|By Lucas Roh||
|June 19, 2011 03:00 PM EDT||
A recent survey from the International Association of Outsourcing Professionals (IAOP) found two-thirds of outsourcing customers currently do utilize or have plans to implement cloud computing solutions. Eighty percent of those surveyed indicated their organization intended to deploy more outsourcing services in the next year.
In a recent Forrester report titled "Sizing the Cloud," it estimates a move from $40.7 billion spent on the global market for cloud computing in 2011 to more than $241 billion in 2020. The public cloud, which is under considerable scrutiny for security risks, will account for more than 66 percent of the total in 2020.
For many enterprises, moving data and applications is really a question of "when" instead of "if." The cloud is a sea change in business, and is moving well beyond a fad stage. Security breaches and large-scale outages might prove to be hiccups in cloud adoption rates, but the cost savings and increased flexibility will win out long term. Addressing the concerns about the cloud will allow you to see the benefits more clearly, and promote an informed decision in selecting a provider.
Time and Money
When IT managers are asked by senior executives why they should move their mission-critical data or applications to the cloud, the answer shouldn't be "because everyone is doing it." If IT comes back with a compelling list of reasons that increase efficiency and revenue while also costing less, then they have a compelling case.
As with most things in business and life, it all comes down to time and money. Spending less money and also freeing up time to earn more money efficiently. The simplest benefit for the cloud is the lower total cost of ownership. Moving to the cloud means less physical hardware purchases or upgrades. An enterprise with an on-premise server setup simply cannot compete with a multi-tenant cloud provider. You can't defeat economies of scale. Electricity bills are lowered as there are no longer server rooms that require optimal temperatures to function, and you don't need to operate all of the related equipment. Servers don't need to be frequently upgraded or repaired. In the cloud, the provider fixes the problems and ensures the platform is built with modern components and is working properly.
"Scalability" is another benefit tossed around so much that it almost loses its true meaning. It really means adaptability, where the cloud solution adjusts to user demand, which translates directly into cost efficiency and avoids overcapacity. If your company's product goes viral and daily demand increases ten-fold, cloud-based solutions can be quickly ramped up to handle the demand without the risk of not fulfilling orders.
For some enterprises that move large amounts of their data and application requirements to the cloud, some reductions in IT staffing may naturally follow. If staff reductions are not forthcoming, it's important to frame a move to the cloud not as simply the removal of an obstacle that will allow the staff to work more efficiently. For enterprises where the IT staff are already overworked and only a fraction of requests are handled, moving to the cloud can free up time for more mission-critical tasks. Perhaps now that new back office functionality can be completed or a sales team can be better trained on using the latest business intelligence suite.
For many enterprises, using the cloud initially for replication and disaster recovery efforts is a way to dip their technology toes into the water. Companies that want to hold on to the control of on-premises data centers can still benefit from the cloud's safeguards by trusting it with data backups. As competition rises and costs continue to fall for cloud-related services, disaster recovery efforts will become more and more cost effective.
With the recent Amazon Web Services and PlayStation Network security breaches, many enterprises are understandably worried about the security measures of various cloud providers. Change will consistently be met with hesitation, and when it comes to moving critical data to the cloud, some concern is warranted.
IT management has considerable concerns about giving up governance of corporate data. However, the management and security of this data is still the responsibility of the enterprise, creating a scenario where doing nothing can be perceived as the proper course. In order to move forward with progress, IT will need the right cloud provider that can allay the governance concerns and provide assurances to data safety.
Data breaches of private information or sensitive intellectual property can have a ruinous effect. Regulatory compliance adds another wrinkle, especially for global firms, where strict rules about the "location" of data conflict with many cloud providers lack of transparency. If your company is based in the U.S., but the data is technically residing in the United Kingdom, which privacy laws do you need to follow?
The lack of transparency in regards to outage or breach notification is another often voiced concern. IT managers want to learn about breaches immediately from the provider, not hours later from the blogosphere. IT wants the service provider to go on auto-pilot in the face of disaster, and to follow documented call-out and escalation procedures. Concern about breaches and outages is certainly justified, and in-house IT should have a direct hand in reviewing the cloud provider's processes and track record in handling problems.
Diving into the Cloud
For larger enterprises with multiple applications and massive data sets, it pays to start small in the cloud. There is no rule saying it's an all or nothing choice. Instead of moving applications that need to be fast down to the millisecond, consider setting up some back-office applications to test out the cloud provider's performance and security. While a piecemeal approach might result in higher initial costs, it does provide you with a testing environment where you can perhaps introduce failures to check the provider's systems. If the solution provider can't handle routine non-critical tasks, they can't be trusted with personally identifiable customer data.
Look ahead to your growth rate as well and consider your likely data and application needs. If you have confidence in a growing business, your related systems will need to handle that movement without interruption. Few things derail a growing firm's chances faster than outages due to unexpected data or application demand. With a cloud solution in place, spikes in demand can be transformed from an issue to be feared to a welcome sight that heralds new milestones for the business.
