Ops: This does not belong to ServerFault because it focuses on Programing Architecture.
I have following questions regarding differences between Cloud and Virtualization..
How Cloud is different then Virtualization?
Currently I tried to find out pricing of Rackspace, Amazone and all similar cloud providers, I found that our current 6 dedicated servers came cheaper then their pricing. So how one can claim cloud is cheaper? Is it cheaper only in comparison of normal hosting?
We re organized our infrastructure in virtual environment to reduce or configuration overhead at time of failure, we did not have to rewrite any peice of code that is already written for earlier setup. So moving to virtualization does not require any re programming. But cloud is absoltely different and it will require entire reprogramming right?
Is it really worth to recode when our current IT costs are 3-4 times lower then cloud hosting including raid backups and all sort of clustering for high availability?
New programming architecture means new overheads of training staff, new methods of testing and new deployment schemes, does it justify over "on demand resource usage" words of cloud?
We are having current development architecture with simple Server side ASP.NET WebServices with no local context and on client side Flex/Silverlight which offers pretty good REST architecture and its highly scalable. How does cloud differs from REST model of deployment?
On storage, SQL Server or MySQL offers pretty good replication and high availibility then what is advantage in cloud?
Data guarantee, one of our vendor hosting some other customer's app on cloud (one of most used), lost Entire Hard Disk (the virtual) and entire module in first 6 months. Second provider said its your duty to take backup, fine I agree, but no provider gives SLA for data guarantee, they give 99% uptime. However in most business apps, uptime is less important then data integrity. In our 10 years of dedicated hosting experience we had only one hard disk crash. This makes me little skeptical to go for cloud and loosing control over data. And I feel its just a big marketing buzz to sell virtulization in different form.
Size of data, currently all providers charge very heavy for large data, if you are hosting only below 100GB cloud can be good alternative, but I think virtual servers and dedicated servers above 100GB to few TBs are still cheaper. Why would want to pay so high on cloud when there is no data guarentee as well as it doesnt say anything about redundancy.
(I wish SO had something for spell check for Internet Explorer, sorry for wrong spellings in my post)