Nearly half (48%) of CIOs surveyed evaluate cloud options first, over traditional IT approaches, before making any new IT investments We asked the respondents regarding their plans around the organization's level of cloud technology adoption today and the expected level in 3 years. 72% of the respondents were either piloting, or had adopted or substantially implemented cloud in their organization, and this number is expected to increase to more than 90% in 3 years with a rate of growth touching 215% for organizations which intend to substantially implement cloud. Further, forecasts around cloud predict the cloud market to reach up to $241bn by 2020. Today, at least two thirds of companies of all sizes are actively either experimenting with or implementing cloud Survey results reveal that organizations are experimenting with cloud regardless of the size. Although, larger organizations are more likely to adopt or are piloting in cloud when compared to smaller organizations.
Mobile Revolution: By the end of 2011, smart phones and tablets will overtake PC shipments.2 Downloads of mobile applications, or “apps,” are expected to surge from 11 billion in 2010 to 77 billion in 2014.3 These applications use location sensors and cameras, coupled with broadband connectivity, to enable activities ranging from videoconferencing to real-time coupon delivery for nearby stores. People want more than music, movies and books on the go; they want all information (including from businesses) that way. Mobility has eliminated the boundaries of space and time. Customers are always connected, and companies can interact with them at any time. The implications cannot be overstated. With information about products becoming as important as the products themselves, almost every company is now in the business of creating and delivering “content” – information that is personal, relevant and timely when accessed by the customer. Social Media Explosion With 2 billion people connected to the Internet, social media is quickly becoming the primary means for communication and collaboration. Young people may have spearheaded the changes, but people of all ages have joined the virtual revolution: 89 percent of the millennial generation uses social networking sites, but so do 72 percent of baby boomers. And the gap is closing. Hyper Digitization Today’s world exhibits a fast-developing case of hyper-digitization. As much information is now being generated every two days, according to former Google CEO Eric Schmidt, as existed between the dawn of civilization and 2003. Demand for video, as well as constant connectivity, is expected to double the amount of mobile data traffic every year through 2014. Power of Analytics Advanced mathematical analysis, powered by intensive computing systems, provides unprecedented opportunity to unleash the value of interconnected data. Electronic tags on packages, pallets and transport vehicles can relay critical information about the location and quality of items ranging from pharmaceuticals to food. Sensors in electrical grids and water systems, intelligent buildings and congested roadways can optimize the use of scarce resources. Predictions based on information relayed from security cameras, satellites and soil can improve public health and safety.
IBM PureSystems are designed to help IBM clients achieve greater simplicity, speed and lower cost in their IT environments. Expert Integrated Systems reduce the time cost and risk of custom designing, integrated, tuning, managing and maintaining each intended purpose. For our clients, changing today’s status quo is critical for a number of reasons: to shift a higher % of budgets from operation expense to investment in projects that accelerate new value; to reduce dependency on scare expertise; and to enable greater IT agility that enables greater business agility.
