The Rise of the Cloud

GIGAOM THE RISE OF THE CLOUD As our home and work lives have become increasingly mobile, the demand for web-based software and information storage has exploded. But as the amount of digital content created grows exponentially, there are concerns as to whether the cloud is growing fast enough to keep up. WILL WE LIVE IN THE CLOUD RATHER THAN ON THE DESKTOP? 71% AGREE By 2020, most people won't do their work with software running on a general-purpose PC. Instead, they will work in Internet-based applica- tions such as Google Docs, and in applications run from smart- phones. Aspiring application developers will develop for smartphone vendors and companies that provide Internet-based applications, because most innovative work will be done in that domain, instead of designing applications that run on a PC operating system. DISAGREE 27% By 2020, most people will still do their work with software running on a general-purpose PC. Internet-based applications like Google Docs and applications run from smartphones will have some functionality, but the most innovative and important applications will run on (and spring from) a PC operating system. Aspiring application designers will write mostly for PCs. 2% DIDN'T ANSWER Source: Pew Research CLOUD COMPUTING JOB GROWTH MAJOR CLOUD PROVIDERS 550,000 1.AWS 2. Rackspace Cloud 500,000 3. GoGrid 450,000 4. Joyent 400,000 5. Google 6. Salesforce.com 350,000 7. Terremark 300,000 8. Savvis 250,000 9. OpSource 10. IBM 200,000 11. Skytap 150,000 12. Heroku 100,000 13. Engine Yard 14. Microsoft Azure 50,000 15. Voxel.net 16. AT&T 17. Verizon SEPTEMBER 2007 JANUARY 2008 MAY 2008 SEPTEMBER 2008 JANUARY 2009 MAY 2009 SEPTEMBER 2009 JANUARY 2010 18. StrataScale A HISTORY OF CLOUD COMPUTING INVESTING* AVERAGE EQUITY PER DEAL (IN MILLIONS) NUMBER OF DEALS AMOUNT INVESTED (IN MILLIONS) 2005 5.14M 25.7M 2006 112.6M 6.62M 2007 30 6.51M 195.36M 2008 59 5.06M 298.51M 2009 70 5.35M 374.77M *Companies that used 'SaaS' or 'cloud' in their business description GROWTH OF THE DIGITAL UNIVERSE PROJECTED GROWTH BY YEAR 2020 2009 800,000 Pb 2020 35 Zb 2009 .8 Zb 2010 1,200,000 Pb 1 Million Gigabytes - 1 Petabyte 1 Million Petabytes = 1 Zetabyte PROJECTED STORAGE SHORTAGE BY 2020 In 2009, some 35% of the digital content created couldn't be stored in the cloud due to a shortage of capacity, according to IDC estimates, a figure seen rising to 60% over the next decade. 60% SHORTAGE STORAGE AVAILABLE DATA CREATED Sources: IDC 2010 Digital Universe Study, Pew Research, Indeed.com, Thomson Reuters STRUCTURE 2010 PERCENTAGE OF GROWTH