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Cloud Computing – It’s that New Old Thing

     

Although the arguments over which was the first “real” computer rage on: is it the Zuse Z3, from Germany which was Turing complete but lacked conditional branching; is it the Colossus Mark 1, from the UK, which was programmable but not Turing complete; is it the ENIAC, from the US, which was both programmable and Turing complete but did not store any programmes onboard, or perhaps it was the Manchester Small-Scale Experimental Machine (or Manchester Baby as it was known), also from the UK, which was programmable, Turing complete and did store programmes onboard. Whichever is your personal choice, one thing is clear, they were eye-wateringly expensive.

How expensive? Well, in 1956, the Farranti Pegasus sold for 50,000 GBP, that was when the average house in the UK would set you back a mere 2,500 GBP. To put that in context for you, that would mean that today the average computer would cost you just over 3,000,000 GBP! Of course, back then, there was no such thing as an “average” computer. Not every household had one, in fact not even every business had one. To demonstrate just how rare they were, Ferranti only sold 26 Pegasus 1 and 12 Pegasus 2 computers – of course, that still made it Ferranti’s most popular computer.

So, if there were so few computers back then, how did computerisation work? Well, simply, you outsourced your computing entirely to something called a computer bureau. The bureau was there for companies that had neither the financial wherewithal to purchase their own computers, nor the expertise to program, operate and maintain such purchases. They worked by offering economies of scale; for a price, you could send your raw payroll data, for example, to a bureau and they would run the programs through the computer and return you the payroll output data.

Of course the downside of this was fairly obvious: you had to transport your data to the bureau; their computers had to, reliably, run the calculations – this at a time when an engineer had to carry out an hour of preventative maintenance on the computer every morning before anyone went near it! Finally, the finished output data had to be returned to you. All this had to happen without a single error, if any part failed then the whole failed and you were left without your data. Bad news if it was payroll data and you couldn’t pay your workers. Of course, actions in mitigation had to be devised – what would you do if you didn’t get your payroll data back in time? Well you could just pay last month’s payroll, as a temporary measure, and make the required adjustments in the following month.

Fast forward a couple of decades and the micro-processor comes on the scene. Computers plummet in price and every company who wants one can have one. They’re used for everything in the enterprise, from calculating the all important payroll, to the even more important managing the company’s lottery syndicate. Then something odd happens. Just as hardware is becoming simpler and cheaper we go and boik it all up by making the software more complex and more expensive. We add layer upon layer of abstraction; we have web servers talking to messaging servers talking to application servers talking to database servers and so on and so forth until the average company, not specialising in computing, throws up their hands and cries “Stop! Can’t I just outsource this into the cloud or something?”

And with that we’ve come full circle. Now, for a price, you can send your raw payroll data, for example, to a SaaS application in the cloud and it will do the calculation and return you the payroll output data. Of course, you may wish to have your own programs for your enterprise, but you might not want to be saddled with the cost of maintenance of the application and storage servers. Well cloud computing can help you there too. Just purchase compute time and storage facilities as you require, and spin up more servers over peak times, and spin them down again when you’re done. Maximum flexibility minimum cost.

Of course the downside of this was is fairly obvious: you had to transport your data to the bureau have to send your data to the cloud; their computers had have to, reliably, run the calculations – this at a time when an engineer had to carry out an hour of preventative maintenance on the computer every morning before anyone went near it! ISP can lose connectivity for days at a time. Finally, the finished output data had has to be returned to you. All this had has to happen without a single error, if any part failed fails then the whole failed fails and you were are left without your data. Bad news if it was is payroll data and you couldn’t can’t pay your workers. Of course, actions in mitigation had have to be devised – what would will you do if you didn’t can’t get your payroll data back in time? Well you could can just pay last month’s payroll, as a temporary measure, and make the required adjustments in the following month.

Wait a minute… isn’t this all starting to sound rather familiar? If, like me, you think it is – then maybe it’s time to put a Beatles track on the turntable and shout viva la ‘60s!!

Published Sep 04 2009, 03:34 PM by Gary Short (DevExpress)
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Comments

 

Boris Bosnjak said:

A brilliant piece!  Always good to use a bit of history to bring perspective to the present.

September 4, 2009 1:13 PM
 

Gary Short (DevExpress) said:

Hi Boris, thanks for stopping by - glad you liked the post.

September 4, 2009 1:25 PM
 

Twitter Trackbacks for Cloud Computing ??? It???s that New Old Thing - Gary's Blog [devexpress.com] on Topsy.com said:

Pingback from  Twitter Trackbacks for                 Cloud Computing ??? It???s that New Old Thing - Gary's Blog         [devexpress.com]        on Topsy.com

September 4, 2009 5:28 PM
 

Michael Proctor [DX-Squad] said:

Nice review of the times there Gary, it amazes me this whole push towards cloud computing.

If you had your own private cable to the company hosting the service then maybe but relying on a public network that has large amounts of unknown reliability and large surface area of failures, I personally wouldn't trust mission critical data over the net.

We just recently here had an outage of a major carrier for over an hour the other day, imagine having your staff sitting there waiting to work, all good for them they still get paid, but the employer is stuck with the costs. Not the mention the couple of times Google has gone down which turned into a "the day the earth stood still" moment :)

Thanks for highlighting the ways of the past through to the present, maybe others might rethink their focus on Cloud computing.

September 4, 2009 5:35 PM
 

Sayeed Anjum said:

Interesting review of the story so far.

As you rightly point out, the complexity of the software, the high cost of support & lack of expertise are the driving factors behind saas adoption. Just as commodity hardware made PCs cheap and we brought them home, low subscription fees and lesser hassle are making saas more attractive than owning and managing software in-house. So, the underlying themes seems to be a constant move towards affordable & reliable computing.

Is the road ahead (beyond saas) highly reliable home data-centers & zero maintenance/self healing software that does not require software support?

September 5, 2009 12:35 PM
 

Alistair McColl said:

I have seen very liittle about server based / thin computing. If the object of cloud computing is to reduce complexity and maintenance costs then the thin computing model is  a better solution for most small business's. A  win32 application running on a terminal server accessed by dumb terminal is more 60's than cloud computing. It is thiner than a  browser application and only KVM is transmitted no need for AJAX

September 9, 2009 9:39 PM
 

Nicola Mugnato said:

The real driver behind cloud computing is simply the "subscription fee". When a software is sold, is sold. Maybe the users are ahppy enough to avoid to upgrade for a a while. If you lure them into subscriptions, they we'll pay over and over. And that's too is not a new model. Once, most Unix applications were not sold - they were licensed for a given time - to keep on using them you had to pay each year - a subscription. Then came the PC with its "buy the software and use it as long as you like" and most Unix vendors found their users preferred the latter model. less expensive. Now we're back to the previous one...

September 10, 2009 12:19 PM
 

april198474 said:

SaaS is a Cloud Computing,which always exist.

September 22, 2009 9:32 PM
 

april198474 said:

SaaS is a Cloud Computing,which always exist.

September 22, 2009 9:34 PM
 

Phil Smith said:

A great article, demonstrating how even IT can travel full circle, with a bit of interesting history too!

October 24, 2009 9:09 AM
 

The Cloud Promise « Craig Nicol’s Weblog said:

Pingback from  The Cloud Promise « Craig Nicol’s Weblog

January 28, 2010 3:40 PM
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