Ubicloud: The Open-Source Cloud Alternative Challenging AWS Dominance

Disrupting Cloud Economics with Open-Source Innovation

Cloud computing has revolutionized tech infrastructure, but rising costs have left many businesses searching for alternatives. Enter Ubicloud, a promising new startup founded by the team behind Citus Data (acquired by Microsoft in 2019). Their mission? To deliver core cloud services at a fraction of hyperscaler prices through an innovative open-source approach.

How Ubicloud Works

Ubicloud offers:

  • Managed services on affordable bare-metal infrastructure from providers like Hetzner, OVH Cloud, and AWS
  • Open-source version for developers to build custom cloud solutions
  • Core services including compute, PostgreSQL databases, and networking capabilities
  • Planned expansions to block storage and Kubernetes container services

Ubicloud Console Interface Ubicloud’s user interface (Image: Ubicloud)

The Founders’ Vision

Co-founders Ozgun Erdogan and Umur Cubukcu (Citus Data alumni) bring deep cloud expertise. As Cubukcu explains:

“We built our careers on cloud technology, but we see opportunities to make it simpler and more cost-effective. The gap between hardware costs and hyperscaler pricing has grown significantly.”

Their approach focuses on delivering the 10% of AWS services that provide 90% of the value, with:

  • Lower costs
  • Simplified developer experience
  • Flexible hosting options

Current Use Cases

Ubicloud is gaining traction for:

  1. GitHub Action runners
  2. Long-running workloads
  3. PostgreSQL database services

With Kubernetes support coming soon, the platform’s capabilities will expand significantly.

How Ubicloud Differs from Previous Attempts

Unlike OpenStack (the previous open-source cloud contender), Ubicloud offers:

  • Instant managed service availability
  • Modern open-source components
  • Simplified deployment (setup in minutes)

Erdogan notes: “Today’s open-source landscape gives us robust alternatives for virtual networking and storage that didn’t exist 15 years ago.”

Funding and Growth

Ubicloud recently secured:

  • $16M seed round (closed January 2024)
  • Backing from Y Combinator and 500 Emerging Europe
  • 10 employees across San Francisco, Amsterdam, and Istanbul

The Future of Cloud Computing

While not replacing AWS entirely, Ubicloud represents a significant shift toward:

  • More affordable cloud options
  • Greater developer control
  • Open-source infrastructure alternatives

As cloud costs continue to rise, solutions like Ubicloud may reshape how businesses approach their infrastructure strategy.


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