Cloud Computing Vision or Reality

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Showed up at IDC Managed Services, Outsourcing & Cloud Computing 2012 (Lisbon)

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Cloud Computing Vision or Reality

  1. 1. 19-01-2012Your business technologists. Powering progress | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  2. 2. The Context…Conditions of too much uncertainty▶Buzzword + hype – own convenience (even us)▶Cloud is young and complex concept – “lack” of history – it is still changing▶Markets = non-additive ecosystems – dynamic, complex and interrelated – credible/workable comparisons? – everyone claims to be a “leader”2 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  3. 3. Our journey … The Decomposing Looking Inside Foundations Adoption Forward Technologyhttp://www.flickr.com/photos/esparta/4111703709/ 3 | 19-01-2012 | Carlos Veira Lorenzo Spain | Managed Services | Innovation & Architecture
  4. 4. The Foundations » DefinitionWhat it IS Cloud Computing “The Transition of the IT Industry from a Product-based to a Service-based Economy” Source: “How Cloud Vendors lie to you and How they steal your money”4 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  5. 5. The Foundations » DefinitionWhat it IS NOT Cloud Computing “The Transition of the IT Industry from a Product-based to a ▶ “IaaS”, “PaaS” or “SaaS” Service-based Economy” ▶ Virtualization + Data Center Automation ▶ Rebranding what we currently do ▶ Outsourcing Source: “How Cloud Vendors lie to you and How they steal your money”5 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  6. 6. The Foundations » DefinitionEssential Characteristics Market Competition Economies of Scale Automation Rapid Provisioning Economy Productivity Built-to-Stock Pay-per-use Commodities Infraestructure Scale-Out Components Resource-Pools Architecture Agility Security for Failure’ Convergence Multi-Tenancy Delivery Simplicity On-Demand ‘Designed Elasticity Self-Service6 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  7. 7. The Foundations » CommoditizationIt is the Life Cycle of any Object and/or Business Activity Source: http://web.me.com/swardley/Site/BP180211Cycle.jpg Ubiquity Utilities Commodity Product Services Custom Built Innovation Certainty Source: “How Cloud Vendors lie to you and How they steal your money”7 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  8. 8. The Foundations » CommoditizationExamples » The Electricity Source: http://web.me.com/swardley/Site/BP180211Cycle.jpg Ubiquity National Grid Westinghouse (1890) Hippolyte Pixii (1830) Wollaston (1821) Certainty Source: “How Cloud Vendors lie to you and How they steal your money”8 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  9. 9. The Foundations » CommoditizationExamples » The Journalism Source: http://web.me.com/swardley/Site/BP180211Cycle.jpg Twitter Ubiquity Blogs Television Radio Printed Press Towncrier Certainty Source: “How Cloud Vendors lie to you and How they steal your money”9 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  10. 10. The Foundations » CommoditizationExamples » The CRM Source: http://web.me.com/swardley/Site/BP180211Cycle.jpg SalesForce.com (2002) Ubiquity Siebel (1994) Marketing Databases (80s) Customer Lists (80s) Certainty Source: “How Cloud Vendors lie to you and How they steal your money”10 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  11. 11. The Foundations » CommoditizationExamples » The IT Infrastructure Source: http://web.me.com/swardley/Site/BP180211Cycle.jpg Amazon EC2 Ubiquity Commoditized HW IBM 650 (1954) LEO (1949) Z3 (1941) Certainty Source: “How Cloud Vendors lie to you and How they steal your money”11 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  12. 12. The Foundations » Commoditization… a transition, an evolution … Source: http://web.me.com/swardley/Site/BP180211Cycle.jpg … as a Service Ubiquity Utilities Commodity … as a Product Product Services Custom Built Innovation Certainty Source: “How Cloud Vendors lie to you and How they steal your money”12 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  13. 13. The Foundations » Commoditization… driven by market competition … Source: http://web.me.com/swardley/Site/BP180211Cycle.jpg Ubiquity++ Ubiquity Demand for ”New Stuff” Demand Competition Funcionality++ Improvements on “Current Stuff” Offer Competition Certainty Source: “How Cloud Vendors lie to you and How they steal your money”13 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  14. 14. The Foundations » Commoditization… wich splits markets among Leaders and Followers … Source: http://web.me.com/swardley/Site/BP180211Cycle.jpg ‘Competitors’ Ubiquity Demand for ”New Stuff” Demand Competition Competitive Disadvantage ‘We’ Improvements on “Current Stuff” Offer Competition Certainty Source: “How Cloud Vendors lie to you and How they steal your money”14 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  15. 