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INTRODUCTION TO CLOUD COMPUTING Justin Souter Souter Consulting Limited 08/06/09 © Justin Souter 2009

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Agenda <ul><li>History & Context </li></ul><ul><li>Definition </li></ul><ul><li>Fulfilment of On-demand computing </li></ul><ul><li>Examples of Cloud computing </li></ul><ul><li>Way it works </li></ul><ul><li>Benefits </li></ul><ul><li>Downsides </li></ul><ul><li>Players in this space </li></ul><ul><li>Issues </li></ul><ul><li>Call to Action </li></ul><ul><li>Also </li></ul><ul><ul><li>Case Studies & more benefits </li></ul></ul><ul><ul><ul><li>(if more detail needed) </li></ul></ul></ul><ul><li>Show of hands </li></ul><ul><ul><li>Who is doing what? </li></ul></ul>08/06/09 © Justin Souter 2009

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History & Context <ul><li>Mainframes </li></ul><ul><li>Minicomputers </li></ul><ul><li>Client-Server </li></ul><ul><li>Mobile </li></ul><ul><li>Amazon </li></ul><ul><li>SaaS </li></ul><ul><li>Cloud </li></ul>08/06/09 © Justin Souter 2009 http://www.sepcot.com/files/college/HIST375/Wang1973Ad.jpg

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Definition <ul><li>Software as a Service (SaaS) </li></ul><ul><ul><li>Gmail, Hotmail, MS Popfly </li></ul></ul><ul><li>Platform as a Service (PaaS) </li></ul><ul><ul><li>Force.com </li></ul></ul><ul><li>Infrastructure as a Service (IaaS) </li></ul><ul><ul><li>Sponsors here tonight </li></ul></ul>08/06/09 © Justin Souter 2009 http://www.saasblogs.com/2008/12/01/demystifying-the-cloud-where-do-saas-paas-and-other-acronyms-fit-in/

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Fulfilment of On-demand computing? <ul><li>Internal Cloud </li></ul><ul><li>External Cloud </li></ul><ul><li>Combination </li></ul><ul><li>Cf Virtualisation </li></ul><ul><ul><li>VMWare’s virtual datacentre OS </li></ul></ul><ul><ul><li>vCloud – standardisation </li></ul></ul><ul><li>Which horse for which course? </li></ul><ul><ul><li>That’s why you’re here ;-) </li></ul></ul>08/06/09 © Justin Souter 2009 http://www.jroller.com/MasterMark/resource/_enterprise-cloud-6.1.jpg

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Examples <ul><li>Mechanical Turk </li></ul><ul><li>Twitter (on AWS) </li></ul><ul><li>GMail </li></ul><ul><li>Picasa </li></ul><ul><li>Flickr </li></ul><ul><li>GlaxoSmithKline on MS platform </li></ul><ul><li>New York Times (next slide) </li></ul>08/06/09 © Justin Souter 2009

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Early experiments in cloud computing <ul><li>The Times processed 4TB of data through EC2 and S3 , using a credit card to get the service going in a matter of minutes so that it could convert scans of 15 million news stories into PDFs for online distribution. </li></ul><ul><ul><li>http://www.infoworld.com/infoworld/article/08/04/07/15FE-cloud-computing-utility_1.html </li></ul></ul><ul><li>Nasdaq uses S3 to deliver historical stock and mutual fund information, rather than add the load to its own database and computing infrastructure. </li></ul><ul><li>AppOne® specializes in providing technology and risk mitigation services to independent automobile dealers and lenders. </li></ul><ul><ul><li>By using “the cloud,” AppOne® streamlines the loan process and enables lenders to gain access to the fragmented market of auto dealers </li></ul></ul>08/06/09 © Justin Souter 2009

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Benefits – business *&* technical <ul><li>Lower capital outlay – Rozmic case study </li></ul><ul><li>Speed to market </li></ul><ul><li>Pay per use </li></ul><ul><li>Scalability </li></ul><ul><li>Contract terms: by the hour </li></ul><ul><li>Low investment: capex & time-to-live </li></ul>08/06/09 © Justin Souter 2009

