1. Fernando Sousa IBM ITSM Cross Sectors Portugal Cloud Computing Descending from the Clouds: From Hype to Reality

2. Agenda IBM Smarter Planet Cloud Computing ?! From Hype to Reality Adopting Cloud Computing What is IBM doing

4. The need for progress is clear 85% idle In distributed computing environments, up to 85% of computing capacity sits idle. Consumer product and retail industries lose about $40 billion annually, or 3.5 percent of their sales, due to supply chain inefficiencies. 33% of consumers notified of a security breach will terminate their relationship with the company they perceive as responsible. 33% 40 billion Explosion of information driving 54% growth in storage shipments every year. 1.5x 70¢ per $1 70% on average is spent on maintaining current IT infrastructures versus adding new capabilities.

5. IBM Smarter Planet

6. As the world gets smarter, demands on IT will grow Smart traffic systems Smart water management Smart energy grids Smart healthcare Smart food systems Intelligent oil field technologies Smart regions Smart weather Smart countries Smart supply chains Smart cities Smart retail

8. It’s time to start thinking differently about infrastructure Infrastructure that is instrumented, interconnected and intelligent. Infrastructure that brings together business and IT to create new possibilities. DYNAMIC INFRASTRUCTURE Facilities Infrastructure Production Infrastructure Mobility Infrastructure Technology Infrastructure Communications Infrastructure + + + + VISIBILITY CONTROL AUTOMATION

9. Dynamic Infrastructure: Addressing today’s challenges and tomorrow’s opportunities Not only ensuring high availability and quality of existing services, but also meeting customer expectations for real-time, dynamic access to innovative new services. Not just containing operational cost and complexity, but achieving breakthrough productivity gains through virtualization, optimization, energy stewardship, and flexible sourcing. REDUCE COST IMPROVE SERVICE MANAGE RISK Not only addressing today’s security, resiliency, and compliance challenges, but also preparing for the new risks posed by an even more connected and collaborative world. Dynamic Infrastructure

11. Agenda IBM Smarter Planet Cloud Computing ?! From Hype to Reality Adopting Cloud Computing What is IBM doing

12. What Trends Are Driving The Cloud Computing Trend? Computing Cloud Network Cloud Application Technologies: Grid, MapReduce, Hadoop, SOA, Web 2.0 Mobility: Explosion of form factors, cell phones/connected devices, Proliferation of sensors Data Center Pressures: Growing costs of power and space, server sprawl New Business Models: Advertising, Services, Subscription Broadband: Growth in Internet bandwidth enabling ubiquitous connectivity. Increased reliability and functionality embedded in the network. Open IT : Open Technologies, APIs, protocols, data formats, software platforms / data (e.g. Creative Commons, Open Data License) Industrialization of IT: Standardization, and commoditization (e.g email). Falling costs of storage. Web Applications and Platforms: Mashable applications and services built on Web Oriented Architecture (e.g. REST, RSS/ATOM) Infrastructure Technologies: Virtualization, Automation, SLAs Source: Gartner, Thomas Weisel Partners, Merrill Lynch, IBM MI Business Agility: Enter new markets, Deploy new application services. Stay ahead of compeition. Utility Computing: Get as much computing power as you need when you need it, pay for only what you use. Computing & Network Appliances: Special servers designed to handle specific tasks are blurring the lines between Network and Data Center Data Intensive Applications: From massively parallel (e.g. Google) to large data files (e.g. You Tube)

13. Cloud Computing … Attributes VISIBILITY CONTROL AUTOMATION “ Cloud” is an emerging consumption and delivery model for many IT-based services, in which the user sees only the service, and has no need to know anything about the technology or implementation Metering & billing Rapid provisioning Flexible pricing Elastic scaling Advanced virtualisation Standardised, consumable web-delivered services Service catalog ordering Ease-of-use … New economics … Flexible sourcing

18. Cloud Model Applies at all Levels of the IT Stack The Cloud Curtain The Cloud Curtain Curtain

19. Agenda IBM Smarter Planet Cloud Computing ?! From Hype to Reality Adopting Cloud Computing What is IBM doing

20. Gartner’s Hype Cycle special report for 2009 Source: Gartner

22. What's Holding Cloud Computing Back? Source: Gartner Costs Economies of scale only go so far, unless customer is willing to trade data or advertising views for services Culture Trust, chargeback, sharing Security & Privacy Weak or non-existent perimeter, Data provenance, Service/Data Location Scalability Parallel processing, no problem; sequential processing, different story Connection Only as good as the Internet, unless you pay to "harden" your connection Service Management Technologies & best practices immature High Availability For workloads that are stateless, no problem; for stateful workloads, same issue as enterprises

