Rackspace positioning around cloud and OpenStack, from the CEO

Now that they don’t have to compete with AWS, they have an extra $300m floating around in the spreadsheets:

“Ultimately now it’s about how are we going to build a stronger company. If we don’t have to go spend $300 million a year in capital competing against Amazon, building computing storage and networking, where should we go put that? In things like managed cybersecurity and professional services,” said Rhodes.

On OpenStack, finding the product/market for for private cloud:

And what about OpenStack, the open-source cloud computing platform that Rackspace created with NASA?

“We thought the world wanted another alternative to public cloud,” said Rhodes. “What we are learning is the world doesn’t need another public cloud, so OpenStack is shifting form and going private cloud.”

Also, cameo from my former 451 colleague Carl Brooks.

Link

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