Towards Cloud Computing Internet Unlimited content, no barriers to entry, no barriers to exit Communications are any-to-many-to-one Amazon, Google, Facebook, Skype, Twitter Broadband Pictures and video are the killer apps Data dominates network traffic YouTube, Hulu, Flickr Mobile The ubiquity of mobile phones iPhone/iPad set the bar for impressive mobile devices Blackberry, Apple, Android Moving from PC-centric model toward post-PC world of continuous services and connected devicesHUAWEI TECHNOLOGIES CO., LTD.
New Computing Cycle CharacteristicsHUAWEI TECHNOLOGIES CO., LTD.
Cloud Computing Dimensions Business Application Innovation Models On-Demand Telecom services New applications, media, from Servers to Services … E-health education, SmartGrid, Pay As You Go E-government M2M, …… Optimized DC, Automated,Distributed and Virtualized High efficiency/availability Computing Self-Service, … Technology Infrastructure Advances Architectures HUAWEI TECHNOLOGIES CO., LTD. Page 5
Cloud Deployment Models: Public, Private, and Hybrid Hybrid clouds Internet Intranet Public cloud providers offer Private cloud providers offer services to multiple customers services to exclusive usersHUAWEI TECHNOLOGIES CO., LTD.
Public Cloud: New and Fast Growing Market Clear value proposition Lower upfront costs Economies of scale Simpler to manage OpEx only On demand with great scalability, flexibility, and operational efficiency Internet companies are cloud creators and leaders Lead both technology and business model innovations Dominate mind share and market Enable many new and innovative IT servicesHUAWEI TECHNOLOGIES CO., LTD.
Public Cloud: Becoming Mainstream SMB IT Consumerization of IT – make IT simple, easy, and cheap Allow expensive, inflexible and time-consuming IT tasks to be delivered as convenient pay-as- you-use services Huge investment on public cloud in past 2 years Amazon (over 150,000 servers) for cloud use Google (new North Carolina data center, $600M) Microsoft (new San Antonio Data Center for Azure, $550M) Apple (iCloud for iTunes and app store, $1B) Microsoft (Virginia data center for Windows Live, $499M) AT&T and Verizon each $1B Cloud InfrastructureHUAWEI TECHNOLOGIES CO., LTD.
Is Public Cloud for Real? Amazon Spectacular Success 3000 AWS Revenue Gross Profit $2,537M 2500 2000 1500 50% annual growth $1,127M 1000 50% gross margin 500 $501M Undisputed leader $222M $99M 0 (Source: UBS) 2006A 2008A 2010E 2012E 2014E No capital expenditure Pay as you go Pay only for what you need Elastic capacity Faster time to market Focus on your businessHUAWEI TECHNOLOGIES CO., LTD.
Successful Amazon Services Cloud Storage Over 100B objects Web Hosting Upcoming king of Web hosting IT Hosting Preferred IT hosting for SMB Home to some of the hottest startups on the planet Growing enterprise customersHUAWEI TECHNOLOGIES CO., LTD.
Amazon Cloud Infrastructure Ecosystem OverviewA Multi-Billion Hottest 100,000+ Distribution Ecosystem Channel Applications Mobile/Social/EnterpriseCustomers Represent High Applications Growth SectorsMaking Inroads into Enterprise ITHUAWEI TECHNOLOGIES CO., LTD.
Private Cloud: Efficient Computing Infrastructure Many factors driving private cloud Enterprises like cloud but concern over security, control, and compliance Tier 1 IT vendors move to cloud in a big way Value proposition Lower total costs and efficiency Control of security, compliance, and quality of services IT in a box Highly integrated box with streamlined deployment Compatible with existing infrastructure and applications Data Center consolidation Scale, efficiency, reliability, and support and management cost Container based Data Center IT outsourcing servicesHUAWEI TECHNOLOGIES CO., LTD.
Macro Trends in IT Services Customers want Cloud addressing trends Ubiquitous access and mobility •Self-service Instant service •Consolidate/Integrate technology More control of information •Specialization and out-tasking Best fit for purpose •Scale Innovation •Leverage others’ investments Lower unit costs •Virtualization Less commitment •Containers •The cloud •GreenHUAWEI TECHNOLOGIES CO., LTD.
Private Cloud: Big but not New Market Old wine in new bottle for developed market Improved IT infrastructure (virtualized and highly integrated) Solution must integrate into existing complex environments Management and monitoring tools Processes are complex Many enterprise apps do not fit cloud computing paradigm Does not deliver all cloud benefits On demand? No upfront CAPEX? Pay-as-you-go?HUAWEI TECHNOLOGIES CO., LTD.
Bridging to the Future Customers want Benefit of public cloud: no upfront investment, unlimited resources Benefit of private cloud: inside firewall Typical use cases New or Web Apps, failover, disaster recovery, development & test environments, one-time burst computing jobs, and so onHUAWEI TECHNOLOGIES CO., LTD.
IT Evolution Towards CloudPublic Cloud Evolution Public Cloud Hybrid MSP ISP CSP/ Telcos ASP ISVPrivate Cloud Evolution Silo’d Grid Private Cloud Hybrid HUAWEI TECHNOLOGIES CO., LTD.
Huawei ICT Strategy– Cloud + Pipe + Device App App App Establish App Platform Cloud Data Center in IT Solutions IP + Optical focus on Leading Pipe ICT industry in Networks Device Expand in Devices Personal Industry FamilyHUAWEI TECHNOLOGIES CO., LTD. Huawei Confidential Page 17
Open Platform, ICT Cloud, Ecosystem Building Win-Win Ecosystem ITS …… 3rd telecom services Cloud Media Cloud — Providing E2E solutions with partners Smart Grid Cloud Telecom BOSS Service Cloud Cloud Migrating telecom to Cloud E-health Cloud Cloud Application Platform Development Executive Deployment — Life in cloud, work in cloud, BOSS in Distributed Web Framework (SDP) cloud, BOSS for Cloud Cloud Operation system Virtualization Distributed Parallel Automatic Developing SingleCLOUD Platform Cloud-Oriented Hardware — New Generation Datacenter Solution Server Ethernet Storage Security Power & coolingHUAWEI TECHNOLOGIES CO., LTD. Page 18
Summary Post-PC world drive cloud computing needs › Anywhere, anytime nature of today’s applications › Consumerization of IT Customer needs define cloud deployment model › Public clouds create cloud and lead innovation › Private cloud is where the money is in short-term › Hybrid cloud is the future App App App Cloud ICT convergence bring Huawei into the cloud App Platform Data Center IP + Optical Pipe Devices Personal Indust ry FamilyHUAWEI TECHNOLOGIES CO., LTD. Page 19