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REGULATORY
IMPLICATIONS
CLOUD
CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 2
Ericsson Cloud System
Overview: Concepts
Eri...
CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 3
Native System
Overview: Concepts
Virtualizat...
CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 4
Native System
1
Overview: Concepts
Virtualiz...
CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 5
Overview: Virtualization
REGULATORY IMPLICAT...
CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 6
Overview: Outsourcing & Cross-border flows
R...
CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 7
Overview: Deployment Scenarios
regulatory im...
CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 8
Ericsson Cloud System
Overview: Applications...
REGULATORY
CONSIDERATIONS
CLOUD
CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 10
WHY, WHAT and HOW to Regulate?
CLOUD REGULA...
CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 11
Addressing Scale & Control Issues:
› Commer...
CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 12
Holistic Regulation
REGULATORY Convergence
...
CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 13
Co-/Self-Regulation
› Privacy by design
› A...
CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 14
INTENDED
INFORMEDWELL
ILL
ILL
ACCOUNTABLE
C...
CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 15
When to Enforce
Enforcement Strategy
FOCUS ...
CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 16
Convergence – Platform Equality
Information...
Cloud regulatory impact
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Cloud regulatory impact

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Transcript of "Cloud regulatory impact"

  1. 1. REGULATORY IMPLICATIONS CLOUD
  2. 2. CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 2 Ericsson Cloud System Overview: Concepts Ericsson cloud System offering Ericsson Cloud Execution Environment Network & Data Center Infrastructure Ericsson Cloud Manager Virtualized Applications The Ericsson Cloud System is made up of three main parts; Networking and Datacenter Infrastructure, Cloud Execution Environment, and Cloud Manager. All of these parts are required to create a cloud platform, but not all of the parts need to supplied by Ericsson in order to deploy any of our virtualized applications. This segmentation of the Ericsson offering follows an industry benchmarking making it more generic for policy implication analysis.
  3. 3. CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 3 Native System Overview: Concepts Virtualization I Application Hardware Native Application Understanding Virtualization is key to understanding the Cloud System. In a native deployment the application software has direct control over the hardware on which it is running. This means that dedicated hardware is required to run each application. In a virtualized platform like the Ericsson Cloud System, each hardware component is turned into a virtual resource by a piece of software called the Hypervisor. The Virtualized applications now run on virtual machines rather than on specific hardware and are given resources as required by the Hypervisor. Cloud System Cloud Hardware Virtualized Application Virtualization Software
  4. 4. CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 4 Native System 1 Overview: Concepts Virtualization II Application Hardware Native Application 1 With the Hypervisor in-between the application and the hardware resources the application software is now said to be Decoupled from the hardware. This means, for instance, that multiple applications can share the same piece of hardware. It is up to the Hypervisor and the rest of the Execution Environment to distribute the hardware resources as efficiently as possible to the applications that require them. This dynamic allocation of resources by the execution environment is called Elasticity. In the Ericsson Cloud System, the Hypervisor is included in the Ericsson Cloud Execution Environment.Cloud System Cloud Hardware Virtualized Application 1 Virtualization Software Virtualized Application 2 Virtualized Application 3 Native System 2 Application Hardware Native Application 2 Native System 3 Application Hardware Native Application 3
  5. 5. CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 5 Overview: Virtualization REGULATORY IMPLICATIONS Decoupling (D) per see should not result in any new regulatory implications or for new policy interventions. Decoupling and outsourcing results in regulatory implications such as conditions defining possibilities of transferring statutory liabilities. Localization, e.g. off-shoring of outsourcing will result in regulatory considerations. LOCALIZATION OUTSOURCING D
  6. 6. CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 6 Overview: Outsourcing & Cross-border flows REGULATORY IMPLICATIONS Outsourcing: Statutory Responsibilities Enforcement Localization: Type of data processing: - Commercial - Public Institutions - Law enforcement National standards of privacy regulation Extra territorial implications Data Transfers Trade barriers / Forced localization
  7. 7. CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 7 Overview: Deployment Scenarios regulatory implications Public cloud deployments raise policy issues regarding intermediary liability and immunities for intermediaries which are conditional for service providers offering public clouds. Conditions and immunities contribute to the cost and risk associated with such service provisioning. Network offerings underpinning telecom private cloud solutions that are subsequently a part of a consumer offering might potentially face issues regarding traffic management and traffic differentiation.
