Having something to sell is always key to a profitable business. We explore this life-hack of the business world in discussion Twitter and then Amazon licensing Thursday night football. There’s also some brief talk of Akamai buying SOASTA, Cloudera filing to IPO, and the lost dichotomy of agent/agentless.
There’s tell that some people just look at containers as a cheaper way to virtualize, eschewing the fancy-lad “cloud-native stuff.” We discuss that idea, plus “the enterprise cloud wars,” and also our feel that Slack is actually a really good tool and company.
Snap is looking to spend billions on AWS and Google Cloud over the next five years. We talk about what exactly that could be for, then check in with Google’s social strategy and thermostat strategies; meanwhile, the America Fuck Yeah crew wants to start gathering passwords at the boarder. Also, Brandon lays out the case that an open-core monitoring startup is a hard row to hoe.Also, Baltimore is not in Maine. (But Coté is pretty sure it actually is.)
It’s all fundings, divestitures, and acquisitions this week. Hashicorp gets some cash, HPE sells off it’s software group to Micro Focus, and Google buys Apigee…plus Twitter acquisition rumors. Plus sentient carpets.
“HPE will be retaining tools that support the company’s cloud and infrastructure businesses but will be spinning off tools for application delivery management, big data, enterprise security, information management, governance and IT operations management.”
From what I know of HPE, this seems to be overlapping. I’d love a list of “stays vs. goes”
Q3 2017, and you thought Dell/EMC was slow
Where does this leave HP? Will they acquire more SW or stay a “systems” company.
It makes you realize how “small” their SW group was.
For more DevOps awesomeness, join the Chef Community Summit, October 26th and 27th in Seattle, WA. This Open Space event provides a great opportunity to connect with the DevOps Community and Chef Engineers over two days of engaging sessions and hallway discussions. Bring your ideas, passion and excitement for Chef and DevOps to this highly interactive event.
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Google buying Apigee. The whole API Economy thing.
Eventually, you have to decide how your open source software is going to make money, and your partners probably won’t like it. That’s what the dust-up around Docker is this week, it seems to us. We also talk briefly about VMware’s big conference this week, and rumors of HPE selling off it’s Software group to private equity.
Check out the full show notes for links to the recommendations, conferences, and tech news items we didn’t get to cover: https://cote.io/sdt71
I have a discount code for Operability.IO, September 19th and 20th in London. I hear good things about this conference; check out their talks from last year. It has a good list of speakers, including our very own Casey West. You can 10% off registration if you use the code COTEMEMOOIO16.
Nippers – “Nippers learn about safety at the beach. They learn about dangers such as rocks, and animals (e.g. the blue-ringed octopus), and also about surf conditions, such as rip currents, sandbars, and waves. Older Nippers also learn some basic first aid and may also learn CPR when they reach the age of 13.”
Docker Inc. doesn’t want to be a commoditized building block From a Red Hat person: “The conflict started to escalate earlier this summer, when Docker Inc used its controlling position to push Swarm, it’s own clone of Kubernetes-style container orchestration, into the core Docker project, putting the basic container runtime in a conflict with a notable part of its ecosystem. Docker Inc. then went on to essentially accuse Red Hat of forking Docker – at the Red Hat Summit no less. After that, Docker Inc’s Solomon Hykes came out strongly against the efforts to standardize the container runtime in OCI – an initiative his company co-founded.”
A fight over where to draw the line between free/open/commodified and costs/proprietary/competitive: “And while I personally consider the orchestration layer the key to the container paradigm, the right approach here is to keep the orchestration separate from the core container runtime standardization. This avoids conflicts between different layers of the container runtime: we can agree on the common container package format, transport, and execution model without limiting choice between e.g. Kubernetes, Mesos, Swarm.”
Don’t bring a pistol to a bazooka fight. Enterprises love RHEL – have you ever tried to sell Ubuntu into organizations? It’s like what selling NT must have been like.
This week we discuss Rackspace going private and the OpenStack cloud scenarios that could have been. We also cover Matt Ray’s first trip to New Zealand where, sadly, he finds no Power Ranger monuments. Also, a little bi-modal flavor for ya.
Check out the full show notes (https://cote.io/sdt70) for links to the recommendations, conferences, and tech news items we didn’t get to cover.
“MSPs need to work with customers to convert their infrastructure to Platform-as-a-Service using microservices architecture,” said one AWS partner. “They also need to bring DevOps into the heart of the organization. Unfortunately, most MSPs don’t have the developers that truly understand this.”
