Is OpenStack Crumbling?


Bangalore: The OpenStack project has gained significant momentum in the past year or two, as the tech world saw over $10 million being contributed from major players such as VMware, Red Hat and IBM. And with the likes of OpenStack vendors such as Rackspace, Cisco, Dell and HP, it’s pretty clear that OpenStack is attracting more and more investors.

But the recent developments on OpenStack project is not so appealing, as Forrester analyst James Staten feels that organizations need to start seeing a return on their investments, or else may become disinterested.

Even though with abundant investments, Staten stated that the availability of OpenStack powered products in the market is relatively low. So far, Canonical, SUSE, Rackspace and Morphlabs are some of the companies with OpenStack distribution, while CloudStack and Eucalyptus are the biggest movers, in terms of production.

Staten said that the key motivations for keeping vendors engaged within an open source project is by strict product deployment and by generating exceptional revenue from these products.

"OpenStack needs to start producing revenue for its partners," Staten said. "The clock is ticking."

On the other hand, Jim Curry, general manager of Rackspace's private cloud business, dismissed Staten’s statements on OpenStack uncertainty. "It's still very early," said Curry. "We absolutely want people to make money on this, which is why vendors are contributing code to the project to ensure their products and services work in the OpenStack ecosystem.”

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