Main Point: With management and admin costs taking the bulk of IT budgets, the most efficient datacenters will be the enablers for innovation. Speaker Notes: Based upon an annual IDC study, the pie charts on the left show the relative share of IT expense on servers (the dark blue wedge), energy and cooling (the green wedge), and management and administrations (the light blue wedge). The increase in management and administration expense from 29% in 1996 to 68% estimated for 2013, demonstrates a critical challenge faced by IT organizations around the world. We need to simplify complex IT environments to turn this trend around, so clients can shift management expense to growth investment Our global technology services group funded some additional primary research into the effectiveness of IT datacenters and discovered some interesting differences between the least and most efficient ones. Only 1 in 5 organizations are able to invest greater than 50% of their budget on new projects. The question is how can we help clients shift expense of operating existing systems, to investment in delivering new capabilities and value for their organizations? BACKGROUND DETAIL: Source: 2012 IBM Data Center Study: www.ibm.com/data-center/study ( http://www.ibm.com/data-center/study ) Data Source: IBM Data Center Study Conducted January 2012 Study conducted in seven countries worldwide – U.S., Canada, Brazil, Germany, France, China, India 65 questions 308 Respondents in the study: IT managers and CIO respondents IBM Report, IDC conducted research and helped write Study measured data center efficiency across the data center – including operations, facilities, server, storage, networking, applications and tool, governance, staffing Analyzed data to determine stages of data center efficiency Study Findings What we found is that one in five, or 21% or about 1 in 5 of the total respondents are operating at the Most Efficient level The Most Efficient data centers, are currently allocating about 53 percent of their total IT budget on new projects Least Efficient data centers are allocating much less to new projects that can help innovation – only 35% of IT budget on new projects Let’s look at some of the attributes that differentiate between the Most Efficient and the Least Efficient The Most Efficient Data Centers Early and fast adoption of new technology – 86% describe themselves as first or early adopters of new technology vs. 43% for Least Efficient data centers 58 percent use automation tools to move VMs automatically based on service level agreements (SLAs), without the need of manual intervention—versus 1 percent for Least Efficient data centers 93 percent of Most Efficient data centers use virtualized storage, versus 21 percent for Least Efficient data centers 87 percent use a services catalog approach for storage, leading to cost-effective storage placement, versus only 3 percent for Least Efficient data centers Definition of Storage Services Catalog: storage services catalog enables more efficient storage allocation and governance
Firstly IBM offers 3 products to build a private Cloud Infrastructure for SAP either by using the exiting infrastructure or building a new one Tivoli Service Automation Manager Product to enable existing infrastructures for cloud deployment IBM Service Delivery Manager providing a pre-installed image for rapid deployment of a comprehensive Cloud management environment for existing infrastructures. Available as VMWare/Linux and PowerVM/AIX image IBM Cloudburst, the cloud-in-a-box appliance which provides certified stacks for SAP out of the box and a complete private cloud infrastructure IBM implementation services that support customers in setting up their specific SAP automation on an IBM Private Cloud infrastructure IBM Private Cloud Management Services for SAP providing support and operation services for SAP on a private cloud IBM Cast Iron, an appliance to connect the on-premise private cloud applications like SAP with a large variety of external cloud based SaaS applications like e.g. Salesforce.com IBM GTS also offers SAP hosting services on customer dedicated cloud infrastructures, which are also considered as private clouds by SAP IBM GTS also offers SAP solutions on shared private cloud environments, i.e. Customer workloads are separated on their own virtual networks and virtual machines, but share the same physical infrastructure (model 4). Such environments require SAP certification for cloud services to be supported for SAP production workloads. IBM completed that certification and SAP customer can run SAP production on this service environment Last but not least IBM also offers the IBM SmartCloud Enterprise a public cloud service. At this time SAP does not support production workloads on such public cloud environments. However, customers can deploy development, demo or prototype workloads on that environment.
