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Cloud Computing. Cloud 9 or Smoke Screen?. PRESENTED TO American Public Human Services Association IT Solutions Management for Human Services September 01, 2009 Bill Perlowitz Vice President Advanced Technology [email protected] 703.293.6731 http://www.linkedin.com/in/wperlowitz

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Cloud computing l.jpg

Cloud Computing

Cloud 9 or Smoke Screen?


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PRESENTED TOAmerican Public Human Services Association

IT Solutions Management for Human ServicesSeptember 01, 2009Bill PerlowitzVice President Advanced Technology

[email protected]

http://www.linkedin.com/in/wperlowitz

Twitter BillPerlowitz


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About Apptis

Founded in 1983 as Computer Management & Consultants, Inc.

Privately held, headquartered in Chantilly, Virginia

1,500 professionals in 33 states and 5 countries

2008 revenues of $816 million

Washington Technology 2009 Top 100 government prime contractor ranking #50

Three service sectors with Public Sector focus: Health Solutions, Defense and National Security, Federal Civilian

THE ADVANCED TECHNOLOGY GROUP (ATG) DRIVES BEST PRACTICES ACROSS THE COMPANY AND LEADS THE DEVELOPMENT OF COMPETENCIES AND MULTI-DISCIPLINARY SOLUTIONS

  • APPROACH

    • Managed and performance-based

    • IT consolidation that reduces costs and enhances performance

    • Standardized, open architecture solutions that enable interoperability

    • Robust program management and security integrated into every solution

  • CAPABILITIES

    • Network Engineering

    • Software Engineering

    • System Engineering

    • Information Assurance

    • Enterprise Management

    • Program Management


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What is Cloud Computing?

20+ working vendor-neutral definitions to be found

2 page definition National Institute of Standards and Technology http://csrc.nist.gov/groups/SNS/cloud-computing/

“Cloud computing is a model for enabling 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. This Cloud model promotes availability and is composed of five essential characteristics, three delivery models, and four deployment models.”

Five Essential NIST Cloud Characteristics:

On-demand self-service

Ubiquitous network access

Location independent resource pooling

Rapid elasticity

Measured service.

Note: Cloud software takes full advantage of the Cloud paradigm by being service oriented with a focus on statelessness, low coupling, modularity, and semantic interoperability.


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Cloud Computing: How Did We Get Here?

Source: Forrester Research, Inc.


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Cloud Macroeconomics

First round winners:

Hardware vendors; best global demand since 1990s

Later rounds:

Fewer buyers with high hardware demand can dictate technology and margins

Commoditization of software and operating systems, shift to open source

Software Business Model – tying to # of users of cores will be difficult, no up-front fees, no maintenance fees

Usage based payment

No user hardware investment or maintenance

Possible user reduction of OS & Software licensing fees

Developing economies will leapfrog


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Cloud 9 or Smoke Screen?

Gartner Hype Cycle 2008

Source: Google Trends (July 2008)

The Panacea for Most IT Ills

Cloud Computing: Are We There Yet?

Salesforce.com Outage Inconveniences Customers

Source: Gartner (July 2008)


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The Industry and Cloud Computing *

Worldwide Cloud Computing markets to reach $160.2 Billion by 2015

By 2012 Intel predicts that some 20 to 25 percent of its server chips will be dedicated toward data centers that power Cloud Computing.

The federal government currently spends almost half of its $70 billion IT budget on infrastructure, costs that could be significantly reduced by shifting to software and infrastructure as a service.

Clouds are here to stay …many research organizations will transition to private/public Cloud infrastructures for elasticity and cost-efficiency in their data analysis work.

The Office of Management and Budget will unveil its storefront for Cloud Computing services in early September. Industry and government sources say federal chief information officer Vivek Kundra is eyeing Sept. 9 at the Gov 2.0 Summit in Washington as the public launch of one-stop shop for Cloud Computing services.

* See page 22 for complete source information



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Cloud Computing: The Reality

Federal agencies are confused about the Cloud:

IT managers do not share a common understanding of the technology

While 13% say their agency is using Cloud Computing:

44% report using database Cloud applications

42% report using document management Cloud applications

28% report running a virtualized server environment in house

Federal IT executives report confusion over exactly what is and what is not Cloud Computing

Federal agencies are not alone. Few industry organizations have moved beyond the Cloud discovery phase

IT managers in government and industry share the same Cloud forecast:

76% agree that the Cloud is “here to stay”

63% believe the Cloud is the “key to reducing IT expenses”

This slide adapted from MeriTalk 2009 Cloud Consensus Report http://www.meritalk.com/2009-cloud-consensus.php


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Why Would I Want to Use a Cloud?

