We all know cloud storage is the latest buzz word in information technology, but does this mean that eventually all companies should migrate to cloud storage usage? And how much is enough? Weighing the advantages and disadvantages of cloud storage, it makes sense that it is more profitable for some companies to stay on peer-to-peer storage. At what point is it not feasible to expand too much?
This year at the GigaOM Structure conference, the engineering vice president of cloud storage startup Box, Sam Schillace mentioned that they are considering moving over to Swift for their own cloud storage solutions and perhaps even moving away from Amazon Simple Storage Solutions (S3). The reason given was that they needed the space to update the backend module of Box. He also mentioned that the company is not sure if they are ready for the growth possibilities this will hold for Box. Ki Mae Heussner of GigaOM quotes Schillace:
The challenge is mostly that we would be the biggest thing we’ve ever heard of on Swift and we’re not totally convinced we want to go first
Need versus demand
He continues by saying that they aim for Box to be a multi-functional and application platform which can be used as total business solution, and not just for storage. Taking the need for startup services into consideration and then comparing it to the supply there is currently, it is legitimate to wonder when it will stop and are all these companies necessary. Your company should basically fill a gap in the market that not all consumers were aware that it existed. You will also need to convince them about the gap and that it needs to be filled.
Lenovo saw this opportunity and utilized it to create access to social media via cloud storage. With a single user identification and password, the end user will be able to access all his or her web based files and applications. The application will be called Lenovo Reach and is due to be released later in 2013.
The Lenovo Reach personal cloud service will offer a single-sign on ID that allows users access to social networks, their online applications, as well as a search engine to help them find files, photos and other digital media across their online storage accounts.
The new service can encrypt and remember all user IDs and passwords, offering users a method of accessing favorite websites with a single click.
Backup Services
Startup cloud services offer a valuable service of data backup and recovery, but mostly on a small business scale. Is it worth it to reach further and multiply the capacity by adding large companies to your service? The data of any company is very sensitive and you will need to first build a trust relationship before they will entrust you with their most sensitive information. Alain Bezahler, president of BCPi had the following to say about trust:
I’m all for startups,” Bezahler said. “But in this case, we’re dealing with customer data, so we have to be careful. I’ve been in business 21 years, and some of my customers have been with me that long. We have to partner carefully.
And
This is about trusting someone with data,” Bezahler said. “It’s not like trying a new monitor.
This raises the question then that how many of this startup cloud services are necessary and how many are only in it to ride the wave as it passes them. What if the market becomes sated? The Internet is unpredictable and what seems a good investment now, may not be so profitable in the future, or the other way around. Only time will tell if your company should ride the wave, or quit while on top.
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