Graham Weston, CEO of Rackspace, Talks about Cloud Computing

Graham Weston, CEO of Rackspace, discusses how and why the hosting industry is in the midst of a multi year shift towards the more efficient cloud computing concept.




Mosso, the cloud hosting division of Rackspace, launched earlier this year and is one of a number of companies to jump on board the cloud computing concept in 2008.

Part of Graham's interview transcribed:

Hosting is transforming the way companies buy computing. It's cheaper, it allows companies to focus, It allows IT departments to be more effective and you add all these things to together it becomes very compelling.

Cloud Computing is accelerating these things by dropping the cost even lower. Cloud computing is about pooling storage space, pooling processor power - when you pool things the price goes down. The question is who will businesses buy cloud computing from, and it's from the hosting providers, the people who been providing computing as a service for the last decade, ever since the web was invented. So we believe that computing is in the midst of a multi year shift from where every company had to all their computing in house, to where the IT department now has a partner to buy computing at a lower cost. So we think hosting has a big future ahead...

Cloud computing is ultimately about utilisation - most computers sit about doing very little most of the day so cloud computing allows you to take multiple computers, put them together and pool them - put the storage together, so the utilisation from one customer is offset against the idleness from another customer. This brings the utilisation of the servers up and the cost down...