15. The Foundations » Commoditization… so that we don’t really have a choice … Source: http://web.me.com/swardley/Site/BP180211Cycle.jpg ‘Competitors’ Ubiquity … but keep up with changes… ‘Red Queen Hypothesis’ Leigh Van Valen (1973) ‘We’ Certainty Source: “How Cloud Vendors lie to you and How they steal your money”15 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  16. 16. The Foundations » Commoditization… but fosters Innovation through Creative Destruction & Componentization Source: http://web.me.com/swardley/Site/BP180211Cycle.jpg Ubiquity Enables & Accelerates Creative Destruction Joseph Schumpeter, 1942 Componentization Herbert Simon, 1973 Certainty Source: “How Cloud Vendors lie to you and How they steal your money”16 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  17. 17. The Foundations » CommoditizationThe Innovation Cycle: examples » outside.in Source: http://web.me.com/swardley/Site/BP180211Cycle.jpg “… Steven Johnson Ubiquity launched outside.in with 60K $ from a private investor … It would have costed 50M $ just 5 years before …” What Would Google Do? Jeff Jarvis (2009) Creative Destruction Componentization Certainty17 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  18. 18. The Foundations » CommoditizationThe Innovation Cycle: examples » the rise of Search Engines … National Electrical Grid Ubiquity Internet Commoditized HW Source: http://web.me.com/swardley/Site/BP180211Cycle.jpg Search Engines Certainty18 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  19. 19. The Foundations » CommoditizationIt changes consumption expectations … Source: http://web.me.com/swardley/Site/BP180211Cycle.jpg Ubiquity + Efficiency + Consumption < Cost/Unit + Units Consummed > Global Expenditure “Technological progress that increases the efficiency with which a resource is used tends to increase the rate of consumption of that resource” The ‘Jevons Paradox’ William Stanley Jevons (1865) Certainty Source: “How Cloud Vendors lie to you and How they steal your money”19 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  20. 20. The Foundations » Commoditization… changing our current structural limits too … Importance Current IT Limits Unmet Demand Projects Source: “How Cloud Vendors lie to you and How they steal your money”20 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  21. 21. The Foundations » CommoditizationIT becomes a “Cost of doing Business”, rather than a “Strategic Asset” “… there is no direct relation Source: http://web.me.com/swardley/Site/BP180211Cycle.jpg Ubiquity between spending on computers, profits or productivity” The Business Value of Computers Volume Market Paul Strassmann (1990) http://www.infoeconomics.com/business-value.php “... as they become ubiquitous - they become commodity inputs. From a strategic standpoint, they become invisible; they no longer Value Market matter” IT Doesn’t Matter Nicholas Carr (2003) http://www.nicholasgcarr.com/articles/matter.html Certainty Source: “How Cloud Vendors lie to you and How they steal your money”21 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  22. 22. The Foundations » CommoditizationIn fact, Cloud Computing is about Balancing Risks and Opportunities … Commoditization Economies of Scale Decision Transition Confusion Outsourcing Suitability Governance Pay per Use • Management, Leadership, Control Competence Focus on Core Confidence Cautivity Speed Security Innovation Transparency Strategic Control Source: “How Cloud Vendors lie to you and How they steal your money”22 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  23. 23. The Foundations » Commoditization… but just remember … Source: http://web.me.com/swardley/Site/BP180211Cycle.jpg ‘Competitors’ Ubiquity … we don’t really have a choice but keep up with ‘We’ changes… ‘Red Queen Hypothesis’ Leigh Van Valen (1973) Certainty Source: “How Cloud Vendors lie to you and How they steal your money”23 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  24. 24. Market Environment » General OutlookThe same way the Transport Industry delivers people and “things” … Private vs. Public Car Shuttle Bus Plane “Price vs. Features” (Flexibility / Agility / Security)24 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  25. 25. Market Environment » General Outlook… the IT Industry will do it too … Private vs. Public Traditional IT/ Hosted Community IaaS/PaaS/ Private Cloud VPC* Cloud SaaS “Price vs. Features” (Flexibility / Agility / Security) * VPC: Virtual Private Cloud25 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  26. 