Sun CTO Predicts Internet Consolidation Endgame 167
Romerican writes "C|Net is running an interview with Greg Papadopoulos, CTO of Sun Microsystems, about the Very Near Future where he essential sees the Internet as no longer competitive. He has blogged his belief that the end game is here and nothing is likely to unseat the new world order." From the C|Net article: "It's called software as a service. It really is the running of what we think of as IT through the network. You don't buy software, you buy the consequence of the software. That starts with the small and medium enterprises. eBay, in my mind, is the leading example of small businesses being absorbed by services. Anybody who clicks their store on eBay is in fact consuming a service. They are contributing to a larger-scale eBay rather than them buying some server and sticking it on their desk."
Erm ... (Score:5, Insightful)
And then it will happen again.
Witness: Mainframe computing to Personal Computing to Thin Client Computing.
Re:Erm ... (Score:5, Insightful)
Characterizing it as an "endgame" may be a extreme, but consolidation of the big players is continuing for the forseeable future.
--sugarman--
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Some business apps do very well in such a framework. Others do not. Spreadsheets, for example, don't (there have been "networked" spreadsheet apps for years now, but what is their penetration? Zilch). Yes, sigh, we can code the entire app in Javascript and hide transfers in
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Does it?
Examples?
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In other news... (Score:2)
In other news:
After 30 years of continuous development, Free Software still does not require the user to bend over and get reamed from behind by the throbbing memeber of corporate greed.
This is just PR pitch, folks, pure make-belief. That's what they really really want, but even they (Sun) no longer have any real hope. I mean, they are GPL-ing Java. I didn't think I'd live to see that happen, but Moglen was right: the non-free software circus is in its last season.
i like the server in my server room (Score:5, Insightful)
unless "services" address this, there will be resistance. maybe not if you're buying used stuff at estate sales and selling it on ebay, but...
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It still won't work for many reasons. First, it requires an "always on" broadband network connection that far too many people don't have and feel they don't need. Second, the security risk is too high. Too many of these companies will sell whatever isn't nailed down especially your data. Even though you may retain a copy of your data locally, nothing is stop
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(i) costs decline to make it attractive to you (if your $200,000 costs can be cut to $75,000, wouldn't you? (I'm just making up #s))
, or (ii) it becomes so easy and ubiquitous that you would be worse off to do it the old way (an example would be webmail versus desktop client email from an ISP)
How many people nowadays use Gmail, Hotmail, or what-have-you for their personal and confidential e-mail? At one time, many would have
Cost of good data (Score:5, Insightful)
(i) costs decline to make it attractive to you (if your $200,000 costs can be cut to $75,000, wouldn't you?
NO. Here's why:
I currently work for a SME of approx. 120 employees, sales in the 75-100 million dollar range.
About 3 years ago I was told that we had 12-15 million dollars of data in our databases. Based on the cost of collecting and maintaing the data (lots of engineering field data). In the past few years we have doubled in size both in employees and in database size, so let's call it 30 million in data in our databases.
This does not include data in documents on the file servers or in emails. SO let's say another 30 million there.
Now, some of our clients compete against each other and we are *very* careful to firewall information so that the data from client A is not seen by client B. Not only could a breach like this resutl in losing client A and/or getting sued by client A, but would ruin our reputation and make it difficult to attract other clients.
The problem is that people take data, good data, far too lightly. Good data is hard to obtain and expensive. Without you are SOL. And so we protect our data and try to insure it is of high quality. We trust no one with the data.
The 'savings' of SaaS are miniscule compared to the risks to the company in this case.
Also data lasts longer than programs or vendors. What happens if the software company goes under or if you need to port it to a new application?
Except for a few cases I think SaaS is very inappropriate and will not be as wide spread as some hope.
You are right though, many companies are already exposing themselves. However, we see it as a false economy. There is no replacement for just doing the work.
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I definitely don't think it's a false economy at all. In fact it's a growth industry that will end up becoming very large... I don't think this is necessarily avoiding work, but is instead something that improves efficiency... a disruptive technology if you will... someone still has to do the work...