24. Simple Example ? We Have Control It’s located at X. It’s stored in server’s Y, Z. We have backups in place. Our admins control access. Our uptime is sufficient. The auditors are happy. Our security team is engaged. Who Has Control? Where is it located? Where is it stored? Who backs it up? Who has access? How resilient is it? How do auditors observe? How does our security team engage? ? ? ? ? ? Today’s Data Center Tomorrow’s Public Cloud

25. Categories of Cloud Computing Security Risks Compliance Complying with SOX, HIPAA and other regulations may prohibit the use of clouds for some applications. Reliability High availability will be a key concern. IT departments will worry about a loss of service should outages occur. Control Many companies and governments are uncomfortable with the idea of their information located on systems they do not control. Security Management Even the simplest of tasks may be behind layers of abstraction or performed by someone else. Data Migrating workloads to a shared network and compute infrastructure increases the potential for unauthorized exposure. Providers must offer a high degree of security transparency to help put customers at ease. Authentication and access technologies become increasingly important. Mission critical applications may not run in the cloud without strong availability guarantees. Comprehensive auditing capabilities are essential. Providers must supply easy controls to manage security settings for application and runtime environments.

27. 5 Thumbs UP 5 Thumbs DOWN Fast start-up Scalability Business agility Faster product development No capital expenditures Bandwidth could bust budgets App performance could suffer Data might not be cloud-worthy Too big to scale Human capital may be lacking

28. Agenda IBM Smarter Planet Cloud Computing ?! From Hype to Reality Adopting Cloud Computing What is IBM doing

30. 6 Steps to Getting Started with Cloud Computing IT Roadmap Workload Assessment Enterprise & Cloud Mix Implementation ROI Architecture Service Definition Tools Service Publishing Tools Service Fulfillment & Config Tools Service Reporting & Analytics Service Planning Role Based Access End Users, Operators Service Catalog Operational Console Cloud Services Cloud Platform Systems Storage Network Computing Infrastructure Platform & Applications Email Bus Apps BPM Sys Mgmt Info Mgmt Web Svr E-Mail, Collaboration Software Development Test and Pre-Production Data Intensive Processing Database ERP Enterprise Private Public Hybrid Trad IT Capital Private Cloud Hybrid Cloud Time Trad IT Rent Financial Workload Custom Standard 1 OSS BSS Infrastructure Platform Software 2 3 4 5 6

34. Step 3: Workload Analysis High volume, low cost analytics Collaborative Business Networks Industry scale “smart” applications Web infrastructure applications Collaborative infrastructure Development and test High Performance Computing TEST FOR STANDARDIZATON EXPLORE NEW WORKLOADS EXAMINE FOR RISK Database Transaction processing ERP workloads Highly regulated

36. Step 4: Deciding the Right Mix of Delivery Models Fixed Traditional IT Managed Operations Public Cloud Services Private Cloud Services Financial Models Delivery Models Off Premises Shared Variable Off Premises Dedicated On Premises Utility Mixed On Premises

38. Step 5: ROI - Delivering Measurable Results VIRTUALIZATION AUTOMATION STANDARDIZATION Legacy environments Cloud-enabled enterprise Cloud accelerates business value across a wide variety of domains Cloud attributes From Server/storage virtualization 10–20% Utilization of infrastructure 10–20% Self-service None Automated provisioning Months Change and release management Months Service catalog ordering Months Metering/billing Fixed cost model Payback period for new services Years To 70–90% 70–90% Unlimited Days/hours Minutes Days/hours Granular Months

40. The journey to cloud… Business Value Consolidate Virtualise Centralise Automate Optimise > > > > Organization Culture Governance … .requires an integrated and orchestrated approach.

41. Agenda IBM Smarter Planet Cloud Computing ?! From Hype to Reality Adopting Cloud Computing What is IBM doing

44. IBM’s Cloud Labs support clients world-wide Silicon Valley California Wuxi China Dublin Ireland Johannesburg South Africa Hanoi Vietnam Bangalore India São Paulo Brazil Seoul S. Korea Beijing China Tokyo Japan Raleigh North Carolina Doha Qatar Technology Incubation, Customer Engagements, In-Market Experimentation

52. LotusLive Software as a Service – Collaboration via the cloud Rise of social networking Consumer, Community, Business Collaboration 21 st Century

53. LotusLive Files My Network Meetings Events Chat Activities Survey Forms Charts eMail

54. Obrigado! Fernando Sousa IBM ITSM Cross Sectors Portugal [email_address]