Finding That Trusted Partner
The barriers to entry for the cloud are quite low, with new companies entering the space or established companies launching cloud divisions by the minute. Many vendors dive into this arena without sufficiently trained staff or the right technology expertise. They might not understand the regulations surrounding PII or have the right controls in place to protect from breaches.
To properly screen your solution providers, you need to ask them to be upfront with their protocols for data security and also pricing. Demand visibility. As the industry matures, customers who only accept transparency and don't tolerate confusing service agreements or evasive answers will help weed out the poorly run cloud outfits.
While moving to the cloud often takes some responsibility away from internal IT staff, you still need them involved in the process from the beginning. Ask your IT security staff to carefully review the cloud providers security and network procedures and to raise any red flags. Use their knowledge to poke holes in the provider's system and call out any outlandish claims about security or uptime.
Another key consideration is to look at any other SaaS providers that are interrelated with your chosen vendor. Every organization that has access to your data needs to follow set standards to be sure you don't have security holes for your data management. This chain of outsourcers can reach three or four levels removed from your company, so you need assurances from the cloud provider that these company's data standards are sufficient.
Outsourcers should be able to provide you with clear password creation and management standards that will help prevent password hijacking. Especially for multi-tenant cloud environments, the vendor needs to have controls in place to keep your data separate from other tenants.
For localized outages where there are hardware failures, how does the vendor handle such problems? Will they fix it within the hour, or within 24 hours? The best vendors will have extra hardware equipment on hand to proactively handle failures.
Finding the right vendor will allow the enterprise to experience lowered costs and operational flexibility so they can reach greater heights that would not be attainable with on-premise solutions.
@ThingsExpo has been named the Top 5 Most Influential M2M Brand by Onalytica in the ‘Machine to Machine: Top 100 Influencers and Brands.' Onalytica analyzed the online debate on M2M by looking at over 85,000 tweets to provide the most influential individuals and brands that drive the discussion. According to Onalytica the "analysis showed a very engaged community with a lot of interactive tweets. The M2M discussion seems to be more fragmented and driven by some of the major brands present in the...
Oct. 28, 2016 09:15 AM EDT Reads: 11,621
In his general session at 19th Cloud Expo, Manish Dixit, VP of Product and Engineering at Dice, will discuss how Dice leverages data insights and tools to help both tech professionals and recruiters better understand how skills relate to each other and which skills are in high demand using interactive visualizations and salary indicator tools to maximize earning potential. Manish Dixit is VP of Product and Engineering at Dice. As the leader of the Product, Engineering and Data Sciences team a...
Oct. 28, 2016 08:00 AM EDT Reads: 914
Personalization has long been the holy grail of marketing. Simply stated, communicate the most relevant offer to the right person and you will increase sales. To achieve this, you must understand the individual. Consequently, digital marketers developed many ways to gather and leverage customer information to deliver targeted experiences. In his session at @ThingsExpo, Lou Casal, Founder and Principal Consultant at Practicala, discussed how the Internet of Things (IoT) has accelerated our abil...
Oct. 28, 2016 08:00 AM EDT Reads: 3,522
19th Cloud Expo, taking place November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy. Meanwhile, 94% of enterpri...
Oct. 28, 2016 08:00 AM EDT Reads: 5,089
You have great SaaS business app ideas. You want to turn your idea quickly into a functional and engaging proof of concept. You need to be able to modify it to meet customers' needs, and you need to deliver a complete and secure SaaS application. How could you achieve all the above and yet avoid unforeseen IT requirements that add unnecessary cost and complexity? You also want your app to be responsive in any device at any time. In his session at 19th Cloud Expo, Mark Allen, General Manager of...
Oct. 28, 2016 07:15 AM EDT Reads: 1,119
SYS-CON Events announced today that Streamlyzer will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Streamlyzer is a powerful analytics for video streaming service that enables video streaming providers to monitor and analyze QoE (Quality-of-Experience) from end-user devices in real time.
Oct. 28, 2016 07:15 AM EDT Reads: 1,119
Established in 1998, Calsoft is a leading software product engineering Services Company specializing in Storage, Networking, Virtualization and Cloud business verticals. Calsoft provides End-to-End Product Development, Quality Assurance Sustenance, Solution Engineering and Professional Services expertise to assist customers in achieving their product development and business goals. The company's deep domain knowledge of Storage, Virtualization, Networking and Cloud verticals helps in delivering ...
Oct. 28, 2016 07:00 AM EDT Reads: 1,172
Intelligent machines are here. Robots, self-driving cars, drones, bots and many IoT devices are becoming smarter with Machine Learning. In her session at @ThingsExpo, Sudha Jamthe, CEO of IoTDisruptions.com, will discuss the next wave of business disruption at the junction of IoT and AI, impacting many industries and set to change our lives, work and world as we know it.
Oct. 28, 2016 07:00 AM EDT Reads: 594
SYS-CON Events announced today that 910Telecom will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Housed in the classic Denver Gas & Electric Building, 910 15th St., 910Telecom is a carrier-neutral telecom hotel located in the heart of Denver. Adjacent to CenturyLink, AT&T, and Denver Main, 910Telecom offers connectivity to all major carriers, Internet service providers, Internet backbones and ...
