Mission Critical Applications and Cloud:Myth or Reality?

Henry Fastert, Chief Technologist and Managing Partner

Agenda

SHI

Cloud Defined

Business Value of Cloud

First Generation Cloud Computing

Adoption Issues for the Enterprise• Security

• Connectivity

• Resiliency/Service Quality

Next Generation Example

Migration Considerations – Technical and Financial

Summary

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Global provider of IT products, services and solutions 21-Year Anniversary in 2010!

• 1989 – regional software-only reseller• 1994 – global software/hardware reseller • 2001 – global solution provider

Strong, stable and consistently profitable• Every quarter, every year

$4.2 billion imputed sales in 2010*• 1,700+ employees as of 1/2011

Broad line of services• Strategic Consulting• Professional Services• Cloud Services for the Enterprise

SHIOver the years, SHI has continued to expand its Value Proposition. Now in it’s 22nd year of

operation, SHI is now developing and delivering Cloud Solutions for the Enterprise.

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Cloud DefinedAs defined by the US National Institute of Standards and Technology, cloud computing

offers a number of evolving service and deployment models that enables business value.

Broad NetworkAccess

Resource Pooling

Infrastructure as a ServiceIaaS

Platform as a ServicePaaS

Software as a ServiceSaaS

Public &Multi-Tenant Private Hybrid Community

Esse

ntia

lC

hara

cter

istic

sD

eplo

ymen

tM

odel

s

Measured Service On-DemandSelf-Service

RapidElasticity

Serv

ice

Mod

els

For more information please refer to: www.nist.gov4

Business Value

• Faster Time to Revenue• Flexibly respond to business changes• Lower Costs of acquisition and

implementation• Reduced Risk

To eliminate silos and integrate technologies into shared pools of interoperable resources

resulting innew levels of simplicity, integration, and automation to accelerate business outcomes:

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Business Value Examples

State Government

Laboratory Info Management

Healthcare

Madison Avenue

Retail

Telco

Enterprises are now developing strategies to harvest the business value of cloud computing.

Partnering to deliver Software as a Service

White Labeling Infrastructure as a Service

Time-boxed Burst Computing

Community CloudCustom Private Cloud

Enhanced Shared Services

Multi-tenant Cloud

Managed Private Cloud

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AP

I User Access

3. Self-service User access with metering, monitoring, and chargeback

AP

I Standardized Service Delivery

2. Standardized service and service level definitions with automated service delivery

Resource Pools

vSphere vSphere vSphere

AP

I

Fully Virtualized Resources

1.Virtual Data centers –• Virtualized, shared pools of server, storage, and network resources • virtualized datacenter services (firewall etc)•Policy-driven Management

Virtual Datacenters

Virtual Datacenters

Virtual Datacenters

Migration to Cloud ComputingWhile many have started to implement virtual resources, the average infrastructure is still

only about 40-50% virtualized. There is still much to be done to complete the journey to true cloud computing.

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The commercial marketplace has looked at the 1st generation of cloud computing and sees solutions that fit best for the consumer and casual user.

1st Generation Cloud Solutions

Security• Public Cloud oriented for all who want access

• Limited data security

• Cannot meet government regulations or company policies

Connectivity• Internet-based

• Presents security, availability and performance concerns

Resiliency/Service Quality• Wide fluctuations in availability

• Overall availability only about 95%

• Not good enough for the business world of 24 X 7 !

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Adoption Issues: Security

Perimeter Security

Infrastructure Security

Event Monitoring & Reporting

Security Processes & Procedures

Data Security

Most IT Executives view 1st Generation Cloud as not being secure enough for the needs of the enterprise and that the only plausible alternative is to build their own private cloud.

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Adoption Issues: ConnectivityThe 1st Generation of Cloud Connectivity have produced inconsistencies that have caused

major concerns for the enterprise.

Security

Latency

Availability

Moore’s Law of Internet Latency:“ As long as Internet users do not pay for the absolute amount of data bandwidth which they consume,Internet service quality (latency) will continue to be variable and often poor”.

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Adoption Issues: Resiliency/Service QualityEnterprise applications have “industrial grade” requirements that are part of a broader set of

risk management policies.

Availability

Performance

Mean Time to Repair

“Amazon Outage Staggers Into Day 2”Computerworld, April 22, 2011

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Enterprise Cloud Solutions

Secure• Using low latency DWDM connections, VMs could reside on customer’s network fully

leveraging their network security

• A design that uses the latest in data at rest encryption, intrusion protection, breach monitoring and audit reporting

High Performance• An infrastructure platform powered by leading hardware & software technologies for

maximum bandwidth, storage and performance

• A management platform enables self-service “on-demand”

Industrial Grade• A highly secure solution designed to optimize capacity, performance and reliability

• Solutions capable of handling the requirements of enterprise applications

Enterprise Cloud Solutions should be based on key design principles such as these:

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Enterprise Cloud Services

Next Generation IaaS providers for the enterprise should be able to offer three different types of services.

Self-Service• Self-service Portal

• SHI or customer provided templates

• Ability to configure VMs (CPU, Memory, Storage & Network Bandwidth)

• Wide variety of software applications via Service Catalog

Time-Boxed Burst Computing• Addresses seasonal capacity spikes

• A cloud center that provisions VMs using (customer-provided in advance) “gold images”

• A solution that eliminates need for large capital expenditures

Disaster Recovery• Innovative approach for customer’s with their own private cloud

• A cloud center that provisions VMs using (customer-provided in advance) “gold images” in the event of a disaster

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Single Customer Federated Model

. Shared or Multi-TenantMulti-tenant or shared solutions run VMs on hardware shared by multiple customers with multiple levels of isolation. The potential cost savings benefit of a shared platform makes this an attractive option for non mission-critical applications.

