Cloud Computing in Business and facts
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  • 1. Cloud Computing
  • 2. CLOUD COMPUTING 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. Cloud computing provides computation, software, data access, and storage services that do not require end-user knowledge of the physical location and configuration of the system that delivers the services. Cloud computing providers deliver applications via the internet, which are accessed from a web browser, while the business software and data are store on servers at a remote location.
  • 3. Delivery Models Cloud software as a service (SaaS) : Use the provider’s applications running on a cloud infrastructure. Software running on a cloud infrastructure. The applications are accessible from various client devices through a thin client interface such as a web browser. • Cloud platform as a service (PaaS) : User-created applications running on a cloud infrastructure. • Cloud Infrastructure as a service (IaaS) Processing, storage, networks, and other fundamental computing resources running on cloud infrastructure
  • 4. Deployment Methods • Private cloud (Internal Cloud) : The cloud infrastructure is operated solely for a single organization. • Public Cloud : The cloud infrastructure is made available to the general public or a large industry group and is owned by an organization selling cloud services. • Community Cloud : The cloud infrastructure is shared by several organizations and supports a specific community that has shared concerns. It may be managed by the organizations or a third party and may exist on-premises or off- premises. • Hybrid Cloud : The cloud infrastructure is a composition of two or more clouds (private, community, or public) that remain unique entities but are bound together by standardized or proprietary technology that enables data and application portability.
  • 5. Distributed vs. Grid vs. Cloud Rent based on usage only Rent Servers & Hosting costs whether used or not Buy Servers & Colo costs whether used or not Pricing model High - virtualizedLowLow“Green” No contracts, usage based, no upfront costs Costly, sometimes month/year contracts, no CapEx High CapExCost Instant, Flexible, Pay- per-usage Slower, somewhat flexible, Costly Slowest, Rigid & CostlyScalability MinutesDays to WeeksWeeks to MonthsTime CloudGridDistributed
  • 6. Advantages 1 .Flexibility 2. Disaster recovery 3. Automatic software updates 4. Cap-Ex Free 5. Increased collaboration 6. Work from anywhere 7. Document control 8. Security 9. Competitiveness 10. Environmentally friendly
  • 7. • Cloud Servers and Network Hardware are much Higher Quality: Cloud solution providers cannot afford equipment failure, so very high quality equipment is used and all of it is highly redundant within the data center.
  • 8. • No expenditures on expensive hardware : Cloud solutions do not require the outright purchase of server hardware, network storage, backup systems, disaster recovery systems, power or cooling systems, data center or utility costs. When a business moves to a cloud environment they eliminate the need for servers and the physical space needed to house those servers.
  • 9. • UPS battery failure (55 percent) • Accidental / human error (48 percent) • UPS capacity exceeded (46 percent) • Cyber attack (34 percent) • IT equipment failure (33 percent) • Water incursion (32 percent) • Weather related (30 percent) • Heat related/CRAC failure (29 percent) • UPS equipment failure (27 percent) • PDU/circuit breaker failure (26 percent)
  • 10. • No need for the Upfront Capital Expense of Infrastructure Software – Cloud computing eliminates the need for the upfront capital requirement of purchasing software like Windows Server, SQL Server, Application and Database Servers, Client Access Licenses, Middleware, SharePoint, Citrix Server and client licenses … etc. These costs are paid in the monthly fees for the cloud environment and support.
  • 11. • Fewer Expensive Software Upgrades – Many software manufacturers are including free software upgrades for applications that are hosted in the cloud and are paid as a subscription within the monthly cloud environment fees. This means no expensive software upgrades and none of the interruption that software upgrades create in businesses.
  • 12. Shining Examples of Cloud Computing in Action • 1. Through cloud cost flexibility, online marketplace gains access to more powerful analytics online • 2. Greater business scalability enables online video retailer to meet spikes in demand. • 3. Greater market adaptability provides online entertainment platform the ability to reach any type of customer device
  • 13. • 4. Masked complexity enables access to services, no matter how intricate the technology they’re built on
  • 14. Issues over Cloud Computing
  • 15. Cross Border Legal Issues • Cloud Cloud inherently being stateless and serves located in different locations and countries creates issues related to conflict of laws, applicable law and jurisdiction. • Cross-border data flow, potentially conflicting regulations, applicable regulations
  • 16. Privacy and Security • Multi-tenant architecture • Data from different user are usually stored on a single virtual server • Multiple virtual servers run on a single physical server • Data security depends upon the integrity of the virtualization
  • 17. IPR and Ownership Issues • Trade Secret Protection. As third parties might have access to data, which can be detrimental to trade secrets of a company. • Companies should have non-disclosure agreements with the vendor. • Ensure that no rights in IPR are transferred to the vendor.
  • 18. Hacking of cloud vendor In the event that cloud vendor system is hacked, does the owner of the data has the right to move against the vendor for claiming lost profits.
