222: Even AWS is Hit by Inflation, and is Passing that on to you – the Customer

Episode 222 August 09, 2023 01:02:16
222: Even AWS is Hit by Inflation, and is Passing that on to you – the Customer
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222: Even AWS is Hit by Inflation, and is Passing that on to you – the Customer

Aug 09 2023 | 01:02:16

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Hosted By

Jonathan Baker Justin Brodley Matthew Kohn Ryan Lucas

Show Notes

Welcome episode 222 of The Cloud Pod Podcast – where the forecast is always cloudy! This week we take an in depth look at the latest earnings reports from all the major players, changes to IPv4 costs (inflation), Healthscribe, and all the news (in cybersecurity) that’s fit to print. 

Titles we almost went with this week:

A big thanks to this week’s sponsor:

Foghorn Consulting provides top-notch cloud and DevOps engineers to the world’s most innovative companies. Initiatives stalled because you have trouble hiring?  Foghorn can be burning down your DevOps and Cloud backlogs as soon as next week.

Pre-Show

00:49 Follow up: Public Preview: Customer Managed Failover for ADLS Gen2 

01:40 Matt – “It’s just one of those features that I’m just dumbfounded that didn’t exist day one. You know, encryption, DR – these things should just be there. And the fact that it’s ADLS has been around for a decent amount of time.”

General News this Week:

03:06 The big news this week is EARNINGS:

06:42 Jonathan – “I’m okay with servers sticking around until they die. I mean, I architect things for failure anyway, so as long as Google also architecting their services to deal with those failures when they happen, it shouldn’t be an issue.”

07:44 Justin – “I’m sure the other cloud providers are, you know, assessing this and making a determination of how long they’re going to keep hardware and running and, you know, extending from five years to six years, I think is a pretty low risk. you know, it gets more expensive for them from a green computing initiative, right? Like, you know, older hardware is not as efficient, it’s more power hungry. So some of those are a challenge for them over time as well. Keep those things running for six years. So I don’t think you’ll see companies really stretch it out beyond six.”

13:35 ‘Every single’ Amazon team is working on generative AI, says CEO 

14:23 Justin – “It sort of hearkens back to Gates writing a telling memo about how we ‘need to become an internet company’… Is this that moment for AWS? They’re an AI company now? 

14:36 Jonathan – “I think they’ve been an AI company for a long time, there’s just not a lot of it has been customer facing.”

15:05 What leaked court docs tell us about AWS, Azure and Google cloud market shares

AWS

17:31 ALL NEW! New Regions and Availability Zones

18:19 Matt – “I’m still trying to figure out where in Israel you have three zones that are more than 200 miles apart from each other.”

18:40 Justin – “We need someone to accidentally leak all that data again, so we get an updated Amazon map, because they don’t like to tell you exactly where these things are, but there’s that leak that came out a couple years ago, and they had the actual addresses of all of the data center regions and availability zones. We just need one of those to happen so we can tell.”

19:15 New – AWS Public IPv4 Address Charge + Public IP Insights

21:08 Matt – “I get why they’re doing it. You know, with all the cloud providers, all buying up them, there is a scarcity of resources but the same point it adds up quickly. You have what? Three NAT gateways, so that’s three, you have a couple load balancers running your application or NLBs, there’s another couple, three, you know, $4 round up here per month, it starts to – you know, per IP address – it starts to add up real quickly. Especially if you’re running a small business.”

22:48 Jonathan – “I’m disappointed that they’re passing that cost on to customers. They’re already in possession of 100 million IPv4 addresses. I think they can probably afford to not have done this.”

29:44 New Amazon EC2 Instances (C7gd, M7gd, and R7gd) Powered by AWS Graviton3 Processor with Local NVMe-based SSD Storage

30:07 New – Amazon EC2 P5 Instances Powered by NVIDIA H100 Tensor Core GPUs for Accelerating Generative AI and HPC Applications 

30:48 Jonathan – “Just the cost of the hardware is phenomenal. I mean, I jokingly priced out a server from Supermicro that had a bunch of these GPUs in, you know, for when I win the lottery. And just one of those GPUs is $40,000.”

Now… amortize that over six years instead of 4…

31:32 Introducing AWS HealthScribe – automatically generate clinical notes from patient-clinician conversations using AWS HealthScribe 

32:58 Jonathan – “I fear that things like this will be used by insurance companies. They want to see the transcripts of conversations that you had over the years to evidence things for coverage. So I’d be concerned that this wouldn’t actually work out in the consumer’s favor at all…I can’t help but think that the transcriptions will be anonymized and used to train machine learning models and all of a sudden we’ll have a virtual Amazon doctor that we can call upon Chime and get a consultation for how many dollars.”

35:08 Preview – Enable Foundation Models to Complete Tasks With Agents for Amazon Bedrock 

GCP

38:00  A new partnership to promote responsible AI 

39:29 Jonathan – “Yeah, it makes sense. I mean, Antropic has already been working on AI safety for years. So instead of reinventing things from scratch, Google and Microsoft and OpenAI probably do well to partner with somebody who’s already been working on this.”

Listener Survey: What do you all think of the reports that ChatGPT has gotten dumber? Let us know your thoughts! 

42:15 Attack Path Simulation is now Generally Available

42:28 Justin – “What I think is a really nice feature and really good to have, I just don’t know why they’re insisting that I pay the premium price for Security Command Center. Premium to get it. I think every customer who’s trying to secure their Google Cloud environment should have this for free. as just part of the value add of having Google, especially since it’s simulations that tell you, hey, you have a potential attack vector.”

Azure

47:58 Always learning, always adapting: Unpacking Azure’s continuous cybersecurity evolution

49:16 Matt – “That was a Tenable literally saying, hey, we found a bug. And they said, cool, we fixed it. And normally when they fix it, they tell them how, so the pen tester can go back in and confirm that it was fixed. And they just said, hey, we fixed it. No one knows how they fixed it. If they just blocked Tenable IPs or what they did. Like who knows?

Continuing our Cloud Journey Series Talks

After Show

RIP Twitter, Hello X 

Closing

And that is the week in the cloud! We would like to thank our sponsors Foghorn Consulting. Check out our website, the home of the cloud pod where you can join our newsletter, slack team, send feedback or ask questions at thecloudpod.net or tweet at us with hashtag #thecloudpod

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