The document discusses the evolution of cloud computing, highlighting the emergence of two types of clouds: 'enterprise' (legacy) and 'webscale' (public), with a focus on their distinct applications and economic advantages. It emphasizes the shift towards private clouds and the complexities in application placement due to varying regulatory environments. The content is based on insights shared by Troy Angrignon during the Citrix Synergy Private Cloud Panel in May 2011.

1. Building the world’s largest clouds
Troy Angrignon, VP Sales & Marketing
troy@cloudscaling.com
@troyangrignon
Citrix Synergy Private Cloud Panel May 26 2011 1

2. We are a team of cloud, telecom and IP
infrastructure veterans and pioneers
Citrix Synergy Private Cloud Panel May 26 2011 2

3. We built three clouds for KT
Private Cloud Mobile Cloud Public Cloud
Citrix Synergy Private Cloud Panel May 26 2011 3

4. The result of this partnership exceeded all
expectations
Time To Beat AWS
CapEx pricing by
Reduction Provision
(50x faster) 18%
(79%)
Citrix Synergy Private Cloud Panel May 26 2011 4

5. KT is moving 70% of their IT to the
internal private cloud
Move Stay
4235
9579
Citrix Synergy Private Cloud Panel May 26 2011 5

6. Our Perspective on
Cloud Computing
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7. Cloud computing is a major transformation
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8. It is an evolution across multiple dimensions
el Extreme Designed Designed
M od Uptime for Failover for Failure
A
SL (99.999) (99.9) (Always On)
ng
ali el Vertical Horizontal
Sc d Scaling Scaling
Mo
re Expensive Expensive Cheap
wa
rd m Custom "Commodity" Commodity
Ha atfor
Pl Hardware Hardware Hardware
gh
Hi bility Hardware Software
ila
A va odel HA HA
M
&
are ent
ftw Centralized Decentralized Distributed
So loym ls
p e
De Mod
Centralized Shared
on Self-Service
pti Service Service
sum l Model Model Model
on ode
C M
Mainframe Client-Server Web
"Big Iron" - 1.0
Citrix Synergy Private Cloud Panel May 26 2011
"Enterprise" - 2.0 "Cloud" - 3.0 8

9. Cloud is a textbook case study in disruption
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10. New competitors are emerging in this wave that
are disrupting those who came before them.
Citrix Synergy Private Cloud Panel May 26 2011 Disruption 10

11. We could automate everything
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12. Once it was automated, we could run at scale
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13. Scale enables an order of magnitude change in the
economics
Source: Microsoft report “The Economics of Cloud Computing (2010)”
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14. Economics will drive adoption. Public cloud economics
are overwhelmingly attractive.
Public clouds:
• have 80% lower
TCO.
• are 40x more cost-
effective for SMBs
• are 10x more cost
effective for
enterprises
Source: Microsoft report “The Economics of Cloud Computing (2010)”
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15. A Tale of Two Clouds
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16. Myth: “Enterprises don’t use public clouds for
security, compliance or performance reasons.”
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17. Truth: Enterprises use webscale clouds for
green eld web and mobile applications
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18. Myth: Companies need to move the legacy apps and
all of their complicated plumbing into the cloud
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19. Truth: Green eld web and mobile apps are driving
cloud growth, not migration of legacy apps
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20. So two classes of clouds have emerged:
“enterprise” and “public”.
We call them “legacy” and “webscale”
Citrix Synergy Private Cloud Panel May 26 2011 20

21. So two classes of clouds have emerged:
“enterprise” and “public”.
We call them “legacy” and “webscale”
Legacy Webscale
Physical Virtual (“Enterprise”) (“Public”)
Cloud Cloud
Citrix Synergy Private Cloud Panel May 26 2011 21

22. Webscale clouds work well for global, low-
regulation, web & mobile green eld applications
with low network complexity...FOR NOW.
Cust Sell to Geo Users Apps Era Elasticity Network Regulation
Govt World 100M+ Stringent
Owner Highly Regulation
Client / (Military)
Complex
Server
Network
Continent 10M Legacy Inelastic
Ent
High
LOB Regulation
Country 1M (Fin/Pharma)
Medium
Mid Web Complex
Network
State 100,000
Medium
Sys Admin Regulation
SMB
District 10,000 Greenfield Elastic
Simple
Mobile
Network Low or No
Dev Regulation
Soho City 1,000
Citrix Synergy Private Cloud Panel May 26 2011 22

