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Yes, OpenStack is enterprise ready but it will need to keep up the momentum

Tamlin Magee | Nov. 1, 2016
The overwhelming number of businesses experimenting with OpenStack are now doing so for cost reasons

According to the full User Survey, available here, 72 percent of users polled cited cost savings as the number one driver for adoption.

This chimes with the results of two recent independent in-depth analysis from 451 Research - one the result of its Cloud Price Index, and another a deep-dive into OpenStack specifically. Just recently Dr Owen Rogers at 451 Group said that he believed the perception around lower TCOs could well be a breakthrough point for OpenStack.

Challenges remain

451's OpenStack Pulse report claims that business models based on OpenStack could well exceed $5 billion by 2020 - and grow at a compound annual growth rate of 35 percent. And like much of the noise generated at the Barcelona summit, analysts believe that it is in running private cloud in the context of multi-cloud environments where OpenStack will thrive, and container environments like Docker which are to be the most complementary.

In a statement, research VP at 451 Research Al Sadowski said: "This year OpenStack has become a top priority and credible cloud option, but it still has its shortcomings.

"We continue to believe the market is still in the early stage of enterprise use and revenue generation.

"We expect an uptick in revenues from all sectors and geographic regions, especially from those companies in the OpenStack Products and Distributions category that are targeting enterprises."

And, 451 Research suggests, the appeal of OpenStack is somewhat limited for legacy applications and enterprises that are happy to stay with the hyperscale vendors like AWS.


During one of the keynote sessions, 18 businesses joined together to demonstrate the interoperability of OpenStack along with running OpenStack test apps, which are to be made available. And although this is not new - and in some ways was part of the original appeal of OpenStack in general - the Foundation believes that this demo signalled a willingness for increased cooperation, which will ultimately benefit the end users too.

"Doing these kinds of things and continuing to put a focus on interoperability is really important because it keeps the vendors honest," said Bryce.

"I don't mean that to make it sound like the vendors are shifty or trying to do dishonest things - but it reinforces how important it is to the community, the users, and the foundation. All the companies wanted to participate in this, and they didn't want to be left out."

"We had 18," Collier said. "As soon as it became clear this was something people were looking at and expecting, no one wanted to be left out. I can guarantee you that from this point forward, any new version of a product based on OpenStack, there's no way they are going to ship without running against these tests to make sure it doesn't break - because now they know there's an expectation there."


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