Booz Allen Comments on McKinsey's Cloud Report

Booz Allen makes several interesting remarks about McKinsey's Cloud Report. The following two jumped at me. First:

They state that cloud offerings “are most attractive” to small and medium sized business, and “there are significant hurdles to the adoption of cloud services by large enterprises.” That would come as quite a shock to Target, Eli Lily, the New York Stock Exchange, the American Stock Exchange, NSADAQ, Toyota, E*Trade, Computer Associates, and a host other large enterprises that have been in the cloud for a couple of years.

Second:

Where this example appears to break down is that, for the data center, they are calculating the cost per core, while for Amazon they are calculating the cost of a Large EC2 instance, which is four cores. On a single-core basis, an EC2 Small instance is only $72 month, running non-stop. Assuming the same 10% utilization used in other examples, the comparison should be $48/month for the data center and $7.20 month for EC2.