Cloud Trends Nov2015 Structure

State of the Cloud and Container Ecosystems

Adrian Cockcroft @adriancoTechnology Fellow - Battery Ventures

November 2015

See www.battery.com for a list of portfolio investments

Previous Cloud Trend Updates

GigaOM Structure May 2014 D&B Cloud Innovation July 2015

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Trends from 2014: Noted as appropriate

Cloud Adoption

@adrianco’s job at the intersection of cloud and Enterprise IT, looking for disruption and opportunities.

%*&!”

By Simon Wardley http://enterpriseitadoption.com/

20142009

Example: Docker wasn’t on anyone’s roadmap for 2014. It was on everyone’s roadmap for 2015.

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ContainerEcosystem

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Cloud Ecosystem

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EnterpriseSaaS

Container Ecosystem

Rapid adoption Rapid evolution New Standards Lots of Players

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Adoption Build - Deploy - Run

Low friction Portability

Agility

Different Use Case for Docker

Most often, containers live for zero or one minute…

Test workloads?

Evolution Pluggable Networking

Pluggable Storage Pluggable Orchestration Security enhancements

Ecosystem Standards Bodies

OCP - runC subset of Docker Portable runtime format

CNCF - superset of Kubernetes Includes Mesos and more

CF - vendor coordination (IBM, HP) Roadmap management runC commitment

Docker’s own view of their ecosystem

Lots of startup activity in Docker management/security More monitoring and logging tools adding Docker support

Docker in Production 2014 - DIY frameworks

2015 - Hardening and best practices 2016 - Mature production tooling

Cloud Ecosystem Matures 2

Staying Power Support Scale Location

Trends from 2014: Even more emphasis on location

In 2014 Enterprises finally embraced public cloud and in 2015 serious

deployments are under way.Oct 2014 Oct 2015

Safe Bets

Trends from 2014: AWS share vs. Azure still growing AWS growing 80% year on year, Enterprise share growing fast

Azure providing strong Linux and Open Source support

The Global Land-Grab

AzureAWSGCE

20 Regions11 Regions4 Regions

http://aws.amazon.com/about-aws/global-infrastructure/ http://azure.microsoft.com/en-us/regions/ https://cloud.google.com/compute/docs/zones#available http://www.google.com/about/datacenters/inside/locations/index.html

India, UK, Korea coming in 2016

Trends from 2014: AWS and Azure go after big markets Google focused on low cost sites

Questions we keephearing about cloud

Do you need $Billions to compete in IaaS?

Simplicity for Developers

May 2013 10,000May 2014 190,000May 2015 500,000 http://trends.netcraft.com/www.digitalocean.com

Web Facing ComputersRanked 2nd to AWS since May 2015

Trends from 2014: growth rate slowing

Questions we keephearing about cloud

Who is challenging VMware for in-house

cloud automation?

Battle for the Private Cloud

Stability Functionality Total Cost of Ownership

Vendors co-opt and fragment OpenStack

SaaS3

Everything Enterprise Everywhere

Where is the fastest growth in SaaS?

Questions we keephearing about cloud

Top SaaS Investment Areas

Many thanks to Kartik Sundar of quid.com for pulling this data

SaaS Investments

#1 Application Performance and Lifecycle Management

#2 Accounting, BPM & ERP

#3 Sales and Marketing

Top SaaS Investment Areas

Many thanks to Kartik Sundar of quid.com for pulling this data

Analytics Platforms “Big $ for Big Data” was big in 2013

Top SaaS Investment Areas

Many thanks to Kartik Sundar of quid.com for pulling this data

Talent Management addressing the skills shortage?

Top SaaS Investment Areas

Many thanks to Kartik Sundar of quid.com for pulling this data

Healthcare IT Investing in Affordable Care?

What Next?

Some enterprise vendor responses to cloud and container

ecosystem growth…

The ship is sinking, let’s re-brand as a submarine!

The ship is sinking, let’s merge with a submarine!

Look! we cut our ship in two really quickly!

Trends to watch for 2016:

Serverless Architectures - AWS Lambda

Teraservices - using terabytes of memory

Thanks!Adrian Cockcroft @adrianco

http://slideshare.com/adriancockcrofthttp://github.com/adrianco

Technology Fellow - Battery VenturesNovember 2015

See www.battery.com for a list of portfolio investments

Security

Visit http://www.battery.com/our-companies/ for a full list of all portfolio companies in which all Battery Funds have invested.

Palo Alto Networks

Enterprise IT

Operations & Management

Big DataCompute

Networking

Storage