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Page 1: WA1723 Cloud Computing Primer - Web Age · PDF fileWA1723 Cloud Computing Primer (C) Web Age Solutions Inc. 2012 WA1723 Cloud Computing Primer The Rise of the Cloud ... A dash of SAAS

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WA1723 Cloud Computing Primer

(C) Web Age Solutions Inc. 2012

WA1723 Cloud Computing Primer

The Rise of the Cloud

EVALUATION ONLY

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WA1723 Cloud Computing Primer

(C) Web Age Solutions Inc. 2012

Objectives

After completing this chapter, students will be able to

Describe the major aspects of Cloud ComputingIdentify the different trends that converge into Cloud ComputingExplain the five attributes of Cloud ComputingDescribe the different elements of the enterprise that can be moved to the Cloud

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WA1723 Cloud Computing Primer

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Where did Cloud Computing originate?

Cloud computing represents a convergence of threadsVirtualization, 1960s, 1990s, 2000s – abstracting computer resources to support efficiency and availability Grid computing, early 1990s, late 1990s – harvesting of computer resources as a collectiveSoftware as a Service (SaaS), late 1990s – hosting of software in a centralized fashion with access and licensing provided on-demandWeb Services (WS), late 1990s – standards-based messaging integration technologyService Oriented Architecture (SOA), early 2000s –connecting service providers and consumers in a distributed fashion across ownership domainsWeb 2.0 / Web Oriented Architecture (WOA), early 2000s –collaboration, rich multimedia, data mash-ups

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WA1723 Cloud Computing Primer

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Cloud Computing

Everyone has their own definition, perspective, or angle regarding what ‘Cloud’ is and what impact it will have upon the industry

Cloud computing is …One scoop of SOAA dash of SAASStir in VirtualizationA pinch of Grid ComputingLayer with Web 2.0 / WOA as desired

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WA1723 Cloud Computing Primer

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Wikipedia Entry

Cloud computing refers to the delivery of computational resources from a location other than your current one.

In its most used context it is Internet-based ("cloud") development and use of computer technology ("computing").

The cloud is a metaphor for the Internet, based on how it is depicted in computer network diagrams, and is an abstraction for the complex infrastructure it conceals.

It is a style of computing in which IT-related capabilities are provided “as a service”, allowing users to access technology-enabled services from the Internet ("in the cloud") without knowledge of, expertise with, or control over the technology infrastructure that supports them.

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Gartner on Cloud

Gartner defines Cloud computing as…A style of computing in which scalable and elastic IT-enabled capabilities are delivered as a service to external customers using Internet technologies

The What, Why, and When of Cloud Computing – Gartner, 2009

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WA1723 Cloud Computing Primer

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The NIST Perspective

The National Institute of Standards and Technology (NIST)’s definition of cloud computing

“Cloud computing is a model for enabling ubiquitous, convenient, on-demand network access to a shared pool of configurable computing resources (e.g., networks, servers, storage, applications and services) that can be rapidly provisioned and released with minimal management effort or service provider interaction.”Furthermore, the cloud model promotes availability and is composed of five essential characteristics, three service models, and four deployment models.”

5 Characteristics

3 Service Models

4 DeploymentModels

NIST is a U.S. agency and laboratory that focuses upon innovation and standardization in science and technology. More information is available at NIST.org

“The NIST Definition of Cloud Computing” (NIST Special Publication 800-145) - http://www.nist.gov/itl/csd/cloud-102511.cfm

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WA1723 Cloud Computing Primer

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Five CharacteristicsOn-demand self-service - A consumer can unilaterally provision computing capabilities, such as server time and network storage, as needed automatically without requiring human interaction with each service’s provider.

Broad network access - Capabilities are available over the network and accessed through standard mechanisms that promote use by heterogeneous thin or thick client platforms (e.g., mobile phones, laptops, and PDAs).

