Microsoft and Rackspace Form Cloud Alliance - WSJ

A cloudy transition for Rackspace

"The alliance also is a big step for Rackspace, which has been forced to revamp its business strategy to avoid competing directly with cloud services offered by deep-pocketed tech giants such as Microsoft and Amazon.

Mr. Rhodes said the partnership with Microsoft is the first between his company and a major “public” cloud provider, referring to companies like Amazon, Google and Microsoft that offer access to shared computing facilities rather than operating private facilities on their customers’ behalf. Mr. Rhodes said Rackspace is open to striking similar arrangements with other public-cloud firms."

Microsoft and Rackspace Form Cloud Alliance - WSJ