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As enterprises seek to minimize IT infrastructure costs while avoiding vendor lock-in, there is a rising trend towards cloud computing solutions. With an excess supply of CPU hours available and diminishing product differentiation among providers, we propose the establishment of a marketplace for trading fungible cloud computing units. We posit that enterprise customers will embrace this marketplace to procure hosting capacity, and that excess capacity will motivate sellers to participate, supported by the development of secure and interoperable virtualization technology across different platforms.
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Gavad • Enterprises increasingly look to cloud computing to reduce their IT infrastructure costs, and fear vendor lock-in • There is an excess supply of CPU hours available for resale • Cloud computing providers are no longer differentiating on the product side • We will define a fungible cloud computing unit and create a marketplace for trading
Three Assumptions • Enterprise customers will be willing to purchase hosting capacity in a marketplace • Excess capacity exists, and potential sellers are incentivized to sell and willing to take the required steps • Virtualization technology can be developed that is safe, secure and interoperable between different seller machines