Good read this: It is virtually impossible for a cloud vendor to offer a strong SLA for two reasons. First, the cost advantage of the cloud is based on shared resources, although IBM (nyse: IBM - news - people ) is now pushing the idea of creating and running private clouds for its large customers. But even if a cloud is private, the fact that many applications are running on a shared infrastructure increases the risk of catastrophe. The second reason is that offering a really strong SLA, one that covers the lost revenue from an outage, is just too risky. It means putting the vendor's entire enterprise at risk, essentially selling a form of insurance on the cheap. That's why in the cloud and elsewhere, SLAs will never be that strong. Without SLAs to provide much comfort, the real remedy to managing catastrophic outages is redundancy. If your cloud infrastructure fails for a critical system, you must be able to bring up a redundant infrastructure that performs the same funct...
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