One of the biggest shifts in enterprise IT software has been mode of enterprise software purchase. There is a decisive shift towards buying these software through subscription. Though this shift has happened over a period of time – over 10 years or so – but the procurement process has not kept pace with it in most enterprises.
As a result of which, what challenges are being faced? How it is creating challenges even for compliance and what kind of new approach is needed?
I am sharing some thoughts here for your consideration.
EKS Anywhere, but where is Kubernetes?
Multi-cloud and Kubernetes are at the center of customer’s platform play and announcement of AWS’s EKS Anywhere underscores the importance of it.
What is announced and Why is it making news?
AWS at its annual event re:Invent announced Amazon EKS Anywhere offering. This allows you to create and operate Kubernetes clusters based on Amazon EKS Anywhere. In its introduction it didn’t say specifically across other cloud vendors. However during the interview Deepak Singh, Director of compute services at AWS said “There is no technical restriction for them in doing that.”
Why I think this is a big news is because of the following reasons :
- This announcement highlights growth of multi-cloud as a platform play in coming days
- This announcement also underscores the importance of Kubernetes as a platform
- AWS is challenging not only Google’s Anthos , but it is squarely challenging IBM- Red Hat’s Openshift, Mirantis and other Kubernetes solution providers
- Lastly, this announcement also highlights the attempts by big tech companies to create lock-in one way or the other.
At my company Ashnik, we have been experiencing customer’s increasing choice of multi-cloud approach in Southeast Asia and India for few months now. In a survey done in August 2020, 72% of enterprise customers voiced that multi-cloud adoption would increase in their organizations in 12 months. One of the key reasons to go for multi-cloud approach is de-risking strategy or avoiding cloud vendor lock-in. Customers, although, like the convenience of cloud platforms, they also want freedom of choice.
With the rapid growth and maturity of Kubernetes, it has become a powerful technology to exercise ‘cloud platform interoperability’. At least in theory it promises to be. There are few roadblocks, which can be overcome, in implementation though. Kubernetes platform, when used properly, really allows you to move your workloads across the platforms – be it your own data center or public cloud vendors.
This is one of the key reasons why Kubernetes became so much important play for IBM and it paid huge amount (almost $34 billion) to acquire Red Hat. Through Red Hat’s Openshift, IBM was looking to disrupt established cloud vendors – AWS, Azure and Google’s GCP. It started positioning Kubernetes at the center of customer’s cloud platform initiative.
If independent, truly open Kubernetes platform becomes reality it has a potential of reducing the importance of underlying cloud platforms – be it AWS or GCP or Azure. Sensing the threat to their lock-in strategy or their stickiness getting reduced, both AWS and Google have launched their own offering of Kubernetes platforms that would enable customers to take their workload across the cloud platforms. Thus AWS and Google are indirectly telling customers, “if you are anyway looking for multi-cloud platform, use mine, instead of true, open Kubernetes and thus remain under my lock-in.”
Is this good for enterprise customers?
While it is early to tell how successful would these offering be, but one thing is sure, customers want to get rid of vendor lock-in. However, Google version of Kubernetes and AWS version of Kubernetes or IBM’s version of Kubernetes is certainly not a good sign. Even though they all are variants of Kubernetes, the vendor specific implementations inherently creates lock-in. The big guys of technology are finding ways to create stickiness one way or the other. For enterprise customers, EKS Anywhere or Google’s Anthos would mean lot of convenience and ease of implementing multi-cloud strategy, but they would still experience the lock-in. Customers would need to evaluate its options and they are :
- Leveraging true open Kuberenet platform such as from Mirantis. Using such platform would mean bit more work on the part of customers but would give real freedom of choice in customer’s hands OR
- Opting for convenience and sacrificing the freedom.
Choice is yours!
Salesforce acquires Slack for almost $28Billion ! Why?
Salesforce acquires Slack for almost $28Billion !
That is a whopping amount of money for a company who was making just $450 million in revenue. Compare this with another mega deal that we saw last year where IBM paid $34Billion to acquire Red Hat. But the difference is Red Hat was making $3.5Billion in revenue. Slack is nowhere near it but getting valuation close to Red Hat. Yes, I know this is a very simplistic way of comparing two acquisitions and financial wizards would apply lot many parameters for a comparison.
While Slack was not exactly a hot technology nor was it growing at breakneck speed, why would have Salesforce found it compelling to pay such an enormous money? Well, the answer is not in ‘what revenue it has today’ but ‘what it can do’.
Collaboration tool, developer tool and building platform for application developers is a deadly combination. Salesforce, through its CRM (SFDC) has a big presence in enterprises. But it needed to go beyond that as the game is shifting to ‘collaboration’. On the other hand Slack was not able to compete effectively against Microsoft Team and Zoom. It needed a big push. Also there is big synergy in the approach of both the companies – both want to be seen as a platform for application developers.
I would not be surprised to see an offering from Salesforce that would embed collaboration tool in SFDC (and all its offerings), that would offer ‘zoom’ like functionality and Slack’s strong communication channels functionality that developers loved. This would help Salesforce expand its appeal to developer community and would bring more application developer to its fold. And don’t forget about power of API management through its last year’s acquisition of Mulesoft.
This is my quick analysis as the story broke out today! Would update it further as more details come out.
https://www.businessinsider.com/salesforces-277b-slack-buy-will-likely-pay-off-analysts-say-2020-12
Bringing open source software to Southeast Asia and India for 11 years
Open source software is at the center of technology and thereby business transformation. However, starting a business when it was very difficult to convince the enterprises to use open source software for business critical applications and running it for 11 years is an adventurous journey. Sharing some of those experiences and how we have contributed our bit towards success of adoption of open source software in Southeast Asia and India region.
Talk to yourself !
It is all about Self awareness. Talk to yourself and observe your own thoughts. #Happiness #PeaceOfMind # SelfAwareness #TalkToYourself #Mindfulness