Oracle Launches Bare Metal Cloud Services, Challenges Amazon AWS

Oracle threw some big announcement back in September at Oracle OpenWorld conference about its plan to add Infrastructure as a Service (IaaS) to its Oracle Cloud Solutions. And now the first piece of that IaaS is announced: Oracle Bare Metal Cloud Services. Oracle’s service offers integrated network block storage, object storage, identity and access management, VPN connectivity, and a software-defined Virtual Cloud Network (VCN) – their implementation of Software Defined Networking (SDN). The new service is launched in Oracle’s new Phoenix Region (Arizona, USA), with the promise of growing to additional regions. The Phoenix region has 3 Availability Domains (similar to Availability Zones in Amazon Web Services).

oracle-iaas-logoOracle has been exploring cloud for a while and has made several startup acquisitions in that direction. With this move Oracle is going jumping heads-on to the ruthless cloud IaaS wars. In fact, it seems Oracle lured in some cloud experts from Amazon, Microsoft and Google to build its new IaaS.

One amazing thing that Oracle did with its IaaS, is that it designed its entire data center, up to the hardware stack, on its own! Oracle learned well the lesson from Amazon, Google et al. Thank to that design it claims to provide competitive pricing that will challenge the legendary AWS pricing.

For more information on Oracle Bare Metal Cloud Services see here.

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Google’s Self-Driving Cars To Become A Stand-Alone Business

Google is shifting gear with its self-driving car project. The project, which has been run as part of Google X research lab, has spun out into its own business unit under Google’s parent company Alphabet. According to Wall Street Journal, the car group would likely be expected to soon begin generating revenue, though not necessarily a profit at first. X chief Astro Teller told WSJ that Alphabet will likely roll out its self-driving cars incrementally over the next several years as they improve with more time on the road.

This is another move in the race to the holy grail of a fully operational autonomous car. Google keeps a special watch over Uber’s aggressive self-driving car plans, with its plans to disrupt transportation. While Google’s cars have been driving around Google’s home town in Mountain View CA and other US cities, Uber has been swinging through Pittsburgh. And they’re not alone in this race. In fact, you find surprising newcomers each day: Just today Samsung acquired U.S. auto-parts supplier Harman for $8 Billion to get onboard with connected cars, probably as part of Samsung’s Internet of Things (IoT) strategy. When the lines blur between cars, mobile and online services, when transportation is up for disruption, everyone is out for the take.

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Amazon and VMware: Strange Allies In The Game Of Clouds

Before cloud there was datacenter virtualization. The king of virtualization was VMware, who had ruled enterprise datacenters for decades uninterruptedly. Then a new force arose – Public Cloud – ruled by the reincarnated online retailer Amazon, which swiftly won the hearts of startups and web apps alike. As enterprises started exploring the cloud, VMware adapted its offering in the form of Private Cloud in attempt to keep the lucrative enterprises under its dominion, while Amazon has been fighting to convert them to its public cloud, with relentless price cuts and innovative services. War was fierce.

But in the Game of Clouds strange alliances are formed…

Now VMware is striking an alliance with Amazon. The new strategic partnership announced this month brings forth a hybrid child: VMware Cloud on AWS, which promises to let enterprises have their cake and eat it too – keeping them working in their good-old VMware vSphere environment while letting VMware operate it for them as a managed service on the Amazon Web Services (AWS) bare metal infrastructure. The new service is currently in Technology Preview, with general availability expected mid-2017.

vmware-aws

What could bring together these bitter rivals? In the land of private cloud VMware has been suffering fierce competition from OpenStack open source community, so fierce that ultimately VMware jumped on the OpenStack bandwagon. Flanked by OpenStack from private cloud and by Amazon from public cloud, VMware came to realize what HP, Verizon and others learned the hard way – that hybrid cloud can be the alternative. A similar strategy change brought the got Rackspace acquired a couple of months ago.

And what’s Amazon’s angle with WMware you ask? Amazon has been eyeing the lucrative enterprises for a long time, but has largely failed to convert them to the public cloud. Microsoft, Amazon’s public cloud competitor, identified that and launched Azure Stack (currently in Technical Preview 2), a flavor of its Azure public cloud that can extends to the enterprise’s datacenter. Amazon so far has been dogmatic in its public cloud vision, preaching full migration to the public cloud and refusing to provide variants for private cloud. But market forces are stronger, and Amazon’s way off the proverbial tree was found in the form of VMware. With Microsoft’s Azure Stack expected in general availability mid-2017, Amazon had to prepare its counter move towards the same mark.

In the Game of Clouds great forces are at play. With private and public clouds, open source communities and vendor-locked solutions, incumbents and startups all at play. And everyone’s eyeing the holy grail of enterprises.

Who will win the Cloud Throne?

iron-throne

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Rackspace Cashes Out On Its Hybrid Cloud Strategy, Acquired by Private Equity

Cloud Computing company Rackspace will be acquired for $4.3 billion by private equity firm Apollo Global Management. Deal is expected to close in Q4 2016 and Rackspace stockholders to receive $32.00 per share in cash (a nice a premium of 38% on Rackspace’s stock price).

This acquisition is a clear sign of success for Rackspace’s change of strategy, whereby Rackspace eased off on its own cloud and managed services, and started offering third-party support for the public clouds of Amazon and Microsoft. This change of strategy started showing clear positive impact on its financial results earlier this year (see this post from 2 months ago), which sent the right investor signals and paved the way to this acquisition.

For more details on the acquisition see here.

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The Uber Plan To Disrupt Transportation

Uber has become the trademark for sharing economy. It’s the proverbial social win-win formula: You want to get somewhere, a driver is heading there, so he picks you up, and earns a friendly fee on the way.