26. Market Environment » General Outlook… though we are still in the early stages of adoption … Private Hosted Community XaaS Cloud VPC Cloud26 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  27. 27. Market Environment » General OutlookAdoption is a complex, multidimensional phenomenon … Private Hosted Community XaaS Cloud VPC Cloud Market Segment / Business Activity / Service Type Customer/Company Profile Country(s)/Location(s)27 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  28. 28. Market Environment » General Outlook… and every Business has its own Technology Mix … Private Hosted Community XaaS Cloud VPC Cloud Company B Company D Company D Company C Company B Company C Company D Company B Company C Company B Company C Company D Company A Company A Company A Company A28 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  29. 29. Market Environment » General Outlook… evolving with time, in line with each Business Strategy (hopefully) Private Hosted Community XaaS Cloud VPC Cloud Company D Company B Company C Company D Company B Company C Company D Company B Company C Company B Company C Company D Company A Company A Company A Company A29 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  30. 30. Market Environment » General Outlook... so, there is room for everything!... The same way IT is an heterogeneous environment today … … our experience with Cloud Services is and will be increasingly Hybrid! … what we don’t know is the internal composition for our own context/market http://www.flickr.com/photos/evelynishere/3327074778/sizes/l/in/photostream/30 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  31. 31. Market Environment » Decomposing AdoptionProjection exercise » Company Size, Delivery Type & Adoption Rate 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020SaaS Public Mobility Q VerticalsPaaS Public M SaaS Q Private L PaaS M QIaaS Public Projects Q PoCs SaaS/PaaS Verticals M Q L Capacity Verticals, VDI M Q Private Q DCiaB Virt2IaaS DCiaB, VDI M Q L Verticals M Q31 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  32. 32. Market Environment » Decomposing Adoption… but cross-service interactions can accelerate adoption » Look-out! 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020SaaS PublicPaaS Public Private Third Parties can also start activities in theIaaS Public Cloud because of interactions with you! Private32 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  33. 33. Market Environment » Decomposing Adoption… but uncertainty is everywhere » non linear behavior + high deviation 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020SaaS PublicPaaS Public PrivateIaaS Public Private33 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  34. 34. Market Environment » Decomposing AdoptionBottom line: talking about “Cloud Adoption” is meaningless 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020SaaS PublicPaaS Public “There are no diseases, but patients” PrivateIaaS Public Analyze and speak about your own context/market: strategically & tactically Private34 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  35. 35. Market Environment » Looking forwardThe Cloud is a Building Block of the Future » Gartner http://cloudcomputing.sys-con.com/node/1939920 5 year projection … 10 year projection …35 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  36. 36. Market Environment » Looking forwardThe Cloud is a Building Block of the Future » Gartner http://cloudcomputing.sys-con.com/node/1939920 Mobility B2C B2B Analytics NFC Business Intelligence Big Data Internet of Things BYOC M2M 5 year projection … 10 year projection …36 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  37. 37. Market Environment » Looking forwardThe Cloud is a Building Block of the Future » Atos LookOut Radarshttp://lookout.atosconsulting.com/radars/37 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  38. 38. Market Environment » Looking forwardThe Cloud is a Building Block of the Future » Atos LookOut Radars Smart Objects Wearable Computing Context-Aware Crowdsourcing Zero Tolerance Robotics Ubiquitous Connectivity Digitally Connected Societyhttp://lookout.atosconsulting.com/radars/38 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  39. 39. Market Environment » Looking forwardIT Industry growth model » Less “Bodies” = Services++ & Technology++ Cloud Computing Outsourcing / Services Professional Services Time39 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  40. 40. Market Environment » Looking forward… growth in a “systemic” crisis context … are you kidding me? Cloud Service Delivery can provide the cost efficiencies that we all need But!: we also need have to get ready for a post-crisis context http://www.flickr.com/photos/artemuestra/2941650098/sizes/m/in/photostream/40 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  41. 41. Market Environment » Looking forward … just do things differently to obtain better results (hopefully) Not “IT Surgeons” any more! Let’s embrace the Power Shovel! A different mindset can make the “magic” happenhttp://www.flickr.com/photos/double-m2/4694962578/sizes/l/in/photostream/http://www.flickr.com/photos/mad_house_photography/4411839186/sizes/l/in/photostream/ 41 | 19-01-2012 | Carlos Veira Lorenzo Spain | Managed Services | Innovation & Architecture
