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2. 1) Introducing Amazon Web Services
2) Why are enterprises rapidly adopting cloud
3) What is Amazon Web Services?
4) What is unique about Amazon Web Services?
5) Success stories
6) Busting myths
[ Our Plan for Today ]
2
9. — No initial investment needed
— No termination fees
— No commitments
— Clear pricing model (on the website)
Pay for Infrastructure as you Need it, Not Up
[ Front ]
9
11. – AWS’ scale allows us to constantly reduce our costs
– Relentless focus on building efficiencies
– We are comfortable running a high volume, low margin
business
– We pass savings along to our customers in the form of
low prices
Lower variable expense than companies can
[ do for themselves ]
11
12. Reduced
Prices
Lower More
Infrastructure
Costs Customers
Economies
of Scale
{
More AWS
Usage
More
Infrastructure
[ Infrastructure innovation ]
12
13. Saved
$34M
{
Saved 10’s of
millions of $ with
Saved 40-50%
in opex; $1
SmartHub 12 apps on AWS million/annum
[ Customers have lowered costs with AWS ]
13
15. — Scale up and down in minutes
— No need to provision
— Optimize resources based on your needs
— Can easily manage unexpected peaks
[ You don’t need to guess capacity ]
15
16. Capacity
traditional
IT capacity
Time
Your IT needs
Usage Patterns:
[ Traditional IT ]
16
17. On and Off Fast Growth
Variable peaks Predictable peaks
Usage Patterns:
[ Traditional IT ]
17
18. On and Off WASTE Fast Growth
Poor
Variable peaks Service Predictable peaks
Usage Patterns:
[ Traditional IT ]
18
19. Capacity
traditional
IT capacity
Elastic
Time
CLOUD capacity
Your IT needs
Usage Patterns:
[ Cloud Computing ]
19
20. On and Off Fast Growth
Variable peaks Predictable peaks
Usage Patterns:
[ Cloud Computing ]
20
27. [Stop spending on undifferentiated heavy lifting
]
We take care of... So you don’t have to ….
Data Centers
Power Buy and install new hardware
Cooling
Networking Build or upgrade data center
Racks
Servers
Storage
Labor
27
30. – Reliable, scalable, low-cost infrastructure
– Every service offers APIs
– You can use only the components you need
– All the important “building blocks” are provided
[ What is Amazon Web Services? ]
30
31. Region GovCloud Region
[ Global AWS Infrastructure ]
31
33. Seattle South Bend New York (3) London (2)Amsterdam
Newark (2) Stockholm
Dublin
Palo Alto
Tokyo (2)
Hayward
San Jose
Paris
Frankfurt (2)
Ashburn(2)
Madrid Milan
(2)
Los Angeles (2) Jacksonville Osaka
Hong Kong
Dallas (2) (2)
St.Louis
Miami Singapore
(2)
Sao Paulo
Edge Locations Sydney
[ Global AWS Infrastructure ]
33
34. amazon
web services
[ The Amazon Web Services universe ]
34
35. Command Line
API
Web Console SDK
[ The Amazon Web Services universe ]
35
36. Cross
Service
Features
CloudWatch
Simple Notification Service IAM
Simple WorkFlow CloudFormation
Management +
Elastic BeanStalk Interface
[ The Amazon Web Services universe ]
36 (some services are omitted here)
37. Cross
Service
Features
Platform
Building
blocks
EMR
Redshift
SQS CloudFront Management +
DynamoDB Interface
RDS
SES CloudSearch
[ The Amazon Web Services universe ]
37 (some services are omitted here)
38. Cross
Service
Features
Platform
Building
blocks
Infrastructure
Building Management +
Blocks Interface
EC2
Virtual Private Cloud S3
Glacier EBS
[ The Amazon Web Services universe ]
38 (some services are omitted here)
39. Elastic Beanstalk
Cross Simple WorkFlow
Service CloudFormation
Features CloudWatch
IAM Command Line
Web Console
APIs
Platform SDK
Building RDS CloudSearch
blocks SES CloudFront SQS
EMR DynamoDB
Infrastructure
Building Management +
VPC EC2
Blocks EBS S3
Interface
[ The Amazon Web Services universe ]
39 (some services are omitted here)
42. — Cloud economics do not appeal to old guard companies
— Our DNA to run high volume and low margin business
— Need a different mindset to run low margin business:
keep pricing different and lower cost to innovate
[ Different ballgame from traditional IT ]
42
46. — Pay for servers “by the hour” (on-demand)
— Pay for storage “per gigabyte” per month
— Pay for data transfer “per gigabyte”
— Easy to turn resources on/off (running costs)
[ Pay only for what you use ]
46
54. — Using AWS since April 2010
— Hybrid environment (AWS + traditional IT)