  8. 8. CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 8 Ericsson Cloud System Overview: Applications & Services REGULATORY IMPLICATIONS Ericsson Cloud Execution Environment Network & Data Center Infrastructure Ericsson Cloud Manager Virtualized Applications Different types of user applications, hosted in a cloud, may be used in a specific context/sector and hence this use becomes subjected to sector specific regulation such as telecom, media/content, e-commerce, health etc. above and beyond consumer protection law. These “applications” will then add an additional layer of regulatory consideration that are not specific to the implementation architecture e.g. native or decoupled. Sector specific regulation might have additional regulatory implications not on virtualization per see but indirectly if virtualization is followed by outsourcing and/ off-shoring localization.
  9. 9. REGULATORY CONSIDERATIONS CLOUD
  10. 10. CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 10 WHY, WHAT and HOW to Regulate? CLOUD REGULATORY Challenges Global nature of connectivity/processing Quantum jump in scale/scope of processing Distributed nature of control SCALE/CONTROL Law/Hierarchy Architecture/Code/Design IMPLEMENTATION How to Enforce When to Enforce Convergence / Services & Sectors ENFORCEMENT CONGRUENCE Norms/Values
  11. 11. CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 11 Addressing Scale & Control Issues: › Commercial Data Processing › Public Institutions Data Processing › Law Enforcement Data Processing › National Security Data Processing › Cyber Security Devising Effective Regulatory Frameworks REGULATORY Targeting
  12. 12. CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 12 Holistic Regulation REGULATORY Convergence Wire line Voice & data TV & Media Internet Wireless Voice & data Broadcast Internet Apps /ASP/ Cloud Fixed Mobile Source: Heavy Reading, Telecom in TV Land, 20070710 APPLICATIONS & SERVICES PLATFORMS WHEN NECESSARY REGULATE SERVICES NOT PLATFORMS PLATFORM & TECHNOLOGY NEUTRAL APPROACH
  13. 13. CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 13 Co-/Self-Regulation › Privacy by design › Accountable company › Self Regulation with substance › Cooperation with agencies and facilitated knowledge- sharing Command-Control › Outcome oriented › Clear roles and responsibilities in the value chain › Risk-based approach › Efficient tools managing Cross-border flows How to Implement Implementation Strategy
  14. 14. CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 14 INTENDED INFORMEDWELL ILL ILL ACCOUNTABLE COMPANY EVIL COMPANY UNINFORMED COMPANY DECEPTIVE COMPANY PUNITIVE DETERRENCE PARTICIPATORY COMPLIANCE How to Enforce Enforcement Strategy
  15. 15. CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 15 When to Enforce Enforcement Strategy FOCUS ON ENFORCEMENT FOCUS ON AVERSION PREVENTIONACTHARM PERSUASION WARNING CIVIL PENALTY/ ADMINISTRATIVE NOTICE OPERATIONAL INTERVENTION CRIMINAL PENALTY CONTROL OF COMPANY / LIQUIDATION DETERRENCE COMPLIANCE
  16. 16. CLOUD - REGULATORY IMPACT | Public | © Ericsson AB 2013 | 2013-09-10 | Page 16 Convergence – Platform Equality Information Management – Data Protection Information Management – Cross Border Data Flows Copyright - Enforcement Network Regulation – Traffic Management Related Regulatory Topics ERICSSON’S POLICY advise ICT Policy for the Networked Society
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