The Federal Cloud Computing Summit was held on May 30, 2013 in Washington, DC.

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David Cearley
The Current Future State of Cloud
Computing

2. Key Issues
1. What is the Current State of Cloud Computing
Adoption?
2. How should agencies approach cloud
computing, and how does it change the IT
environment?
3. How does cloud relate to other key technology
trends?

3. But First ….
2

4. When Everything is Called Cloud …
Cloud Computing Loses It’s Meaning
Service-
Based
Metered
by Use
Internet
Technologies
Consumer
Provider
A style of computing in which scalable and elastic IT-enabled capabilities
are delivered as a service to consumers using Internet technologies
• Open
• Limited
• Provider
"Virtual" Private
Cloud Service
• Limited
• Full
• Provider
Community
Cloud Service
• Closed
• Exclusive
• Consumer
Private Cloud
Service
• Open
• Full
• Provider
Public Cloud
Service
Self-
Service
Access:
Sharing:
Ownership:
Shared Scalable & Elastic Automated
The Service

5. Cloud Computing Service Layers and
Vendor Offerings
System Infrastructure Services
App. Infrastructure Services
Enabling Technologies
Cloud Services Professional Services
for Consumption
Marketplace, Brokerage,
Management and/or
Security Services
Consuming Cloud Services
Building or Operating Public/Private Cloud Services
Professional Services
for Build/Run
Service Enablers & Implementation
Application Services
Business & Info. Services

6. Key Issues
1. What is the Current State of Cloud Computing
Adoption?
2. How should agencies approach cloud
computing, and how does it change the IT
environment?
3. How does cloud relate to other key technology
trends?

7. 6
Survey Question:
Are You Using Public Cloud Services?
SaaS
PaaS
IaaS
44%
36%
36%
Source: Gartner, Future of IT Survey, November 2012
Today In 12 Months
87%
80%
80%

8. 7
Survey Question:
What Cloud Approach Do You Prefer?
Private
Cloud
34%
Hosted
Cloud
25%
Community
Cloud
12%
Public
Cloud
12%
Hybrid
7%
Not
Cloud
10%
Source: Gartner Cloud Survey, July 2012
Private
Hosted Private
Community
Public
Hybrid
Not Cloud

9. 8
Survey Question:
What Cloud Approach Do You Prefer?
27%
37%
37%
32%
31%
35%
40%
23%
22%
24%
31%
23%
30%
24%
14%
10%
12%
12%
15%
11%
11%
13%
12%
10%
12%
15%
12%
9%
10%
7%
8%
7%
6%
4%
8%
12%
13%
9%
6%
9%
8%
8%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Manufacturing & Natural Resources
Financial Services
Services
Communications & Media
Government
Retail & Wholesale
Other
Private Cloud Hosted Cloud Community Cloud Public Cloud Hybrid Not Cloud
Source: Gartner Cloud Survey, July 2012

10. Hybrid Cloud Aspirations are Sky-High
Yes
70%
Maybe
23%
No
7%
Gartner Data
Center Conference
Poll, December
2012
(N = 129)
Will your enterprise
be pursuing a
hybrid cloud
computing strategy
by 2015?
While very few enterprises have established a hybrid cloud service so
far, the interest is very high

11. High Growth Expected in Cloud Infrastructure
Services But SaaS Still Larger Overall
• Highest growth rates in
Emerging Asia/Pacific,
China, Latin America
and Eurasia
• Greatest increase in
spending in N. America
• India, Indonesia and
China show the highest
growth rates in Asia
• Western Europe growth
rates continue as the
lowest worldwide
• PaaS is smaller but
big impact
Source: Gartner, Public Cloud Services Forecast, Sept 2012 (G00238928)
* Excluding Cloud Advertising
0
10
20
30
40
50
60
2010 2011 2012 2013 2014 2015 2016
MarketSize($USBillions)
BPaaS SaaS PaaS IaaS Mgmt & Sec
BPaaS SaaS PaaS IaaS Mgmt & Sec
5-year CAGR (2011-2016) 11.3% 19.1% 26.6% 41.8% 26.9%

12. 11
But Public Cloud Spending Remains a
Minority of Total IT spending
2012 2017
Infrastructure Software
& Middleware
Data Center
Outsourcing
Business Process
Outsourcing
Application Software
Source: Gartner, Public Cloud Services Forecast, Mar 2013 (G00248727),
Enterprise Software Forecast, Mar 2013 (G00249485), IT Services Forecast, Mar 2013 (G00248578)

13. Key Issues
1. What is the Current State of Cloud Computing
Adoption?
2. How should agencies approach cloud
computing, and how does it change the IT
environment?
3. How does cloud relate to other key technology
trends?

