The Cloud again -- Beware of the Hidden (and not so hidden) Costs

[jimbo45]

Hi all

Here's another projection of Cloud Computing -- but buried in this is I think the business model that we as individual consumers will really dread -- you pay for your software by USE rather than as an outright purchase.

BBC News - Cloud computing 'could give EU 763bn-euro boost'

Like all these things the Sales blurb will emphasise that it really is cheaper --but to individuals that's meaningless -- for example it *could* be cheaper leasing a car rather than buying one but if you are like me who has a perfectly good running 7 year old vehicle that doesn't have any "depreciation" and is very reliable in no way is leasing a car going to be cheaper for me in any shape or form -- and it would probably be a hideous small car not a nice large comfy BMW either.


Apart from the security and other issues mentioned with the Cloud I think the pay for "By Use" model will definitely be HUGELY expensive for individual consumers -- the only reason companies are looking at this model is actually to increase their revenue stream.

Cheers

jimbo

 

[Lomai]

Thanks for the article Jimbo.
Is this why some countries are interested in rolling out broadband access to all citizens?

Take care and regards

 

[wpurcell]

Right on jimbo. You can bet that if any big company is doing anything, it's not for "the consumer", but for the "bottom line". "Caveat emptor" indeed!

 

[Bearcatrp]

When Microsoft and some others started the cloud idea some 10 years ago, one of the ideas was it would stop software piracy. That I can see but to rent or lease our software will ream all consumers. No way will I want any work I do on someone else server. I can see Linux getting more customers when they start forcing us into the cloud.

 

[Trucidation]

Apart from the security and other issues mentioned with the Cloud I think the pay for "By Use" model will definitely be HUGELY expensive for individual consumers -- the only reason companies are looking at this model is actually to increase their revenue stream.

What happens if your current OS license expires - you can only login to a credit card information page instead of your desktop, meanwhile your programs and data and everything else is held hostage by the license's DRM?

Hyperbole, but not entirely impossible especially since your data is "out there" instead of safely in your hands. At least now if something goes wrong you can take the drive out of the bad server and mount it elsewhere. But if the Cloud decides you aren't BFFs anymore (for whatever reason)... you're hosed.

 

[n0th1n9]

Not to mention that if you want to migrate all your data to another cloud, you're probably going to have to get congress envolved and/or pay a pretty expensive fee to end your contract after paying a migration fee.

 

[pparks1]

Piracy is one thing, being able to access your data from anywhere is another thing, having an IT staff that can manage the stuff and keep it working for your business is another thing, there are lots of reasons for the cloud environment.

This forum site is like my knowledgebase software, and it's run in the cloud. I don't mind my personal posts and data being presented here.

 

[wilywombat]

Good post, but let us not forget...upgrading our OS to a cloud based system is (or should be) a voluntary act, we dont HAVE to. We can always keep what we have or move to a linux type OS. Should we keep letting them lead us by the nose all the time or should we react and make sure they understand that it is US that owns the machines and not them?

 

[pparks1]

Good post, but let us not forget...upgrading our OS to a cloud based system is (or should be) a voluntary act, we dont HAVE to. We can always keep what we have or move to a linux type OS. Should we keep letting them lead us by the nose all the time or should we react and make sure they understand that it is US that owns the machines and not them?

This is absolutely true. There are options out there. It's often just a matter of willingness to put the time and effort into learning something new and doing things a different way.

 

[jimbo45]

Hi there
I don't think ANYONE has problems with short Transactional data on the Net -- we or most of us I'm sure l use ATM's , buy plane, train tickets and other stuff on the Net, pay with Credit or Debit cards in stores and Restaurants and access Internet Banking with scarecly a murmur.

Where the Cloud will make a difference is

a) in the way you pay for Software - likely to be HUGELY more expensive for Individuals since you pay by usage. Companies may well get a "cheaper" model but don't rely on it. People like MS, ADOBE etc aren't going to want to reduce their revenue stream.

b) customisation -- you won't be able to customise a Cloud OS significantly until everyone gets their OWN Virtual Machine

c) being able to add your own hardware and and software could also be problematical.


As I see it the Cloud is more suited to "Boring type Corporate" systems which need stability and aren't using cutting edge technology or eseoteric hardware devices.

A stupid one but often overlooked -- you are still in general going to want LOCAL printing.

I don't think there's a LAN on this planet that doesn't have or has had some printing problems.


Bandwidth for Backup / Restores will also be a problem -- we could be talking several HUNDRED TB a WEEK for a large organisation.

Given the recent events where even Militiary Secrets have been left in Briefcases in Taxis or on the London Underground I suspect that Data security has a HUGE way to go before any company goes whole heartedly into this type of operation.

Since some of this data will only be available ONLINE people will copy it to USB devices and the like to use when not online with all the security risks that THAT scenario poses for example Fragile Technology: Childrens' personal data found on memory stick in taxi.


Cheers
jimbo

 

[wilywombat]

Fair points jimbo, how much could you trust cloud computing with your banking details or if you wanted to write personal details in a letter to someone? How often would the cloud program "autobackup" the document you are writing? where will it autobackup to? the cloud of course!! And, as we all know, we can trust them to completely remove all the autobackups once we have finished writing!!....can't we??????.......

 

[Brian6121990]

Clouds...sometimes it rains and sometimes it has got to bring our the suneshine.

