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Originally published Sunday, May 16, 2010 at 10:01 PM

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Interface

Skytap touts low costs of operating in cloud

What: Skytap, based in Seattle Who: Sundar Raghavan, 45, chief product and marketing officer Mission: Bring the power and economics of cloud...

What: Skytap, based in Seattle

Who: Sundar Raghavan, 45, chief product and marketing officer

Mission: Bring the power and economics of cloud computing to all applications and enterprises.

Employees: 30

Financials: The venture-funded company has no specific profitability estimates but expects to thrive with a subscription model. Raghavan said the company's customers consistently increase storage and service needs.

Cloud is the answer: Rhagavan said operating in the cloud saves on several fronts. Companies need less hardware, because applications and computing power operate virtually. Training is easier and doesn't require traveling to corporate headquarters. Required replacements and upgrades cost less and are more efficient.

Location, location: Cloud customers give up physical control of their data, but it can be more secure. Raghavan: "It's a lot easier for someone to walk into a company's data center and steal a hard drive than to go into our facility and do the same."

No mirror yet: The epicenter of this security now resides in Tukwila. "Our long-term plan is to create multiple data centers that back each other up," Raghavan said.

Best software friends: In March, Google added the Skytap cloud environment to the Google Apps Marketplace. "This is a validation of our abilities," Raghavan said.

Clouds, et al.: Clouds decrease the need for local PCs and servers, causing a personnel realignment. But that's not necessarily bad news for anyone. "People who were cutting open boxes and hooking up wires will need to learn new skills," said Raghavan. "Jobs that are more physical and maintenance oriented will be replaced by high-paying, high-caliber positions."

— Charles Bermant

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