14. A Strategic Model for Cloud ComputingEssentialCloudStrategyElements
How will we secure, manage and govern cloud
services across internal, external and hybrid
environments?
3
Where and how should agencies implement private
cloud environments?
2
Where and how should agencies consume cloud
computing services?1
How does cloud computing factor into application
strategy and architecture?
4
Are there opportunities for the agency to become a
cloud computing service provider?5

15. Agility
Cost
Security
Transparency
Establish a Decision Framework
Less Complexity
More Focus
Self-Service
Innovation
Assurance
Lock-in
Integration
Financial
• Examine by service type,
workload, data and use case.
• Consider how to mitigate risk.
• Examine market maturity &
total cost including exit costs
Challenges
Benefit
Low and
Manageable
High or
Unmanageable
Highand
Clear
Lowor
Uncertain
Avoid
Embrace
Public
Experiment
Consider
Private

16. Take a Realistic View of Cloud Risks
• Cloud services are not
inherently more or less secure
than traditional outsourcing.
• Map workloads and data to the
right "style" of cloud security.
• Adapt security processes to
address cloud computing.
• Separation of duties and
change control are key risks.
• Examine software and cloud-
based options to mitigate risks.
• Integrate cloud services into
situationally aware SIEM*.
Audit and
Event
Streams
Cloud
Application
Cloud
Infrastructure
Cloud
Application
Data Centers
Application
Infrastructure
Application
Unified View
*security information and event management

17. Build a Cloud Services Sourcing
Capability
• Modify existing service procurement
processes to accommodate the
cloud.
• Focus negotiations on business
issues, not technical
implementations.
• Selectively review provider
implementation details.
• Service commitments are delivered
via standard self-service interfaces.
• Understand the real long-term
commitment behind SLA and price.
• Don't ignore hidden upfront costs.
• Develop contingency plans.
Standardized & Fixed
Terms & Conditions
Customized & Negotiated
Terms & Conditions
Cloud
Computing
Traditional
Outsourcing
Service Acquisition Models

18. Consider Use of Cloud Brokerage
The Simple Cloud Model
The Cloud Brokerage Model
Providers
Brokerage
Point-to-Point
Relationships
Intermediated
Relationships
Strengths
• Direct relationship with customer
• Low barrier to adoption
Challenges
• "Take it or leave it" cloud services
• Multiple provider complexity
Strengths
• Value-added services
• Centralized governance
Challenges
• Indirect customer relationship
• Skills lacking, unfocused and
narrow
Consumers
Cloud Services
Cloud Services
Cloud Services

19. Private Cloud Is More Than Virtualization
CloudManagement
Platform
Virtualizationand
PhysicalLayer
Resource
Management
• Resource State Management
• Performance Management
• Security
Service
Management
• Service Catalog
• Service-Level Management/Monitoring
• Service Configuration and Provisioning
• Service Demand and Financial Management
Resources • Physical and Virtual Resources
• Component Managers
Access
Management
• Self-Service/Programmable Interface
• Subscriber Management
• Identity and Access Management
Service
Optimization
• Governor (i.e., Policies for Placement and Elasticity)
• Orchestration
• Federation and Multisite
ExternalManagementAPIs
(Incident/Change/Release,Analytics)

20. CMP Vendor Landscape:
A Crowded and Fast-Moving Market
Fabric-Based Infrastructure
• Cisco Intelligent Automation for Cloud
(Cloupia)
• Dell VIS Creator (Gale Technologies
and enStratius)
• HP CloudSystem Matrix
• IBM PureFlex System Manager
and PureApplication System
• VCE vCloud Director and CIAC
Infrastructure Software
• Citrix CloudPlatform
• IBM Workload Deployer
• Microsoft System Center 2012
• Oracle Enterprise Manager 12c (Nimbula)
• Red Hat CloudForms (ManageIQ)
• VMware vCloud Director and vCloud
Automation Center
Point Solution Vendors
• Abiquo
• Adaptive Computing
• Cloudbolt
• Egenera
• Embotics
• Flexiant
• Gravitant
• NetIQ (Novell Cloud Manager)
• RightScale
• ServiceMesh
• Zimory
Traditional Big Four IT
Operations Management
• BMC Software CLM
• CA AppLogic (Automation Suite for Cloud)
• HP CSA
• IBM SmartCloud Orchestrator
Open Source
• CloudStack
• Eucalyptus
• OpenNebula
• OpenStack

