1. Cloud computing in Japan is growing rapidly, with the market expected to increase over six times in size from 363 billion yen in 2010 to approximately 2.3 trillion yen in 2015. 2. Cloud computing provides advantages over on-premise IT by addressing issues like unused capacity, inability to meet unexpected demand spikes, periodic needs, and disaster recovery. 3. Key considerations for selecting a cloud provider include availability, reliability, performance, scalability, data management, security, and cost.

1. Ｃloud-related Initiatives in Japan
November 8th, 2011
Masahiro YOSHIZAKI
Director-General for Policy Evaluation
Ministry of Internal Affairs and Communications(MIC), JAPAN

2. 1
Information processing by
computers has evolved by repeating
centralization and distribution.
However, the current trend is
toward a “slight centralization.”
That is called “Cloud Computing.”

3. Market size of cloud services in Japan 2
The cloud services market was worth 363 billion yen（4.5 billion U.S. dollars*） in 2010. It will
increase more than six times in size to reach approximately 2.3 trillion yen （27.9 billion U.S.
dollars*） in 2015.
Note: The market is expected to expand by approximately 560 billion yen （6.9 billion U.S. dollars*）
through policy support for diffusion of cloud services in government, medical care, education, etc .
*Converted at the rate of 81yen/U.S. dollar （as of June 1,2011）
Converted at the rate of 81yen/U.S.
(Billion yen)
2,500
2 ,2 5 9
138
117 New market creation
2,000 1 ,8 9 2 effect through policy
109 303 support
97
(New)
IaaS（ 新規）
1 ,5 2 5 241 (New)
PaaS（ 新規）
1,500 80 420
75 (New)
SaaS（ 新規）
180 352
IaaS
1 ,0 8 3
358 PaaS
53 285
1,000 51
119 312 SaaS
780
27
25 203 267
60
162 198
500 924
363 150
781
112 639
60 458
357
191
0
2010 2011 2012 2013 2014 2015

4. Advantages of Cloud Computing 3
Demerits when Advantages of
Possessed by Oneself
y Cloud Computing
■ While Not Being Used → Wasted
■ Unexpected Demand Increase
→ Cannot be Met
■ Sudden Growth
→ Expansion Can’t Keep Up
■ Periodic Needs
Resolved
→ Useless During Off‐season
■ During Emergency Disasters → Outage
■ Security Issues
→ Must be Dealt With Alone

5. Issues with Cloud Computing 4
 Black‐box System → At the Mercy of Providers
 Stoppage of Service → Company Ceases Activity
 Centralized Management → Targeting by Hackers
 Outsource to Providers →
Risk of Leakage of Information from Providers
 Communication Downtime → Company Ceases Activity

6. Points of Selecting Cloud Computing 5
Availability Service times, planned outage schedule notification,
Application Operation
coping with sudden stoppage of service provision, etc.
Mean time to recovery, number of occurrences of failures, system
Reliability monitoring standards, notification processes, acquisition of logs, etc.
Performance Response times, delays, batch processing times
Customizability, external connectivity, limits for providing resources
Scalability
Support Service provision time periods (coping with failures, general inquiries)
Backup methods/timing, storage period for backup data, requirements for
Data Management data deletion, compensation/insurance at times of data
leakage/destruction, etc.
Requirements for public authentication acquisition, encryption level for
Security communication, restrictions for information receivers, confirmation of
Information security‐related matters in audit reports, safety measures for
secondary storage media, etc.
Cost

7. Representative Initiatives in Japan 6
Related to Cloud Computing (1)
＜Formulation of A Guide for Protection of Cloud Service
Users and Securing of Compliance＞
“Guide for Protection of Cloud Service Users and Securing of
Compliance” (July, 2011)
・(1) Complementary Protection of Trade Secrets
(2) Securing of Compliance
In Companies Using Cloud Services
・Clarify important matters to be confirmed beforehand
prior to the contract

8. Representative Initiatives in Japan 7
Related to Cloud Computing (2)
＜Standardization of Technical Requirements Required in Inter-cloud
Collaboration＞
・Research and development has been promoted toward providing cloud
computing technology in which multiple, including medium and small, clouds
perform advanced collaboration in highly reliable, high-quality, power-
conserving cloud services.
・On the basis of the results of the research and development, a proposal
was submitted to ITU-T in January, 2011, for technical requirements for
functionality for collaborating across multiple cloud systems.
・This proposal has been officially incorporated as an agenda candidate at
ITU-T.
＜Implementation of International Dialogue on Cloud Computing＞
・Concerning cloud computing, open data distribution across borders is
important, and discussion with many countries is vital.