<Insert Picture Here>

Cloud Computing:Known Flavors

Lauren Farese, Sr. DirectorOracle Public Sector – State and Local GovernmentNASCIO Enterprise Architecture Committee, ITIL V3

The following is intended to outline our general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decisions.relied upon in making purchasing decisions.The development, release, and timing of any features or functionality described for Oracle’s products remain at the sole discretion of Oracle.

2© 2009 Oracle Corporation

I've looked at clouds from both sides now,From up and down, and still somehow

It's cloud illusions I recall.I really don't know clouds at all.

Joni Mitchell - Both Sides Now

Live,1970

Why Cloud ? Why Should You Care ?

• S&L Budget cuts forcing IT Consolidation

• Cloud Computing Is a NASCIO Priority [#4 2010]

• We are at the Peak of the Hype Cycle

“IT suppliers must position as leaders in IT cloud services or forfeit an ever-expanding portion of the industry’s growth” IDC

• Federal Government’s “Cloud First” policy

• By 2012, 44% of enterprises will be leveraging private cloud services

• Demand for new Web 2.0 services from citizens

IT-as-a-Service

Optimized IT Core

Service Group A Service Group B Service Group C

Integration Layer

A Sustainable IT Operating Model is theFoundation for Cloud Computing

FBT PAY GNTS

TRDS

Client

Customs

RREIPS Integrated A/C

Refunds

RBADef

PaymentsExcise

CR

PKI

ECI ADD AWA ELS

Client StaffRemoteStaff

TAXAGENTS

GCI

Call Centres

WOC

CCD

TASS

StaffPhone

ComplianceStaff

BOA

Refmaterial

Bus. Intel

NTS A/c

BEP

CDCCCWMS

BANK

DDDR

1

Data…….

Penalty

Business

IVR

1

FBT PAY GNTS

TRDS

Client

Customs

RREIPS Integrated A/C

Refunds

RBADef

PaymentsExcise

CR

PKI

ECI ADD AWA ELS

Client StaffRemoteStaff

TAXAGENTS

GCI

Call Centres

WOC

CCD

TASS

StaffPhone

ComplianceStaff

BOA

Refmaterial

Bus. Intel

NTS A/c

BEP

CDCCCWMS

BANK

DDDR

1

Data…….

Penalty

Business

IVR

1

Complexity

Transitional

Security

SFAProduct LMSInv

MGMTB2Bproduct SCM product DBERP

MES-Dev

SFASFA-Test

SFA-Stage

Product

Product

ERP-Stage

ERP-Prod

MES-Stage

MES-Prod

productDB-Stage B2B-

StageB2B-Dev

Security Security Security

Pt. to Pt. Integrations

SFAProduct LMSInv MGMT

product SCM product DBERPMES-DevProduct ERP-

Stage

productDB-Stage

Service Group A

Data Grid Data GridData Grid

Service Group B Service Group C

Security Layer

Application Grid Application Grid Application Grid

NIST Definition of 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:

Source: NIST Definition of Cloud Computing v15

3 Service Models

• SaaS• PaaS• IaaS

4 Deployment Models

• Public Cloud• Private Cloud• Community Cloud• Hybrid Cloud

5 Essential Characteristics

• On-demand self-service• Broad network access• Resource pooling• Rapid elasticity• Measured service

Application(SaaS – CRM, HRMS)

Oracle On Demand

Salesforce.com

Built by Cloud

Customer

ProvidedPlatform

Cloud Service Models

Providedby Cloud

Platform(PaaS – Database, Middleware, Content)

Google AppEngine, Amazon RDS

Infrastructure(IaaS - Network, OS, Storage, Servers)

Amazon EC2

Private Clouds and Public Clouds

Private Cloud

INTERNET

Public Clouds

INTRANET

PaaS

SaaS

IaaS

PaaS

SaaS

IaaS

• Used by multiple tenants on a shared basis

• Hosted and managed by cloud service provider

• Exclusively used by a single organization

• Controlled and managed byin-house IT

Lower upfront costs

Outsourced management

OpEx

Lower total costs

Greater control over security, compliance, QoS

CapEx & OpEx

Trade-offs

Enterprises will adopt a mix of private and public clouds

Enterprise Evolution To CloudNIST Deployment Models

Private Cloud Evolution

Public Cloud Evolution PaaS

SaaS

IaaS

Public Clouds

App1 App2 App3

Virtual Private Cloud

Hybrid

PaaS

SaaS

IaaS

App2 App3App1App1 App2 App3

Hybrid

• Federation with public clouds

• Interoperability

• Cloud bursting

App1 App2 App3

Private IaaS

Private PaaS

Private Cloud

• Self-service

• Policy-based resource mgmt

• Chargeback

• Capacity planning

App2 App3

Private IaaS

Private PaaS

App1

Silo’d Grid

• Physical

• Dedicated

• Static

• Heterogeneous

• Virtual

• Shared services

• Dynamic

• Standardized appliances

App1 App2 App3

App1 App2 App3

Private IaaS

Private PaaS

Oracle Cloud Computing Strategy

Private Clouds

PaaS

SaaSINTE

Public Clouds

PaaS

SaaS INTR PaaSPaaS

SaaSSaaS

Oracle Applications Oracle Applications OnDemand

IaaS

PaaSERNET

Users

IaaS

PaaS RANET

IaaS

PaaS

IaaS

PaaS

Oracle Technology for CloudsOracle Technology for Clouds

Public Cloud – Full Stack support on Amazon

• Fully certified and supported:

