Michael Dell: On-Premises Solutions Are More ‘Cost Effective’ Than Public Cloud For 85 To 90 Percent Of Workloads
@DellTechnologies CEO @Michael Dell said that with the rise of the #softwaredefined data center on-premises solutions are more cost effective 85 percent to 90 percent of the time compared to the public cloud. “What we have seen when you automate and modernize the infrastructure, software-define everything, and move up to the platform level, is that for the predictable workloads – which are for most companies 85 percent to 90 percent of their workloads – an on-premises solution is much more cost effective,” said Dell, in an interview with CRN Thursday. While public cloud vendors have built software-defined/automated IT services creating a very attractive interface for developers, those great technology advances are “not unique to the public cloud,” said Dell. “So what’s happening is this idea of automating everything and software-defining everything, and getting to kind of autonomous operations of infrastructure is occurring all across the computing spectrum,” said Dell. “So it’s happening in the private clouds, it’s happening at the edge, happening at the distributed core, public clouds, Software-as-a-Service, managed services – everybody’s going in that direction.” Dell said the issue of public vs. private cloud is a workload-dependent discussion. He pointed to Dell Technologies’ massive deferred revenue growth as evidence of the rise of on-premises private cloud/hybrid cloud momentum. Dell Technologies this month reported deferred revenue of $22.2 billion for its fourth fiscal quarter, up $3.6 billion year over year.