Cloud Computing Competitive Advantages
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How Cloud Computing Technologies are shifting the basis of Competitive Advantage Disruptive innovation at the Infrastructure level...
...spurs incremental and disruptive innovation at the Applications level...
Cloud Computing technology stack of Services (CCS) Benefits: scalability, immediacy, pay-per-use EX: Amazon Web Services
Existing and generic applications moved to CCS to benefit from cost-savings and performance-gains. EX: Microsoft Hosted Services
Industry-specific applications built in-house using CCS. EX: Financial modeling, Business Intelligence, Seismic Processing.
Innovative, third-party applications built using CCS and served either from it or transferred in-house, and focused on a specific activity or task. Usually innovative. EX: SlideRocket
...which enable Competitive Advantage creation...
Better Execution
New capabilities
Use CCS distributed economies of scale to improve execution performance.
Use CCS to either: 1) create in-house industry applications not possible or cost-effective without CCS 2) implement innovative business models or structures, based on a host of third-party applications enabling new capabilities
IT main actor involved, infrastructure level, little management disruption needed to succeed.
Joint IT/Business effort, disruption required to succeed.
...at different levels, and variable sustainability.
Global
Industry
Easy to replicate
Difficult to replicate CORE EDGES
Firm
May 09 - Link to accompanying post
...spurs incremental and disruptive innovation at the Applications level...
Cloud Computing technology stack of Services (CCS) Benefits: scalability, immediacy, pay-per-use EX: Amazon Web Services
Existing and generic applications moved to CCS to benefit from cost-savings and performance-gains. EX: Microsoft Hosted Services
Industry-specific applications built in-house using CCS. EX: Financial modeling, Business Intelligence, Seismic Processing.
Innovative, third-party applications built using CCS and served either from it or transferred in-house, and focused on a specific activity or task. Usually innovative. EX: SlideRocket
...which enable Competitive Advantage creation...
Better Execution
New capabilities
Use CCS distributed economies of scale to improve execution performance.
Use CCS to either: 1) create in-house industry applications not possible or cost-effective without CCS 2) implement innovative business models or structures, based on a host of third-party applications enabling new capabilities
IT main actor involved, infrastructure level, little management disruption needed to succeed.
Joint IT/Business effort, disruption required to succeed.
...at different levels, and variable sustainability.
Global
Industry
Easy to replicate
Difficult to replicate CORE EDGES
Firm
May 09 - Link to accompanying post
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