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Benefits #2 <ul><li>Keeps the VCs away – no need for massive infrastructure investment à la Dot Bomb </li></ul><ul><li>Allow you to maintain use of existing facilities (in concert with virtualisation) </li></ul><ul><li>Spec your application hardware for base load, not for peaks </li></ul><ul><li>Underlying architecture must necessarily be agile </li></ul><ul><li>Application Programming Interface [Ross?] </li></ul>08/06/09 © Justin Souter 2009

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Downsides <ul><li>Ma.gnolia example / AWS outages </li></ul><ul><li>Security </li></ul><ul><li>Will it work with your existing infrastructure? </li></ul><ul><li>Sharp intake of breath – it’s new, can we trust it? </li></ul><ul><ul><li>Cf Outsourcing (although not identical set of issues) </li></ul></ul><ul><ul><li>Is Service Management ‘infrastructure’ in place yet? </li></ul></ul><ul><li>≠ Computing as we know it: “ephemeral” </li></ul><ul><ul><li>[let me explain!] </li></ul></ul>08/06/09 © Justin Souter 2009

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Players in this space <ul><li>Emerging local cluster </li></ul><ul><ul><li>Arjuna </li></ul></ul><ul><ul><li>Emailcloud / Rozmic </li></ul></ul><ul><ul><li>CARMEN – Paul Watson </li></ul></ul><ul><ul><li>Souter Consulting </li></ul></ul><ul><li>Quest Software </li></ul><ul><li>Amazon </li></ul><ul><li>Google </li></ul><ul><li>Flexiscale </li></ul><ul><li>MS Azure </li></ul><ul><li>XCalibre </li></ul><ul><li>Rightscale </li></ul><ul><li>Aserver </li></ul><ul><li>Cloudsoft </li></ul><ul><li>Others </li></ul>08/06/09 © Justin Souter 2009

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Issues <ul><li>How to bridge the chasm from now to future </li></ul><ul><li>Systems integrators become Cloud Integrators </li></ul><ul><ul><li>E.g. Okere, Cloud Sherpas </li></ul></ul><ul><ul><li>Become a Cloud integrator, or Cloud provider </li></ul></ul><ul><li>Security issues </li></ul><ul><li>Practical, technical issues – needs a ‘wrapper’ </li></ul><ul><li>Confidence / mainstream / hype cycle </li></ul>08/06/09 © Justin Souter 2009

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Call to action <ul><li>IMO there is a big market opportunity </li></ul><ul><ul><li>Service provider, integrator, user </li></ul></ul><ul><li>This is the perfect time to be playing in this area </li></ul><ul><ul><li>The Economist says: “people want the same for less money” </li></ul></ul><ul><ul><li>IT shops are being asked to do more with less money / people </li></ul></ul><ul><li>Chance to create critical mass locally, building on what’s going on already </li></ul>08/06/09 © Justin Souter 2009

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Souter Consulting Limited <ul><li>What can I do for you? </li></ul><ul><li>Please contact me to see how we can work together! </li></ul><ul><li>Justin Souter </li></ul><ul><ul><li>[email_address] </li></ul></ul><ul><ul><li>http://twitter.com/souterconsults </li></ul></ul><ul><ul><li>http://souterconsulting.eu </li></ul></ul><ul><ul><li>07717 725504 </li></ul></ul>08/06/09 © Justin Souter 2009

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More benefits <ul><li>Reduced Cost </li></ul><ul><ul><li>Cloud technology is paid incrementally, saving organizations money. </li></ul></ul><ul><li>Increased Storage </li></ul><ul><ul><li>Organizations can store more data than on private computer systems. </li></ul></ul><ul><li>Highly Automated </li></ul><ul><ul><li>No longer do IT personnel need to worry about keeping software up to date. </li></ul></ul><ul><li>Flexibility </li></ul><ul><ul><li>Cloud computing offers much more flexibility than past computing methods. </li></ul></ul><ul><li>More Mobility </li></ul><ul><ul><li>Employees can access information wherever they are, rather than having to remain at their desks. </li></ul></ul><ul><li>Allows IT to Shift Focus </li></ul><ul><ul><li>No longer having to worry about constant server updates and other computing issues, government organizations will be free to concentrate on innovation. </li></ul></ul><ul><li>http://web2.sys-con.com/node/640237 </li></ul>08/06/09 © Justin Souter 2009

