- CLOUD WARE -

THE FINANCIAL AND PRODUCTIVITY BENEFITS OF MOVING RESOURCES FROM PRIVATELY OWNED COMPUTERS TO THE CLOUD

Ajay Rathi, DAMAC Holding Co. LLC

Agenda

• Evolution • What is Cloud Computing ?• Why Cloud Computing ?• In house Vs Cloud• Future of Cloud !• Major providers• Market Predictions

Typical Business Organization

Evolution towards cloud

1980-1990

1990-2000

2000-2010

2010-…..

Inhouse Outsourced Cloud

?

What is cloud computing?

• over 41 % of senior IT professionals are not very clear • 3/4th of finance professionals are confused

Verisonone Study

Is it old wine in new bottle???Is it a Fad ???

Will it be the driving force for the new economic (r)evolution ???

So Cloud Computing is …..

CRMCall

CenterEmail

Infrastructure as Service

Platform as Service

Software as Service

Ready to use

Scalabilit

y

Risk

Reliability

Cloud is !!!!!!

Cost

Why Cloud Computing ?

IT requirements to meet Unlimited Business Expectations

• High Availability• Fault Tolerance• State of art• Sophisticated Technology• High Security• Latest Infrastructure• Highly Skilled Manpower• Multi Platform

Limited Budget

Challenges of In-House implementation

• High capex• Low facility utilization ( 50 to 55%)• High depreciation (40-45%)• Power and Cooling cost, • Real estate cost• 30% hardware obsolesce• Multi platform management • Application licensing• Backup and restore• Highly skilled manpower• Patching of OS, Antivirus patching, firewall upgrades

Cloud Brings

• Economics - Pay only for the required service• Better Availability• Scalability and Elasticity - • Ubiquitous Access • Self Provisioning• Metering• Zero IT Maintenance.• Multi platform, multi application and multi vendor support

Cloud computing turns Capex to Opex

18+% Annual Maintenance Fee

Upfront License Fees

Customer Bears All IT Costs & Risk

18 – 24 Month Release Cycles

Customer Bears All Upgrade Costs & Risk

“Ship and Forget” Vendor Accountable

Vendor Handles

Monthly Innovation

Vendor’s Problem

Included

Pay for what you use

In house Infrastructure Cloud Infrastructure

Future of cloud in 2010 and beyond…

• Cloud developer communities will grow faster than open-source• Cloud providers tackle lock-in• Cloud integrators will get an enterprise to show off..• Cloud computing consolidates• The real innovation will be in the business of cloud computing, not

the technology. • Cloud infrastructure commoditize, and prices fall• Home sourcing becomes mainstream• A new wave of entrepreneurship emerges • The days of multi-million dollar enterprise software projects

dwindle.• Cloud computing penetrates all areas of business management

• Business Productivity Online Suite

• Google APPs Market Place

• Amazon Elastic Compute Cloud

• The leader in customer relationship management (CRM) & cloud computing

• Deploy oracle application and back up DB in cloud

Major Players on cloud and increasing….

Amazon EC2, Rackspace, Vmware V cloud

Process

Application

Platform

Infrastructure

SAP ERP, Oracle CRM, IBM Lotus Notes

Salesforce.com, Workday,Net suite ,MS BPOS

Force.com, Windows Azure,Google App Engine

BPO offerings from Accenture, IBM

PayPal, ADP Employ ease, Amex - Concur

Microsoft Windows/.NET, Linux/Solaris/J2EE

IBM / HP Blade Center, Sun Fire X4100

Enterprise IT Stack Comparison

Privately owned On cloud

Who should move to cloud

• The processes, applications, and data are largely independent.

• The points of integration are well defined.

• A lower level of security will work just fine.

• The core internal enterprise architecture is healthy.

• The Web is the desired platform.

• Cost is an issue.

• The applications are new.

GARTNER PREDICTION• By 2012, 20 percent of businesses will own no IT assets • By 2012, India-centric IT services companies will represent 20

percent of the leading cloud aggregators in the market (through cloud service offerings)

Weaknesses are fading ………….

Thank You

Questions Please

Ajay Rathi