Cost and Sustainability

Agility

Ease of Use

Reliability

Scalability

Location Independence

Centralization

Green

Business Continuity/Availability

Users will increasingly resist constraints on their use of technology


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What Is Preventing Me From Using Cloud?

Cloud IS NOT:

VIRTUALIZATION

Mature enough for enterprise deployment

Appropriate for all parts of all applications

An architecture (best practices for implementing and using technology resources)

A shortcut to avoid creating an architecture

A fix for architecture

A fix for security

Open and interoperable (at the moment)

Technical

Porting legacy applications and databases is NOT trivial

Multi-tenancy

Metadata driven business logic

SOA

Policy

Need to develop and baseline performance metrics and establish monitoring

Pay-as-you-go fees



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Cloud Computing End User Use Cases

End User to Cloud

Enterprise to Cloud to End User


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Cloud Computing Enterprise Use Cases

Private Cloud

Enterprise to Cloud

Enterprise to Cloud

to Enterprise

Hybrid Cloud

Changing Cloud Vendors


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Can the Cloud Be Secured?

Network perimeter defense no longer applies

Cloud Computing introduces a new set of security challenges

Security strategy must account for all layers and tiers of the Cloud environment

Employ defense in depth

Don’t forget the basics!

Must consider compliance issues (e.g., HIPAA)

Issues to address:

Privileged user access

Regulatory Compliance

Data Location

Data Segregation

Long Term Viability

Recovery

Investigative Support


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Example Cloud Operational Cost

Amazon EC2 CPU pricing:

Apptis Federal portal demonstration project initiated in November, 2008

Gained security concurrence on December 22, 2008

In January, 2009, a non-production stand-alone prototype portal overlaid onto a commercial Cloud provider, demonstrating that execution on a commercial Cloud environment without changes to the code base was possible

Initial performance testing of the unmodified and un-tuned system with the minimum configuration of 8 CPUs achieved 2,600 concurrent users with 90 data element application registrations at a cost of $2.42 including software


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How Should I Use the Cloud Today?

Surge

Utilized when the IT infrastructure is not adequate to support an increase in demand or volumes

Removes the need to acquire IT infrastructure that sits idle or is under utilized

Public Information

Static information that is accessible by the public, visible today but housed within the IT boundaries of the enterprise

Test and Development Environments

Development Environments

Project Specific, Limited time use, Version control, Non production data

Test Environments

Availability, Stress and scale, Integration, Configuration Mgt

Web Services

Planning Disaster Recover and Continuity of Ops

Encrypted Data storage


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Resources

TechAmerica Cloud Computing Committee http://www.techamerica.org/cloud-computing, Jennifer Kerber, 703-284-5337, [email protected]

Cloud Computing (Administration) Transition Paper 01/15/2009

Cloud Security Alliance http://www.cloudsecurityalliance.org/

Cloud Computing Interoperability Forum http://www.cloudforum.org/

GovLoop Groups

Cloud Computing

http://www.govloop.com/group/cloudcomputing?page=1#comments

Cloud Computing | SOA | SaaS

http://www.govloop.com/group/SaaSGov?page=1#comments

Local Governments Using Cloud Services/SaaS

http://www.govloop.com/group/localgovernmentsusingcloudservicessaas

Google groups

Cloud Computing http://groups.google.ca/group/cloud-computing

Use Cases http://groups.google.ca/group/cloud-computing-use-cases?lnk=srg



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The Industry and Cloud Computing (footnotes)

Worldwide Cloud Computing markets to reach $160.2 Billion by 2015, Research and Markets report Worldwide Cloud Computing Market Shares, Strategies, and Forecasts, 2009-2015, 08/06/2009

“By 2012 Intel predicts that some 20 to 25 percent of its server chips will be dedicated toward data centers that power Cloud Computing.” Jason Waxman, General Manager of High-Density Computing, Intel, quoted on eWeek.com 02/17/2009

“The federal government currently spends almost half of its $70 billion IT budget on infrastructure, costs that could be significantly reduced by shifting to software and infrastructure as a service.” Vivek Kundra, Federal CIO, quoted on NextGov.com 07/15/2009

"Clouds are here to stay …many research organizations will transition to private/public Cloud infrastructures for elasticity and cost-efficiency in their data analysis work.” Peter Tonellato, senior research scientist at Harvard Medical School's Center for Biomedical Informatics, quoted on InformationWeek.com, December 03, 2008

“The Office of Management and Budget will unveil its storefront for Cloud Computing services in early September. Industry and government sources say federal chief information officer Vivek Kundra is eyeing Sept. 9 at the Gov 2.0 Summit in Washington as the public launch of one-stop shop for Cloud Computing services.” Reported on Federal News Radio, wtop2.com, 07/31/2009


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