Content In The Cloud

1. Content In The Cloud An extension of the human nervous system Jonathan H. King SVP Business Development

2. How should one think about the cloud?

3. The Medium itself, not the content it carries, should be the focus of study.

4. Mediums Change Digital Singles CDs Cassettes Vinyl

5. Marshall McLuhan on the Medium Understanding Media: The Extensions of Man (1964) "the medium is the message…” The Medium is the Massage: An Inventory of Effects (1967) "the book is an extension of the eye… clothing, an extension of the skin… electric circuitry, an extension of the central nervous system”

6. The Medium is the Message Massage The Book is an extension of the eye – Cloud era The Book is an extension of the eye – Internet era I can order it online and have it delivered to my devices instantly I can order it online and have it delivered to my door in a day I can read on one device and “the cloud” knows whichever page I am As I read I can see popular highlights from other readers I can write the book as I tweet …

7. The Medium is the Message Massage “Clothing an extension of the skin” - Cloud “Clothing an extension of the skin” - Internet By deploying our infrastructure on Joyent, Gilt Groupe spends less than one percent of revenue on its total infrastructure investment. This is more than 70% better than the average company. I can order it online and have it delivered to my door in a day MIKE BRYZEK, Founder and CTOGILT Groupe

8. “The Internet” Is Not “The Cloud” The Victorian Internet by Tom Standage (1998) “In the Nineteenth Century there were no televisions, airplanes, computers, or spacecraft; nor were there antibiotics, credit cards, microwave ovens, compact discus, or mobile phones.  There was, however, an Internet.  During Queen Victoria’s reign, a new communications technology was developed that allowed people to communicate almost instantly across great distances, in effect shrinking the world faster and further than ever before.”

9. “The Internet” is the network for the cloud Two telephones can make only one connection Five can make 10 connections Twelve can make 66 connections. … N2

10. “Electric Circuitry, an extension of the central nervous system”

11. Moore’s Law and Ones Like It Moore’s law states that the number of transistors on a chip will double about every two years. Intel has kept that pace for over 40 years, providing more functions on a chip at significantly lower cost per function. Physical limits of atomic structures or power density could be reached by 2020.. 1965 , , , , 2020 … ftp://download.intel.com/museum/Moores_Law/Printed_Materials/Moores_Law_2pg.pdf

12. What used to be the computer is now the mobile device 1984 Apple, the computer company 2010 Apple, the mobile device company

13. Devices Overtake PCs in 2011 Smartphones and Tablets pass Desktops and Notebooks in 2011.

14. What used to be TV is now Mobile “Beachfront” Verizon won the most prized spectrum in the 2008 auction: the Upper 700 MHz C block. This particular slice of spectrum is valuable for two reasons: geography and bandwidth. Verizon Wireless’ deployment of LTE in the beachfront 700 MHz spectrum provides coverage and in-building penetration advantages over existing 3G technologies (and other 4G competitive implementations).

16. What used to be server is now data center “Joyent’s Jason Hoffman likes to talk about the data center being the new box. The analogy goes that, with more organizations hosting applications in the cloud and data volumes skyrocketing, the cloud data center takes the place of the on-premise server. And if the data center is the server, the cloud computing management software, atop which applications run, must be the new operating system. Much like there was Wintel (Windows-Intel) in the client-server world, Hoffman thinks there can be Joytel (Joyent-Intel) in the cloud world. I think he’s onto something.” http://gigaom.com/cloud/at-cloud-scale-data-centers-are-the-new-servers/ November 2010

17. The medium to study is Cloud Computing

18. Joyent, the cloud computing company

19. Three Cloud Computing Divisions Cloud Software Public Cloud 6 years operating a cloud www.joyentcloud.com Smart Data Center 6.0 www.joyent.com node.js Open Source Initiative (http://nodejs.org/) & Commercial Offering developer tools & hosting https://no.de professional services & license program http://www.joyent.com/services/node-js-services/

20. JoyentCloud.com: 6 Years Operating a Public Cloud targeting Gaming, Media and Social

21. Services are delivered through use of Internet Identifiers, Formats, and Protocols. Services are tracked with usage metrics to enable multiple payment models. Services share a pool of resources to build economies of scale. Services scale on-demand to add or remove resources as needed. Consumer concerns are abstracted from provider concerns through service interfaces 1 4 2 3 5 Internet Technologies Metered By Use Shared Scalable & Elastic Service Based Cloud Computing Defined Gartner defines cloud computing as "a style of computing where scalable and elastic IT-related capabilities are provided 'as a service' to external customers using Internet Technologies“. 5 Attributes that support outcomes http://www.gartner.com/it/page.jsp?id=1035013

22. 4 3 2 1 Metered By Use Shared Scalable & Elastic Service Based JoyentCloud.com • Wall Street JournalFebruary 15, 2011

23. Services are delivered through use of Internet Identifiers, Formats, and Protocols. 5 Internet Technologies SuperNAP + JoyentCloud.com

24. Gaming: Kabam Kabam is a leading developer of social games on Facebook, connecting millions of sports and TV fans through its extensive network of online fan communities, and has extended that social product expertise to create innovative and engaging social games. Social networking based games can be a real headache to scale from an infrastructure point of view. The Joyent Cloud has virtually eliminated this problem for us. JOHN HIGGINSDir. Web OperationsKabam Inc.