— Dev/test is ready within Amazon VPC
— Business gains: agility, no capex and
optimizing resource utilization
[ Shell ]
54
55. — Ramco hosts its on-demand ERP solution on AWS
— Reduced its capex and opex by 40%
— Can easily serve global customers
— Multiple services, including
Cloudwatch
[ Ramco ERP On Cloud ]
55
57. — 26 million subscribers
— Netflix is ~25% of US Internet traffic
— They are ~100% on AWS
— Adrian Cockcroft, Cloud Architect:
http://www.slideshare.net/adrianco
[ Netflix.com ]
57
58. — Simple way to create videos with your pictures
— Facebook App: From 50 to 5,000 servers in 3 days
— Later optimization with Cluster GPU Instances (EC2)
— Freemium model
[ Animoto.com ]
58
59. Capacity
Peak of 5,000
EC2 instances
Launch of
Facebook App
Time
[ Animoto.com ]
59
61. — Processing of Cassini probe images (200,000+)
— All-Terrain Hex-Limbed Extra-Terrestrial Explorer robot
— Many other systems on AWS
[ NASA JPL ]
61
63. — Replay and analysis of the activity in the stock market
— Interface built with Adobe FLEX + AIR
— The infrastructure is purely Amazon S3
[ Nasdaq ]
63
65. — India's leading mobile and online games company
— Cricket T20 Fever on t20fever.com
— “AWS was ideal solution to meet the wild growth of IPL-
based games,” Vishal Gondal, CEO, Indiagames.
[ Indiagames ]
65
68. — Multiple regions / Availability zones
— Many companies achieve better performance on AWS
— Service Level Agreements
— Amazon S3’s Durability: 99.999999999%
[ 1. The cloud is not reliable ]
68
69. — Security is #1 priority for AWS
— Certifications: SOC1 type II audits, ISO 27001, PCI-DSS-1
— Amazon.com uses AWS technology
— Data privacy through encryption
— http://aws.amazon.com/security
[ 2. Security/privacy not adequate ]
69
70. — Scale and utilization are not the same
— Huge capEx
— No true elasticity
— Still need to manage the “undifferentiated heavy lifting”
[ 3. Same benefits on private cloud ]
70
72. — Create an AWS account
— Subscribe to services (EC2, S3...)
— Use the AWS Management Console to try them out
— Try out in the free tier
— No termination fees, no commitments
[ Getting started with AWS ]
72
But we are often asked the question: how did Amazon. Com the e-tailer get into cloud computing, which is a completely different ball game?....Well technology innovation has always driven the growth of amazon.com. Amazon is really good at providing an immense selection of products, and of shipping those products to customers efficiently. But behind that online capability lies years of experience in providing technical services to the business that ensures our online stores are secure, fast, always available and capable of meeting huge seasonal demand.After about a decade of building and running Amazon.com, which is one of the world’s largest e-commerce websites, Amazon realized that it had developed a core competence in operating highly scalable, highly reliable technology infrastructure. So the company embarked on a much broader mission of serving a new customer segment—developers and businesses—with a platform of web services they can use to build sophisticated, scalable applications.
Our technology platform has grown rapidly since we first launched in 2006, and today it is the underlying platform for businesses ranging from start-ups to small and medium companies to large enterprises and government agencies. We have hundreds of thousands of customers around the world in more than 190 countries leveraging our services. Our customer list boasts of some of the most recognized brands globally such as Samsung, Shell, Unilever, Hitachi and Netflix. We have many successful start-ups running on our systems including Dropbox and Pinterest, and more than 300 government agencies are using our services including NASA and the US Government Recovery Accountability and Transparency Board. We continue to grow our base of customers and deepen the engagement with our existing customers. One of the reasons why we have grown rapidly is because we work very closely with our customers and innovate rapidly based on customer feedback. We work very closely with our customers and this has given us insights into the huge momentum we see in the cloud adoption market today.
