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Director, OpenShift Strategy at Red Hat. Founder of Rishidot Research, a research community focused on services world. His focus is on Platform Services, Infrastructure and the role of Open Source in the services era. Krish has been writing @ CloudAve from its inception and had also been part of GigaOm Pro Analyst Group. The opinions expressed here are his own and are neither representative of his employer, Red Hat, nor CloudAve, nor its sponsors.

3 responses to “McKinsey Report Has FUD Value But Amazon Should Cut Prices”

  1. Zoli Erdos

    Hm… what is it with questionable McKinsey studies?
    Quite some time ago I debated their study which predicted Accounting to be amongst the last to switch to SaaS.
    They might want to read Ben’s Accounting 2.0 series 🙂

  2. Mark Kerr

    Well, of course AWS has the same cost inputs as an enterprise Data Center – power, support, security , hardware, etc. There is no ‘magic dust’ that AWS or any other cloud provider has that allows them to produce computing at a lower unit cost than a large enterprise could or even traditional IT services supplier, using the same technology.
    Clearly AWS is leveraging scale, high levels of virtualisation, and automation to push the unit costs as low as they can go. But so can a large enterprise IT shop – and they would not have to pay for AWS profit margin and overheads of cloud management.