25. Socializing: LinkedIn With over a billion page views per month bumper sticker from LinkedIn is one of the largest Ruby applications on the web. It runs on SmartMachines in the Joyent Public Cloud. One engineer, one week, and a few Joyent SmartMachines later and bumper sticker was born. The bet was we’d get to a million users in 45 days, we got there in 46. Jim Meyer, Light Engineering at LinkedIn

26. JoyentCloud.com Services

27. Joyent.com: SmartDataCenter 6.0 Software for Service Providers

28. Market Disruption = Market Opportunity • Hardware Manufactures • Servers • Enterprise Storage • Networking Gear • Service Providers • Telecoms • Managed Service Providers • Data Center Operators System Integrators

29. Along with Dell DCS services and hardware, we chose to incorporate Joyent software because it provides a proven architecture for scaling Web applications. Hardware Manufacturers See It Coming When designing their Cloud Solution for Web Application, Dell chose Joyent Smart Technologies as their software because it provided unique value to enterprise developers building web apps. Forrest Norod General Manager for Servers at Dell

30. Sis See It Coming “to illustrate ... what kind of computational solutions will be required in the data center to power this new age of digital devices used on the Internet, look at Joyent. This is second generation cloud computing to suit the connected digital world.” (Andy Mulholland, Capgemini CTO)

31. Java SmartOS GNU Tool Chain SmartOS PHP SmartOS Rails SmartOS ISV Virtual Appliances KVM - Windows KVM - Linux Node.js Service Cloud Software For Service Providers SmartDataCenter 6 Complete Solution to Operate a Cloud IaaS, PaaS Virtual Machines Admin and Operations Portal Self Provisioning Portal Cloud Telemetry & Analytics Extensibility (APIs) Billing Existing Software Ecosystem Integrates w/ Routers, Switches SmartMachines - Container Based Virtual Machines SmartKernel - Cloud Engineered Kernel Programmable Hypervisor with Full Introspection x86 - Platform from Intel

32. Why did Joyent build its own Cloud OS?

33. Why does Apple build its own Chips? In the cellphone world, a chip is a chip. Most of them are ARM-based but there are a few outliers. Most importantly, however, each has a similar power profile. Therefore, by controlling the entire chip themselves, Apple can handle its own graphics, video, and audio output as well optimize for power control – a huge concern with devices like the iPhone.

34. Cloud Computing Optimized Performance = I/O Acceleration Hypervisor 01000011011011110110111001100111011100100110000101110100011101010110110001100001011101000110100101101111011011100111001100100001010000110110111101101110011001110111001001100001011101000111010101101100011000010111010001101001011011110110111001110011001000010100001101101111011011100110011101110010011000010111010001110101011011000110000101110100011010010110111101101110011100110010000101000011011011110110111001100111011100100110000101110100011101010110110001100001011101000110 01000011011011110110111001100111011100100110 No VCPU means 5× faster on CPU benchmarks Emulation of CPUs slows performance App App VCPU Emulation CPU CPU ARC Cache + I/O QOS means 14x faster on Disk IO benchmarks No Global Disk Caching means non-optimize Disk IO ARC Cache + I/O QOS 00100110 00100110 00100110 00100110 00100110 Disk Disk Can’t support web/mobile: Interactive, mobile, real-time, games, social, machine-to-machine apps. Supports web/mobile, data-intensive real-time apps. Note: Improving I/O, not CPU or memory, is the key to fast web apps.

35. Joyent’s Higher Performance Joyent vs. Amazon (EC2) 3xmore Database Requests per Sec 5× faster on CPU benchmarks 14× faster Disk I/O benchmarks 20× faster Word Press response For more details, read http://www.joyentcloud.com/resources/benchmarks/OR http://gigaom.com/cloud/is-features-vs-performance-the-new-cloud-battle-line/

36. Higher performance = higher margin In Q4 2010, the iPhone had 4.2% market share and took 51% of the profit http://tech.fortune.cnn.com/2011/01/31/apple-is-still-sucking-most-of-the-profit-out-of-the-mobile-phone-business/

37. http://www.datacenterknowledge.com/archives/2011/01/04/how-the-cloud-is-driving-profits-at-rackspace/http://www.datacenterknowledge.com/archives/2011/01/04/how-the-cloud-is-driving-profits-at-rackspace/ http://www.datacenterknowledge.com/archives/2011/01/04/how-the-cloud-is-driving-profits-at-rackspace/ Joyent’s Higher Margin 4× Revenue per sq ft (See graph) 7× EBITDA margin reported by Amazon (Forbes) Rackspace Joyent at Rackspace Pricing Joyent at Joyent Pricing

38. Better Analytics: Real Time Visualization

40. Joyent’s node.js

41. “Electric Circuitry, an extension of the central nervous system”

42. Joyent’s node.js Joyent’s Ryan Dahl Node.js Creator

48. The Medium to study is cloud computing.Good places to start your studies:www.JoyentCloud.comwww.Joyent.comhttps://no.denodejs.org

49. Thank you for your time Jonathan H. King jonathan@joyent.com #jhk24 Joyent, Inc. SVP Business Development (Books referenced reviewed on my personal blog www.jhking.com)