  42. 42. Technology » Market roles The Cloud Computing “Sphere”Consumers Service Technology Providers Providers System Integrators 42 | 19-01-2012 | Carlos Veira Lorenzo Spain | Managed Services | Innovation & Architecture
  43. 43. Technology » Market rolesConsumers » Substantially different? Not really … You already (should) do it … they get the benefits: simplicity, agility, speed & cost effectiveness … but maturity will always be our duty: SLA’s, Security, Automation, Governance, … … not a problem, just an opportunity! http://www.flickr.com/photos/vgb-studios/6605427961/sizes/l/in/photostream/43 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  44. 44. Technology » Market roles Let’s talk about the details: let’s talk about Technology ;-)Service Providers http://www.flickr.com/photos/vgb-studios/6605420695/sizes/l/in/photostream/ They also have to know!System Integrators http://www.flickr.com/photos/vgb-studios/6605408553/sizes/l/in/photostream/Technology Providers http://www.flickr.com/photos/vgb-studios/6605437513/sizes/l/in/photostream/ 44 | 19-01-2012 | Carlos Veira Lorenzo Spain | Managed Services | Innovation & Architecture
  45. 45. Technology » A Technical Architecture PerspectiveIt’s Services what drive Designs, not the opposite » EA won’t disappear Cloud Architecture Cloud(Enterprise Architecture) RAIN* Design Containerized Design Scale-out Unchanged Application Designs Designed for Failure at the Application Level Underlying scale-out Infrastructure Stack of Commodity Components vApp vApp vApp Presentation Presentation Presentation Cloud Service Application Application Application Persistence Persistence Persistence vNode vNode vNode vNode Cloud Infrastructure Services Containerized Design SSO* + Integrated BSS* & OSS* EA* Fabric Computing Layered Design Limited Scale-out Designed for Failure at the Infrastructure Level * RAIN: Redundant Array of Inexpensive Nodes45 | 19-01-2012 | Carlos Veira Lorenzo * EA: Enterprise ArchitectureSpain | Managed Services | Innovation & Architecture * SSO: Single Sign-On * OSS: Operational Support Services * BSS: Business Support Services
  46. 46. Technology » A Technical Architecture PerspectiveDifferent worlds … different Business Strategies Cloud Architecture Cloud(Enterprise Architecture) ▲Cheap Technologies ▼Costly! – Commodity DC* + HW + OSS* – Enterprise DC* + HW + COTS* Layers – Increasingly bigger with Time & Scale! ▶Ad-hoc Applications & ▲IT Investment Protection Infrastructure – Skills + Engineering Patterns & Practices – Skilled Teams + New/Evolved Processes – Virtualization + New/Evolved Processes – “DevOps”: boundaries gets blurred ▶Infrastructure-based ▲Service-based Automation Automation – Infrastructure semantics can be ignored – Infrastructure semantics matter – Business-oriented semantics! – Infrastructure-oriented semantics – Virtualization silos * OSS: Open Source Software46 | 19-01-2012 | Carlos Veira Lorenzo * COTS: Commercial Of The ShelfSpain | Managed Services | Innovation & Architecture * DC: Data Cener
  47. 47. Technology » A Technical Architecture PerspectiveDifferent worlds … different Business Strategies Cloud Architecture Cloud(Enterprise Architecture) ▲Commodities don’t care ▼IaaS don’t care about about Feature Feature Differentiation on Differentiation COTS – Commodity DC + HW + OSS – Multivendor IaaS “standardize” APIs on commonalities; (i.e: OpenStack) Why invest in “Products” for “Features” that we will never use?47 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  48. 48. Technology » A Technical Architecture PerspectiveThe World is not static » Enterprise Apps “consume” new Tech “on Upgrade”EA Solutions will, eventually, became SaaS EA Layered Design Technology Builders48 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  49. 49. Technology » A Technical Architecture PerspectiveLock-in Risks not structurally “differential”: the ecosystem is just bigger IaaS SaaS/BPaaS Infrastructure Service/Application ▶ Product ▶ Vertical Industry ▶ Standard Behaviors Information ▶ Not everything is equally Architecture Transports risky! ▶ Data Brokers/Exchangers ▶ Infrastructure Structural ▶ Mix of Technology Formats ▶ Code - Divide and Conquer! Semantics ▶ Web Services Risk and Labor ▶ Patterns ▶ Product Settings ▶ Information Schemas ▶ Labor Intensive + ▶ Hard-coded ▶ Technology Intensive Map ▶ Scripts Mappings ▶ Infrastructure ▶ Semantic ▶ Ad-hoc Data Products/Services Mappings Transformations Managed Services Systems Integration “World of Products” “World of Code”49 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  50. 