How Your Business Can Take Advantage Of Cloud Computing

How Your Business Can
Take Advantage of
Cloud Computing
Cloud Computing
Andy Harjanto

First,
What the heck is
Cloud Computing
First, what the heck is
Cloud Computing?

Let’s use a simple analogy
Say you just moved to a city, and you’re looking for
a place to live

You can either
Builda house or
Rentan apartment

If you builda house, there are a few
important decisions you have to make…

Howbigis the house?
are you planning to grow a large family?
Remodel, addition typically cost a lot more once the house is built

But, you get a chance to customizeit
flooring
tile
windows
floor plan
Roof
lighting
landscaping

Once the house is built,
you’re responsible for maintenance
Hire Landscaper
Pay property tax
Electrician
Plumber
Water
Electricity

Let’s look at renting?

Consider a builder in your city builds
a massivenumber of apartment units

A unit can easilybe converted
into a 2,3,4 or more units

You make a fewer, simpler
decisions
You can start with one unit and grow later, or
downsize

But…
You do nothave
a lot of options to
customize your unit

triple pane windows
green materials
high capacity electricity
high speed Internet
However, this builder will provides you with
high quality infrastructure

No need to worryabout maintenance cost
No need to Hirelandscapers, electricians, plumbers

Pay as You Go
Just pay your rent
and utilities

Let’s translate to
Cloud Computing?

Let’s Look At Life
Without
Cloud Computing
aka Today

Typical IT Cost Structure
Data Center
Software License,
Development,
Maintenance
IT Staff
Support

As the business expands…
…need to expand your data center too

But…
Business Contraction Means….
Increasingly Unused Computing Power

GlobalExpansion?
Better start investing computinginfrastructure in that region
(gov regulation,
performance)

You are
in full control over
Applications
Data
Security
Privacy

Typically, majority of cost structure isfromlabor cost (IT, Support)
High Fixed Cost

Now,
Let’s look what
cloud computing
could do for you

There are many services
you can use for your IT needs
Let’s look at 3 major services

Virtually UnlimitedComputing Power
use only what you need

Example
We can increasecomputing power from 2 units to N
in minutes, with a simple configuration change.
We can also decreaseit as quickly and easily too

Scenarios

Business Expansion
Traffic Spike because of Media Coverage
Short-term research
Business contraction

Computing Elasticity

Typical Compute Pricing
Per Hour (Elapsed Time)
$0.10 - $1.00
depends on server specifications
Computer running 24 hour a day costs as low as $72/month

Virtually UnlimitedStorage
For storing your documents, files

Example
You canupload, downloadas many files as you want,
deleteor backup unused files to reduce cost

Cloud Store
Scenarios

File Sharing, Collaboration
Multimedia storage
Backup /Archival

Typical Cloud Storage Pricing
Storing
$0.15
Per GB/Per Month
Upload
$0.10
Per GB
Download
$0.15
Per GB

Virtually Unlimited
(Structured) Data
databases
updates
queries
transactions
relational
entity base

Example
Create as many
databases
as you need

Cloud Data
Scenarios

Running day-to-day business operations
Sales data
Customer data
Employee data
Inventory data
Large research

Typical Cloud Data Pricing
Database Size
$9
1 GB/Per Month
Others use per hour metering

There are a few more
Cloud Services
Queue
private cloud
Machine Image
Web Services
Federation

and you can pick and choose
one or more cloud services
Even you can mix
the cloud providers
Now, we’re cooking!

Your IT costs would likely to be
mostly variable costs
Storage
BandwidthCompute

Talking to your cloud services
HTTP REST
JSON XML
Typically done via standard, simple,
modern protocols and formats

TypicalSLAs
around
99.95
% uptime

Although data and computing are accessible everywhere
You choose where they reside

But, in order to be flexible and elastic,
the platforms on which you build applications
have limited feature sets

Cloud providers would provide heavy lifting
Server Crash
Monitoring
Data Replication
Network Outage
Catastrophic Events

All of these require
MASSIVEdata centers and
capital investments
Easily measured in billions (US$)

Only a handful of major players
can build the infrastructure

How My Business Can Take Advantage of
Cloud Computing

If you can start over..
The best model to put all services
in the cloud
Files
Data
Compute
Clients
Clients

You’ve seen this model
works well many times before
300 millions
55 millions
…and many others

140 million daily status updates
300 million users
facebook
70% users outside US
14 million videos
uploaded monthly
2 billion pictures uploaded monthly

All of these are done with
1
engineer
1
million users
ratio
If we could be just 1% as efficient…

Of course, that’s not that easy
You may already have millions lines of code
that run your business

People try to put
the puzzletogether
Cloud Computing
Traditional Software

Mix #1: Private Cloud
Existing IT Infrastructure
VPN
Cloud

Mix #2: Hybrid Model
Example, accessing cloud data from existing infrastructure
Existing IT Infrastructure
Data/Storage
Cloud
Computing/Applications

Does mix
them together
worth doing?

Now, it’s time to
simplify
your business

We’ve been on this road
many times before
It’s painful first,
but at the end,
we come ahead

Let’s look at a few examples
down to
memory lane
Often simpler technology can
compete and win against superior
technology

User
Interface
1996
Rich UI
HTML

Protocol
lightweightsimple
heavy
feature rich
JSON REST SOAP
CORBA DCOM RPC

Communication
140 characters
text message
Email

How do I jump?
Or Should I?
this is the
cloud platform
this is your
business

Second part of the presentation
will address just that
Simplifying Your Business
On the Cloud
http://www.slideshare.net/Guppers/10-simple-ways-to-simplify-your-business-on-the-cloud

…and address Elephantin the room too
Security
Privacy
Identity

In Summary…

Cloud platform provides you with

Cost Elasticity
Power Elasticity
High Availability
Scalability
Global Ready
Long term Cost Reduction

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Contact: andy@guppers.com