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Introduction to Cloud Computing: Key Benefits and Deployment Options
- 1. Introduction to Cloud Computing Bonnie Durkin Business Lead, Cloud Partner Program February 3, 2010
- 6. Traditional data centers Cloud-like data center management Capability From To 05/26/09 What’s so different about cloud-like data center management? – Changes in orders of magnitude Server/Storage Utilization 10-20% Self service None Test Provisioning Weeks Change Management Months Release Management Weeks Pay as you go Fixed cost model Payback period for new services Years 70-90% Unlimited Minutes Days/Hours Minutes Granular Months
- 7. Cloud Computing is rapidly growing to a $66B market May 20th, 2009 May 20th, 2009 2012 Cloud Consumption and Enablement Market Potential Source: IBM Market Insights, based on IDC, GMV, BPV data as of 2009-05-31 $66B 33% 8% 59% Private Cloud Enablement Public Cloud Enablement Public Cloud Consumption 2008 2009 2011 2012 2010 24% CAGR WW Cloud Computing IT Opportunity $66B
- 8. Layers of Cloud Computing Infrastructure as a Service Platform as a Service High Volume Transactions Software as a Service Servers Networking Storage Middleware Collaboration Business Processes CRM/ERP/HR Industry Applications Data Center Fabric Shared virtualized, dynamic provisioning Database Web 2.0 Application Runtime Java Runtime Development Tooling
- 9. Positioning SaaS and Cloud Computing Hosting Cloud SaaS Fixed, dedicated resources Elastic Internet resources Multi-tenant application Tenant 1 Tenant 2 Tenant n
- 10. Making money and building your business with Cloud Computing 90 80 70 50 40 30 Source: Blended 'attractiveness' rating scale, combining both Revenue and Profit opportunity factors, developed by IBM based on an IDC study Define workloads that benefit from private cloud e.g: Workload Optimization Identify public cloud services that meet business goals Architect Solutions Deploy private cloud and optimize workloads Integrate public services with existing applications Implement Solutions Sell IBM enabling capabilities to build private clouds today e.g: Tivoli Service Automation Manager Sell annual or multi-year PPA contracts. Earn annual margins. Build annuity stream. e.g: LotusLive Resell Capabilities Private Cloud Infrastructure Public Cloud Services
- 12. SaaS and Cloud Computing Module 201
- 14. What IT Services workloads are we seeing move to cloud delivery? Single virtual appliance workloads Test and Pre-production systems Mature packaged offerings, like e-mail and collaboration (http://www.lotuslive.com) Software development environments Batch processing jobs with limited security requirements Isolated workloads where latency between components is not an issue Storage Solutions/Storage as a Service Backup Solutions/Backup & Restore as a Service Some data intensive workloads if the provider has a cloud storage offering tied to the cloud compute offering 1 2 3 4 5 6 7 8 9
- 17. IT transformation includes Cloud Computing within IBM Yielding a cumulative benefit to IBM in excess of $4B Self-service, on demand IT delivery solution for 3,000 IBM researchers across 8 countries IBM Technology Adoption Program (TAP) http://www.tap.ibm.com/ Saving IBM over $2.5M per year Enterprise class utility computing solution for clients Systems platform testing for Enterprise Clients, SMBs, & ISVs Cloud computing solution for IBM Learning Centers in Europe Deep Computing Capacity on Demand Benchmark Centers Common Location Project
- 19. New deployment choices Smart Business on the IBM Cloud Smart Business Cloud Smart Business Systems Standardized services on the IBM Cloud Pre-integrated, workload optimized systems Private c loud services , behind your firewall, built and/or managed by IBM LotusLive IBM CloudBurst w/Quickstart Svcs Smart Business Test Cloud Smart Business Development & Test on the IBM Cloud Smart Business Desktop Cloud Smart Business Desktop on the IBM Cloud Information Protection Services ; Computing on Demand Smart Business for SMB (backed by the IBM cloud) IBM CloudBurst w/Quickstart Svces Scale out File Services Analytics Collaboration Development and Test Desktop and Devices Infrastructure (compute / storage) Business Services Smart Analytics System Powered by Infosphere Smart Analytics Accelerator Powered by Infosphere
Editor's Notes
- Everyone is talking about cloud these days Some view it as something to think about in the future Others believe that many aspects of cloud have been around for a long time For users – it is a new way to consume services From a users POV, A cloud service has three distinct characteristics that differentiate it from traditional hosting. - It is sold on demand, typically by the minute or the hour; - it is elastic -- a user can have as much or as little of a service as they want at any given time; - and the service is fully managed by the provider (the consumer needs nothing but a personal computer and Internet access). Key point: Lowers cost. For providers – it is a new way to deliver services For “cloud” builders (service provider), it is defined in terms of infrastructure and the management of that infrastructures. It must address operation support functions to manage virtualized resources and provide consumers with elasticity and transparency to underlying technology. They need business support functions that keep track of the cloud resources and who is using them. The main Point: Cloud Computing dramatically improves IT resource utilization, thus reducing the over-all cost of computing. This savings is passed on to the subscriber of the service. The growth is being driven by the consumer internet experience