Resource pooling - The provider’s computing resources are pooled to serve multiple consumers using a multi-tenant model, with different physical and virtual resources dynamically assigned and reassigned according to consumer demand. There is a sense of location independence in that the customer generally has no control or knowledge over the exact location of the provided resources but may be able to specify location at a higher level of abstraction (e.g., country, state, or datacenter). Examples of resources include storage, processing, memory, network bandwidth, and virtual machines.

3 Service Models

4 DeploymentModels

5 Characteristics5 Characteristics

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Five CharacteristicsRapid elasticity – Capabilities can be rapidly and elastically provisioned, in some cases automatically, to quickly scale out and rapidly released to quickly scale in. To the consumer, the capabilities available for provisioning often appear to be unlimited and can be purchased in any quantity at any time.

Measured service – Cloud systems automatically control and optimize resource use by leveraging a metering capability at some level of abstraction appropriate to the type of service (e.g., storage, processing, bandwidth, and active user accounts). Resource usage can be monitored, controlled, and reported providing transparency for both the provider and consumer of the utilized service.

3 Service Models

4 DeploymentModels

5 Characteristics5 Characteristics

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WA1723 Cloud Computing Primer

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• Amazon Beanstalk • Force.com• Google App Engine• MS Azure• NetSuite

• Amazon Beanstalk • Force.com• Google App Engine• MS Azure• NetSuite

PAAS• Amazon EC2• GoGrid• Rackspace Cloud• Terremark

• Amazon EC2• GoGrid• Rackspace Cloud• Terremark

The Cloud Computing Spectrum / Service Models

IAAS• Salesforce.com• Gmail, Hotmail, etc.• Acrobat.com• Rackspace Apps• Apple iCloud• Dropbox

• Salesforce.com• Gmail, Hotmail, etc.• Acrobat.com• Rackspace Apps• Apple iCloud• Dropbox

SAAS

Deploy anysoftware that

you want

Use the softwareprovided by thecloud vendor

Build softwarethat uses the

vendor’s platform

5 Characteristics

4 DeploymentModels

3 Service 3 Service ModelsModels

The Cloud Computing SpectrumInfrastructure-As-A-Service (IAAS) – The vendor provides infrastructure

for you to deploy your own software solution, OS images, database, etc. Amazon EC2 and GoGrid are hosted in the provider’s cloud, RightScale is a management platform to use with an IAAS for scaling and resource management.

Platform-As-A-Service (PAAS) – The vendor provides a framework that your solution must fit within. You code against their APIs, management resources, and other elements of the framework to ensure that your software stack works within their environment.

Software-As-A-Service (SAAS) – The vendor provides a complete solution that you simply purchase access to in the form of some sort of licensing subscription model.

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Cloud Deployment ModelsPrivate cloud - The cloud infrastructure is operated solely for an organization. It may be managed by the organization or a third party and may exist on premise or off premise.

Community cloud - The cloud infrastructure is shared by several organizations and supports a specific community that has shared concerns (e.g., mission, security requirements, policy, and compliance considerations). It may be managed by the organizations or a third party and may exist on premise or off premise.

Public cloud - The cloud infrastructure is made available to the general public or a large industry group and is owned by an organization selling cloud services.

Hybrid cloud - A composition of two or more clouds (private, community, or public) that remain unique entities but are bound together by standardized or proprietary technology that enables data and application portability (e.g., cloud bursting for load-balancing between clouds).

5 Characteristics

3 Service Models

4 Deployment4 DeploymentModelsModels

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WA1723 Cloud Computing Primer

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Understanding Cloud Computing

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Understanding by Analogy

Landline phone service (non-cloud)Select a single providerAlways use that provider for your service (unless you switch)If that provider goes down, you are hosed

Cellular phone service (cloud)Select a standard (CDMA, TDMA, GSM)Select a provider and negotiate ratesProvider offers seamless support wherever you travel (sometimes renting bandwidth from others, but abstracting this via the cloud)If the provider is unavailable, the contract may allow you to use another service at a higher rate

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What is so special about Cloud?

There are some that will argue that Cloud Computing is merely the next fad in a string of hype and buzzwords

Does Cloud Computing actually offer anything novel or unique?