- Oracle VM

- Oracle Linux

- Oracle Database

- Oracle Fusion Middleware

- Oracle Applications

• E-Business Suite

• PeopleSoft

• Siebel

• Use existing Oracle licenses

• Oracle Unbreakable Linux Support and Amazon Premium Support

• Amazon Machine Images (AMIs) based on Oracle VM Templates

© 2010 Oracle Corporation

Cloud Service AdoptionSecurity Continues to be the #1 Concern

It could actually be a benefit…..

Source: www.networkcomputing.com / IDC Survey: Risk In The Cloud, June 16, 2010

“So if you flip that apprehension on its head, there may be benefits in leveraging a cloud offering with the [security] focus and core competence that a cloud provider brings to the table.”

-Michael Pearl, PricewaterhouseCoopers

Copyright ©2011, Oracle. All rights reserved.

Private Cloud Momentum

“Cloud computing projects are still at an early stage at most companies, if they are happening at all. However, the overwhelming majority of IT executives have at least

Source: CIO Insights Q2 2010 http://internet.ziffdavisenterprise.com/CIOI_Downloads/CIOI_2010_Q2_CloudRsrch.pdf

IT executives have at least begun evaluating the benefits of cloud technology, with much of their focus on private clouds.”

Copyright ©2011, Oracle. All rights reserved.

Cloud – Current Trends

Data Center Consolidation is the new Private Cloud

• Server Consolidation - virtualization

• Service Consolidation – email, security, database as a Service

What are customers looking for?

• Standard/Integrated Hardware-Software solutions

• Improve manageability

• Improved security • Improved security

.

NASCIO Draft - Cloud Deployment for Government

What are the Deployment Models? General Services Administration (GSA) Info.Apps.gov. Retrieved on March 3, 2011, from

http://www.info.apps.gov/content/what-are-deployment-models.

GSA $2.5B Cloud Computing Procurement

• Federal Cloud Computing Initiative (FCCI)- Common infrastructure, Shared services

• Key areas- Email

- Office automation- Office automation

- Electronic Records management

• Choice of models- Government Community cloud

- Provider furnished equipment private cloud

- Secret enclave

- Public cloud

• Increase agility – 2yr term

Michigan Cloud (MiCloud)IaaS

• State of Michigan Agencies- Will open up to local entities and schools

• What they did- Self Service Infrastructure provisioning

- No commercial software

- Custom front end (control)

- 7 PowerShell scripts (flexible backend - open)- 7 PowerShell scripts (flexible backend - open)

- Took provisioning from 1 week to 6 minutes

- Can open to Hybrid cloud if needed

- “Try it out” approach – saves time and money

• Cost- $118K in personnel hours

- Payback in less than 6 months

State Data Center (NM, UT)PaaS (Database as a Service - Goals and Anticipated Benefits)

• Standardize- Provisioning

- Management and monitoring

- Backup and recovery (BUR)

- Cost recoupment

• Resource Efficiency• Resource Efficiency- More efficient use of storage

- Easier network management (firewall rules)

• Increase Quality- Rapid environment provisioning

- Efficient use of development/test environments

- Bolster capability to enforce security policies

NC Education CloudSaaS

• NC Department of Public Instruction (DPI) and Local Education Agencies (LEA)- Common infrastructure, Shared services

- Move infrastructure out of LEA closets

• Key areas- Student information

- Back Office – Financial/HR- Back Office – Financial/HR

- Content Management

- Web Collaborative

- Learning management

- Identity Management

• Hybrid Model- Multiple RFPs by application

Some other State Examples

• New Jersey Transit Authority- CRM (SaaS – Salesforce.com)

• Response time dropped by 35%, productivity increased by 31%

• State of Connecticut- ERP (PeopleSoft Private cloud)

• Financials and HR to all state agencies

• Standardized shared service• Standardized shared service

• GIS Cloud (WSCA)- GIS data takes lots of storage

- Multi-state effort to share costs (CO,UT,MT,OR)

• Washington State Digital Archives- Multi-state preservation project

- Now funding a bigger cloud

Some References

• “Cloud Computing and Government : Background, Benefits,Risks” – George I. Nikolov

• “The Cloud At Your Service” – Jothy Rosenberg, Arthur Mateos

• http://collaborate.nist.gov/twiki-cloud-computing/bin/view/CloudComputing/Documents

• http://www.michigan.gov/documents/itstrategicplan/Appendix_K_Mi_Cloud_327701_7.pdf

• “Cloud Computing Explained” – John Rhoton• “Cloud Computing Explained” – John Rhoton

• NASCIO.org – new whitepaper(s) coming!• “Cloud Computing Bible” – Barrie Sosinsky

• http://www.gsa.gov/portal/category/100671

© 2009 Oracle Corporation 21

oracle.com/cloud

22© 2009 Oracle Corporation

oracle.com/cloud