AWS Thinks Inside the Box With Outposts Data Center Revival | Infrastructure

Amazon on Wednesday introduced AWS Outposts at its AWS re:Invent conference in Las Vegas.
The new system, which provides AWS-branded
boxes for use in traditional data centers, will allow the company to make advances
into the world of on-premises storage, taking on legacy hardware vendors
including Cisco, Dell, and Hewlett Packard Enterprise.

Amazon Web Services CEO Andy Jassy told reporters at the event that Outposts will
enable the company to accommodate customers who demand the lowest
possible prices for on-site storage.

It will be possible for Outposts technology to run on rival vendors’ data center equipment, he added.

AWS Outposts will extend the company’s reach from the cloud to data centers,
attracting businesses that require on-site storage due to regulatory as well as privacy concerns.

AWS Outposts diagram

(Click Image to Enlarge)

“Customers are telling us that they don’t want a hybrid experience
that attempts to recreate a stunted version of a cloud on-premises,
because it’s perpetually out of sync with the cloud version and
requires a lot of heavy lifting, managing custom hardware, different
control planes, different tooling, and manual software updates,” said
Jassy. “There just isn’t a lot of value in that type of on-premises
offering, and that’s why these solutions aren’t getting much traction.”

Outposts hardware will feature some of the more
popular AWS computing options, as well as storage software.
It also can utilize virtualization technology from VMware. AWS will
offer a VMware variant of Outposts that will enable companies to run
VMware Cloud via AWS locally.

A second version of AWS Outposts will
allow customers to use the
same native AWS cloud APIs to run computers and storage systems on-premises.

The AWS Outposts versions currently are in private preview, with
general availability expected in the second half of 2019.

At the re:Invent conference, Amazon also announced two blockchain services
for use with distributed ledger technology, as well as a file service product that can work with
Microsoft software.

Pummeling the Competition

With its announcement of Outposts, it is clear that Amazon will
continue to expand its role in business storage beyond the cloud.

“There have been some pretty exciting big reveals at re:Invent this
week, and one is Outposts,” said Jim Purtilo, associate professor in
the computer science department at the
University of Maryland.

“Locating the infrastructure on site for customers may give a bit less
latency when it is accessed — that was one of the overt benefits
mentioned at the event — but the real value is removing customer
uneasiness over where data are stored and processed,” he told the
E-Commerce Times.

“AWS has been eating the lunch of the traditional data center
companies already just by making things simple,” Purtilo added.

who need upgrades can flip a switch to stand up operations in the
cloud, turn out the lights in their expensive physical plant, and save
both costs and headaches of a big footprint,” he explained.

“The Outposts product is
another way for AWS to pummel the competition,” Purtilo observed.
“Managers can have seamless co-lo options with automatic failover to traditional cloud
infrastructure more or less for free.”

(Full Disclosure: Purtilo’s son and several former University of Maryland students
now work at AWS on projects that made appearances at
re:Invent this week. However, Purtilo was not provided
any information or insight on those projects prior to this week’s

Hybrid Cloud

AWS will deliver and install Outposts hardware at client facilities
while providing ongoing support, including maintenance and software updates.
In some ways, the offering could be seen an extension of the
hybrid cloud concept that other vendors have embraced.

Microsoft introduced its Azure Stack in 2015, and it
combined its own cloud technology with hardware from partners
including Cisco, Dell EMC, HPE and Lenovo, among others.

“AWS’ announcement on launching Outposts, an on-premises data center
system, is the AWS equivalent of Azure Stack, Microsoft’s on-premises
version of their Azure cloud service,” said Brian Klingbeil, executive
vice president of strategy and technology at

“This is a really smart move by AWS to accommodate clients who deal
with challenges like latency and compliance,” he told the
E-Commerce Times.

“AWS’ plans for on-premises Outpost systems solutions are intriguing,
and the company’s position in public cloud makes the initiative worthy
of respect,” said Charles King, principal analyst at Pund-IT.

“At the same time, the concept is something of an ass-backwards
approach to hybrid cloud,” he told the E-Commerce Times.

Addressing the Public Cloud

Hybrid cloud solutions arose in part because enterprises
were slow to accept the public cloud future envisioned and espoused by AWS
and other cloud players. However, it has proved to be a nonstarter to

“Instead, customers wanted ways to ensure that their on-premises IT
infrastructures would play nice and work optimally with public cloud
platforms,” said King.

“That’s usually taken the form of working with trusted vendors to
optimize existing IT resources or purchasing hyper-converged
infrastructure solutions, so deploying an HCI or similar solution
developed by AWS seems reasonable enough,” he added.

“However, in order to seriously threaten mainstream x86-based system
vendors — like HPE, Cisco, Dell and Lenovo — AWS will have to deliver
solutions that either offer unique features and performance
characteristics or cost significantly less than competitors’ offerings,” King maintained.

“Until specific pricing and performance
details become available,” he added, “claims about AWS Outposts should be taken
with a grain of salt.”

Re:Inventing the Data Center

AWS’ move into the on-premises storage space could create new competition among other hardware vendors.

“We’re going to see other providers, like Google, replicate this move,
as compliance, latency and data movement continue to be a top priority
for businesses,” said Ensono’s Klingbeil.

“It will allow AWS clients to have consistent Infrastructure as a Service experiences
whether on premises or in AWS data centers,” he added.

“There’s a lot of discussion among the industry around
repatriotization of workloads on public clouds to private and
on-premises clouds, and while Ensono isn’t seeing a huge amount of this
right now, we are seeing a continued, rich demand for on-premises
deployments,” Klingbeil noted.

AWS Outposts also could provide greater security and privacy
for its clients.

“With the existing cloud, the data are just sort of out there, and
while AWS offers assurance about location in some cases, it is still
those customers on the hook for meeting diverse regulatory obligations
about where data can live and who might use it,” said University of
Maryland’s Purtilo.

“With Outposts, any customer who is asked where their data live can
point and say ‘right there,’ and as laws about data storage will
become nothing but more complex, so Outposts offers managers a
solution path that decouples the technology from regulatory
constraints,” he explained.

It will be interesting to see the financial implications of Outposts
— how modular the hardware will be, does the client own title on the
hardware or does AWS, etc.,” said Klingbeil. “What’s also in store is to see how AWS deals with the materially messier world of infrastructure outside of their direct, physical control.”

Peter Suciu has been an ECT News Network reporter since 2012. His areas of focus include cybersecurity, mobile phones, displays, streaming media, pay TV and autonomous vehicles. He has written and edited for numerous publications and websites, including Newsweek, Wired and
Email Peter.

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