Verizon Buys Terremark – Gartner Blogs

Posted on 02 February 2011

The Hub Commentary_

This week there has been significant buzz around this acquisition and I’ve held off posting and referring to any of the articles.  Lydia of Gartner sums it up well with her blog of yesterday.  One in debt without a sales team and the other in need of data center footprints and a sales force in need of a ticket to the CIO.

Infrastructure and the management of it has no doubt become the commodity in IT.  The acceleration to the cloud and subscription or back to the old days of timeshare on the IBM computers is here.  Now the trick is architecting your services, managing them and the service provider, while balancing costs and value.  This new model has much to offer and is the future, but has many pitfalls that can be a cost drain.

I expect before year end we will hear about how the model fails and what you will find in the middle of what will be a very lengthy article will be a lack of proper vendor and service management.  Renting the infrastructure does not alleviate the instrumentation responsibility to make the workloads intelligent and service enabled back to your management platform or the integration across providers and platforms to manage the end-to-end service.  Then there is that pesky relationship with the vendor.

How are you architecting your workloads of the future?

Michele

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A couple of days ago, Verizon bid to acquire Terremark, for a total equity value of $1.4 billion. My colleague Ted Chamberlin and I are issuing a First Take on the event to Gartner clients; if you’re looking for advice and the official Gartner position, you’ll want to read that. This blog post is just some personal musings on the reasons for the acquisition.  (Read Full Article…)

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