23. Legacy clouds work well with highly regulated,
inelastic, legacy client/server applications that
run at non-web-scale
Cust Sell to Geo Users Apps Era Elasticity Network Regulation
Govt World 100M+ Stringent
Owner Highly Regulation
Client / (Military)
Complex
Server
Network
Continent 10M Legacy Inelastic
Ent
High
LOB Regulation
Country 1M (Fin/Pharma)
Medium
Mid Web Complex
Network
State 100,000
Medium
Sys Admin Regulation
SMB
District 10,000 Greenfield Elastic
Simple
Mobile
Network Low or No
Dev Regulation
Soho
City 1,000
Citrix Synergy Private Cloud Panel May 26 2011 23

24. To cover all application types in an enterprise would
require distributing them across both clouds.
Cust Sell to Geo Users Apps Era Elasticity Network Regulation
Govt World 100M+ Stringent
Owner Highly Regulation
Client / (Military)
Complex
Server
Network
Continent 10M Legacy Inelastic
Ent
High
LOB Regulation
Country 1M (Fin/Pharma)
Medium
Mid Web Complex
Network
State 100,000
Medium
Sys Admin Regulation
SMB
District 10,000 Greenfield Elastic
Simple
Mobile
Network Low or No
Dev Regulation
Soho
City 1,000
Citrix Synergy Private Cloud Panel May 26 2011 24

25. And with the rise of private clouds, we now have
private and public legacy and webscale clouds!
Legacy Webscale Legacy Webscale
Physical Virtual Private Private Public Public
Cloud Cloud Cloud Cloud
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26. So deciding where to put applications is a bit more
complicated these days
Public
Private Private Legacy Public
Legacy Web IaaS Public Public Webscale
Physical Virtual Cloud Cloud ASP Cloud SaaS PaaS IaaS
Process Process Process Process Process Process Process Process Process
& Data & Data & Data & Data & Data & Data & Data & Data & Data You
manage
App App App App App App App App App
Provided
Platform Platform Platform Platform Platform Platform Platform Platform Platform
Virt Cloud Cloud Virt Virt Virt Virt Virt
Virt Virt
Infra
Infra Infra Infra Infra Infra Infra
Infra Infra
Terremark Force.com
Salesforce
VMW VCE BPOS Savvis GAE AWS
AT&T Netsuite
Various Hyper-V Websphere Cloudscaling SAP OD Azure RAX
Hosting.com Taleo Heroku
etc. HP Oracle OD Singtel KT
FlexCloud Workday EngineYard
$150- $150- 20-30% 80%
$20-40 $X reduction in $60
$250 $500 of $X app dev
1:5 1:100 1:300 1:1500 ? 1:5000
Single Tenant Multi Tenant
On-Premise External External
Citrix Synergy Private Cloud Panel May 26 2011 26

27. If we just focus on Infrastructure, we can see that it is a
matter of picking the right tool for the job.
Public
Private Private Legacy Public
Legacy Web IaaS Webscale
Physical Virtual Cloud Cloud Cloud IaaS
Process & Process & Process & Process & Process & Process &
Data Data Data Data Data Data You manage
App App App App App App
Provided
Platform Platform Platform Platform Platform Platform
Virt Cloud Cloud Virt Virt
Virt Virt
Infra Infra Infra
Infra Infra Infra
VMW VCE Terremark, Savvis, AWS
Various Hyper-V Websphere Cloudscaling Hosting.com, AT&T, RAX
etc. HP Singtel, FlexCloud KT
$150-$250 $20-40 $150-$500 $60
1:5 1:100 1:300 1:1500 unknown 1:5000
On-Premise Single Tenant Multi Tenant
External External
Citrix Synergy Private Cloud Panel May 26 2011 27

28. Troy Angrignon, VP Sales & Marketing
troy@cloudscaling.com
@troyangrignon
Citrix Synergy Private Cloud Panel May 26 2011 28