The Cloud as Opportunity: Invitation to Entrepreneurs


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Peter Coffee's presentation to the MIT Enterprise Forum in Phoenix on 22 April 2010, providing an overview of cloud computing developer models and offering criteria for platform choice in various domains

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  • Many different approaches can be taken to the provision of services using the cloud’s enabling technologies
  • Moving away from the idea of a familiar development model, only cloudier, has allowed the developer to elevate the starting point for application construction
  • Measurable productivity improvement, independently estimated by three separate studies, is the result
  • We move the complete freedom of a custom logic capability up into the metadata layer as well, uniquely combining the power of custom logic with the economy and robustness of a full multi-tenant environment. Someday, others will do likewise: for now, is unique in delivering this combination of characteristics.
  • Liberating latent value from legacy IT assets is often the most unexpected bonus of the cloud – and it’s “the” cloud, one common cloud with many interoperable services, not multiple clouds representing separate silos
  • We meet and exceed the Security Requirements for Financial Services companies – more than 1200 Financial Services companies use Salesforce today. Many have audited our Facility, Network and Application for security and risk, and we’ve received their certifications.
  • The Cloud as Opportunity: Invitation to Entrepreneurs

    1. The Cloud as Opportunity: Invitation to Entrepreneurs <ul><li>Peter Coffee </li></ul><ul><li>Director of Platform Research </li></ul><ul><li> </li></ul>
    2. Infrastructure as a Service Virtual Servers Virtual Servers Virtual Servers Platform as a Service (PaaS) for the Inquiring Developer “ Servers as a Service” PaaS as Enterprise Application Framework Infrastructure as a Service Database as a Service Python/Java Application Server ~ Familiar Developer Model Rapid Scalability  Offering Innovative Technology Supports Large-Scale SaaS Deep-Dyed Multitenancy Database as a Service The Cloud as a Multi-Product Marketplace Unlimited Real-Time Customization Granular Security & Sharing Programmable Cloud Logic Real-Time Workflow & Approvals Programmable User Interface Integrated Content Library Infrastructure as a Service
    3. <ul><li>Moving toward an ideal: “Zero, One, Infinity” * </li></ul><ul><ul><li>0 On-premise infrastructure Acquisition cost Adoption cost Support cost </li></ul></ul><ul><ul><li>1 Coherent and resilient environment – not a brittle “software stack” </li></ul></ul><ul><ul><li> Scalability in response to changing need </li></ul></ul><ul><ul><li>Integratability/Interoperability with legacy assets and other services </li></ul></ul><ul><ul><li>Customizability/Programmability from data, through logic, up into the user interface without compromising robust multi-tenancy * From The Jargon File : “Allow none of foo , exactly one of foo , or any number of foo ” </li></ul></ul>What it Means to Promise “The Cloud”
    4. <ul><li>Old code in new clouds </li></ul><ul><ul><li>LAMP stack on Amazon’s virtual servers </li></ul></ul><ul><ul><li>Python code in Google’s sandbox </li></ul></ul><ul><li>Leveraged code in enterprise framework </li></ul><ul><ul><li> code from </li></ul></ul><ul><ul><ul><li>Java-like, but coupled with database for integrity </li></ul></ul></ul><ul><ul><ul><li>Governed by environment for safety and performance </li></ul></ul></ul><ul><li>Distributed code </li></ul><ul><ul><li>Combine and connect multiple cloud models for competitive advantage </li></ul></ul>Value Propositions
    5. <ul><li>Package the product for the cloud </li></ul><ul><li>e.g., Alfresco Cloud Content Application Developer Program </li></ul><ul><ul><li>open source Amazon EC2-ready stack </li></ul></ul><ul><ul><li>developer kit for customers and partners </li></ul></ul><ul><ul><li>“ develop, deploy and monetize cloud content apps” </li></ul></ul><ul><li>Provide cloud service abstractions </li></ul><ul><li>e.g., Windows Azure SDK for PHP </li></ul><ul><ul><li>Classes for Blobs, Tables and Queues </li></ul></ul><ul><ul><li>PHP sessions  Azure Table Storage </li></ul></ul>The New Developer Models
    6. <ul><li>Straightforward abstractions </li></ul><ul><li>Familiar tool extensions </li></ul><ul><li>e.g., “Groovlets” on EC2 </li></ul><ul><ul><li>Download plug-ins for Eclipse </li></ul></ul><ul><ul><li>Configure </li></ul></ul><ul><ul><li>Deploy and test </li></ul></ul>Your Skills, Only Cloudier Ref: Andrew Glover on IBM DeveloperWorks, Sept. 2009
    7. Instantly Set Up Dev Environments Easy to Collaborate on Projects Code Share Sandbox Easy Access to Code and Schema Metadata API Reconceiving the Developer Experience Everything You Need to Build Apps IDE Everything You Need to Build Apps IDE
    8. In Search of Platform Leverage A path of least resistance to high-function applications Unlimited Real-Time Customization Granular Security & Sharing 80+ Million Lines of Cloud Logic 245,000 Workflow Rules and Approvals 312,000 UI Customizations Real-Time Mobile Deployment Real-Time Websites Integrated Content Library Real-Time Analytics 800+ Integrated Applications Multi-Tenant Kernel Proven Reliability Real-Time Upgrades ISO 27001, SAS 70 Type II Certified Security Proven Scalability (15 billion transactions/Q2) Real-Time Transparent System Status 3 Global Data Centers & Disaster Recovery Proven Real-Time integration Real-Time Sandbox Environments Real-Time Query Optimizer Salesforce to Salesforce Sharing
