SoftLayer ups RAM, drops storage and compute costs

SoftLayer rejigged its cloud pricing

SoftLayer rejigged its cloud pricing

SoftLayer announced new pricing model it said would make the company more competitive among other cloud providers, in part by not charging for many of the networking costs.

“While other cloud providers advertise “low” prices for incomplete solutions, they neglect to mention extra charges for essential resources like network bandwidth, primary system storage, and support. At SoftLayer, our servers already include these necessary resources at no additional charge,” the company explained on its blog.

“Our new pricing model includes a redeveloped ordering and provisioning system that offers even more granular pricing for every SoftLayer bare metal and virtual server, from the processor to the RAM, storage, networking, security, and more.”

It also announced location-based pricing, meaning the company will uniquely price cloud services based on datacentre location.

Under the new cost model compute (dual Xeon ES-2620 4U processors) and storage costs dropped while RAM prices increased slightly – though the company said users can expect to save close to 40 per cent overall.

The latest round of cloud cost cutting follows similar moves from others to strip out fees and drop cloud service prices. AWS, Google and VMware have all adjusted their pricing downward in the past few months.

Public or private cloud storage? The industry’s growing so quickly, you can have both

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A recent survey from cloud storage and data protection hardware provider CTERA Networks found that while employees at more than half of organisations use public file, sync and share services, almost three quarters said they were looking for an alternative.

The report recognised what CTERA highlights as a growing interest and need for enterprise-grade, private cloud storage solutions. Box portrays itself as primarily an enterprise player, most recently announcing a partnership with IBM, while the number of Dropbox business users has recently crept over eight million. Like it or not, these services continue to gain wide adoption.

Rani Osnat, VP strategic marketing at CTERA, told CloudTech there were few surprises in the survey, released earlier in June, but there is room for both public and private. “There are two ways you can look at these results,” he said. “[There] is bigger adoption of SaaS services, but companies view them as more of a temporary solution, and eventually they want to take these solutions in-house.

“The other conclusion you can draw is the market is growing so much there is room for both of these things,” Osnat added. “Companies like Box will continue to grow while private deployments also grow in parallel; these things will live side by side.

“I think there is not one answer that is correct. They are both relevant,” he explains. “We certainly see from our own perspective of the market that when you talk to larger enterprises, especially the ones that are in regulated industries like banking or insurance, or healthcare, they definitely have a strong preference for private cloud solutions. They have the know-how, and they have strict security and compliance requirements that are not entirely satisfied by solutions that utilise a public cloud infrastructure.”

Osnat argues that, while the likes of Box and Dropbox have made a concerted effort at greater security, more still needs to be done. “When you look at cloud in general, and you say ‘I’m going to take my data, I’m going to store it somewhere that’s outside my own data centres’, that already is a big hurdle to cross for many companies.

“What you need to do is wrap enough security around it for that company to feel at least as comfortable with that concept as they do with storing it in-house.”

Regarding key management, the CTERA VP is relatively dismissive: Osnat notes that Box’s solution ‘is much better than not having it’, while describing key management in Dropbox as ‘definitely sufficient for enterprise use.’

“It’s a very touchy issue with enterprises,” he explains. “Some of them will use these services on a departmental level, or some level with strict controls over what type of data can be shared with these services, but at the same time we know they all wish they had something better, and that’s what we’re trying to give then.”

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