- Cloud computing will change the way IT operates, very similar to the way ATMs have changed the banking experience. As mentioned earlier, much of the growth is being driven by the consumer and their internet experiences.
- Public = “external sourcing” – a third party provider offers public cloud services via the internet Private = “internal sourcing” – the data and processes are managed within the company’s data center There is also the notion of a “hybrid cloud” … with some apps in the private cloud and others in a public cloud. Adoption of the cloud will be shaped by the workload characteristics and where they best fit Apps where risk and migration may be too high will stay private: ex: database, transaction processing, ERP workloads, highly regulated workloads Workloads that may be standardized for cloud include: web infrastructure apps, collaborative infrastructure, development and test, high performance computing Workloads that are very suited to the cloud: high volume/low cost analytics, collaborative business networks, industry scale “smart” applications More detail: The traditional hosting environment is not elastic. The IT environment is usually dedicated to packaged applications, or applications that are mission critical and are subject to high-compliance regulations. You will typically see this model in large enterprises who need dedicated compute power. This can be local or remote. ASP’s, for example, provide remote web-delivered applications on behalf of companies, but they give each tenant a dedicated environment. Very secure, but inefficient and cost prohibitive if you want to scale to a multi-tenant model. From traditional hosting environments, “Cloud Computing” has introduced 2 new delivery models for applications that are web delivered. a public cloud is a shared cloud computing infrastructure that anyone can access and that is connected to the public Internet a private cloud is a cloud computing infrastructure owned by a single party (usually a large enterprise) and that may or may not be connected to the public Internet. a hybrid cloud is the union of private and public clouds that are used together to be able to leverage the benefits of both. =================================================================================== Public clouds: • no capital expenditures — pay per use • ability to pass headaches of expansion to someone else • reduction of IT staff and sys-admin staff Private clouds: • ability to control details of hardware provisioning and of hardware characteristics • fully owned infrastructure which reduces security concerns, gives the ability to satisfy regulatory requirements without requiring cooperation of cloud provider • may leverage existing resources (sunk costs)
- According to leading analysts and IBM market insights, the core cloud market potential should grow to over $63B in 2012 Note that the assessment of market potential is still preliminary and will change as: Definition of cloud gets more precise New offerings shape the market Survey based analyses are published
- Now let’s switch to the layers of cloud computing, and focus in on one particular area – Software as a Service – where we have had a strong partner program for the last 5 years. First the layers: IaaS – this is the raw compute environment – ex: Amazon Web Services, Rackspace PaaS – middleware + business support services – someone can build on this platform and use the services as needed ex: Force.com, Google App Engine SaaS – the application and there are thousands of them; most notably: Salesforce.com, Success Factors Cloud computing is a general term for anything that involves delivering hosted services over the Internet. These services are broadly divided into three categories: Infrastructure-as-a-Service (IaaS), Platform-as-a-Service (PaaS) and Software-as-a-Service (SaaS). The name “cloud computing” was inspired by the cloud symbol that was often used to represent the Internet in flow charts and diagrams. Lets examine these 3 layers: Infrastructure-as-a-Service provides virtual server instances with unique IP addresses and blocks of storage on demand. Customers use the provider's application program interface (API) to start, stop, access and configure their virtual servers and storage. In the enterprise, cloud computing allows a company to pay for only as much capacity as is needed, and bring more online as soon as required. Because this pay-for-what-you-use model resembles the way electricity and water are consumed, it's sometimes referred to as utility computing. Platform-as-a-service in the cloud is defined as a set of software and product development tools hosted on the infrastructure. Developers create applications on the VENDOR’s platform over the Internet. Force.com and GoogleApps are examples of PaaS. Software-as-a-Service is the web delivered application. These applications can be anything from Web-based email to inventory control and database processing. Because the applications and the data are “hosted” in the cloud, the end user is free to use the service from anywhere over the internet. Just like IaaS, SaaS applications are sold based on usage. Summary: In all cases, the “as-a-Service” implies utility computing. These attributes contribute to the elasticity of cloud-computing, and what ultimately defines cloud-computing.