The first thing our customers say about cloud adoption is that it allows them to trade capital expenditure to variable expenditure. And this is a very powerful business proposition for most customers who either do not have enough capital or who may not want to tie their capital to technology infrastructure. This means that customers can divert investments to areas that are critical to businesses such as investing in marketing, hiring more resources, training existing employees, building relationships with partners and developing new products and solutions that can delight the customer.
In the cloud, there is no upfront investment, no contract or commitment. It is a pay-as-you-go model and you only pay for the resources you consume. What’s more, AWS offers different pricing models that enables business to choose the one that best meets with their business requirements.
And it’s not only that our customers are able to trade capex for a variable expenditure but our customers also tell us that they have been able to achieve a lower variable by using ourservices that what they would have been able to achieve on their own. Low Ongoing Cost: Reduce your overall IT costs
Now there is a reason for that and the reason is …our massive scale of operations!I will give you a few data points to prove this--If you look at Amazon the retailer back in the year 2003, Amazon the retailer was roughly a $5 billion revenue business with nearly 8,000 employees and obviously a lot of servers because Amazon was always a technology company. Today, in AWS, every single day we’re adding enough new server capacity to have handled all of Amazon globally when it was a $5 billion in 2003. Think about that – every single day now we’re adding enough new servers to have handled the $5 billion global business.We have customers such as Netflix and Nasdaq. Netflix runs almost 100 % on AWS and it is estimated to account for nearly one fourth of the US Internet traffic. And Netflix is only one of our 1000s of customers. We have lowered our prices 24 times since we launched in 2006. what’s important is that we have done this without any competitive pressure. We have been able to achieve this with our relentless focus on efficiencies.
In graphic terms, it translates to something like this. Your actual utilization is represented by the blue line while the provisioning is represented by the faint white line…
But what happens when you do that…you get a lot of waste—represented by the white shaded areas! But what’s worse is the scenario in the left hand corner represented by the green shaded areas. When you under provision resources and your infrastructure is unable to meet with your businesses requirements, it will result in poor services and unhappy customers—which can impact your reputation and brand. These can potentially have long term implications and this is not a scenario that we would want to be! Yet underlying all this is one big challenge-the unpredictability of provisioning your resources!
This is elasticity. Not only are you able to increase your capacity according to your needs, but also you are able to scale down the IT resources when your requirement is over. That’s brings a huge cost savings to your operational expenditure and that is a value proposition no business can afford to ignore!
The fourth thing we hear from our customers about cloud is that it is very quick and easy to deploy.
We have found in a study that was commissioned by us to IDC that the efficiency of IT increases 5 times while working in the AWS environment than when working in with their in-house alternatives.
What cloud adoption also does, is that it helps companies increase their innovation…
Now cloud also helps businesses to focus on their core competencies and create differentiation in their businesses…
Various studies have found that 70 percent of the IT department’s time is consumed with routine and boring tasks of manning the data centers leaving on 30 percent time to focus on innovation. But when you allow us to take over the task of managing the infrastructure which is same and undifferentiated for all companies, it allows your IT resources to focus on creating value for the business. You are able to flip the equation and allow your scare IT resources to spend 70% of their time to creating business value versus doing undifferentiated heavy lifting. So as we take care of the racking and stacking of servers, and the power and the cooling and the networking, your scare IT resources gets to work more closely with the business and create value by aligning internal deployments with unique business requirements and help business to achieve their goals.
Now, let’s switch gears and talk a little about what comprises the Amazon Web Services world…
Our pricing structure is very granular and aimed at helping you save operational costs if you monitor usage and turn off resources when your requirement goes down. Remember we only charge you for what you consume…
Now for some success stories…how have some of our customers leveraged our services to gain better efficiencies and their business goals…
For Amazon Web Services, security is always our top priority. Examining AWS cloud, you will see that the same security isolations are employed as would be found in a traditional data center. These include physical data center security, separation of the network, isolation of the server hardware, and isolation of storage. Amazon’s scale allows significantly more investment in security policing and countermeasures than almost any large company could afford themselves. AWS has achieved industry certifications for SOC 1 Type II audits; ISO 27001 and PCI-DSS Level 1.We have published a security white paper which you can refer for more details.