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<\/a>Key Stakeholders:<\/strong> CIO, CFO, Accounting Directors and Managers, Procurement Directors and Managers, Telecom Expense Personnel, IT Asset Management Personnel, Cloud Service Managers, Enterprise Architects<\/p>\nWhy It Matters:<\/strong> As enterprise cloud infrastructure continues to grown 30-40% per year and containerization becomes a top enterprise concern, IT must have tools and a strategy for managing the cost of storage and compute associated with both hybrid cloud and container spend. With Cloud Cost Management, Red Hat provides an option for its considerable customer base.<\/p>\n Key Takeaways:<\/strong> Red Hat OpenShift customers seeking to managing the computing costs associated with hybrid cloud and containers should starting trialing Cloud Cost Management when it becomes available in 2019. Effective cost management strategies and tools should be considered table stakes for all enterprise-grade technologies.<\/p>\n Amalgam Insights is a top analyst firm in the analysis of IT subscription cost management, as can be seen in our:<\/p>\n In this context, Red Hat\u2019s intended development of multi-cloud cost management integrated with CloudForms is an exciting announcement for the cloud market. This product, scheduled to come out in early 2019, will allow enterprises supporting multiple cloud vendors to support workload-specific cost management, which Amalgam Insights considers to be a significant advancement in the cloud cost management market.<\/p>\n And this product comes at a time when cloud infrastructure cost management has seen significant investment including VMware\u2019s $500 million purchase of Boston-based CloudHealth Technologies<\/a>, the 2017 $50 million \u201cSeries A\u201d investment in CloudCheckr<\/a>, investments in this area by leading Telecom and Technology Expense Management vendors such as Tangoe and Calero, and recent acquisitions and launches in this area from the likes of Apptio, BMC, Microsoft<\/a>, HPE<\/a>, and Nutanix.<\/p>\n However, the vast majority of these tools are currently lacking in the granular management of cloud workloads that can be tracked at a service level and then appropriately cross-charged to a project, department, or location. This capability will be increasingly important as application workloads become increasingly nuanced and revenue-driven accounting of IT becomes increasingly important. Amalgam Insights believes that, despite the significant activity in cloud cost management, that this market is just starting to reach a basic level of maturity as enterprises continue to increase their cloud infrastructure spend by 40% per year or more and start using multiple cloud vendors to deal with a variety of storage, computing, machine learning, application, service, integration, and hybrid infrastructure needs.<\/p>\n Red Hat Screenshot of Hybrid Cloud Cost Management<\/strong><\/p>\n As can be seen from the screenshot, Red Hat\u2019s intended Hybrid Cloud Cost Management offering reflects both modern design and support for both cloud spend and container spend. Given the enterprise demand for third-party and hybrid cloud cost management solutions, it makes sense to have an OpenShift-focused cost management solution.<\/p>\n Amalgam Insights has constantly promoted the importance of formalized technology cost management initiatives and their ability in reducing IT cost categories by 30% or more<\/a>. We believe that Red Hat\u2019s foray into Hybrid Cloud Cost Management has an opportunity to compete with a crowded field of competitors in managing multi-cloud and hybrid cloud spend. Despite the competitive landscape already in play, Red Hat\u2019s focus on the OpenShift platform as a starting point for cost management will be valuable for understanding cloud spend at container, workload, and microservices levels that are currently poorly understood by IT executives.<\/p>\n\n
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