- SaaS is clearly viewed as part of cloud Not everyone who is doing SaaS today are using a cloud environment Many are offering as a hosted service with some degree of multi-tenancy
- This slide helps to identify the ways our partners can make money with cloud computing. The top half are some areas where customers are seeking help and leadership. The very first thing you have to do is identify the workloads that cloud makes sense, which are candidates to apply cloud computing. This means defining the workloads that should be put on the cloud, whether public or private. The next step to make money is reselling. Once you know a workload is suited for cloud, you can sell them corresponding software. A good example of a public cloud offering is LotusLive for collaboration. In a private cloud from a management perspective is the enabling capabilities such as Tivoli Service Automation Manager. And then there is the implementation services to help the customer integrate the cloud into their existing environment so it still feels seamless to them.
- On this slide are additional opportunities to develop your own SaaS offerings in a new way, possibly going into a new market. This about offering applications in a new way. Cloud is a consumption and delivery model. Using cloud customers can consume your software in a new way.
- IBM is also using Cloud Computing in many of our own data centers and facilities – to support our own work as well as improving how we provide services to your customers. IBM's IT transformation continues: our own IT investments over the past 5 years have delivered a cumulative benefit yield of $4.1B Technology Incubation: IBM’s technology Adoption Program (TAP) supports innovators in IBM to make collaborative innovation faster, easier and more cost-effectively. With more than 92,000 early adopters in just the last 12 months- there are now more than 70 active ‘incubations’ and 10 new formalized technology projected developed. The IBM Research Compute Cloud (RC 2 ) is a self service, on demand IT delivery solution established in 2H07 in the U.S. and currently being deployed across the Research team worldwide. It was created to improve resource utilization and speed time-to-test of new technologies. It serves as a virtualized service environment, integrating existing assets and products based on SOA. RC 2 supports the full life cycle of a service delivery from offering creation through order placement, contract fulfillment, monitoring, reporting and billing, allowing a “zero touch” option requiring no involvement from administrators to execute selected business processes. The Deep Computing Capacity on Demand facility is leveraging a cloud design to provide an enterprise class utility computing solution for clients – who can tap into the IBM DCCoD centers at any time- by the hour, week, or multi-year. This center was able to improve access and reduce setup time from two weeks to two hours Cloud computing solution for STG platform testing for Enterprise Clients, SMBs, & ISVs increased benchmark testing capacity 50%,with no staffing increase. And the Cloud computing solution for IBM Learning Centers in Europe improved infrastructure utilization by 80%, and reduced staff by 30%. Transition Line: Clearly, innovation is in our DNA – and Cloud Computing is just one more example of how we are harvesting new technologies to change the way we do business – and to help you change the way you can do yours. We have a strong track record of bringing about structure to what some might consider ‘disruptive technologies’ – but they often bring about a whole new view for IT Delivery.
- Good starting point to learn about IBM AMIs