computenext presentation
TRANSCRIPT
Trends
• The evolution and adoption of cloud has been phenomenal
and it has created tremendous business opportunities but
also Chaos.
• As customers and service providers try to unravel this
phenomenon, and as commodization sets in, history shows
us that a broker model is inevitable.
• New business models are emerging that will change how
customers and providers participate in a brokerage model:
we call it the Federated Cloud Ecosystem.
Trends
Trends
Cloud Service Brokerage
According to NIST:
• A cloud broker is an entity that manages the use, performance and delivery
of cloud services, and negotiates relationships between Cloud Providers
and Cloud Consumers. The services provided are defined as
Intermediation, Aggregation and Arbitrage.
According to Gartner:
• A cloud services brokerage (CSB) plays an intermediary role in cloud
computing. CSBs make it easier for organizations to consume and maintain
cloud services, particularly when they span multiple providers.
As you can see there are multiple definitions of a cloud brokerage
but essentially the core theme is of an intermediary play.
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Find The Right:Cloud Provider
IaaS, PaaS, SaaS
Location, Price
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Federated Cloud Ecosystem
• The key to a sustainable cloud brokerage model is
implementing compelling use cases compared to traditional
brokerage models of buying and selling cloud resources.
• Federated Cloud Ecosystem (FCE) defines a model which
enables automated, real time provisioning and transaction.
An FCE is a cloud brokerage model that empowers:
• Choice
• Inventory
• Transparency
• The implementation of a transactional FCE model gives birth
to a true Cloud Marketplace.
PaaS Deployment Layer
How to find the best in breed?
Cloud PlatformsDisparity in APIs
Enterprise ‘Readiness’
Cross-Platform Hybrid Models
IaaS ProvidersNo one provider can satisfy global needs.
Disparity in APIs, Billing Models
Varied Performance, SLAs
Apps & SaaSMassive variety, how to
compare apples:apples?
Federated Cloud Ecosystem
Federated Cloud Marketplace
• A Federated Cloud Marketplace (FCM) is an FCE that promotes an independent cloud exchange.
• FCM will allow full management of workflows and a unified billing and payment system across all market participants.
• An FCM will also manage other barriers in cloud like:• Cross border transaction
• Legal
• Tax
• Compliance and regulatory
FCM – Workload Search
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FCM – Dashboard
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Business Model» ComputeNext operates as an agent or transparent cloud service
brokerage - not a reseller. We don’t do mark-ups, or tamper with
your brand.
» Relationship is noncommittal, non-binding, and non-exclusive of
other such channels and brokerage opportunities.
» ComputeNext’s fees are modeled on a royalty/referral basis and
accrue per transaction and are to be settled month-to-month.
» Commission: Tiered model ranging from at 15-30% of lifecycle
value (from allocation and provision of initial resource in workload to
termination)
Merchant of record» ComputeNext is owner of its end-users and programmatically
creates sub accounts on Seller side cloud services
» ComputeNext assumes risk and role of collection; and pays Seller its dues (compute and service usage less the calculated CN fees)
» Usage data captured and monthly reports generated for Seller
Partner& ComputeNext
Strategy & Aim:
Aggregate Supply: CN will procure cloud provider’s resource
configurations/product catalog to be offered on the marketplace; and allocate
defined spaces for partner to market, sell, differentiate/highlight USPs.
Generate Demand: CN will acquire users, which must register and verify in order
to search, discover and purchase cloud services and compute resources through
CN
Non-biased resource modeling and normalization used to describe workload usage and
trends, for future business intelligence and data use available to both parties.
Provide Seller with profile, product descriptions and highlight relevant cross-sell/up-sell
opportunities – implement feedback and change when possible as per executive level inputs.
Explore split cost co-promotion, cross-postings, social media, and case study/testimonials
• Allow ComputeNext to make calls to Seller’s cloud controller via API, creation of
sub-accounts and creation, modification of VMs.
No platform install or investment required.
