We are currently gathering more data that we can process. This data occupies a lot of space in dedicated data centers. Moving it out for analysis is out of question especially for streaming data. Also the analysis may require multiple sources of heterogeneous data. In this context the VM and the data extracted from the analysis would take far less bandwidth than the analyzed data.
This is already happening in many commercial settings. The expense and time to move terabytes of data into the cloud for processing is one reason, but the need to maintain the security and privacy of certain data is another reason. The data is processed in the local datacenter to create metrics and metadata that are then collected at a central cloud location for final processing. This has been effective for us for over four years now.
Srisha - I disagree. In many cases in industry, especially in financial services and healthcare, the regulatory issues of moving data into the cloud are too great. Having worked at a global financial services company for the last seven years, we have many cases where we keep our data on-premise and have a VM-based component provided by a third-party vendor to aggregate the data and tokenize it before it is moved into a cloud-based-SaaS environment for multi-party aggregation and analysis. It is quite easy to take a third-party VM and install it into a company's virtualization environment.
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