But in fact Uber’s vision isn’t really about sharing economy. In fact, the “human factor” of the drivers is pretty messy for Uber: it involves costs, labor laws, contractual engagements, assault incidents, lawsuits… Uber would rather eliminate the “human factor” altogether. It has a whole other plan for us. And the plan goes through:

Autonomous cars!

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Which plan? Sit back and take a quick tour into our daily lives in the (not-so-distant) future:

You don’t own a car, you consume a service. car-as-a-service. Need a ride? Just tap your smart phone/watch/skin, and a ride will come and pick you up from your GPS-detected location, and you’ll be charged just for that ride. Just like electricity or water. no need for a large capital expense for purchasing a car, and extra cost for insurance, regular checkups and fixes for a car that sits idle most of the day. you’re not in the business of car fleets, you just need a ride.

This will also disrupt the automotive industry: the car design will no longer revolve around the driving experience. there simply is no driver now, remember? the car is now a ride service robot, and the focus is shifted to the passenger’s quality of experience. Now that the rider has his hands (and attention) free, focus will shift to making the ride more informative, more entertaining, more productive, with multimedia, games, work tools, with automated analytics learning the needs of the passenger, perhaps even offering some interesting goods… reminds you a bit of Google? Why isn’t that surprising…

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This is not Sci Fi. This is a concrete plan taking shape as we speak. Last Thursday Uber announced acquiring Otto, an Israeli startup less than a year old headed by ex-Googlers, which provides technology that turns regular trucks into driverless (autonomous) ones. In parallel Uber announced moving into commercial stage with its autonomous cars initiative, launching a pilot in the city of Pittsburgh.

Uber isn’t the only one setting eyes on this mark. Traditional car manufacturers such as GM, Ford and Fiat (jointly with Google) have also identified the upcoming disruption and are also racing to the commercial autonomous car. In fact, just a day before Uber’s acquisition Ford announced acquiring another Israeli startup, SAIPS, as well as investing $75 Million in startup Velodyne, both aimed to boost its autonomous car project.

We’re heading to a brave new world. So sit back and enjoy the ride.

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Open Source Is Taking Over Networks, Startups Lead The Way

Innovating in the networking world is hard. With purpose-built boxes, protocols, technologies, legacy, processes… But when industry veterans from the likes of Apple, Juniper and Big Switch start up fresh and think outside the box – that’s when networks get shaken up. Just see the updates from the last couple of weeks:

After building the complex networks for iCloud, Apple engineering veterans decided to leverage their experience and last week launched their new startup SnapRoute. SnapRoute promises to bring a “developer friendly and operations focused network protocol stack that runs on all commoditized network and hardware with any Linux operating system”. This open stack will remove the dependency in the software provided by the vendors providing the network equipment (such as routers and switches) and will enable innovation decoupled from the vendor.

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SnapRoute’s first open source project is its FlexSwitch, which it contributed to the Facebook-founded Open Compute Project. FlexSwitch will also be offered as an option for the OpenSwitch operating system. OpenSwitch is an open source, Linux-based network operating system designed to power enterprise grade switches from multiple hardware vendors that will enable organizations to rapidly build data center networks that are customized for unique business needs. Earlier this month OpenSwitch got accepted to the Linux Foundation, which will surely facilitate and boost its open source community activity.

openswitch

Another promising startup, which made headlines recently following Google’s investment, is Barefoot Networks, which brings the vision of programmable networks. Their innovative switch chips can be programmed using the P4 language to run various network tasks to replace today’s purpose-built networking equipment. Interesting to note that both Barefoot Networks and P4.org are also members at the OpenSwitch project.

Apstra is another interesting startup that was launched last week and was founded by networking veterans from Big SwitchArista and Juniper, which offers data center network automation. It employs an intent-driven approach for network operations, and treats the network using the methodologies of distributed systems:

“You need to recognize that your network is a distributed system. This allows you to operate your network as a system”

To be fair, startups are not alone in this front. Check out what GoogleFacebook and Amazon have been doing in their data centers. Together, startups, big players and open communities push the traditional networking world to the modern era.

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Programmable Networks – Is The Dream Finally Coming True?

One of the hottest trends in the Telecommunications industry is Software Defined Networking (SDN), the idea that you can control the logic of the data flow dynamically using central programmable logic, instead of having it hard-coded into every individual networking “box”.

Stanford Prof. Nick McKeown, one of the guys who invented SDN, and a serial entrepreneur in networking technology startups, now brings the next transformation: programmable switching chips. While in today’s networks special-purpose chips are used which are hard-wired to run specific protocols, the new switch chips can be programmed so that they could perform different functions such as firewall and load balancing, which currently require specialized networking equipment.

McKeown’s new startup Barefoot Network just completed its series C funding round with $57 million from Google (Alphabet) and Goldman Sachs. Google’s interest isn’t surprising as Google has been exploring next-generation networking for a while, and even earlier this year joined the Open Compute Project (in which Goldman Sachs is also a member).

The chips will be programmed by P4, a language for protocol-independent data packet forwarding. P4 is backed by a large open consortium of industry leaders, including tier-1 Telcos AT&T and Huawei, leading manufacturers such as Intel, Cisco and Juniper, and even software giant Microsoft. Reportedly the new chip can reach up to up to 6.5Tbps (terabits per second)—double the speed of the fastest comparable technology on the market, which is critical in making the new chips realistic for the high-performance standards of Telecom.

The vision of Software Defined Networking and that of programmable switching chips is basically one. As Barefoot puts it:

We envision a world where programmable networks outperform fixed-function networks. We believe that programming the network should be as easy to program as a server.

That’s a vision worth pursuing. And it may just about to come true.

You can read more on the latest announcement on this comprehensive coverage by the Wall Street Journal.

For a more technical deep-dive, download Barefoot’s whitepaper here.

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