Discussion: Is the Public Cloud Market Destined to Become An Oligopoly (like the airlines)?

At some point public IaaS offerings become a matter of cost and scale as consolidation and economic realities take over and opportunities to differentiate are reduced.  Gartner’s Magic Quardrant for IaaS currently ranks the top 15 IaaS players by market share but is more consolidation inevitable, not unlike what we have seen in the airline industry?237002_1

The winning APIs and models will likely become magnets for the 3rd parties and MSPs as the market determines winners and losers.  AWS is currently the market leader but could SDN offer a disrupting paradigm shift?  Could VMware’s upcoming offering attract organizations who are still using VMware based private clouds?  Do OpenStack and vCloud pose a threat to AWS?  What impact will Google’s Compute Engine make?  Virtustream and Rackspace should be followed closely as well.

How do you see the public cloud market shaping up over the next 3-5 years?  An oligopoly with APIs providing most of the differentiation?  Share your thoughts below:

Leave a Reply

Your email address will not be published. Required fields are marked *