50. Technology » A Technical Architecture PerspectiveLock-in Risks not structurally “differential”: the ecosystem is just bigger It doesn’t exist a clearly “Functional Frontier” for each Technology Domain! ▶ Workflow & Process ▶ Element Automation ▶ BPM* Management “Orchestration” * BPM: Business Process Management50 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  51. 51. Technology » A Technical Architecture PerspectiveLock-in risks are not structurally “differential”: the ecosystem is just bigger An Appliance Strategy can simplify EA Every component evolves and changes with time! CSA* EA Legacy Systems * CSA: Client/Server Architecture51 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  52. 52. Technology » A Technical Architecture PerspectiveLock-in risks are not structurally “differential”: the ecosystem is just bigger http://thinkinbig.org/index.php/2011/05/thinking-about-cloud-strategy/ http://blogs.the451group.com/information_management/2011/04/15/nosql-newsql-and-beyond/ * OSS: Open Source Software52 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  53. 53. Technology » A Technical Architecture PerspectiveLock-in risks are not structurally “differential”: the ecosystem is just biggerhttp://thinkinbig.org/index.php/2011/05/thinking-about-cloud-strategy/ » Explosion of Data Persistence Services » Massive scale-out/elastic semanticsMitigation: OSS*; Engineering patterns;Technology ubiquity degree; vendor selection http://blogs.the451group.com/information_management/2011/04/15/nosql-newsql-and-beyond/ * OSS: Open Source Software53 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  54. 54. Technology » A Technical Architecture PerspectiveSubsystem Map for Hybrid, Multi-Cloud, and Multi-Technology EnvironmentCloud Service/Fabric Controller VMWare Microsoft Citrix RedHat SalesForce Amazon • vCloud • System Center • XenDesktop • RHEV NetSuite • vSphere • Hyper-V • XenServer • KVM/SPICE OpenStack RackSpace Traditional IT SAP • vFabric • Azure • Cloud.com • OpenShift … … ESB*/EAI*Business Support Services SAL* SAL* SAL* SAL* SAL* SAL* SAL* SAL* Accounting Service • Payables Ordering Pricing Rating Billing Metering Entitlement Catalog • Receivables • ClearingOperational Support Services SAL* SAL* SAL* Service SAL* SAL* SAL* SAL* SAL* SAL* Desk Service Capacity & Provisioning Service Self-Service • Incidents Configuration Monitoring Performance Licensing & LCM Portal Automation Level • Problems • API • Changes * SAL: Service Abstraction/Adaptation Layer54 | 19-01-2012 | Carlos Veira Lorenzo * ESB: Enterprise Service BusSpain | Managed Services | Innovation & Architecture * EAI: Enterprise Application Integration
  55. 55. Technology » A Technical Architecture PerspectiveIt is a (complex) Cloud Ecosystem has his own Life Cycle …Cloud Service/Fabric Controller VMWare Microsoft Citrix RedHat SalesForce Amazon • vCloud • System Center • XenDesktop • RHEV NetSuite • vSphere • Hyper-V • XenServer • KVM/SPICE OpenStack RackSpace Traditional IT SAP • vFabric • Azure • Cloud.com • OpenShift … … ESB*/EAI*Business Support Services SAL* SAL* SAL* … Evolves SAL* time asynchronously ! SAL* with SAL* SAL* SAL* Accounting Service • Payables Ordering Pricing Rating Billing Metering Entitlement Catalog • Receivables • ClearingOperational Support Services SAL* SAL* SAL* Service SAL* SAL* SAL* SAL* SAL* SAL* Desk Service Capacity & Provisioning Service Self-Service • Incidents Configuration Monitoring Performance Licensing & LCM Portal Automation Level • Problems • API • Changes * SAL: Service Abstraction/Adaptation Layer55 | 19-01-2012 | Carlos Veira Lorenzo * ESB: Enterprise Service BusSpain | Managed Services | Innovation & Architecture * EAI: Enterprise Application Integration
  56. 56. Technology » A Technical Architecture Perspective… fortunately, there are different Priorities, Risks, Efforts & MaturityCloud Service/Fabric Controller VMWare Microsoft Citrix RedHat SalesForce Amazon • vCloud • System Center • XenDesktop • RHEV NetSuite • vSphere • Hyper-V • XenServer • KVM/SPICE OpenStack RackSpace Traditional IT SAP • vFabric • Azure • Cloud.com • OpenShift … …Business Support Services Changes with every Customer and Service Provider! … SAL SAL SAL SAL SAL SAL SAL SAL Accounting Service Catalog Ordering … There is no single or right answer! Pricing Rating Billing Metering Entitlement • Payables • Receivables • ClearingOperational Support Services SAL SAL SAL Service SAL SAL SAL SAL SAL SAL Desk Service Capacity & Provisioning Service Self-Service • Incidents Configuration Monitoring Performance Licensing & LCM Portal Automation Level • Problems • API • Changes56 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  57. 57. Technology » A Technical Architecture Perspective Customer Requirements are/should be a “World of Terms & Conditions”The risk of new customer-based silosis very real … Customer N Customer ADifficult to achieve standardization, Service Providerindustrialization and further Innovation … Customer B …not a “WorldCustomer C of RFPs*”! * RFP: Request for Proposal 57 | 19-01-2012 | Carlos Veira Lorenzo Spain | Managed Services | Innovation & Architecture