    9. Development Reinvented, not Just Relocated <ul><li>Nucleus Research analyzed deployments: found average 4.9 times faster development (range 1.5x-10x) versus Java or .Net </li></ul><ul><ul><li>Custom objects </li></ul></ul><ul><ul><li>Administrative tools </li></ul></ul><ul><ul><li>Workflow engine </li></ul></ul><ul><ul><li>Pre-tested platform </li></ul></ul><ul><li>Galorath Inc. compared developers’ productivity to Java development </li></ul><ul><ul><li>Requirements definition time reduced 25% due to rapid prototyping </li></ul></ul><ul><ul><li>Testing effort reduced by (typically) more than 10% </li></ul></ul><ul><ul><li>Development productivity of new code 5x greater </li></ul></ul><ul><ul><li>Overall project cost 30-40% less </li></ul></ul><ul><li>CustomerSat sampled more than 1,100 development teams during summer 2009 </li></ul><ul><ul><li>Average experience: 4 applications deployed to date </li></ul></ul><ul><ul><li>Average project cost savings: 48% </li></ul></ul><ul><ul><li>Average project acceleration: 5.1x </li></ul></ul>
    10. Real-World Results: Professional Services <ul><li>Animators at Law, a leading provider of litigation graphics, litigation consulting & litigation technology for many of the largest law firms, pioneered a unique system for identifying the litigation activities of law firms and corporations and wanted to make the data available to third parties through a subscription-based service. </li></ul><ul><li>In just a few months – with no added development staff – the team created LawProspector, the first comprehensive sales lead and litigation market intelligence tool. The application, built on the platform, integrates with Salesforce CRM Enterprise Edition and Salesforce CRM Partner Networks. </li></ul><ul><li>LawProspector is integrated with applications from the AppExchange. LinkedIn for Salesforce, enables users to access LinkedIn information directly from Salesforce CRM contact and account records, and Account News Feed powered by Google News displays relevant news items from Google alongside Salesforce CRM records. </li></ul>
    11. Real-World Results: Financial Services <ul><li>The Phoenix Companies sought a new CRM solution with flexibility , ease of use, mobile accessibility, low-cost modification capabilities, minimal user training requirements, and simplified integration with other apps. </li></ul><ul><li>Changeover to Salesforce CRM took less than two months. Working with partner OKERE (now part of Fujitsu Consulting), Phoenix used the platform to create customizations for contracts and underwriting . </li></ul><ul><li>Using the API, Phoenix integrated several legacy systems with Salesforce CRM to provide consolidated, real-time access to information. </li></ul><ul><li>The Salesforce CRM implementation cost the company less than one-fourth of the project’s original budget. </li></ul><ul><li>By streamlining communication between field and inside sales within Salesforce CRM, Phoenix has reduced phone and email inefficiencies, boosted productivity, and, in 2005, increased life insurance sales by more than 33% . </li></ul><ul><li>Following its upgrade to Salesforce CRM Unlimited Edition, Phoenix achieved 96% user adoption. </li></ul>
    12. Coherent Code Base and Managed Infrastructure Your Clicks Your Code Metadata representations: Rigorously partitioned data, logic and customizations for multiple customers Build strategic applications Customize any aspect Upgrade when convenient Preserve IP control Enterprise Clouds Enable Deep Customization User Interface Logic Database
    13. <ul><li>It’s hard to add security to a tool that shares by default </li></ul><ul><li>It’s possible to add social tools to a proven trust model </li></ul>How “The Cloud” Creates Communities
    14. Where ISVs Can Find Their Future Service Provider Trust Low Cost of Entry Faster Time to Market Assured Interoperability
    15. Peter Coffee Director of Platform Research [email_address] Q & A?
    16. Common Concerns
    17. Cloud Integration: No Need for Rip/Replace Mash-ups from Web and AppExchange Native Desktop Connectors Integration Partner Ecosystem Developer Toolkits Native ERP Connectors
    18. <ul><li>SSL data encryption </li></ul><ul><li>Optional strict password policies </li></ul><ul><li>SAS 70 Type II & SysTrust Certification </li></ul><ul><li>Security certifications from Fortune 50 financial services customers </li></ul><ul><li>May 2008: ISO 27001 Certification </li></ul>Platform Security Cloud Security: No Need for Excuses “ There are some strong technical security arguments in favor of Cloud Computing … (Craig Balding, Fortune 500 security practitioner) <ul><li>Fault tolerant external firewall </li></ul><ul><li>Intrusion detection systems </li></ul><ul><li>Best practices secure systems mgmt </li></ul><ul><li>3 rd party vulnerability assessments </li></ul>Network Security <ul><li>24x365 on site security </li></ul><ul><li>Biometric readers, man traps </li></ul><ul><li>Anonymous exterior </li></ul><ul><li>Silent alarm </li></ul><ul><li>CCTV </li></ul><ul><li>Motion detection </li></ul><ul><li>N+1 infrastructure </li></ul>Facility Security