Agenda

What is the cloud?

How did we get here?

Some sample Cloud applications

State of the Cloud

Cloud drives for your computer

SaaS and PaaS

Land mines and Gold mines

GOAL FOR THE DAY

Not that you walk out with all the solutions (you

should get some…), but that you walk out with a

framework with which to judge future Cloud

offerings and technologies.

KEY VOCABULARY

• Hosting

• Storage

• Virtual Server

• Private vs. Public

• Software as a Service (SaaS)

• Infrastructure as a Service (IaaS)

• Platform as a Service (PaaS)

S O …

WHAT IS THE CLOUD?

CENTRALIZED POWER ADVANTAGES

Pay for power as you use it

Share the cost of building the infrastructure

Quick and easy to get power to your new

building

Someone else worries about hiring electrical

engineers to keep turbines going

Flexibility for when you grow or have temporary

needs

DISADVANTAGES OF CENTRAL POWER

When it’s hot in town, everyone wants

more

Outages can affect a lot of people

Price doesn’t benefit from a

competitive market

CENTRALIZED MONEY STORAGE

Better protection that you can provide

alone

Marketplace provide competitive rates

and services

Insurance provided by the bank

When they fail or get robbed, a lot of

people lose money,

but insurance can help

Microsoft facility in Dublin

hot aisle containment system

Some sample Cloud

Applications

Why aren’t all of my movies available for Disc-to-Digital conversion?The list of movies available for Disc-to-Digital conversion is comprised of titles that have been legally cleared for digital distribution from studios participating in the UltraViolet program. We expect the number of titles available for Disc-to-Digital conversion to grow over time.

Which studios are supporting UltraViolet™?The studios supporting UltraViolet include Paramount Home Media Distribution, Sony Pictures Home Entertainment, Twentieth Century Fox Home Entertainment, Universal Studios Home Entertainment and Warner Bros. Home Entertainment.

• 40% of companies in

• 60% out or considering

• 50% are worried about security flaws

• 82% of cloud companies saved money

• Biggest reason to move: multi-device access

• 80% of business saw improvements in business

• 93% saw improvements in IT

• 63% of cloud users have multiple providers

STATE OF THE CLOUD

“Unfortunately for IT, if this attitude lasts, the IT department will not”

“The emergence of the cloud has accelerated the growing rift between IT departments and the senior executives”

“Where companies have begun using cloud services, it appears that they will continue to do so”

“Organizations that use the cloud can focus on their core competencies instead of waiting on IT and dealing with restrictions”

The Key Point

• Traditional model of IT: purchase a capital

investment and maintain and service over

time until you have to replace it

• Cloud model of IT: Spending from

operational expense budget for a service

when you need it

For your computer

CLOUD DRIVES

CLOUD DRIVE NOTES

Your data away from your computer (work, business, laptop, home)

SugarSync will make multiple computer directories the same

You’ll need to buy special software to backup your computer to the Cloud

Photos typically get special treatment

Skydrive shrinks them

Skydrive and DropBox create galleries

Sharing might include editing

Skydrive and Google can edit in the browser

Google Docs format is special

Doesn’t count toward your storage quota

Multiple people can edit at the same time

Seeing your data on other devices

SugarSync and DropBox support everything including Blackberry (DropBox: Linux, too!)

Google works on iPhone and 3rd parties have stepped up for Android apps for SkyDrive

Searching is not uniform across the platforms

DropBox indexes filesnames only

SkyDrive indexes the words inside Microsoft files (Word, Excel, PowerPoint, etc.)

Google indexes everything!

SugarSync doesn’t search!

SAAS AND PAASAnd IaaS, too!

Elastic Cloud Compute (EC2) Amazon’s virtual server shop. Create and upgrade and

expand server instances.

Simple Storage Service (S3) Amazon’s cloud drive service. If you wanted to store

videos or photos or files on your website (regardless of where it’s hosted), you can store them here.

Elastic Block Storage (EBS) Amazon’s storage service for your virtual server that you

house there. You put the operating system (Windows, Linux, etc.) here along with other files the server uses.

Benefits for IT

O Immediate 24/7

ODelivery of applications on multiple device platforms

O Immediate provisioning for better service

OBetter backup and disaster recovery plans

O Immediate multi-platform access

OReduced staff

Tricky Stuff for ITO Integration between platforms

O Credentialing in general and Single-sign-on in

particular

O Predicting and maintaining performance and

bandwidth needs

O Regulatory management and control

O Does our software work there? Licensed properly?

O From managing staff to managing vendors

O Reporting and KPIs for Executives

O Reduced staff

Benefits for the Business

O Flexibility is better than forecasting

O It’s good to be able to capture the revenue from a peak

O Utility costing “plains” are preferred to “mountains and valleys” of capital costing

O Agility in creation and delivery of new digital products and services

O Probable cost reduction

O Probable over-all technology improvements

Tricky Stuff for the Business

O Change is hard – migrations and cut-overs and outages and training and new (important) partners can all present challenges

O Multi-year contracts are sometimes hard to commit to

O Difficult to properly weigh risk profiles and scenarios

O Another batch of layers between the business and IT

A definition:

Cloud computing is a model for enabling convenient, on-

demand network access to a shared pool of configurable

computing resources (e.g., networks, servers, storage,

applications, and services) that can be rapidly provisioned

and released with minimal management effort or service

provider interaction.

National Institute of Standards and Technology

What it Boils Down to…

Better Control

• Your gear – your responsibility

• You’re in charge of your own

response to problems

• You know the capabilities of

your staff and can direct them

• You just have to manage

YOUR threats, not everyone’s

Advanced Functionality

• Quick to market

• Quick to upgrade or

downgrade as needed

• Service-based metered pricing

• 24/7

• Newer technology faster

Risk Mitigation• Cloud providers want predictable, multi-

year, enterprise-wide agreements

• Customers want PAYG add (and subtract)

services as needed

• Neither party can assume all of the risko Vendors will go out of business

o Customers will never put mission critical in the Cloud

Service Level Agreements• Is there an up-time guarantee and what are the

penalties? Push for more than fee returns.o Consider Business Interruption Insurance

• Understand where to go for support or to report a

problem and what is the response time?

• Do they have a DR plan in place?

• Are your regulatory needs met (PCI, Cobit, etc.)?

• Make sure you understand (or eliminate)

“suspension of service” situations

• Verify no data sharing with your private

information.

STANDARD PATH TO THE CLOUD

• experiment with unimportant service or software and with

multiple providers

• when something gets old, rent a cloud server

• use for development and test, then deploy to owned gear

• get comfortable and continue to migrate

• experiment and migrate to PaaS/IaaS and SaaS

• deploy new services on the cloud

• consider reductions in technology support staff

“STARTUP” PATH TO THE CLOUD

• Find SaaS providers for office applications

• Develop and host web presence through partners

• Hire technical people in year 5 to manage partners

RecommendationsNothing longer than a 2-3 year

commitment if you have to commit

You have to do your homework before you commit

Integration with existing applications

Network surveys to determine bandwidth needs

Understand the SLA completely

If you have an IT department, they need to be on-board (even excited) in order for this to work

Recommendations (con’t)

Understand and practice your exit

strategy (just another part of your BCP)

If you have existing good relationships

with hardware vendors, start with them