Just because someone else will store your data does not mean that it will be available to your competitors or you
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And I'm sure that Google / Microsoft / Amazon / IBM / SAP will be very careful to make sure that your data is firewalled and secured from your competitors. I think your paragraph her
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Yeah, until the day a SOX auditor comes in and says, "show me all your email from 2003 to the present" - at the same time that the service provider's gateway decides to hickup. So sorry - please pay Uncle Sam $14,000,000 for not securing your email documentation. Or maybe your service provider makes a dumb mistake and allows their servers to be hacked -- g
Not GMail, but an electronic Iron Mountain. (Score:2)
Maybe not a "consumer-grade" service like GMail, sure, but that doesn't mean web services are out, it just means there's a market for web-deliver
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I can put this in different terms: How is storing your data offsite much different than hiring employees to do it? At least if you run into problems on an offsite solution, you can sue and get some compensation; if your employees fuck up all you can do is fire them. You just have to be picky about service vendors like
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The reason no one wants to let go of their data is because of a lack of trust. There is no trust out there now because (i) technology is still in its infancy, and (ii) no established service provider has emerged (i.e. brand recognition). The present situation is like Ebay 5 years ago. How many people would put up anytyhing worth over $10,000 o
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Data is unlike cash in that it gains value by being secret. Money doesn't become more valuable if I hide it from my competitors.
Opting into this model requires that large organizations with millions of dollars - sometimes even their whole
resistance? (Score:2)
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I used to think that, too. Then, I found out I could let somebody else deal with the headaches and liability, so I outsourced it. Just in the past 6 months, I've outsourced both our web hosting, and I switched out our dumb POP mail server for an Exchange Server hosted elsewhere. Now that we don't have to deal with worrying about the server, we can spend more time and energy on the parts of our business that actually makes us money.
Data, schmata. Th
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One of my clients has 4 sites connected on an UUNet/MCI MPLS network. They run Exchange and they need to run servers at each of the sites to hold the mailboxes locally at those sites because otherwise, trying to open mailboxes across the network from the remote sites is an exercise in frustration. Maybe that's just an Exchange misconfi
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The biggest obsticle to outsourcing that I have seen is the bandwidth required to make it work. For small offices with a few people it isn't much of a problem. For 100+ users using a variety of applications, it starts to get really expensive.
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We're currently in the process of moving from an externally-hosted mail service to having Exchange on site. I think it's a horrible, terrible mistake to have your email outside your company, and I'll explain why:
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Eh, so what?
2. It makes document retention more difficult. If you are subject to sarbanes-oxley or are involved in pending federal litigation you must retain all incoming email for something like two years.
Actually, it's easier. If we need more disk space, the Exchange service provider just gives us more space. I don't have to deal with adding hard drives, servers, etc. Hell, I don't even have to notify anybody, th
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So you need more bandwidth when your data is stored outside your company.
If you don't need as much, you don't buy as much, and you don't pay as much. Saving money is good.
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Oh yeah... I forgot to mention... my attorney has his office set up the same way. Sorry, but I'm going to listen to my attorney over a tin-foil hat wearing Slashdot freak.
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Slashdot freak? I'll remind you that you have a login here, too. To some people, we are all freaks. How much do you get paid to try to discredit people who care about privacy, anyway?
What makes you think that a lawyer is making intelligent decisions about technology? That's like assuming that IT professionals are going to give you e
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You know, that's one way to look at it. Another way to look at it is that you don't know that you can trust those people. I know black hat cracker types who know more about security than I do. It doesn't mean I'd trust them to manage my email.
Intelligence and knowledge are not proof of ethical behavior! Smart people do bad things all the time. You are playing ostrich, no
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No, but I also wouldn't care. It's just email. If you're doing mission-critical stuff with email, you've already screwed up.
So use something that doesn't require babysitting.
There are no Exchange equivalents on the market. Well, maybe Lotus Notes, but that's many more times more complicated than Exchange.
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Before exchange you were using POP mail. Are you actually using the full functionality of exchange today?
There are, of course, entirely web-based alternatives that are based on reliable and trusted FOSS; although I've never thrown calendaring into the mix I know it's doable. Some people even produce supported commercial packages of this description, which I assume would probably be a requirement for you since you're already using Microsoft on one hand a
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I don't remember the part of this conversation where I
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Exactly. The ASP's or ISP's deal with security for a living. They're going to be as good if not better than most regular IT people because they deal with it all day, every day.
