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OpenStack Summit Austin – Cloud Computing's 2nd Major Inflection Point


OpenStack Summit Austin – Cloud Computing's 2nd Major Inflection Point


Strong turn-out by large enterprise customers at OpenStack Summit AustinStrong turn-out by large enterprise customers at OpenStack Summit Austin

Despite the hot and humid weather at the OpenStack Summit 2016 in Austin, there was more than the usual sea of hoodies, there were sport coat blazers too… and a lot of them. Just like the first OpenStack Summit (coincidentally in Austin and with 75 people) propelled OpenStack into a burgeoning community, this Summit was an inflection point. No longer vendor/contributor led, this OpenStack Summit was full of enterprise customers adopting as a cornerstone of their IT organizations transformation to Cloud.

Consider the following:

  • With record-breaking 7,500 attendees, nearly 2/3 were first timers to the OpenStack Summit. – OpenStack Foundation
  • OpenStack ecosystem revenue generated $1.2 billion in 2015, and will soar to $3.37 billion in 2018 (31% CAGR) – excluding non-OpenStack specific hardware – 451 Research
  • 150 IT executives from more than 60 different multi-national corporations, including banks, retailers, telcos, automakers, airlines and manufacturers joined us at HPE Textile – a dedicated facility for enterprise technical and ROI discussions and demos with HPE OpenStack PTLs, TC members and executives – HPE
  • Every lunch and dinner event this time was dominated by customer executives preparing major architectural shifts and executing business cases to transform to Cloud with the help of OpenStack, replacing prior Summit conversations led by developer/PTL code challenges around Trove, Neutron and so on – Me

The split of the Design Summit from the OpenStack Summit going forward, underscores this inflection point from an additional perspective.

Growth is reminiscent of where AWS was two years ago

This inflection point mirrors the AWS inflection point in early 2014 when their quarterly revenue began to soar. This week, Amazon reported 64% y-o-y growth in the AWS public cloud and has become the major narrative of the giant retailer even in the mainstream media.

Two years ago there really was not another cloud computing option that provided both easy sign-up, instant provisioning, and simple developer experience. Certainly, Microsoft Azure has quickly advanced. In private cloud, OpenStack was simply for the very few IT organizations and start-ups with both the skills and willingness to tackle it.

Compatibility is still a challenge as the public clouds remain really proprietary. But OpenStack is truly open. So, multi-cloud compatibility starts with private cloud (similar to HPE Helion Eucalyptus that mirrors 9 key AWS services). Much more work towards compatibiility remains.

HPE shifting with the inflection point with boots on the ground

HPE has spent the better of the last three years devoting significant resources to build, test and mature OpenStack and its critical projects. Release after release, HPE was often #1 in code commitments and code reviews (Stackalytics).

Here are some of the milestones with some of the greatest enterprise impacts:

  • HPE’s deep experience in IT Ops, helped drive Monosca as an Ops Console that combined some of the best of goals of other projects (Ceilometer and Horizon) but made Operations the first-class persona.
  • Like most open source projects devoted to solving a particular problem, security is usually not the initial priority. We made significant progress encryption, auditing and key management across a distributed infrastructure.
  • Tremendous investment in Distributed Cloud Networking with Neutron has greatly improved the ROI of a simpler, secure distributed environment.
  • Not everything was solved solely within the project. Replacing Triple-O with the simplicity provided by Ansible quickly eased customer deployment and lifecycle management.
  • HPE Helion OpenStack Carrier Grade, with high 9’s SLAs, has led service providers to see billions of dollars in savings by virtualizing network functions across their data centers (NFV).

With the project at a real inflection point and as OpenStack technology goes mainstream, we are shifting investments from predominantly building-the-project to predominantly in-the-field deploying the project. We believe every organization requires its unique Right Mix of cloud, and that includes a secure, scalable private cloud built on Helion OpenStack and general purpose public clouds too. It also requires integration with Traditional IT and requires a unique care of customer IP, sensitive data and local regulations. The OpenStack community is strong and the complexity has now moved to the customer's data center and their existing environments.

More Dev – Less Ops

Internet-of-Things powered by OpenStack private clouds was a significant theme at OS Summit AustinInternet-of-Things powered by OpenStack private clouds was a significant theme at OS Summit Austin

We see huge opportunities to further drive operational simplicity – and enable a better developer experience – by strengthening the bond of programmable hardware with open source software. Container-enabled infrastructure was a dominant theme at OpenStack Summit, proving now to be an actual catalyst for the 6+ year old project and a critical route to true multi-cloud continuous delivery.

Composable platforms – such as HPE Synergy – further the vision of infrastructure-as-code providing programmable control all the way to the Core(s). For service providers, our leadership role in the Open Compute Project (OCP) takes HPE Helion OpenStack to hyperscale, multi-center operations. For enterprise developers, we are integrating PaaS and containers with OpenStack using HPE Helion Stackato and delivering purpose-built configurations addressing your most important use cases. All together, this is the cloud platform for massive scale designed to survive failures, deliver 100% data locality and control, and offering ultra low costs... perfect for enabling the upcoming explosion of both Internet of Things and Internet of Experiences.

In all cases, organizations can realize time-to-value benefits through a transformative shift that ultimately is powered by more dev, less ops.

This is the 2nd most important inflection point in the history of Cloud Computing; customers win this time with more options, more control and open standards.


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Jan 30-31, 2018
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