Private or DedicatedFeature VMs running in the cloud provider’s center running on hardware dedicated to a specific customer

Managed PrivateEnables VMs to be deployed within the customer’s data center while being remotely monitored and managed by the cloud provider

Enterprise customers should be able to choose three ways to implement the “hybrid” strategy most want.

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Infrastructure: Performance, Capacity & Reliability

Storage Storage Storage

Enclosure &Blade Servers

Network Switches

SAN EncryptionSwitches

VMware vSphere

Cloud infrastructure platforms should be designed to optimize Performance, Capacity and Reliability by providing multiple interconnects, maximum bandwidth and redundancy. The design should assure no single points of failure, with unmatched connectivity and security.

• No Single Points of Failure• Multiple Enclosures,

Switches, Servers and Storage Connections for maximum resiliency

• Virtual Fabric Technology for virtualized connections and easy manipulation of bandwidth to meet SLAs

• VMware High Availability to “fail over” to 2nd VM

• VMware Fault Tolerant provides 2nd “hot VM” for fail over

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Data SecurityThe infrastructure platform (servers, storage and networking) should be designed for the data security

needs of the enterprise. SAN encryption switches using software encryption key management can provide a standard feature for both multi-tenant and private cloud infrastructure residing in a cloud center.

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Powering the Cloud

A cloud management platform is an automated, fully managed platform that combines to enable on-demand provisioning of VMs.

A cloud management platform should provide:• Portal access for self-service and

centralized management

• Rapid deployment of VMs

• Automated provisioning of infrastructure

• Managed provisioning of application software from service catalog

• Comprehensive reporting for capacity, performance, service level, usage and auditing

Functional view of aCloud Management Platform

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Security for the EnterpriseCloud providers should have a multi-layered solution to assure a multi-tenant or shared

enterprise cloud is secure enough to meet the requirements of enterprise-class applications. The same design should apply to a dedicated (private cloud) platform.

Security Processes(Industry Best Practices, Standardized,Tested)

Event Monitoring(Comprehensive & Supplemented by Trusted Third-Party)

Perimeter Security(Access Control, Anomaly-Aware, Customer Transparent)

Infrastructure Security(Layered Cloud Management Protection and Change Control)

Customer Data Security(Encryption/Segregation)

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The first generation of cloud services focused on Internet connectivity. The Next Generation of cloud for the enterprise should be able to offer excellent diversity in connectivity.

Customers should be able to connect via MPLS or IPsec VPN.) Most cloud service providers only offer IPSec VPN. However, there is a better way.

Connectivity for the Enterprise

Data Center 1

Cloud CenterPrivate DWDM

(Telco)

Metro Ethernet over DWDM(Cable Company)

MPLS, Private Line

MPLS, Private Line

IPSec VPN

IPSec VPN

IPSec VPN

IPSec VPN

Internet

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Data Center 2

Connectivity for the EnterpriseIt is possible to design a networking solution that offers complete isolation of customer

networks leveraging MPLS and VLAN down to the VM. Once VMs are provisioned they would appear on the customer’s data network. This is a critical capability for enterprise applications.

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• Virtualized Switch Fabric with automated re-routing

• Intelligent management of network profiles

• 10GbE end to end, multi-link trunks for resiliency

• MPLS and 4094 VLANs down to the vCore

• 802.1QinQ Metro Ethernet support

•Single and double VLAN mapping/translation support

Key Design Features

Open Packaging & Distribution

Enables Optimized Distribution Provides A Simple Automated

User Experience Supports Single & Multi VM Configurations Enables Portable VM Packaging Affords Vendor & Platform Independence

Cloud providers should use Open Virtualization Format (OVF), a platform independent, efficient, open packaging and distribution format for VMs. OVF facilitates the ease of

migration to cloud environments and enables customers to have the mobility of VMs to the virtualization platform of their choice.

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Migration ApproachLook for cloud services that provide an approach that will result in a balanced roadmap

incorporating innovation, tempered with recognition of infrastructure maturity levels, constraints and risk.

Data Center

Data Center

Data Center

Data Center

Current State New Interim State

Cloud Services

Infrastructure as a Service Platform as a Service Software as a Service

Current Virtual Workloads

New Virtual Workloads

Poor Virtualization Candidates

Legacy Assets & Contracts

“On-Demand”“Self-Service”

“Highly Elastic”“On-Demand”

“Burst Capacity”

Phased Migration

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Migration – Financial Considerations

Key Financial Drivers:

Savings Opportunities:

TCO v ROI:

Current Level of Virtualization Current Level of Automation Desire to Reduce Capital Expenditures v Operating Expenditures Desire to Redeploy Resources

Virtualization Software Licenses & Support CMP Software Licenses & Support Servers, Storage and Networking Assets Data Center Space, Power & Cooling Certain Resource Costs

Custom Private Clouds Can Require Substantial Capital & Operation Expenditures Comparison of Current and Target State TCO and ROI Analysis is Recommended Moving to Service Provider Clouds Requires No Capital Expenditure For These “Buy” Scenarios, Current/Target State TCO Analysis is Recommended

TCO Models are available to assist customers with developing their business case for cloud with TCO reductions of 20-40%.

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Summary

Security Connectivity Resiliency/Service Quality Migration Considerations Next Generation Design Example

There is a Next Generation of Cloud for the enterprise capable of supporting mission critical applications. All providers are not equal in their capability, but there are those that are ready to

deliver on the needs of the enterprise today!

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