Apr10

Dell throws the dice on $1 billion cloud data centres

Dell is in a cloud computing feeding frenzy.

Last year we posted a blog entry about Dell’s acquisition of SaaS-play Boomi, which allowed it to offer sophisticated tools for transferring data between on-premise and cloud-based apps. Dell had previously also partnered with Microsoft to offer the Windows Azure Platform to its clients as part of a new IaaS strategy

Well, a few days ago that IaaS strategy was fuel-injected with the announcement it will spend an additional $1 Billion to build 22 physical data centers around the world to power flexible private and public cloud computing resources.

This is all part of Dell’s bold plan to re-invent itself as a cloud service provider as it watches PCs being consigned to the scrapheap of history. We have mentioned numerous times that by 2013 cell phones and tablets will be the principle form of web access for individuals, corporations and state-run organizations.

Dell is getting in late, but this recent investment shows how serious the big boys are taking cloud services. Last week we announced that Toyota had teamed up with Microsoft to deploy a Telematic cloud. And, on May 1, 2011 Virtual Internet will be breaking into the American market with new headquarters in Providence UTAH.

Many people out there see all this activity as evidence of another bubble. Google insights shows that there does not appear to be any apparent end in sight for the popularity of search terms based around cloud services.

The truth of the matter is that cloud computing simply means that resources are being migrated to the web and delivered to devices on-demand. Hosting companies like Virtual Internet are facilitating this evolution since it naturally brings down costs and complexity for corporate customers.

Dell is attempting to enter this market by throwing large amounts of cash and resources into acquiring similar data centres.

Cloud computing remains the biggest game in town. At least until you see that bell curve dipping on Google Insights!

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