Oct. 28, 2016 07:00 AM EDT Reads: 3,770
The IoT industry is now at a crossroads, between the fast-paced innovation of technologies and the pending mass adoption by global enterprises. The complexity of combining rapidly evolving technologies and the need to establish practices for market acceleration pose a strong challenge to global enterprises as well as IoT vendors. In his session at @ThingsExpo, Clark Smith, senior product manager for Numerex, will discuss how Numerex, as an experienced, established IoT provider, has embraced a ...
Oct. 28, 2016 06:45 AM EDT Reads: 1,269
Cloud based infrastructure deployment is becoming more and more appealing to customers, from Fortune 500 companies to SMEs due to its pay-as-you-go model. Enterprise storage vendors are able to reach out to these customers by integrating in cloud based deployments; this needs adaptability and interoperability of the products confirming to cloud standards such as OpenStack, CloudStack, or Azure. As compared to off the shelf commodity storage, enterprise storages by its reliability, high-availabil...
Oct. 28, 2016 06:15 AM EDT Reads: 1,310
DevOps is being widely accepted (if not fully adopted) as essential in enterprise IT. But as Enterprise DevOps gains maturity, expands scope, and increases velocity, the need for data-driven decisions across teams becomes more acute. DevOps teams in any modern business must wrangle the ‘digital exhaust’ from the delivery toolchain, "pervasive" and "cognitive" computing, APIs and services, mobile devices and applications, the Internet of Things, and now even blockchain. In this power panel at @...
Oct. 28, 2016 06:00 AM EDT Reads: 2,200
The Quantified Economy represents the total global addressable market (TAM) for IoT that, according to a recent IDC report, will grow to an unprecedented $1.3 trillion by 2019. With this the third wave of the Internet-global proliferation of connected devices, appliances and sensors is poised to take off in 2016. In his session at @ThingsExpo, David McLauchlan, CEO and co-founder of Buddy Platform, discussed how the ability to access and analyze the massive volume of streaming data from millio...
Oct. 28, 2016 05:00 AM EDT Reads: 3,202
In the next forty months – just over three years – businesses will undergo extraordinary changes. The exponential growth of digitization and machine learning will see a step function change in how businesses create value, satisfy customers, and outperform their competition. In the next forty months companies will take the actions that will see them get to the next level of the game called Capitalism. Or they won’t – game over. The winners of today and tomorrow think differently, follow different...
Oct. 28, 2016 04:15 AM EDT Reads: 1,166
“Media Sponsor” of SYS-CON's 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. CloudBerry Backup is a leading cross-platform cloud backup and disaster recovery solution integrated with major public cloud services, such as Amazon Web Services, Microsoft Azure and Google Cloud Platform.
Oct. 28, 2016 04:15 AM EDT Reads: 1,566
According to Forrester Research, every business will become either a digital predator or digital prey by 2020. To avoid demise, organizations must rapidly create new sources of value in their end-to-end customer experiences. True digital predators also must break down information and process silos and extend digital transformation initiatives to empower employees with the digital resources needed to win, serve, and retain customers.
Oct. 28, 2016 02:45 AM EDT Reads: 1,799
SYS-CON Events announced today that SoftNet Solutions will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. SoftNet Solutions specializes in Enterprise Solutions for Hadoop and Big Data. It offers customers the most open, robust, and value-conscious portfolio of solutions, services, and tools for the shortest route to success with Big Data. The unique differentiator is the ability to architect and ...
Oct. 28, 2016 02:30 AM EDT Reads: 1,201
You think you know what’s in your data. But do you? Most organizations are now aware of the business intelligence represented by their data. Data science stands to take this to a level you never thought of – literally. The techniques of data science, when used with the capabilities of Big Data technologies, can make connections you had not yet imagined, helping you discover new insights and ask new questions of your data. In his session at @ThingsExpo, Sarbjit Sarkaria, data science team lead ...
Oct. 28, 2016 02:00 AM EDT Reads: 4,401
A completely new computing platform is on the horizon. They’re called Microservers by some, ARM Servers by others, and sometimes even ARM-based Servers. No matter what you call them, Microservers will have a huge impact on the data center and on server computing in general. Although few people are familiar with Microservers today, their impact will be felt very soon. This is a new category of computing platform that is available today and is predicted to have triple-digit growth rates for some ...
Oct. 28, 2016 02:00 AM EDT Reads: 34,378
In past @ThingsExpo presentations, Joseph di Paolantonio has explored how various Internet of Things (IoT) and data management and analytics (DMA) solution spaces will come together as sensor analytics ecosystems. This year, in his session at @ThingsExpo, Joseph di Paolantonio from DataArchon, will be adding the numerous Transportation areas, from autonomous vehicles to “Uber for containers.” While IoT data in any one area of Transportation will have a huge impact in that area, combining sensor...
Oct. 28, 2016 01:00 AM EDT Reads: 1,220