  58. 58. Technology » A Technical Architecture PerspectiveOpening to a wider landscape » A complex ecosystem of federated services▶ A federation of live components▶ A (eco)system by itself ▶ Asynchronous & chaotic behavior ▶ Complex & heterogeneous in nature Complexity evolves Asynchronous with time!58 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  59. 59. Technology » A Technical Architecture Perspective The asynchronous “ocean” of Cloud orchestration complexity … Countries/Regions (R) Potential Complexity = C * R * S Customers (C) Service Providers (S)http://www.flickr.com/photos/smemon/5983673322/sizes/o/in/photostream/ 59 | 19-01-2012 | Carlos Veira Lorenzo Spain | Managed Services | Innovation & Architecture
  60. 60. Technology » A Technical Architecture Perspective … it is, actually, a multi-level mesh …   http://www.flickr.com/photos/smemon/5983673322/sizes/o/in/photostream/  60 | 19-01-2012 | Carlos Veira Lorenzo Spain | Managed Services | Innovation & Architecture
  61. 61. Technology » A Technical Architecture Perspective … it is, actually, a multi-level mesh …   Business transparency is key! http://www.flickr.com/photos/smemon/5983673322/sizes/o/in/photostream/  61 | 19-01-2012 | Carlos Veira Lorenzo Spain | Managed Services | Innovation & Architecture
  62. 62. Technology » A Technical Architecture Perspective … and a multi-domain one … Orchestration Orchestration Domain Domain It has impact on contracts, customer expectations and UX*! Orchestration Choreography Domain Domainhttp://www.flickr.com/photos/smemon/5983673322/sizes/o/in/photostream/ * UX: User eXperience 62 | 19-01-2012 | Carlos Veira Lorenzo Spain | Managed Services | Innovation & Architecture
  63. 63. Technology » A Technical Architecture Perspective … fortunately, not every relationship matters the same ▶ Consolidated Command & Control + Read-only Billing ▶ Infrastructure Semantics Public ▶ Consolidated Command & Control + Read-only Billing PrivateIaaS ▶ Infrastructure Semantics ▶ Unified Service Desk Experience ▶ Unified Read-only Risk/Audit Dashboard ▶ Unified Read-only Service Dashboard ▶ C&C* Run-time Advisor*** ▶ Service Benchmarking Hybrid ▶ Unified Billing (?) ▶ Consolidated Command & Control + Read-only Billing ▶ Infrastructure Semantics Prioritization + read-only aggregation ▶ Consolidated Command & Control + Read-only BillingPaaS ▶ Infrastructure + Object Semantics ▶ Unified Read-only Service Dashboard ▶ Unified Read-only Business Dashboard** ▶ C&C* Run-time Advisor*** ▶ Service Benchmarking ▶ Unified Read-only Risk/Audit Dashboard ▶ Unified Billing (?) ▶ Consolidated Command & Control for certain Application DomainsSaaS/BPaa ▶ Consolidated Read-only Billing ▶ Service Semantics ▶ Consolidated C&C* for more App Domains Now! S ▶ Unified Read-only Service Dashboard ▶ Unified Read-only Business Dashboard** ▶ C&C* Run-time Advisor*** ▶ Service Benchmarking ▶ Unified Read-only Risk/Audit Dashboard ▶ Unified Billing (?) * C&C: Command & Control 63 | 19-01-2012 | Carlos Veira Lorenzo ** Requires Application Instrumentation + Integration Spain | Managed Services | Innovation & Architecture *** Requires Run-time Analytics
  64. 64. Let’s recap! http://www.flickr.com/photos/duncanh1/5471899402/sizes/l/in/photostream/64 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  65. 65. Let’s recap » The FoundationsCloud Computing it is about the commoditization of the IT Industry Source: http://web.me.com/swardley/Site/BP180211Cycle.jpg Ubiquity Utilities Commodity Product Services Custom Built Innovation Certainty Source: “How Cloud Vendors lie to you and How they steal your money”65 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  66. 66. Let’s recap » The FoundationsCloud Computing it is about the commoditization of the IT Industry Source: http://web.me.com/swardley/Site/BP180211Cycle.jpg Ubiquity XaaS is now possible because many IT Activities have Utilities entered a Commodity Stage Commodity Product Services Custom Built Innovation Certainty Source: “How Cloud Vendors lie to you and How they steal your money”66 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  67. 