
Terry Storrar at Leaseweb explores the Cloud Conundrum
Many of today’s digitally-centric startups seek to achieve a business model which facilitates fast growth and attracts investors. Part of the reason for this is that the window of opportunity to secure market share can be relatively brief. Hence the need for the kind of business and technology agility that has become synonymous with 21st-century commerce.
From a tech infrastructure perspective, this means that many startups start building their apps in a public cloud with no upfront expenses and incentives that encourage them to sign up. These services are popular, reliable, and give startups a lightning-quick way to get themselves established online.
While this is fine in the testing phase, when the success of an app grows, it often becomes clear that there is a price to be paid, and that price is in the shape of high costs and inflexibility.
For instance, when a digital business reaches the Minimum Viable Product phase and perhaps attracts some investment capital, platform optimisation becomes significantly more important, and things often need to be done fast and right the first time around. This applies to the architecture of the application as well as the selection of the underlying platform, and to hit the right balance of capabilities and performance, many organisations see a hybrid cloud as the ideal solution.
But why do companies choose to move away from a hyperscale provider at this stage? While hyperscalers offer a useful option for startups building new applications, a recurring problem is that users have to pay for a set and inflexible level of capacity – often per hour – no matter their usage requirements. This can be a bit like paying for a weekly train ticket when you only make the trip a few times a month – it just doesn’t make financial sense.
Moreover, as the startup grows, the need for tailored solutions, security enhancements, and data sovereignty becomes paramount, and these factors do not always align with a hyperscale provider’s default offerings.
Understanding the needs of digital startups
Understanding a startup’s precise needs is particularly relevant considering the typical application is likely to be made up of distinct elements, ranging from storage and computing to bandwidth. While some of these components will be required all the time, others will not, and it’s this baseload that startups need to understand so they can predict their needs ahead of time.
These parts of the infrastructure are often well suited to being looked after by a hosting service provider, with some startups even entering into multi-year agreements to control costs.
In addition to the baseload, many startups will need to allocate computing, storage and networking resources to a range of specific operational tasks each month. Whether it’s application updates or managing peak traffic requirements, they can often be scheduled in advance, and startups will generally find that running via a private cloud service can deliver the flexibility required based on a monthly subscription model.
For those infrastructure requirements that are less easy to plan for and predict, such as fluctuations in capacity demand, the ad hoc service provision offered by the public cloud providers can help a startup keep up with changing circumstances and burst events.
Furthermore, using a combination of both private and public cloud services provides startups with a robust strategy for scalability, ensuring they are well-equipped to handle unexpected growth spurts or sudden market shifts without incurring excessive costs or compromising on performance.
Flexible and efficient cloud management
With these foundations in place, startups should keep some key points front of mind if they are to retain the control and flexibility increasingly seen as must-have requirements in the digital startup ecosystem. These include:
Ultimately, the key is striking a balance between ease of use today and retaining flexibility that may be needed tomorrow. Avoiding vendor lock-in is wise, but over-engineering prematurely should also be avoided. Adjusting architecture as needs evolve allows for an agile response to emerging business requirements.
With proper planning and gradual migrations, an application can maintain both usability for current needs and adaptability for future growth.
Terry Storrar is Managing Director UK at Leaseweb
Main image courtesy of iStockPhoto.com

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