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|Articles - May 2014|
|Monday, April 28, 2014|
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BY PETER BARNES | PHOTOS BY JASON KAPLAN
What might a smartphone-app developer do with thousands upon thousands of high-end computers at her disposal? What about a game designer? Or a hospital? For a growing share of businesses shifting their IT off-site, the answers are limited only by their imagination.
Often visualized as clouds hovering above all who might need them, legions of remote servers provide access to computing clout once limited to the largest companies. Take Pinterest: The photo-focused social network amassed 17 million users in just nine months, all while its staff could still fit comfortably at a backyard barbecue. Not long ago, keeping up with that traffic would have required racks of expensive new servers and the manpower to configure them. Instead, Pinterest’s entrepreneurs simply plugged into data centers owned by Amazon for a monthly fee.
The online retailer is a fitting example at the other end of this quiet revolution in computing, offering anyone with a credit card access to its data centers, which have proliferated with the growth of the company. Competitors, including Microsoft and Google, followed suit, effectively turning processors and storage into a commodity as easy to draw from as the electric grid. But what truly excites experts in cloud technology like Al Kari, CEO of DetaCloud, a Camas, Wash.-based consultancy, are the implications beyond IT.
“Anything you can think of,” Kari says, invoking Google’s driverless cars and smartphones that will someday translate speakers’ languages. “All it needs is a tiny processor onboard and an ability to transmit to the cloud.”
With yearly spending growth on cloud services consistently in the double digits, Oregon’s tech companies are positioning themselves to tap that potential.
Marketers in recent years have described practically everything that connects to the Web as cloud-based, and opinions differ on where, exactly, the cloud stops and the Internet begins. Generally speaking, the concept of cloud computing describes remote access to a shared pool of servers that store information and run programs on demand.
Software as a service — one of the cloud’s most popular iterations — has been around for 15 years. Likewise, the ability to store information and run programs remotely predates even the desktop PC. What excites technologists today about the concept of cloud computing is not its newness but its maturity. An expanding buffet of services has emerged, allowing the average non-IT-savvy business owner to set up online payments, manage thousands of client accounts, or conduct memory-intensive tasks like video rendering, business analytics or even DNA sequencing.
Last year business conducted in the cloud grew by 18% and totaled $131 billion, according to Connecticut-based research firm Gartner. That broad count includes Web advertising and some automated business processes that have been in use for years. Nonetheless, earnings from Amazon point to the evolution of cloud services: The business segment that contains Amazon AWS — far and away the world’s largest provider of cloud services — saw North America sales grow between 50% and 73% annually from 2010 through 2013. In just eight years since its launch, the service has become a go-to resource for new online businesses.
“The great benefit of the cloud is scaling up rapidly or scaling down rapidly,” says Damon Slye of Mad Otter Games in Eugene. “The other benefit of the cloud is that it’s easier to use if you’re not an IT expert.”
In 1984 Slye co-founded Dynamix, spinning off a cluster of game companies in Eugene that’s alive and well today. Starting Mad Otter in 2007, his team used Amazon AWS for the back-end technical services required to deliver a game from a designer’s desktop to the screens of online players. When traffic evened out over the long term, he found he could run the company’s main title, a game called Villagers and Heroes, from four high-end servers provided by a partner company in Germany at roughly one-third the cost of Amazon. In a sense, they created their own cloud accessed by players and employees, while the company can still turn to Amazon whenever it needs extra machines for load tests. That separation of IT from the day-to-day of making games lets Mad Otter’s team of six in Eugene focus on their creative endeavors.
In a quiet office with posters from Blade Runner and Seven Samurai on the walls, Slye explains another way that digital tools sold as a service have allowed companies like his to compete. Digital tool kits known as game engines let designers apply their concepts to vast repositories of existing code that defines how an animated 3-D character and its environment interact with each other. “It would be crazy to write one from scratch,” he says.
Thursday, June 26, 2014
Thursday, July 24, 2014
BY CLIFF HOCKLEY | OB GUEST CONTRIBUTOR
With the increasing retirements of Baby Boomers, a massive real estate shift has created a significant increase in demand for NNN properties. The result? Increased demand has triggered higher prices and lower yields.
Friday, June 27, 2014
BY JASON NORRIS | OB BLOGGER
Over the last several months we have seen a wave of cross-border acquisitions, primarily U.S.-based companies looking to purchase non-U.S.-based companies. There are a few reasons for this, but the main culprit is the U.S. corporate tax system. The United States has one of the highest corporate tax rates in the world.
Thursday, July 03, 2014
BY TED AUSTIN & MIKE BAELE | GUEST CONTRIBUTORS
The Office of Economic Analysis announced that Oregon is currently enjoying the strongest job growth since 2006. While this resurgence has been welcome, the lingering effects of the 2008 “Great Recession” continues to affect Oregon businesses, especially with regard to estate planning and business succession.
Monday, June 16, 2014
The Oregon economy could get a boost from a new trade agreement being negotiated between the U.S. and the European Union.
Tuesday, June 03, 2014
Citing the transition to catch shares management as a key to rebuilding stocks and reducing bycatch, 13 species caught by the West Coast trawl fishery today earned designation from the Marine Stewardship Council (MSC) as sustainable.
Thursday, July 31, 2014
BY MARY SPILDE | OB GUEST CONTRIBUTOR
Faced with the aftermath of the “great recession,” increasing concern about the environment and dwindling family wage jobs, we have some very important choices to make about our future.
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Vigilant enters a New Year with a new president.
How George Fox has become one of Oregon's largest private universities.
Forest Grove sees growth in the burgeoning food and beverage scene.
Lane Powell Shareholder Susan K. Eggum has been elected as vice chair of programs and projects for the International Association of Defense Counsel’s (IADC’s) Employment Law Committee.
Geffen Mesher is saddened to announce the passing of long-time shareholder, Tom “Mike” Anderson, who died on July 10, 2014, from liver disease diagnosed after recent heart surgery. He was 55 years old.
Fifteen Lane Powell attorneys have been named 2014 “Oregon Super Lawyers,” and another five attorneys have been named as “Oregon Rising Stars” by Super Lawyers magazine.