Proposition: AWS isn’t always the low-cost provider. Discuss

The Structure Show 2014

Brad Feld just came out and said what some still deem unthinkable: Amazon Web Services is not always the lowest cost provider. Not since Google and Microsoft hit the public cloud arena like gale force winds. And not for many startups that have hit a certain monthly IT spend — $200,000? — and might be better off looking at other options, including bare metal or in-house servers.

Still, many users won’t care. The CIA, after all, went with AWS even after it was underbid by IBM on that cloud contract. But being the low-cost provider is part of Amazon’s DNA and acting in ways contrary to that trait causes problems for it, Feld noted.

Feld, who is managing director for The Foundry Group and co-founder of TechStars, blogged about this last week — referencing some of Gigaom’s coverage of Amazon’s challenges — and talks more about the topic on this week’s show.

Before you get all riled up, no one is disrespecting what Amazon — which blazed the public cloud category and churns out new services at a fast clip — has accomplished. But markets change and this competitive landscape is most certainly shifting. Feld’s a fun guy to talk to, so make sure to listen up to at least about minute 10 if you’re in a hurry.

Derrick Harris and I also discuss the evils of shelfware in the cloud era and Docker’s upcoming funding round. I mean, is it really any surprise that this company is drawing huge interest (and potentially big VC dollars)?

Foundry Group's Brad Feld

Foundry Group’s Brad Feld

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Hosts: Barb Darrow and Derrick Harris

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