Not exactly. You would be hard-pressed to identify a ‘Cloud Standard’ or ‘Cloud Platform’.On the other hand, it provides a unifying theme to several evolving threads. Synthesis is valuable.

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Synergy is Powerful

Virtualization offers technology cost savings and productivity increases.SOA provides a foundation for the creation and governance of services and business processes.SaaS offers a paradigm for software delivery and shifts cost models and capital expenditures to a lean, on-demand model.Web 2.0 delivers compelling user interface experiences.

Cloud brings all of these together and synthesizes a solution to a business problem.

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Moving to the cloud

A big part of what makes the concept of Cloud Computing so interesting is the ability to move select IT concerns “to the cloud”

Establish a contracted agreementPay for service and actual usageDisregard up-front fixed costs and avoid on-going maintenance costs (just fee-for-service)

What can you move to the cloud?DataSoftwareBusiness logic / processes / rulesUser interface

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By the Numbers

Cloud Computing certainly seems to be gaining some traction

Over half of respondents to a survey by IBM identified that developing new applications for the cloud would be the top activity for the next 24 months. (2011 Tech Trends Report)

37% of businesses globally are deploying cloud to either remotely host applications or host data, or both. (AMD 2011 Global Cloud Computing Adoption, Attitudes, and Approaches Study)

39% of SMBs with 2-250 employees expect to be paying for cloud services within three years [an increase of 34%] (Microsoft Global SMB Cloud Adoption Study, March 2011)

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WA1723 Cloud Computing Primer

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Summary

Cloud Computing represents a convergence of several different trends, including

Virtualization, Grid ComputingSOA, Web Services, Web 2.0 / WOASoftware As A Service (SAAS)

Cloud brings all of these elements together and synthesizes a solution to a business problemMany aspects of the enterprise can be moved to the cloud

DataSoftwareBusiness logic / processes / rulesUser interface

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WA1723 Cloud Computing Primer

Cloud Computing Value Proposition

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WA1723 Cloud Computing Primer

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Objectives

After completing this chapter, students will be able to

Introduce the value and potential associated with Cloud ComputingExplore several Cloud business casesExamine a framework for quantifying the value of Cloud Computing solutions

EVALUATION ONLY

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Why does Cloud matter?

Why should enterprises examine Cloud Computing?

Three reasons (well, maybe just two):Be more efficientGain a competitive edgeIt’s too depressing to spend all day watching the market waffle and talking to potential customers that you know don’t have any money to spend

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Cloud Value PropositionEfficiency

put idle resources to workFrugality

minimize capital expenditures, shifting fixed costs to variable costsReliability

offer strong redundancy solutions and seamlessly roll over to alternative providers as needed

Scalabilitymore easily adapt to changing user needs and usage scenarios

Centralizationmove capabilities and their support to a centralized provider that can be commonly shared by many

Maintainabilityoff-load updates, upgrades and burden of hardware obsolescence

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Cloud ValueBusiness Case #1

Cloud desktopVirtualize the desktop environment, serving up operating systems (along with file and network access) to users via a wide range of thin client interfaces

ExamplesHosted OS (e.g. OS is accessible on-demand through various devices, served from a centralized location)

Operating SystemUser ProfilePreferencesFile Access

Network Access…

Operating SystemUser ProfilePreferencesFile Access

Network Access…

A classic example of this type of solution would be CITRIX solutions like XenDesktop where you host an OS along with configured software through a thin client interface. UI commands are captured at the client-side and then a message is sent over the wire to the server-side where the instruction is interpreted and the command is carried out. The screen update is then sent back to the client-side to display the result of that action. VMWare offers a product called ‘View’ with similar capabilities.

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Cloud ValueBusiness Case #2

Cloud softwareDeliver software on-demand from a centralized location, rather than supporting a more distributed and diverse environment

ExamplesGoogle Apps (e.g. replace MS Office, Outlook/Exchange, or similar)Salesforce.com (e.g. move sales team to Web-based CRM)

Web-based Softwareanytime access (24-7)

global availabilityautomatic patches/updatesper-user incremental cost

Web-based Softwareanytime access (24-7)

global availabilityautomatic patches/updatesper-user incremental cost

Another great example of this is GoToMeeting in which you can access a hosted conference and connect in from anywhere in the world through the use of a subscription plan.

