Cloud Computing as a viral agent will be driven by it’s “micro-cost” factor in comparison with the existing discreet architecture found in todays technological landscapes. What makes this different, is the cost “comodifcation” of technology into small united packages which will create a (market) disruptive influence by lowering the overall cost (think of in aggregate) of computing to “next to free“.
While a boast-full comment, taken in ratio it is very much a true statement as the density of transistors continue their march forward and upward. The deflationary affects have had and will continue to have a resounding impact within the market place. If we look back 40 years, we see the costs setting for one transistor was at $5.60 (USD) whereas in today’s market the cost can be registered in millionths of (nano) dollars!
Couple this vertical expansion (i.e. increasing number of transistors per chip) with the ability to “gang” chips together horizontally and the yield curve for productivity verses applied cost takes a notably viral turn. An Example of this is Google where it’s rumored they have a cloud installation of over 500,000 servers to provide the near instant response to a global search population.
While not free, the ability to provide the service Google does verses the fact it exists at all is in itself a “proof” of the opening possibilities we will see rise up in the coming decade. Think of it this way, pennies per say from “Ad Words” pay to keep the most powerful information search tool man has ever known in operation and in perpetual improvement. Twenty or thirty years ago, enough commercial monies didn’t exist for someone to conceive of this ability. Yet today it exists and offered without charge (as a service) to the global public at large.