• Recommended availability of 60 cores to start – and agree to an N+1 model for scalability of
cloud servers and cascading availability in case of maximum capacity being reached on
federated servers
• Pricing, pricing structures are to be determined by Seller. Changes will be promptly realized
on the marketplace as close to real-time in lieu of automated provider publishing
• Partner to supply ComputeNext with API endpoint (if not publically available)
i.e. - https://______.____.com/api/versions
• Partner to set up access credentials to their cloud controller (for example their vCloud
Director)
• Set up an account with ComputeNext as ‘Organization Admin’ or suitable account with
privileges to spin up “sub-accounts”
• Recommended Minimum Availability for ComputeNext –
(no required minimum, can leverage your excess capacity but should be n+1)
• 40-60 cores >> 60-90GB RAM >> 10 TB hard disk >> 20 IP address
Partner& ComputeNext
Integration
IncentivesOur objective is to demonstrate the opportunity available for selling cloud on a federated model, while fortifying a relationship with the first handful of adopters as we build traction in a rapidly developing cloud service brokerage sector.
By working together and incorporating feedback we aim to build the most superior marketplace experience, making sure we properly highlight cloud providers’ unique selling propositions enabling them to compete at the highest level possible.
Why have incentives been added for early adopters of a multi-cloud marketplace?
Offering DetailsMaximum
Duration
Advertising
Real Estate
As our redesign
rolls out, space will
be allocated for
advertising
7 months
Featured
Results
Similar to Google
searches, early
adopters will gain
extra visibility
8 Months
• Seller agrees to provide information about and access to service endpoints for the purpose of onboarding, integration, and API access.
• Seller agrees to allow CN to enable service and make calls during the onboarding process as needed, allowing for test usage during this Proof of Concept/On-boarding phase as well
• Seller agrees to provide a free and unremunerated license to process and reproduce product and service information for the purpose of exposing and advertising Seller’s compute resources to Buyers,
Co-Marketing / Co-Promotion• CN & Partner agree to provide a mutual non-exclusive, non-transferable, non-sub-licensable
license for use of each other’s logos on marketing materials and websites with the sole purpose of communicating each other’s participation in the federated marketplace.
• Seller agrees to match ComputeNext marketing spend on any campaign directly tied to raising awareness of the Seller’s participation in the federated marketplace.
Partner & ComputeNext
Usage
ComputeNext generates demand (marketing efforts and channel) brings customers into the marketplace.
Users must input billing information and Credit Card into the ComputeNext portal.
After verification by payment process Users are then able to search, select, use a Cloud Service Provider.
Users launch a Workload (Consisting of compute, storage, networking resources)
– and the ComputeNext billing mechanism is launched.
ComputeNext monitors customer’s workloads, charges their credit card on the billing anniversary (every 14 days) and collects the full value of resources used within that time frame.
ComputeNext supplies cloud provider with a full usage report at the end of the month. (every 30 days)
When the total monthly usage is calculated, minus the ComputeNext Fee (see Slide 3) the resulting sum is sent as Payment via check or ACH for that month’s usage to the Cloud Service Provider
Customer pays
ComputeNext
Customer
Usage Report sent to
Cloud Service Provider
Payment Sent to Cloud
Service Provider
123Cloud Confidential
ComputeNext Launches
Sub-Accounts to Cloud
Endpoint
Partner& ComputeNext
Procedure
Through 2014, cloud service brokerage (CSBs) will generate
more than $5 billion in sales - up from less than $50 million
this year - making it the fastest growing area of cloud computing.
By 2015, the CSB vendor landscape will have grown from dozens
to hundreds of providers - 20% of cloud servicesintermediated by CSBs
10 servers / 60VMs on a Federated
CSBPartner Revenue Opportunity
Partner Inventory Utilization Rates per Month
Price VMs Hours Revenue Opportunity
Category per hour Available per Month 100% 75% 50% 25%
Small 0.1 20 720 $ 1,440.00 $ 1,080.00 $ 720.00 $ 360.00
Medium 0.4 20 720 $ 5,760.00 $ 4,320.00 $ 2,880.00 $ 1,440.00
Large 0.56 20 720 $ 8,064.00 $ 6,048.00 $ 4,032.00 $ 2,016.00
Total $15,264 $11,448 $7,632 $3,816
Per Cloud Server $1,526 $1,144 $763 $382
Machines should be federated on an n+1 model, to ensure that the highest upside potential is achieved.
Let’s close a deal!
Marco van den Akker - Cloud Evangelist
e-mail: [email protected]
mobile : +31.643439268
twitter: @computenext
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