City of Sunderland Selects IBM to Deliver UK's First Smarter City on a Cloud Sunderland's City Cloud designed from the outset for both council and local businesses SUNDERLAND, U.K. - 14 November 2011: Sunderland City Council and IBM (NYSE:IBM) today announced that they will provide a city-wide Cloud computing platform that will not only meet the Council's own needs, but that will stimulate economic growth for the benefit of the whole city by reducing the technological investment barriers experienced by start-ups and local companies wishing to expand operations.. Sunderland's Cloud is expected to reduce its own operational costs by £1.4m annually over the next five years, in the delivery of IT services through a reduction in hardware, software, maintenance and improved IT management. The Cloud will also provide a low cost, accessible and secure platform for use across Sunderland. It will allow residents to access services and information in a quicker and easier way, making the City Council more responsive. Businesses will benefit through the ability to increase capacity and capabilities without investing in new infrastructure, training new personnel or licensing new software. Other companies, agencies and public sector partners are also expected to use the Cloud for improved collaboration. IBM will provide the planning, design, provision and implementation of the Cloud for server and end-user computing. The Cloud has been designed to incorporate existing hardware and software in order to be as cost-effective as possible, whilst at the same time providing the council's requirements in terms of: facilitating an agile workforce, improving the experience of 4,000 end-users, simplifying systems management and reducing carbon emissions. Councillor Paul Watson, Leader of Sunderland City Council, said: “'The Cloud is a cornerstone of our Economic Masterplan. The new Cloud infrastructure will lay the foundations of an even Smarter Sunderland, one that ensures the city is internationally recognised as a model for its operations and a prime location for inward investment.” In the UK, Sunderland has more technology start-ups than anywhere other than London. The new Cloud deployment will also address Sunderland's goal to become a national hub for the low-carbon economy, which will require a computing model which supports an eco-system of companies and agencies to collaborate. Paul Woolston, Chair of the North Eastern Local Enterprise Partnership, said: "Sunderland is very much at the forefront of developing and growing the software industry in the North East and this is the latest example of partnership working which will create building blocks for economic growth. It raises our game to an international level and will assist the whole of the North East to attract investment and create opportunities for businesses across all sectors." Dave Smith, Chief Executive of Sunderland City Council, said: “IBM's vision for Smarter Cities resonated very well with our own plans for Sunderland. With the experience of over 2,000 Smarter City engagements worldwide I'm not surprised that the solution it proposed was the most innovative and gave us the flexibility we need to take the regional economy forward onto a global stage.” The City Council sees the cloud implementation as the foundation for deeper transformation, by making available sophisticated but affordable capabilities such as channel shift to online self-service, fraud detection and process optimisation. It will also be used to enable innovative delivery models to be adopted. For example it could allow a staff 'bring your own computer' policy which has been seen to increase flexibility and reduce costs. Lynn Ferguson, IBM Industry Executive for Local Public Services commented: “The creative thinking behind the use of cloud technology to not only support the provision of council services but to also help facilitate economic growth in the city, demonstrates Sunderland City Council's vision and determination to drive innovation across the city.” As part of the contract IBM will provide network, storage and server hardware. IBM will also provide server virtualisation technology and integrated management and monitoring facilities. To support operations IBM will provide business continuity, backup and disaster recovery services. End-users will be provided with a standardised desktop model; they together with council ICT staff will receive training to underpin the long-term success of the project. Sunderland's Cloud will be hosted in Sunderland's own data centres. The contract was signed in September 2011.
Client Name: Wuxi iPark Subtitle: A dynamic infrastructure frees up resources for new business The Need China is emerging as one of the world's major markets of software development and outsourcing services. However, the industry is facing several challenges, such as a lack of advanced software development platforms as well as a large technical skill shortage. To survive and be more competent in a rapidly evolving environment, software companies or ISVs recognize the need to have agile software development processes to shorten the lifecycle from product development to market. The Solution IBM Research-China teamed with a regional center of innovation to enable ISVs located in the center to remotely access a vast computing environment for project incubation, development and testing, paying for services based on usage. This utility-based service is delivered via the Web and integrates technologies and concepts from cloud computing, software-as-a-service (SaaS) and software engineering as a service (SEaaS) and includes operational and hosting services. What Makes it Smarter This new business model allows ISVs to conserve energy and resources and reduce their IT investment, freeing up capital and resources for other business activities. Thanks to the open standards-based technology architecture and an innovative development methodology, environment allows software development to be done by team members located in different cities in China in a shared IT environment. As a result, ISVs can increase their response to market demands and requirements. The new cloud computing offering also helps ISVs reach new markets by providing the ability to sell their software solutions hosted as Web-based services to customers around the world. By providing advanced IT resources and a value-added service, this center operates under a new business model. Unlike other software parks or science parks in China, this one can now provide greater services beyond the typical office space, general management support, and basic facilities, such as water and electricity. Usage level : Win/Ongoing project/Completed project: External/Unblinded Ongoing Industry : Computer Services