Archive for August, 2010

Eli Lilly Cloud Hosting Problems

Friday, August 6th, 2010

Last week reports surfaced indicating that Eli Lilly, a marquee customer of Amazon’s Web Services, had decided against expanding its use of the hosted services after the companies failed to agree on liability terms. Some analysts have concluded that Amazon is essentially unwilling to negotiate contract terms and may not be serious about targeting enterprise customers.

Amazon cloud hosting services (AWS) has declined to comment on the specifics of its contract with Eli Lilly, but said that the pharmaceutical company continues to be a customer of Amazon’s Web Services and that both companies are pleased with their current relationship. Eli Lilly also confirmed that it continues to employ a variety of Amazon Web Services.

In an interview, the head of Amazon’s Web Services said that the company does negotiate contract terms with enterprises and is interested in attracting customers of all sizes. He also said that large companies may need to adjust their expectations when starting to use the cloud.

“We absolutely negotiate enterprise agreements with enterprises who want something more tailored” than the stock customer agreement that Amazon offers on its Web Services sites, said Adam Selipsky, vice president of Amazon Web Services.

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The Planet And Softlayer Agreement

Friday, August 6th, 2010

As many of you know, The Planet is located in Houston and has been there for four years since its move from Dallas.  Investors are considering moving the company back to Dallas as part of a possible merger with a related Internet hosting company SoftLayer.

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The company is in talks to merge with the Dallas located technology company SoftLayer, which recently sold a 70 percent equity stake to the same investors who brought The Planet to Houston, officials for both companies said Thursday.

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“There’s a tremendous amount of consolidation going on in the hosting business,” said The Planet CEO Doug Erwin. “We happen to both be owned by a company that’s high on what’s going on in the hosting business.”

I don’t know if any of us realize how big of a deal this could be but the newly combined company would have more than 25,000 customers and about 78,000 servers under management. It would be the second-largest Web hosting company in the U.S. based on revenue, behind only San Antonio-based Rackspace.  Cloud hosting would be set to a whole new level.

That would mean more than 78,000 cloud servers would be controlled by one company, this will be a huge deal.  With more than 350 people working for the two companies, this will make them the 2nd largest cloud hosting company in the world.

By the numbers

Comparing The Planet and SoftLayer:

Annual revenue

The Planet: $160 million

The Planet: $160 million

• SoftLayer: $120 million

Employees

• The Planet: • 525

• SoftLayer: 160

Servers managed

• The Planet • : • 48,000

• SoftLayer: 30,000

Web sites hosted

• The Planet: • 15 • million

• SoftLayer: 5 million

Data Centers:

• The Planet: • 8

Softlayer: 4

Source: The Planet

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Green Cloud Hosting Initiative

Friday, August 6th, 2010

XPC Web Hosting announced that they have launched a green cloud hosting initiative. Over the past month XPC has successfully moved their entire hosting operation into the RackForce Cloud hosting system located in the GigaCenter green data center in Kelowna, British Columbia.

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“As a business grade web hosting company in Vancouver we are proud that our operations are now located in the RackForce GigaCenter and running off their enterprise cloud solution.” says Shone Anstey VP operations for XPC Web Hosting. “In addition our clients have expressed their approval and excitement to have their websites at such an eco friendly environment.”

“XPC Web Hosting has been with RackForce for almost 2 years now. They are a fast growing web hosting company and recently needed to add more powerful infrastructure to meet their growing needs.” Brian Fry, RackForce Vice President – Sales and Marketing “By migrating their operations to the RackForce enterprise cloud infrastructure they have positioned themselves for rapid growth.”

XPC Web Hosting is hoping that this will help all cloud hosting companies to go green.  Green cloud servers is the way of the future and will help save our planet.  Only by stepping  up today will help our planet.  I think it’s a great idea that they are stepping forward and standing up for what they believe.  I wonder how much money it costs to become a green cloud hosting center?  Does anyone know?

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