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Even more benefits <ul><li>1. Lower up-front costs. </li></ul><ul><ul><li>When introducing a new application, hardware is a significant upfront cost, said Armijo. </li></ul></ul><ul><ul><li>But cloud computing means the IT department can acquire the resources by paying the provider “by-the-drink” while not spending on hardware up front, and “and this allows you to spread that cost over time, and also to really manage that cost.” So, the required 10 servers by application, once successful, can be purchased incrementally. </li></ul></ul><ul><li>2. Faster time to market. </li></ul><ul><ul><li>It typically takes about two to four months to get an application into production, said Armijo, but in the cloud, applications can be deployed and scaled “in hours without changing code.” </li></ul></ul><ul><li>3. Reduced financial risk. </li></ul><ul><ul><li>If the application for whatever reason doesn’t catch on, or its use within the business has a limited time frame, Armijo said the business no longer has to pay for those resources in the cloud. </li></ul></ul>08/06/09 © Justin Souter 2009

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Even more benefits #2 <ul><li>4. Lower capital expense. </li></ul><ul><ul><li>Cloud computing leverages commodity hardware, so IT departments can avoid over-provisioning, said Armijo. </li></ul></ul><ul><ul><li>And, while a server may appear only to cost around $5,000, he said “but the reality is there is a lot more capital that goes into putting that [data centre] space in there before you even get the server.” </li></ul></ul><ul><ul><li>Data centre setup is a “huge expense” and enterprises are even running into power and cooling limits within their facilities, he said. </li></ul></ul><ul><li>5. Lower operational expense. </li></ul><ul><ul><li>When application operations are streamlined, IT administrators are not so belaboured with tasks like provisioning and management of servers, he said. </li></ul></ul><ul><li>6. Decreased downtime and costly delays. </li></ul><ul><ul><li>It’s easy to setup business continuity, redundant instances of applications with cloud computing, said Armijo. </li></ul></ul><ul><ul><li>Moreover, he said, cloud service providers, given that is their business, have state-of-the art equipment for power backup and cooling. </li></ul></ul>08/06/09 © Justin Souter 2009

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Even more benefits #3 <ul><li>7. Additional services. </li></ul><ul><ul><li>Cloud service providers, too, can offer services that an IT department otherwise wouldn’t be able to afford, said Armijo, like added security measures, redundancy, bandwidth, and staff with cloud expertise. </li></ul></ul><ul><ul><li>The adoption pattern of cloud computing has certainly changed, said Armijo, where at the end of 2007, adopters were those companies one might expect, like Web and software-as-a-service companies, as well a handful enterprises. </li></ul></ul><ul><ul><ul><li>http://www.itworldcanada.com/a/Daily-News/b0ac56db-b4ab-499f-921a-773fd83243e2.html </li></ul></ul></ul><ul><ul><li>But today, 3Tera customers are predominantly enterprises. </li></ul></ul><ul><ul><li>Armijo thinks this is probably due to the unstable economic times and the challenge of having to maintain a large IT resource. </li></ul></ul><ul><ul><li>“ These are folks that have enormous IT budgets and staff, and as the economy starts to soften, they’re the ones that get hit the hardest,” he said. </li></ul></ul>08/06/09 © Justin Souter 2009

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Case Studies <ul><li>http://whitepapers.techrepublic.com.com/search.aspx?kw=cloud+computing </li></ul><ul><li>http://www.informationweek.com/cloud-computing/blog/archives/2008/09/case_studies_in.html </li></ul><ul><li>http://www.wolterskluwer.com/WK/Related+Nav/Customers/products/casestudiescloudcomputing.htm </li></ul>08/06/09 © Justin Souter 2009

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Way it works <ul><li>Scenarios </li></ul><ul><ul><li>HMRC tax filing website – could you back off the spike to a Cloud? </li></ul></ul><ul><li>Other presentations will address this </li></ul>08/06/09 © Justin Souter 2009