  • 19. Legal and practical liability for force majeure events • What happens to the owner’s data in case of a disaster? How much is the vendor liable for the recovery and restoration of the data? • What are the back-up mechanisms for recovery of the data?
  • 20. Jurisdictional Issues • In cloud services location of data is usually uncertain. The owner of data is not aware of the country where the data is stored. The physical location of the data raises the question of law to be governed and jurisdiction. Its important to be aware of the prevailing law in that particular nation. • What if a dispute arises, what will be the place of jurisdiction. The owner of the data should be aware of the country’s court system which will govern the conflict arose between the parties. • For eg. The owner is based at India and cloud service provider is based in the US. The vendor would prefer jurisdiction of American Court. But can the owner afford to contest the matter in American court.
  • 21. Risk allocation/mitigation/insurance • No vendor offers a 100% guarantee. The most trusted vendor can also fail. • Replication of data should be done and application should be available at multiple sites.
  • 22. Top Cloud Service providers
  • 23. 1. Amazon • There's no question who the most important cloud player is: Amazon. Amazon basically invented the IaaS market Amazon's cloud offers a huge array of choices. It does everything from provide a bit of cloud storage for a few pennies a month to renting supercomputer-strength power for $5,000 an hour.
  • 24. 2. VMware • It offered software called vCloud for building clouds. • It is one of the biggest players in the cloud software market, competing against a tech called OpenStack (run by a consortium of vendors, including IBM, Rackspace, HP) and Citrix.
  • 25. 3. Microsoft Windows Azure is an open and flexible cloud platform that enables you to quickly build, deploy and manage applications across a global network of Microsoft-managed datacenters. This is a PaaS cloud popular with the many developers who already write apps using Microsoft's coding tools. Microsoft just expanded Azure into the IaaS market, even letting users run Linux on its cloud, and promising to match Amazon's low prices. SQL Server database to Microsoft Office 365.
  • 26. 4. SalesForce.com • The name Salesforce.com is almost synonymous with cloud computing. Salesforce.com proved that the world wants to buy software-as-a-service. • In 2012, Salesforce pushed into a bunch of new areas, spending more than $1 billion to acquire Radian6(social media engagement software)
  • 27. Some Service providers for SaaS – Software as a Service
  • 28. Some Service providers for DaaS – Data as a Service
  • 29. Some Service providers for PaaS– Platform as a Service
  • 30. Some Service providers for IaaS – Infrastructure as a Service
  • 31. Some Service providers for NaaS – Network as a Service
  • 32. examples • Government can take advantage of cloud computing is India’s Unique Identification (UID) project. The UID aims to provide a positive change to the lives of the people at the bottom rung of the economic pyramid simply by providing a real time service for the verification of the identity of any Indian resident through biometrics or demographic information. The UID’s advantage is that it’s a generalized online service that is accessible by a wide variety of national, state, and local government authorized agencies as well as private businesses. The previous e-governance systems were limited in comparison, having been dependent on individual ministries and lacked standardization. • India’s UID Authority has already collected the biometric and demographic information from over 200M people,
  • 33. • 1. By 2015, end-user spending on cloud services could be more than $180 billion • . 2. It is predicted that the global market for cloud equipment will reach $79.1 billion by 2018 • . • 3. If given the choice of only being able to move one application to the cloud, 25% of respondents would choose storage • . • 4. By 2014, businesses in the United States will spend more than $13 billion on cloud computing and managed hosting services • . • 5. Throughout the next five years, a 44% annual growth in workloads for the public cloud versus an 8.9% growth for “on-premise” computing workloads is expected
  • 34. • 6. 82% of companies reportedly saved money by moving to the cloud • . • 7. More than 60% of businesses utilize cloud for performing IT- related operations • . • 8. 14% of companies downsized their IT after cloud adoption • . • 9. 80% of cloud adopters saw improvements within 6 months of moving to the cloud • . • 10. 32% of Americans believe cloud computing is a thing of the future
  • 35. • 11. There’s an estimated 1 Exabyte (1 000 000 000 000 000 000 bytes).of data stored in the cloud • . • 12. More than half of survey respondents say their organization currently transfers sensitive or confidential data to the cloud • . • 13. Cisco forecasts that global data center traffic will triple from 2.6 zettabytes in 2012 to 7.7 zettabytes annually in 2017, representing a 25 percent CAGR • . • 14. Global data center traffic will grow threefold (a 25 percent CAGR) from 2012 to 2017, while global cloud traffic will grow 4.5-fold (a 35 percent CAGR) over the same period • . • 15. From 2012 to 2017, data center workloads will grow 2.3-fold; cloud workloads will grow 3.7-fold
  • 36. • 16. 2014 is the first year the majority of workloads will be on the cloud as 51% will be processed in the cloud versus 49% in the traditional IT space • . • 17. 545 cloud services are in use by an organization on average • . • 18. 56% of survey respondents trust the ability of cloud providers to protect the sensitive and confidential data entrusted to them • . • 19. 59% of all new spending on cloud computing services originates from North American enterprises, a trend projected to accelerate through 2016 • .