Advancements in cloud computing, data storage and artificial intelligence have transformed how businesses operate and manage information. However, this transformation has also led to challenges because these technologies are highly centralized and in the hands of a few tech giants. 

The cloud computing industry is currently dominated by three key players: Amazon Web Services (AWS), Microsoft Azure and Google Cloud Platform. These companies control over 65% of the global cloud computing market. AWS holds the largest share at 31%, followed by Microsoft Azure at 25% and Google Cloud at 11%. This concentration of power raises several concerns for the broader technology ecosystem.

The impact of centralization on cloud computing and AI

The dominance of a few major companies reduces innovation in the space. For example, Dropbox previously used AWS infrastructure but was forced into a costly pivot as the business scaled. The additional costs and technical limitations imposed by AWS’s infrastructure pushed the company to invest heavily in building its own data centers, an option not available to smaller players who have difficulty raising capital. 

In some cases, reliance on a dominant cloud provider can also make companies susceptible to political pressures. Conservative social media platform Parler faced disruption in January 2021 when AWS suspended its services due to concerns over content moderation. This action effectively took Parler offline and showed how dependence on a major cloud provider could expose companies to risks beyond technical or operational challenges. 

Furthermore, dependence on centralized cloud providers has led to regulatory and compliance difficulties for organizations with data centers in regions with different legal standards. The European General Data Protection Regulation enforces rigorous data protection standards, which often clash with the more lenient regulations of other regions. A 2020 McAfee survey found that 52% of companies encountered compliance challenges due to the geographical location of their cloud data centers. 

Exploring decentralized alternatives 

In light of these challenges, decentralized cloud computing solutions have emerged as potential alternatives to the centralized models currently dominating the industry. They aim to distribute control and ownership of cloud infrastructure more broadly and reduce the risks associated with centralization.

One such alternative is Store, a decentralized cloud storage and computing network that seeks to democratize high-performance cloud infrastructure. Store’s infrastructure spans multiple data centers.

It features up to 26,400 virtual central processing units, 240 terabytes of memory and 12,000 TB of HDD storage. Store’s storage options include both SSD storage for high-speed data access and HDD storage, which is more cost-efficient and suitable for backups. Additionally, Store offers permanent storage as a programmable cloud space primitive and web service.

Store’s infrastructure is designed to scale horizontally, which means it can expand by adding more machines or servers to handle increased demand, keeping the system flexible and efficient as it grows.

The network’s incentives revolve around the STORE token, a utility token that grants access to trust-minimized computing resources on the Store protocol. Initially launching as an ERC-20 token, STORE will eventually transition to its own blockchain.

The total authorized supply of STORE is 1 billion, with 704,712,370 already allocated. The remaining unallocated supply will be used for miscellaneous purposes as outlined in Store’s long-term treasury schedule. 

Unallocated tokens are expected to fund network security, ecosystem growth, long-term development, and governance initiatives. Besides funding the ecosystem, STORE serves multiple functions, including staking, voting and payments on the Store Cloud. 

On the technical front, STORE utilizes a patented consensus algorithm called BlockfinBFT, designed to achieve high transaction throughput. The protocol also features an AI oracle leveraging over 350 application programming interfaces to provide protocol intelligence and optimize for monetary soundness.

Looking ahead, it’s clear that the future of cloud computing will benefit from embracing decentralization. This approach can help address the limitations of centralized systems, promote innovation, and create a more equitable digital landscape. As the industry evolves, learning from past challenges and adopting decentralized solutions will be key to building a cloud infrastructure that supports a wide range of needs.

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