And of course, you're right... it is a bit more expensive from an initial dollar standpoint (ie: we're paying $xxx/month for this hosting and $xx/month for that), but yeah, less time spent
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That is easily solved by suitable encryption.
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I'm guessing you would feel much safer with the bank.
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If someone really wants to steal your data, there are other ways of doing it. SaaS vendors take security very seriously, and if you're a small or medium sized company, the SaaS vendor's production environment is likely a far safer place for your data than on your network (they are likely running a combination of NIDS and host-based IDS and probably have a 3rd-party security firm doing regular testing, as well as good coding practic
that is all good and well.... but (Score:3, Insightful)
Sure, there is Google and eBay et al, but look at the reality of things... all that really needs to happen to stop the world is for 2 of those 5 computers to be infested with spam spewing botnets.
I think that the world is as ready as I am for that to happen... lets just shelve this cute idea before the botnet owners get word of it
"You don't buy software..." (Score:5, Funny)
sigh (Score:2)
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Do you recall that "the network is the computer" idea required ubiquitous broadband?
Only now, and over the next few years, is the idea even practical. So hold your horses, and watch.
re: "The Network is the Computer" (Score:3, Insightful)
All of these large corporations (IBM, Sun, Microsoft, etc.) envision making a fortune by renting you your software (by serving it to you over the Internet). Like everything else in life though, you've got a LARGE number of folks who'd much rather own than rent. Renting has historically only made sense in the short-term, usually as a "stop gap" mea
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So tell me again why I'd want to continuously RENT my applications rather then buy software licenses and install/run the stuff on my OWN equipment?
Maybe because the application has pretty hefty hardware requirements? I notice that Salesforce.com is raking in the dough, largely because most CRM systems require two or three servers (and I don't mean Linux on a white box, think something [sun.com] like [hp.com] this [ibm.com]. And that's per site, you'll probably have your main servers and a second set at a backup site (or at least one big one that can virtualize any of the others). And then there's the bandwidth, power, cooling, storage...
Here's a bad analogy for you: computers
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re: depreciation (Score:2)
If leases were really as great a deal for people as they promise, few people would ever want to offer them. (What are the sellers doing with the off-lease items? Obviously, they've found ways to recoup the depre
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This is a great example of why you're wrong. Or at least, partially wrong.
It's only the US that has so many cars. Everywhere else in the world, people are pretty likely to use public transportation. We have cars in the US because of successful lobbying - public funding for the rail network was cannibalized and applied to the highway system instead. As a result, instead of [comparatively] easily and cheaply
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It's absolutely ridiculous to imply that a car doesn't offer a massive increase in personal freedom. If you disagree, you probably aren't using your freedom much.
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Does a car offer a net increase in personal freedom? If you have a car you must have a valid mailing address, you must submit to a number of indignities normally reserved for criminals including photographing and fingerprinting, you must provide a valid and registered birth certificate (no photocopies.) You are told where you can go, how fast y
Don't be so sure (Score:3, Insightful)
I play WoW. Yeah I bought the software, but the software is worthless with out the online services.
I use Vent. Free software, guild pays for services.
I use hotmail. I don't even have an email client installed at home.
I could go from example to example of how online services have replaced many of my digital and non-digital based activities.
Online services will never be an abso
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Hell yeah! (Score:2)
You know, next version of Windows? You'll need a cluster to run that bitch. And you'll love it. Linux won't even boot on anything less than a 40-machine grid. The difference between a low-consumption compu-net and a regular one
Welcome to the industry, Greg Pramanamana... (Score:3, Insightful)
Welcome to the industry, Greg Pramanamana. In the great game of IT sales, the men will tell you that it's always been about pitching benefits (what you call "consequences"). What you actually close with doesn't really matter. Over time the deliverables have almost always been a combination of hardware, software and services; the mix may change over time but the mix will change again when someone's pricing model makes the alternatives look attractive again.
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Or they remember to factor things like data vulnerability into their pricing model.
