Who will win the battle for the cloud computing market in Ali and Amazon?

Ten years ago, whether in the United States, Europe or China, whether it was a large company or a startup, the idea of ​​deploying an enterprise IT architecture was exactly the same - buying servers, deploying an IT system, and providing information support for the company's business and strategy. . For enterprises, IT is not so much a strategy as it is a necessary expenditure.

Today, Silicon Valley or Beijing startups buy IT infrastructure unless they are “mad” because they can acquire IT capabilities by renting “public cloud” cloud computing services.

The so-called "public cloud" refers to the third party to provide users with computing power, database storage, applications and other IT resources through the Internet. Users do not need to build their own IT infrastructure, and can purchase IT services from third parties as needed.

The rules of the game are changed by Amazon.

At the end of 2006, the world's largest e-commerce Amazon began to develop these capabilities and experience after solving the problem of managing very large data centers and complex software systems. AWS (Amazon Web Services) came into being.

AWS's logic is simple, launching a public cloud service that allows startups to bypass a one-time, multi-million dollar IT hardware investment and switch to Amazon's IT capabilities through multiple small payments. This model has been a great success, with more than 80% of startups in Silicon Valley becoming loyal users of AWS.

AWS also ignited the global public cloud market. According to data released by market research firm Synergy Research Group in the first quarter of 2016, AWS alone accounted for 31% of the global cloud market. Microsoft, IBM and Google together account for 22% of the market, and cloud service providers from the 5th to the 24th share a 27% market share.

It wasn't until 2016 that the outside world really realized how much money Amazon's business made. In April 2015, AWS's performance appeared in the earnings report for the first time eight years after the company was founded. AWS's revenue for the first quarter was $1.57 billion, accounting for 7% of Amazon's total revenue, but it contributed 49% of Amazon's profits.

In the fourth quarter of 2015, AWS revenue increased by 70% to reach $2.4 billion. Amazon predicts that AWS will one day surpass its core business e-commerce in revenue and become a new pillar.

At the other end of the United States, Amazon’s Chinese student Alibaba Cloud has grown rapidly. Alibaba Cloud replicated AWS's business model, accounting for more than 31% of China's public cloud market share, exploding in 2015, with an annual growth rate of more than three digits. In 2016, Alibaba Cloud began to move out of China and directly confronted AWS. For this reason, eight new data centers were built around the world.

The focus of AWS and Alibaba Cloud has shifted. After the startup company, starting from the second half of last year, large and medium-sized enterprises and governments in key industries finally began to test the cloud computing business, and began to try to apply core business to the cloud, which means that public cloud services began to enter the mainstream market, no longer. It is exclusive to small companies.

Market research firm Gartner reports that the global public cloud services market is expected to reach $204 billion this year, with annual growth rates approaching 20%. According to forecast data from another research firm, Market Research, the global cloud services market will exceed $270 billion in 2020.

This triggered a new round of war on the public cloud platform. In addition to AWS and Alibaba Cloud, Chinese and foreign public cloud giants are rushing, and traditional IT giants are rapidly transforming their strategies to transform into the cloud computing market. But this market is by no means a zero-sum game of your life and death. Given the unprecedented openness and cooperation of the cloud market, future winners will be everywhere in the industry chain.

In 2010, Li Yanhong believed that cloud computing is a new bottle of old wine. Ma Huateng believes that cloud computing will become a hydropower-like infrastructure but it will take hundreds of years to realize. Ma Yun believes that "if we don't do cloud computing, we will die in the future."

Alibaba Cloud was established in 2009. Since then, it has been fighting for its internal application in Alibaba for many years. No one would have thought that Aliyun today has a 31% share of the Chinese cloud computing market.

In 2007, Alibaba's B2B business momentum is flourishing, Taobao and Alipay are growing, and the pressure on IT back-end systems is increasing. However, traditional software and hardware suppliers are slow to respond and it is difficult to come up with decent solutions.

Alibaba first looked for solutions from the software, this software reform program was deducted a fashionable hat - "SaaS cloud service."

At that time, Wang Tao, president of Ali Software, vowed to become China's best software company, but he was vacillating in the next two years: first pursued the platform strategy, and abandoned the platform strategy to take the application software package service B2B, and then launched the "business cloud." "concept.

The strategic swing has led to a dismal performance. Alibaba concluded afterwards that this is the result of "blindly chasing the wind." Wang Tao left, and the chief architect of Alibaba Group, Wang Jian, became the main trader of Ali IT Restructuring. This time, Alibaba was able to complete the transition from the old IT era (software deployment model) to the new IT era (cloud computing deployment model).

Wang Jian led the establishment of Alibaba Cloud in September 2009. Wei Zhe, then executive vice president of the group, stated that Alibaba Cloud will provide more services than Amazon Cloud Computing. "Alibaba hopes to use the two cores of cloud computing, mass storage and mass computing to serve the information technology of SMEs." .

However, like Amazon, the Alibaba Cloud platform is not output from the beginning, but is internally tested.

On the first day after the Spring Festival in 2009, when Wang Jian and his Alibaba Cloud team wrote the first line of code for the self-developed Feitian system, Ma Yun was asking Alibaba Cloud’s current president, Hu Xiaoming, to leave Alipay to start a business and set up Ali Xiaoyu (Ali). The predecessor of finance). Ma Yun demanded that "only the loan business of less than 1 million yuan is used, the data is used, and it must be with Aliyun."

SOLAR MODULE

MODULE PHOTOVOLTAIC

Wuxi Shengda Yukun Energy Development co.,Ltd , https://www.xlite-solarlight.com