NEW YORK (The Street) -- IBM (IBM) on Friday unveiled a $1.2 billion global cloud investment that will see to the launch of 15 new datacenters integrated with 13 SoftLayer and 12 existing IBM centers, totaling 40 datacenters.
"Obviously from a dollar perspective, this is a huge commitment," said Lance Crosby, the CEO of SoftLayer, the foundation of IBM's cloud computing expansion that Big Blue acquired last summer. Crosby spoke with TheStreet Thursday.
"This is a $1.2 billion investment in cloud," he said. "We're obviously telling the world that IBM is dedicated to the cloud going forward. And by being one of the only players that's going to have a global footprint and the only player with a global backbone, we believe we're going to have a distinct, competitive advantage across all enterprises and governments worldwide."
Crosby said that every one of the datacenters will have four isolated zones inside, and each zone will have 4,000 physical boxes, tallying to 16,000 to 20,000 physical servers per zone, worldwide. Crosby explained that IBM-SoftLayer had determined that the best way it could help clients cope, head-on, with the increasingly complex regulatory and data privacy laws of various countries was to bring the cloud as close as possible to the end user.(AMZN). But now, with this announcement, combined with the $1 billion plus Watson Group announcement last week, and following the SoftLayer buyout, Gens has become highly optimistic that IBM is ready to compete in the cloud on a global scale. "The announcement really says that IBM really is moving with cloud speed to scale up its ability to compete against Amazon and the other players in this market," Gens said. "When they bought SoftLayer, they got the technology. Now, with this investment plan, they're introducing themselves to be competitive around scale, which of course is very important in the cloud world."
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