Progress without profits | The Economist

Final paragraphs from a cloud + open source + big data reality check

"Even so, it will be tough to survive in competition with giants like Amazon and Microsoft, which are offering comprehensive cloud-computing services. What is more, many potential customers may prefer to get all the pieces from one firm rather than stitching together software from startups, says Simon Crosby, a virtualisation veteran who works for Bromium, a provider of online-security software.

The current plethora of data-centre-software startups is likely to shrink as they run out of venture capital. Some firms will be gobbled up by established software firms, such as VMware and Red Hat. But they may be remembered fondly by data-centre managers for having made computing cheaper, faster and more flexible."

Progress without profits | The Economist