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Cloud ValueBusiness Case #3

Cloud serviceProvide information or offer a capability to meet requester needs on-demand

ExamplesData retrieval (e.g. data aggregation, filtering, caching, etc.)Authentication / authorization (e.g. security system abstraction)Resource pooling (e.g. locksmith or tow truck driver)

ServiceCommon interface

Seamless availabilityLocation independence

ServiceCommon interface

Seamless availabilityLocation independence

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Cloud ValueBusiness Case #4

Cloud processingSupport peak demand for data and transaction processing on an as-needed basis without paying for those resources during off-hours

ExamplesBatch processingBusiness process executionData warehousing / BI Cloud Provider

(EC2, RightScale, Flexiscale, etc.)

Corporate Infrastructure

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Cloud Business Cases

Cloud desktopVirtualize the desktop environment, serving up operating systems (along with file and network access) to users via a wide range of thin client interfaces

Cloud softwareDeliver software on-demand from a centralized location, rather than supporting a more distributed and diverse environment

Cloud serviceProvide information or offer a capability to meet requester needs on-demand

Cloud processingSupport peak demand for data and transaction processing on an as-needed basis without paying for those resources during off-hours

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Do Clouds Compute?

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Graphic credit Luca Simonetti, ENGINE Networks Blog, http://blog.enginenetworks.net/2009/09/why-use-cloud-computing-for-web-applications/

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Graphic credit Luca Simonetti, ENGINE Networks Blog, http://blog.enginenetworks.net/2009/09/why-use-cloud-computing-for-web-applications/

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Dave Powers, Eli Lilly Company ($20B global pharmaceuticals company):

“We were recently able to launch a 64-machine cluster computer working on bioinformatics sequence information,

complete the work, and shut it down in 20 minutes," he says, describing a project the firm executed using

Amazon's Elastic Compute Cloud (EC2) service. "It cost $6.40. To do that internally—to go from nothing to getting a 64-machine cluster installed and qualified—is a 12-week

process."

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Do Clouds Compute?

Determining a true value for a cloud solution involves several steps

Select expected benefits from the cloud solutionIdentify an applicable cost scenarioCalculate the initial, simple return (if any)Keeping the benefits constant, calculate the returns for the second and subsequent implementations

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1. Select Expected Benefits

Possible benefitsCost savings

Lower fixed costsLower variable costsLower operating costs during peak demand

Better service qualityAvailability improvementsConcurrency / performance improvements

Better team compositionWorkforce reductionStaffing re-alignment

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2. Identify applicable cost scenario

Service consumerCosts associated with developing front-end service consumption interfacesCosts associated with governing the consumption of cloud services

Service providerCosts associated with Cloud infrastructureCosts associated with service interface(s)Costs associated underlying business systems

Service consumer and providerAdd applicable costs from both categories

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3. Calculate initial, simple return

A very simple ROI formula can be appliedBenefits you’ve assigned to Cloud divided by the cost scenario

The initial, simple return is simply calculated based upon whether or not the initial deployment of these services yield an immediate return

If moving to a cloud model eliminates certain fixed costs, then an immediate ROI can be realized from your initial Cloud deploymentOther returns may only be realized over time

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4. Calculate returns for on-going usage

Keeping the benefits constant, returns are calculated for the on-going utilization of this new solution

Simple calculations may assume a linear profitability driver (via savings and/or revenue)More advanced calculations may follow a non-linear, even exponential profitability curve

The key here is to project savings and or new revenue based upon likely usage scenarios

You may even find it useful to develop several models, factoring in different usage figures

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Summary

Cloud Computing holds considerable value for enterprisesEfficiencyFrugalityReliabilityScalability

Business cases aboundCloud desktopCloud softwareCloud serviceCloud processing

Effective tracking and monitoring is essential in order to protect and preserve a return on your cloud investment

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