“Few AWS Partners Are Really Surprised By Sentinel’s Emergence“
Is anyone minding the business side of these container orchestration plays? That’s the main topic we discuss after doing over recent Docker announcements. We then discuss the state of tech journalism and throw out a free business plan for left-ish fried chicken slinging.
If you chose a provider, you do not get to just point your finger at them in the post mortem and say it’s their fault. You chose them, it’s on you. It’s tacky to blame the software or the service, and besides your customers don’t give a shit whose “fault” it is.
With two surprise acquisitions this week we have a lot of synergies to discuss. We cover Samsung picking up Joyent, and Microsoft buying LinkedIn. Highly related is a recent article trying to explain what’s going on with private equity buying tech companies. Then, we discuss the big news from chef we’ve been waiting for: the announcement of habitat.
Check out the full show notes for links to the recommendations, conferences, and tech news items we didn’t get to cover: https://cote.io/sdt66.
Login with LinkedIn + AD = SSO won. Also: “Massively scaling the reach and engagement of LinkedIn by using the network to power the social and identity layers of Microsoft’s ecosystem of over one billion customers. Think about things like LinkedIn’s graph interwoven throughout Outlook, Calendar, Active Directory, Office, Windows, Skype, Dynamics, Cortana, Bing and more.”
“Along with the new growth in our Office 365 commercial and Dynamics businesses this deal is key to our bold ambition to reinvent productivity and business processes.” (MSFT CEO, from MSFT internal memo)
Ads and dumb-AI context: “This combination will make it possible for new experiences such as a LinkedIn newsfeed that serves up articles based on the project you are working on and Office suggesting an expert to connect with via LinkedIn to help with a task you’re trying to complete. As these experiences get more intelligent and delightful, the LinkedIn and Office 365 engagement will grow. And in turn, new opportunities will be created for monetization through individual and organization subscriptions and targeted advertising.” (MSFT CEO, from MSFT internal memo)
LinkedIn growth since Dec, 2008: “Our team has grown from 338 people to over 10,000, our membership from 32M to over 433M and our revenue from $78M to over $3 billion.” (MSFT internal memo).
Others from memo: Lydia training inline in MSFT apps; paid content in MSFT apps (a la Spiceworks); HR and recruiting.
Deal PR deck – pretty good. I can see how the social graph and all the “semantic web sit” in LinkedIn, crossed with MSFT assets works well.
I-banker stuff: “Microsoft will pay $196 per share to acquire LinkedIn, a 50% bump up from where it was trading ahead of the deal announcement, although well behind the $250 each share was worth in November. The price tag values LinkedIn at 8.2x trailing revenue.”
“The company [Microsoft] must find new ways to differentiate. Integrations with LinkedIn offer potential functionality that will be challenging to duplicate. When the two companies are joined, there will be multiple ways that LinkedIn’s member network, and the data from that, will go into improving Microsoft’s Office and Dynamics apps, besides the other benefits from running a combined company.”
“LinkedIn’s tools for recruiters account for 58% of the $860m in revenue it generated in the first quarter of the year [so, $3.440bn run rate]. When combined with educational material from its Lynda.com acquisition, HCM tools make up 65% of sales. Tools for marketers and premium subscriptions (including its offering for sales teams) each make up less than 20% of the business, and are the slowest growing parts of the business.”
“Microsoft is the world’s largest software developer, with about $100bn in sales and a $400bn market cap.”
The theory seems to be: SaaS companies are undervalued, and PE firms are looking to buy cheap assets and grow them, and re-exit them. This vs. the usual cut costs and re-exit then. Of course, Qlik and Ping aren’t SaaS.
Habitat centers application configuration, management, and behavior around the application itself, not the infrastructure that the app runs on.
Habitat is comprised of plan and build system, a supervisor, an HTTP interface on that supervisor to report package status, a depot, a communication model for disseminating rumors through a supervisor ring, and many other components.
“Greene is also tapping her VMware Rolodex, talking with big enterprise rivals like SAP SE, Microsoft and Oracle, to get more of their products into the Google cloud. That’s must-have for some large companies, which need prepackaged software from these providers to run their businesses. No Oracle or SAP products are available on Google’s cloud today. Microsoft and Oracle declined to comment, while SAP confirmed early talks.” From Jack Clark’s Bloomberg piece.