Google Cloud NEXT Tel Aviv has been an impeccably organised and executed tech event, a pleasure to attend and participate. It’s all business and learning and lively atmosphere; less shallow talks, less IT executives with pre-cloud reminiscences, less politicians, less retired generals boasting Israeli cybersecurity superiority, all those too common features of Israeli conferences.
Google is coming hard and fast after traditional IT still dominated by IBM, Oracle and SAP. No wonder that IBM revenues decline for 5 years in a row disrupted by Google and Amazon cloud services. It’s not a frontal brutal force offensive, Google raises up, educates and supports a whole new generation of developers with microservice mentality. Google essentially says to developers: focus on what you want to do, on your key app only, don’t waste your efforts on building infrastructure – we’ll give you infrastructure and all tools to integrate and manage it on bootstrapping budget. Google disrupts a monolithic legacy IT structure shred by shred introducing more and more legacy-free products and services, like Function as a Service tools also known as serverless data tools. By doing so Google definitely cannibalizes its own enterprise-level products and services but Google does not care, it just gives to developers what they want. This approach is so different from corporate ways of legacy IT giants with their mind-boggling complexity of dinosaur suits forever stuck in Byzantine web of devious pricing models. And this approach works, more for small and medium enterprise and less so for large corporations yet time works for Google and running out for old IT giants. New generation of developers view monolithic legacy IT systems as dinosaurs, unnecessarily overcomplicated unmanageable obsolete structures that should be gradually replaced by distributed fabric of intermingling APIs and microservices.
IT market is past the phase of fast growth spurred by rise in computing power in 1990s and mobile in 2000s. Big Data boom has not happened, being re-branded now as artificial intelligence (AI). Now it’s all about real productivity gains that’s where growth is. Increased rates of legacy systems’ cannibalization obscure the real growth in IT market. Google and Amazon are the leading forces today shaping a new IT market – lean, robust and dynamic.
Implications for Government IT Market:
Radical Modernization of US Federal IT Could Save $20 Billion Annually
Modernization of the U.S. Federal Government IT, Market Scenario