The Internet no longer competitive? (Score:5, Funny)
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This begs the question, is Google part of the Internet, or is the Internet now a subset of Google?
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Also in the future... (Score:5, Funny)
He even went so far as to say that the concept of marriage will soon be dead. "In the future, everyone will frequent brothels. Anybody who fucks a whore is in fact consuming a service. They are contributing to a larger-scale brothel rather than them marrying some broad and sticking her in a house. I mean, why buy the cow when you can get the milk for cheap?"
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I like this guy's way of thinking. =P
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You say that in jest, but when was the last time you went out to your barn and physically milked a cow just to drink some milk?
Ebay? (Score:2)
I think his motivation for saying these things has more to do with keeping his job than reality.
Wishful thinking? (Score:5, Insightful)
When you sell software, you get a one-time payment that may or may not ever be repeated. When you sell software as a service, you get continuous revenue. This is what every software company wants. The question is, is this what the client wants.
Enterprise software companies are making a huge push into this space, but I'm still not convinced that the market for it is big enough, at least not yet. For software as a service to work, the client needs to trust its vendor far more than they do now, because not only are they trusting the vendor to provide them a piece of software, they're also trusting the vendor to handle the bulk of their IT functions as well.
This may be desirable for some companies, but I think the vendors are vastly overestimating the market because they want to believe EVERYONE will jump at the chance to hand over control to the vendor.
Obviously, there are some advantages for the client as well, such as being able to do things like true Disaster Recovery, and being able to sit in state of the art data centers and have real backup solutions, things that may cost far more if they wanted to implement them on their own. Even so, I just can't shake the feeling that the size of this market is more fantasy than reality at this point.
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However, in the corporate world it's a bit different. The box on a shelf model of purchasing software doesn't apply so much. We purchase software and then pay for it yearly under expensive maintenance contracts. After years of using a software package,
Missing the forest (Score:5, Insightful)
Of course there are many, many more service providers but they will almost all go the way of YouTube; they'll get eaten by one of the majors.
The faulty logic here is that it presumes that new independent service providers aren't sprouting up every day. He sees the big trees in the forest, but misses the seeds and sprouts. Maybe that's just because the little guys don't buy pricy Sun hardware, so Sun doesn't see them. But they are there. I have no doubt that for every one web site that gets bought up by the big guys there are many more which don't.
What I see is that the Internet is an exceptionally fertile ground for seeds to sprout in. The existence of large companies such as Yahoo and Google doesn't change that. His comparison to the energy sector is flawed. The ease with which somebody can start up a new web site (sorry, "service provider") is in no way comparable to what it takes to start a new energy provider. Not even close.
It's this kind of nonsense which makes me wonder about the long term viability of Sun. It's no secret that cheap commodity boxes are eating them from the bottom up. So he spins this fairly tale about how all the small web sites (which don't run on Sun hardware) will simply cease to exist leaving only the mega sites (which do buy Sun hardware). Let me know how that works out for you.
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I pretty much agree with you except that most of the big sites he mentions don't use Sun hardware either. Google is pretty well know for using cheap hardware. Microsoft isn't exactly known for running on Sun stuff. So it isn't even clear things look good for Sun even if this idea comes
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You're right, a lot of them don't. But the folks who do use a lot of Sun hardware tend to be the big players.
Sort of too bad though since I've spent enough time on Ultra 10s to have a certain fondness for Sun hardware.
Bah, kids these days. I spent many an hour doing sys-admin duties for a Sun 690MP server and a bunch of SparcStation 2 an
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It's as if he were interviewed in a sleep lab while he was having a really good dream.
You just made the case for network neutrality... (Score:2)
>The existence of large companies such as Yahoo and Google doesn't change that. His comparison to
>the energy sector is flawed. The ease with which somebody can start up a new web site (sorry,
>"service provider") is in no way comparable to what it takes to start a new energy provider. Not even close.
