versions of software that can be operated locally if a connection fails and then synch with the cloud when the connection returns. (This is one of the cornerstone’s of Microsoft’s “software-plus-services” strategy.) DNS hacking will be less successful when there are less targets. And as for the high costs of administration — centralization nearly always reduces administrative costs. As cloud computing increases, so will the cloud provider’s skill in managing its resources for maximum profitability.
Visit the Microsoft Subnet home page for more news, blogs, podcasts.12 cool cross-platform tools for Windows, Macs and Linux* Microsoft invests another $100 million in Novell and the people (should) rejoice 10 questions for virtual world evangelists (Microsoft’s) Zain Naboulsi, and (G-Squared’s) Kyle GomboyHow one customer said no to Exchange but yes to Outlook and Windows Mobile (part 2)More blog post from the Microsoft Subnet posts:
*
*
*
all Microsoft Subnet bloggers via Yahoo Pipes. bi-weekly Microsoft newsletter. (Click on News/Microsoft News Alert.)Subscribe to
Sign up for the