21. From Software Defined Networking
To Software Defined Environments
• SDN is a new way to operate
networks
• Moves control plane (and potentially
the value) from individual devices to
a central controller
- Abstracts network layer to drive
agility and flexibility
- Allows configuration of the network
from one place not each individual
device
• Beyond SDN
- Fabric Based Computing
20
BandwidthGrowth
• Cloud Service Provider Needs Drive Innovation

22. The Future is Hybrid:
Extend Security, Management & Governance
IT
Cloud Services Broker
Enterprise App Store
Private
Cloud
Services
Public
Cloud
Services
Traditional
Services
Public
Cloud
Services
IT should become the
trusted broker for most/all
IT-based services
Hybrid IT
Service Catalog
Service-Level Mgmt.
Chargeback
Capacity Mgmt.
Service Governor
Orchestration
Optimization
Cloud Management
PlatformEnterprise

23. Hybrid IT
Hybrid IT is the mission and the operational model for IT infrastructure
and operations in a cloud computing world.
Yes
58%
Not
Sure
31%
No
10%
Gartner Data
Center
Conference Poll,
December 2012
(N = 127)
Will your IT
organization
pursue an internal
Hybrid IT strategy
by 2015?
Hybrid IT Organization

24. Hybrid IT:
The Organizational Perspective
• Assist service
development
• Self-service
• Metered use
• User focus
• Evaluate internal &
external services
• Forge relationship
with CSPs
• Manage service
consumption
IT organization acting as
provider and broker
Private
Clouds
Public
Clouds
Hybrid
Clouds

25. Developing Cloud-Based Solutions
• Multiple Approaches:
- SaaS configuration and mashup.
- Migrate and enhance enterprise
software (custom or packaged).
- Innovative cloud applications.
• Tools and Techniques:
- Build it from scratch with linear
scalability, parallel processing
and distributed data.
- Leverage application services
and/or platform services.
- MapReduce and Hadoop.
- GData and OData access
models.
- Coordinate Web design and
application development.
- Cloud-Centric Design
Developer
Browser/RIA
or Traditional
Client
System Infrastructure
Sys./App. Infra.
Application
Consumer
Global-
Class App.
SaaS Config.
and Mashup
Traditional
Software

26. Cloud-Centric & Cloud Optimized
Application Design
• Architecture decisions
impact results & cost
- Data move & store
- Message traffic
- Processing models
• Think differently!
- Global-class design
- Proactive security
- Design for failure & self-
healing
- Embed security in the
application
- Cloud/Client Architecture
Cloud-Aware
Application Principles
Latency-Aware
Instrumented
Failure-Aware
Event-DrivenParallelizable
Automated
Consumption-
Aware

27. Think Like a Cloud Services Provider
• Focus on high-value targets.
• For the end user
• For the developer
• Everything is a platform.
• Public Web APIs are a key
component of your business
strategy.
• Build a public Web API as
part of next-generation AD
projects.
• Develop focused, cohesive
and loosely coupled
services.
• Make sure you get value,
even if nobody adopts it
externally.
Partners
Business Service
Information Service
Application Service
Website
Customers
Suppliers
Portal & API
Internal

28. Key Issues
1. What is the Current State of Cloud Computing
Adoption?
2. How should agencies approach cloud
computing, and how does it change the IT
environment?
3. How does cloud relate to other key technology
trends?

29. CONSUMERIZATION
Beyond Cloud Computing …
The Nexus of Disruptive Forces
"Big"
Context
Extreme
Behavior
Pervasive
Access
Global Class
Delivery

30. Cloud Computing & The Nexus of Forces
Cloud in the
Nexus of Forces
Personal Cloud
Client/Cloud
Cloud
Collaboration
Cloud is a
foundation of
the Nexus,
but the
Nexus in turn
enhances
new cloud
related
segments
Cloud + Social
Cloud + Mobile
Big Data
Contextual Apps
Cloud + Info.

31. Recommendations
 Be proactive — the worst strategy is to ignore the cloud.
 Develop selection criteria and governance models for each layer of the
cloud computing service hierarchy:
- Realistically assess risks and carefully embrace new trust models.
- Modify existing service procurement models, and build new cloud
governance, trust and security models.
 Use a business impact analysis to determine when, where and why to
adopt cloud computing:
- Determine where migrating or enhancing applications deliver value.
- Consider innovation applications that benefit from unique cloud
capabilities.
 Ensure that private cloud initiatives extend beyond virtualization to
address access, service and resource management.
 Use external cloud brokers to reduce complexity and enhance
performance.
 Position IT as a cloud service broker across internal and external
cloud services.
 Coordinate cloud and mobile strategies.