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The previous chapters covered some fundamental aspects of the service dynamics as applied to IT and how service dynamics define the cloud and cloud processes. We also discussed how the enterprise platforms that characterized the first wave of standard high-volume (SHV) servers evolved into second-wave cloud platforms under a service dynamic with strong customization and built-to-order components. The second wave drivers and adopters were the largest cloud service providers (CSPs) worldwide with the concept of application-specific cloud servers (ASCPs). A competitive advantage for these players and initial barrier to entry to smaller players was the nonrecurring engineering (NRE) cost to design and manufacture the desired customizations. However, as platform providers and consumers went through the learning curve and achieved increasing technology maturity, the benefits of customization became democratized and available to smaller CSPs.
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- Chapter 9