 

[HerrKaLeun]

I think leasing/renting software only would be worthwhile for occasional users of expensive software.
An OS cost $ 70 or so and I can use it for 5 years and use it every day. What woudlb e an attractive leasing rate? $ 1 per month? One has to be pretty poor to not be able to pay that OS at once. There would be more overhead with leasing such small cost.

Teh situation would be different with expensive software (Autodesk Revit for $ 7,000 + $ 700 annual subscription). If I use it full time I can pay for it. But if I'm only a side-job engineer, I only use it 100 hours a year and leasing would make sense.

It would be interesting to see hwo they track time of usage. Here at work I have my CAD files open all day, but on some days I only get to do actual design for an hour, or not at all (this is my lunch right now, in case you are wondering if being on forums causes me to do so little design work . I'd hope my employer doesn't need to pay CAD rental for 10 hours if I just open the program.

Again, since an OS is used all the time, leasing wouldn't make sense.

 

[indianacarnie]

I think it's kinda scary myself. For business ..... maybe (with major reservations). For the rest of us..... scary. The people pushing this are not in it to be altruist's you can bet. No..... just another way to cash in at the average persons expense. Security/Privacy issues aside all i see is a big money grab coming out of this.

You go wileywombat!

 

[mr pc]

I'm sure Identity Theft victims are very eager to trust all their data to the "Cloud"

This is just plain silly - we all know that data no matter what the form is in danger of compromise, so why entrust it to people/places/and things we cannot even ensure is relatively secure.

I know I try my best to secure my data on my machine, if I compromise it - that is my fault.

We all seem to share the same suspicion that this is a scheme to make more money: increased internet charges, server charges, OS/software usage charges, and I'm sure other unknowns will be tacked on for good measure.

And how will liability be handled? If they make everyone use the Cloud (ie: all programs that are of value are converted to web-based only) - then it is their service and those who are providing this service who will or at least should be held liable for any corruption/compromise/blockage of data.

Oh - that's what Cloud Insurance is for, who wants some? I'll be a certified agent when the time comes!

To the Cloud!

 

[Fayla]

The cloud will be the dream 'honey pot' for hackers to target and a great financial spin off system for all the companies involved as you just pointed out

I'm sure Identity Theft victims are very eager to trust all their data to the "Cloud"

This is just plain silly - we all know that data no matter what the form is in danger of compromise, so why entrust it to people/places/and things we cannot even ensure is relatively secure.

I know I try my best to secure my data on my machine, if I compromise it - that is my fault.

We all seem to share the same suspicion that this is a scheme to make more money: increased internet charges, server charges, OS/software usage charges, and I'm sure other unknowns will be tacked on for good measure.

And how will liability be handled? If they make everyone use the Cloud (ie: all programs that are of value are converted to web-based only) - then it is their service and those who are providing this service who will or at least should be held liable for any corruption/compromise/blockage of data.

Oh - that's what Cloud Insurance is for, who wants some? I'll be a certified agent when the time comes!

To the Cloud!

 

[DustSailor]

From:
http://www.microsoft.com/sqlserver/en/us/product-info/whats-new.aspx
I opened control panel and discovered this program installed, somehow.
I don't want cloud, and its all i can do to keep it out of my system lol. I notice a huge push for 'cloud' ever since Windows photo and movie maker weren't included in Win7, or rather the beginning of a huge push

 

[Tepid]

Piracy is one thing, being able to access your data from anywhere is another thing, having an IT staff that can manage the stuff and keep it working for your business is another thing, there are lots of reasons for the cloud environment.

This forum site is like my knowledgebase software, and it's run in the cloud. I don't mind my personal posts and data being presented here.

Your personal Posts and data being presented here are in the open.
Are you going to post your financial records out here? No.

For some Corporation, an internal Cloud is fine.
But they are not talking about corporations only.
The commercials on TV are not there just for the small and medium business people.
They know they are going to attract the individual also.

What the individual's do not see, is the bigger picture.
Some, a lot of them think, "Oh, I'm cool, I use the Cloud." , "I'm like a Vapor Mist and my family all have access to what I put out there, all my pictures, and everything."

You know, that is ok, to an extent, and if you want to.

Just wait. I can not wait for it to all come crashing down.

This is where things are heading. Things will be forced in this direction.
Thankfully, Linux does exist.

Trust me when I say, this is going to go down as hard as AOL did in it's final days.
Unfortunately, it will not be as quick I do not think. Not till the real word gets out there. Which I am spreading.

Beware the Cloud. It's not a slice of heaven you want anything to do with.

 

[mr pc]

Some, a lot of them think, "Oh, I'm cool, I use the Cloud." , "I'm like a Vapor Mist and my family all have access to what I put out there, all my pictures, and everything."

You know, that is ok, to an extent, and if you want to.

What I find funny is - the demographic the MS "Cloud" commercials are selling to have no idea what Absolute Cloud Computing is. What I find even more odd is that MS is pushing their "Cloud" campaign more than Google who is strictly developing a Cloud OS.

Why are they equating long used social networking outlets (photo sharing, video, etc.) as The Cloud? This is the easing in part. Like you said people will think they are already part of the Cloud and will eventually be glad to sacrifice substantially more delicate aspects of their computing as time goes on.

In a way that's how it's working now with Privacy/financial information right?

 

[zEric7x]

But what if you cant get online? What then? I rather install things on my own computer.