67. Let’s recap » The FoundationsIt is driven by Market Competition … Source: http://web.me.com/swardley/Site/BP180211Cycle.jpg Ubiquity++ Ubiquity Demand for ”New Stuff” Demand Competition Funcionality++ Improvements on “Current Stuff” Offer Competition Certainty Source: “How Cloud Vendors lie to you and How they steal your money”67 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  68. 68. Let’s recap » The Foundations… and though it is about Balancing Risks and Opportunities … Commoditization Economies of Scale Decision Transition Confusion Outsourcing Suitability Governance Pay per Use • Management, Leadership, Control Competence Focus on Core Confidence Cautivity Speed Security Innovation Transparency Strategic Control Source: “How Cloud Vendors lie to you and How they steal your money”68 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  69. 69. Let’s recap » The Foundations… we don’t really have a choice … Source: http://web.me.com/swardley/Site/BP180211Cycle.jpg ‘Competitors’ Ubiquity Demand for ”New Stuff” Demand Competition Competitive Disadvantage ‘We’ Improvements on “Current Stuff” Offer Competition Certainty Source: “How Cloud Vendors lie to you and How they steal your money”69 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  70. 70. Let’s recap » The FoundationsCloud Computing fosters innovation Source: http://web.me.com/swardley/Site/BP180211Cycle.jpg Ubiquity Enables & Accelerates Creative Destruction Joseph Schumpeter, 1942 Componentization Herbert Simon, 1973 Certainty Source: “How Cloud Vendors lie to you and How they steal your money”70 | 19-01-2012 | Carlos Veira Lorenzo Simon Wardley. IPExpo, London. Oct 13, 2009.Spain | Managed Services | Innovation & Architecture http://bit.ly/y2SCoi
  71. 71. Let’s recap » The FoundationsIn fact, it is a Building Block of the Future http://cloudcomputing.sys-con.com/node/1939920 Mobility B2C B2B Analytics NFC Business Intelligence Big Data Internet of Things BYOC M2M 5 year projection … 10 year projection …71 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  72. 72. Let’s recap » Market environmentthe IT Industry is growing and getting restructured … Private vs. Public Traditional IT/ Hosted Community IaaS/PaaS/ Private Cloud VPC Cloud SaaS “Price vs. Features” (Flexibility / Agility / Security)72 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  73. 73. Let’s recap » Market environmentThere is room for everything!... … our experience with Cloud Services is and will be increasingly Hybrid! … but we don’t know the internal composition for our own context/market http://www.flickr.com/photos/evelynishere/3327074778/sizes/l/in/photostream/73 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  74. 74. Let’s recap » Decomposing AdoptionIn fact, talking about “Cloud Adoption” is meaningless 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020SaaS PublicPaaS Public “There are no diseases, but patients” PrivateIaaS Public Analyze and speak about your own context/market: strategically & tactically Private74 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  75. 75. Let’s recap » Looking forwardIn a “systemic” crisis context … Cloud Service Delivery can provide the cost efficiencies that we all need … because we also need have to get ready for a post-crisis context http://www.flickr.com/photos/artemuestra/2941650098/sizes/m/in/photostream/75 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  76. 76. Let’s recap » Looking forward … just do things differently to obtain better results (hopefully) Not “IT Surgeons” any more! Let’s embrace the Power Shovel! A different mindset can make the “magic” happenhttp://www.flickr.com/photos/double-m2/4694962578/sizes/l/in/photostream/http://www.flickr.com/photos/mad_house_photography/4411839186/sizes/l/in/photostream/ 76 | 19-01-2012 | Carlos Veira Lorenzo Spain | Managed Services | Innovation & Architecture
  77. 77. Let’s recap » Technology Different roles … … they all need have to know, though for different reasonsConsumers Service Technology Providers Providers System Integrators 77 | 19-01-2012 | Carlos Veira Lorenzo Spain | Managed Services | Innovation & Architecture
