451: Container market to be $2.7B by 2020, from $762m in 2016

451-container-market-2017-01-09

451 Research estimated this week the application container segment reached a robust $762 million in 2016 and is forecast to grow at a 40-percent compound rate over the next four years to $2.7 billion.

And, on usage, from an April/May 2016 survey:

451 Research’s Voice of the Enterprise: Software-Defined Infrastructure Workloads and Key Projects survey conducted in April and May 2016 showed that of the roughly 25% of enterprises we surveyed who use containers, 34% were in broad implementation of production applications and 28% had begun initial implementation of production applications with containers.

I’m somewhat suspicious that there’s $762m in container software and services sales, but who knows, really?

I haven’t read through their entire cloud enabling technologies market sizing yet, from Dec 2016, (basically, private cloud software and services, any things used by *aaS vendors, not the actual public cloud services, which are another market) , which is more than just containers. That market is pegged at $23bn in 2016, going to $39bn in 2020:

2016 CET Market Monitor - Public Cloud vs. CET.png

More on 451’s blog.

Source: “Container Market Pegged at $2.7B by 2020”

On-prem still a big thing, Gartner survey

only 10% of organizations surveyed by Gartner are expected to close their on-premises data centers by 2018

Much of Pivotal’s business is on-premises, very much if it. However, most large organizations I talk with really want to get to much more public cloud as soon as possible. They look to Pivotal Cloud Foundry’s multi-cloud compatibility to help them down the line with that. For example, Home Depot is starting to move applications to Google Cloud.

Anyhow, most people outside of enterprise IY are surprised and a bit incredulous at how much “private cloud” there still is: ¯_(ツ)_/¯

Link

CloudBees launches certification and new private SaaS offering backed by Jenkins 2.0

2014, when the company pivoted away from its public PaaS offering to focus on Jenkins. That seems to have been the right move – headcount has grown from 60 to 164 since then, and revenue increased 150% year over year in 2015.

There’s pricing in there too and some notes on enterprise customers if you have 451 access.

Source: CloudBees launches certification and new private SaaS offering backed by Jenkins 2.0

Private cloud, still a thing

Round up of some recent private cloud surveys:

A comprehensive 451 Research report recently identified that hosted private clouds today accounted 25 per cent of budget for off-premises infrastructure spending and growing to 29 per cent in two years. Public cloud accounted for 17 per cent today and growing to 18 per cent in two years.

Private cloud has come to include “public private cloud,” hosted/dedicated gear.

Despite the howls of protest from public cloud evangelists who claim anything else to be a ‘false cloud,’ there is still real value — today — in companies bringing cloud-like ideas and practices inside their own data centers. Software like Eucalyptus, OpenStack, CloudStack and others offer ways to replicate some of the value offered by a public cloud such as AWS, Microsoft Azure, Google Compute Engine, or HP’s Helion. Run at scale, across the data centers of a large enterprise, the pool of available computing power can — and does — deliver real business value. At least until the company is ready to properly embrace public cloud, which is where most IT will eventually end up.

Nice piece from Paul Miller on HP’s OpenStack appliance. I could care less about the HP bashing: what I like is the point he makes around “small clouds.”

Amazon built my private cloud

Some good stuff from the latest from the $600m private cloud the CIA got from Amazon, including:

Meanwhile, Wolfe also acknowledged lingering industry criticism of its 2013 decision to award the $600 million cloud computing contract to AWS, essentially putting all the agency’s eggs in one basket. IBM unsuccessfully protested the cloud contract award to AWS. The CIA official defended the contract award this week, saying it provided AWS with nothing more than concrete pads and power to build the CIA cloud datacenters. AWS delivered all other cloud infrastructure and was up and running in less than 18 months, he added.

The scary thing would be if Amazon can build a $100m private cloud…a $10m one…then things get weird for vendors who are trying to achieve asymmetric competition with Amazon by hiding in private cloud land.

Also some fun anecdotes on resistance to change.

PaaS is still a zero billion dollar market, but there are signs revenue is ramping to the point where we can have a serious discussion about this threshold next year (note I define PaaS narrowly to net new, general purpose application platforms and don’t subscribe to xPaaS speciation/inclusion of decades old code) I still think this is the only layer at which most companies should be doing private cloud.