Excellent post. And, pardon my topic derailment, but I'd like to take this time to point out to everyone tha
And then there were two (Score:2)
Services absorbed by housing (Score:3, Funny)
The shaman went on to warn: "If this trend continues, at some point there could be no craftsmen living outside of houses anymore! It is obvious this would be a great loss to our culture and society!"
eBay is NOT software... (Score:2, Insightful)
I don't believe anybody that sells on eBay is there because of a few scripts. They are there because of the buyers that search this site. Indeed, it's the unique marketplace, and marketplace was always a service. The fact, that eBay is a virtual one changes nothing.
Sun? Has to be wrong then. (Score:2)
One would have thought that given Sun's current headlong decline into
What a Fucking Idiot! (Score:4, Insightful)
I think the Sun CTO's predictions also overlook what it is that people actually do with their computers. He's looking at it from completely the wrong angle: business application, specifically e-commerce. The majority of people use their computers for recreational and creative purposes. Sure, you have things like Youtube and MySpace that are all the rage right now, but they are merely distribution points. They aren't actual tools. TO put a video up on Youtube requires that you have a video camera, video capture capabilities on your PC or Mac, and ideally editing software plus all the associated tools to create the content. This is what people WANT. Until we all have 10 gigabit links to the internet and latency is sufficiently low, I don't think that content production tools are suited for network publishing over the internet (aka Software as a Service). This guy's head is up his ass in my opinion.
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And I think you're completely missing the target audience of the interview: IT people. Note that he says in the summary: "It really is the running of what we think of as IT through the network." Nobody says that everyone's g
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Speaking of looking at it from the wrong angle... did you read your own post?
. It would provide vital services that each family needs: web server, mail server, VPN server, file server, print server, time server, etc...
Time Server? VPN Server? Mail Server? What family needs any of this stuff? Almost every family can barely keep a Windows (or Mac) system operational and doing what they want, let alone administer a mail server! I'm a nerd, but even I d
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How do you figure? Maybe my math is wrong.
300W x 24 hours / day x 30 days / month = 216kW-hours per month
In my area, a kW-hour costs about 14 cents. But, lets say you live in CA where I understand electricity runs about 12 cents/kWh.
216kWh / month x 0.12 $ / kWh = $25.92 / month.
Looks like you might be running up a bigger bill than you think.
The net connection where I am has only gone down twice in nearly four years
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Umm, do most families need "web server, mail server, VPN server, file server, print server, time server, etc..."? I'm a geek and all, but I don't need or want to run a web or mail server from my home.
Also, you also have to factor in this guy works for Sun. Families don't buy Sun boxes nor would they be buying Sun services (not counting Java for obvious reasons).
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yeah, what do those Flickr people think they're doing? Or Snapfish, or Kodak online services. People trusted their photos to 3rd parties for DECADES. Only a very tiny minority ever developed film on their own back in the "olden days".
I don't know about you, but I don't even trust my e-mail to anyone but myself. I run my own mail server.
Well good for you. The succe
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eBay as a markeetplace (Score:2)
I really don't think eBay can be said as a marketplace.
The only people who sell there are individuals or companies looking to dump refurbished, returned or old merchandise.
The fact that ebay+paypal fees are ridiculously high makes it a killer for any business to sell there. They basically host to people who have nowhere else to sell by charging enormous fees.
I know a few people who have tried to make a living or business out of selling on eBay and have always concluded that it's not worth it at all.
You'd think that the company with their trend (Score:2)
Article is Bullshit (Score:2)
Consolidations of web forms with submit buttons (Score:2)
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Flame On! (Score:2)
wrong focus (Score:2)
When we start lose
I mean, that is what the Internet was invented to do, now, wasn't it?
Oh, really? (Score:2)
Nostradamus they are not.
perhaps (Score:2)
Sun == nuts? (Score:2)
Wasn't it sun that said that hardware would be free, and only hardware would be sold? I can not even keep track of the times that sun has changed their position on: x86, Linux, and GPL.
I don't think any of the other major tech companies are like this.
We've Heard It All Before From Sun (Score:2)
No, it's not. Never was, never will be.
There's a REASON you have TWO concepts: "computer" and "network".
Conflating the two is just marketing hype from people who want to control your access to knowledge and computing power. That's the deal with Microsoft and it's the same deal from Sun - which is why Sun is ultimately doomed, despite OSS'ing Java and the like.
Sun - and Microsoft - just don't get it.
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