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July 25, 2007


Kevin Tunis

So where does this put Microsoft Partners that have invested in their own data center and hosted SaaS services?


In my opinion there is a lot more awareness of replication amongst the business application community. Salesforce.com has multiple data centers since they have strict SLA's to satisfy and any data loss could result in them going out of business. The companies that were affected were mostly free services so the impact was bad but not critical. As they mature where any down times would prove disastrous, they'd have enough saefguards in place since this is just a question of adopting a policy since most of the pieces needed to get business continuity have already existed for a while.

Sandeep Sharma

I probably could not get the complete message of this article.

People understand pitfalls of free services and so does business. If users see value of services provided by any company then they would stick to them. After some time data center investment of this size would become norm for online business and it would not provide any strategic advantage. Giants like Microsoft and Google can not make people move from Craiglist of Wiki just because of data centres.

Don Dodge

Kevin, I don't think Microsoft intends to compete with partners in the hosting business or in SaaS applications. Microsoft is building the data centers to host its own business, and as a platform for Windows Live, Office Live, and future hosted services.

ValleyBlog and Sandeep, I agree that free services can get by with less than perfect hosting services. Businesses require much more sophisticated and expensive data centers. It is the people/businesses in the middle or on the edges of the divide that will get hurt because they aren't clear about what they need.

Thanks for the comments. I appreciate you taking the time, and I always learn something when I think about how to respond.


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