  78. 78. Let’s recap » TechnologyConsumers » Substantially different? Not really … You already (should) do it … they get the benefits: simplicity, agility, speed & cost effectiveness … but maturity will always be our duty: SLA’s, Security, Automation, Governance, … … not a problem, just an opportunity! http://www.flickr.com/photos/vgb-studios/6605427961/sizes/l/in/photostream/78 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  79. 79. Let’s recap » TechnologyThere are different Design Patterns when building Cloud Services … Cloud Architecture Cloud(Enterprise Architecture) RAIN* Design Containerized Design Scale-out Unchanged Application Designs Designed for Failure at the Application Level Underlying scale-out Infrastructure Stack of Commodity Components vApp vApp vApp Presentation Presentation Presentation Cloud Service Application Application Application Persistence Persistence Persistence vNode vNode vNode vNode Cloud Infrastructure Services Containerized Design SSO* + Integrated BSS* & OSS* EA* Fabric Computing Layered Design Limited Scale-out Designed for Failure at the Infrastructure Level * RAIN: Redundant Array of Inexpensive Nodes79 | 19-01-2012 | Carlos Veira Lorenzo * EA: Enterprise ArchitectureSpain | Managed Services | Innovation & Architecture * SSO: Single Sign-On * OSS: Operational Support Services * BSS: Business Support Services
  80. 80. Let’s recap » TechnologyThere are different Design Patterns when building Cloud Services … Don’t take the “Easy/Fearful Path”! … just do what it takes: look at your Business and adjust your IT Strategy * RAIN: Redundant Array of Inexpensive Nodes80 | 19-01-2012 | Carlos Veira Lorenzo * EA: Enterprise ArchitectureSpain | Managed Services | Innovation & Architecture * SSO: Single Sign-On * OSS: Operational Support Services * BSS: Business Support Services
  81. 81. Let’s recap » TechnologyLock-in risks are not structurally “differential”: the ecosystem is just bigger Not everything is equally risky! Divide and Conquer! ▶ Workflow & Process ▶ Element Automation ▶ BPM* Management “Orchestration” * BPM: Business Process Management81 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  82. 82. Let’s recap » TechnologyLock-in risks are not structurally “differential”: the ecosystem is just biggerhttp://thinkinbig.org/index.php/2011/05/thinking-about-cloud-strategy/ No mysteries, but traditional lock- in mitigation techniques… it is usually the price/elasticitystructure what “traps” you! http://blogs.the451group.com/information_management/2011/04/15/nosql-newsql-and-beyond/ * OSS: Open Source Software82 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  83. 83. Let’s recap » TechnologyMany subsystems, but not all of them are equally important …Cloud Service/Fabric Controller VMWare Microsoft Citrix RedHat SalesForce Amazon • vCloud • System Center • XenDesktop • RHEV NetSuite • vSphere • Hyper-V • XenServer • KVM/SPICE OpenStack RackSpace Traditional IT SAP • vFabric • Azure • Cloud.com • OpenShift … …Business Support Services … there is no single or right answer! SAL SAL SAL SAL SAL SAL SAL SAL Accounting Service • Payables Ordering Pricing Rating Billing Metering Entitlement Catalog • Receivables • ClearingOperational Support Services SAL SAL SAL Service SAL SAL SAL SAL SAL SAL Desk Service Capacity & Provisioning Service Self-Service • Incidents Configuration Monitoring Performance Licensing & LCM Portal Automation Level • Problems • API • Changes83 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  84. 84. Let’s recap » Technology It is, actually, an ecosystem: a complex a multi-level, multi-domain mesh …   … where transparency is key! … with impact on contracts, customer expectations and UX*!  … but, fortunately, not every relationship matters the samehttp://www.flickr.com/photos/smemon/5983673322/sizes/o/in/photostream/  * UX: User eXperience 84 | 19-01-2012 | Carlos Veira Lorenzo Spain | Managed Services | Innovation & Architecture
  85. 85. Let’s recap » TechnologyThe risk of new customer-based silos is very real … Customer A Customer N Competition requires freedom for further Service Provider Innovation … Customer B … it is a “World of Terms & Conditions”, not a “World of RFPs*”! Customer C * RFP: Request for Proposal85 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  86. 86. Everyone has the challenge … even us!It requires continuous self-reinvention … ▶Complete and Solid ▶Internal Transformation++ Portfolio … but, this is not ▶Maturity++ about Marketing … ▶Cultural Revolution++86 | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture
  87. 87. Thanks For more information please contact: Carlos Veira Lorenzo carlos.veira@atos.net twitter: @cveira +34 695 671 417 Atos Spain S.A. Albarracín 25 20037, Madrid www.atos.net http://www.flickr.com/photos/granpapa/299317857/sizes/l/in/photostream/Atos, the Atos logo, Atos Consulting, Atos Worldline, Atos Sphere, Atos Cloud and Atos WorldGridare registered trademarks of Atos SA. July 2011© 2011 Atos. Confidential information owned by Atos, to be used by the recipient only. This document, or any part of it,may not be reproduced, copied, circulated and/or distributed nor quoted without prior written approval from Atos.Your business technologists. Powering progress | 19-01-2012 | Carlos Veira LorenzoSpain | Managed Services | Innovation & Architecture

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