If you have been watching trends in the storage market, you have noticed claims are made daily about the growing benefits of cloud data storage. One of the most intriguing questions has been whether or not cloud data storage is truly a disruptive technology.
Let’s first begin by defining a disruptive innovation:
- Innovations that improve a product or service in a way the market does not expect, typically by first designing for a different set of consumers in a new market and later by lowering prices in the existing market.
Designing for a different set of consumers.
For decades, on-premise data centers have been housed and maintained by IT professionals across the globe. In today’s business landscape an increasing number of CFOs and CMOs are highly involved in the management of data storage; whether it is reviewing, maintaining, and even approving increases in storage needs.
Ten years ago, your CMO was not researching software and infrastructure costs. Gartner’s research shows in 2012, two-thirds of marketing capital budgets included infrastructure funds and planning. This is just one simple validation your CMO (and CFO) have entered the infrastructure conversation as a new consumer set.
A quick look online will show cloud providers are talking a different language to this new consumer:
- Gone are the days of “30-day” warranties. Cloud providers are absorbing the cost and ownership for their software, ensuring the solution continues to deliver as promised, while continuing to provide innovative enhancements.
- Modifications to the dashboard. Analytical reports and dashboards have replaced the uptime and system performance screens of the past. Users are presented with usable information, potentially by business entity, showing the storage being utilized, the percentage of increase over the past few months, and analyzing whether your files have actually been requested.
- Uptime claims. Numbers vary drastically throughout the industry, but on-premise enterprises are experiencing a data uptime ranging from 75% to 98.5%. Compared to cloud storage solutions claiming well over 99.9% uptime, business continuity conversations are changing.
- E-discovery protocols. Even human resources is joining the conversation as they are involved in providing an audit trail of historical data showing who accessed, modified, or deleted a file, along with the IP address of access for legal reasons.
Lowering prices in the existing market.
There are numerous spreadsheets and online calculators illustrating how cloud data storage provides significant cost reduction in comparison to the on-premise storage solution. In addition to savings, cloud data storage is changing the pricing conversation:
- From a CFO perspective, individuals are discussing storage as a monthly OPEX rather than a significant, one-time CAPEX purchase.
- Consumers are realizing a significant reduction in the per GB costs that are being allocated across various enterprise business units.
- Depending on your cloud storage provider, a pay-as-you-go model is changing the planning stages of development. The cloud provides a truly elastic solution, removing the pressure in forecasting future data storage needs. In addition, experimenting is simple with a pay-as-you-go model, rolling into an even greater price reduction once a committed contract is ready to be signed.
LightBridge is truly lowering the prices for archive data storage in the existing market, not only from on-premise storage solution, but savings over other cloud providers. LightBridge ARCH customers receive:
- Distributed data across 5,000+ micro data centers, plus the extra security of sharding the file
- Pricing that is competitive with removable media
- Pricing that is simple, seriously simple – we don’t have 200 different price points to try and forecast your storage costs
Let the conversation continue.