SESSION 8 - Cloud Computing - The business perspective Flashcards
Whats the article about?
- cloud computing represents fundamental change in way IT services are invented, developed, deployed, scaled, updated, maintained, paid for
- computing represents paradox: 1) computing power nowadays considered as commodity as per-unit costs decreases 2) computing becomes more pervasive within orga – more expensive than ever
- promise of cloud computing: deliver all functionality of existing IT services while dramatically reducing all upfront costs of computing
What are the key advantages of cloud computing?
1) lowers cost of entry for smaller firms trying to benefit from compute-intensive business analytics + opportunity for third-world countries
2) almost immediate access to hardware resources with no upfront capital: leading to faster time to market in many businesses + adaptive infrastructure able to be shared by many users
3) can lower IT barriers to innovation
4) makes it easier for enterprises to scale their services: according to client demand
5) makes possible new classes of applications + delivers services that were not possible before: (a) mobile interactive apps that are location-, environment-, context-aware & respond to real time info (eg weather app) (b) parallel batch processing – allows to take huge amounts of processing power to analyse data for small period of time (c) business analytics that can use vast amount
What are the three tchnological concepts shaping cloud computing?
Virtualisation: technology that hides the physical characteristics of computing platforms from users, instead presenting an abstract computing platform; can be configured on demand, maintained & replicated very easily
Multitenancy: concept in which single instance of an application software serves multiple clients
Web Service: software system designed to support interoperable machine-to-machine interaction over a network; help standardise interfaces between applications, making it easier for software client (web browser) to access server applications over a network
What are the three delivery models of cloud computing?
Software as a Service (SaaS): application runs on the cloud, eliminating need to install and run application on client computer – enterprise-level apps (Salesforce, Netsuite, Googleapps) + personal applications (Gmail, Facebook, Twitter)
Platform as a Service (PaaS): facilitates development and deployment of applications without cost & complexity of buying and managing the underlying hardware and software layers (eg Google App engine, Amazon’s Relational Database Services)
Infrastructure as a Service (IaaS): storage and compute capabilities are offered as service (Amazon’s S3 storage service)
What are the deployment models within organisations?
Public cloud: available from third party service provider via internet; cost-effective way to deploy IT solutions; often used by small/medium sized businesses (Google Apps)
Private cloud: offers many benefits same as public (elastic, service based) but is managed within orga; greater control over cloud infrastructure; suitable for larger installations
Community cloud: controlled and used by group of organisations with shared interests (eg security requirements or common mission)
Hybrid cloud: combination of public & private cloud – non-critical info is outsourced to public cloud, while business-critical services and data are kept within control of organisation
Who are the stakeholders in cloud computing?
6.1 CONSUMERS
* consumers are subscribers – purchase use of system from providers on operational expense basis
* corporate users of cloud computing have active role in ensuring that cloud computing fulfils promise of revolutionising corporate computing by liaising with industry groups & regulators
6.2 PROVIDERS
* providers will perform maintenance and upgrades on system + pricing
* providers have different competencies around different components (software, platform, infrastructure) that make up the cloud computing service
6.3 ENABLERS
Enablers: those organisations that sell products and services that facilitate the delivery, adoption & use of cloud computing
* are expected to build infrastructure for a hybrid system + provide monitoring software, platform migration software etc
Whats the role of regulation in cloud computing?
- the success of cloud computing will depend to large extent on how regulatory bodies (international and national) design laws to regulate it
- developing countries are at advantage: no existing computing infrastructure
- country privacy laws: companies are handing data to 3LP providers who store and process data in cloud anywhere in world – to which country’s privacy laws would be followed+ EU laws most strinct
- attention to contracts – rights and obligations: related to notifications of breaches in security, data transfers, creation of derivative works, change of control, access to data by law enforcement entities
- need for an international regulatory body. With roles 1) formulating cross-border issues 2) consulting individual governments in formulating own cloud-related laws
- needed regulation for monitoring & traceability of incidents
- government intervention at huge data centres: to ensure that sites are physically secure from terrorist attacks
What are recommendations for business professionals?
- not all applications are ripe for moving to cloud
- cloud computing more profitable for SMEs
- large enterprises have more advantages from traditional computing operations: can still benefit from core technological compenents of cloud
- importance of cloud computing will be measured not only in terms of cost savings but in terms of competitive advantage that it delivers
- best opportunities for cloud computing service
- cloud computing providers need to set standards that promote interoperatibility
Whats the conclusion of the article?
- general roadmap for cloud computing is still unclear but cloud computing will stay
- prediction of its future is difficult: especially due to fluid and uncertain environment that surrounds it
