A simple definition of Cloud Computing – Pay as you go SaaS

UC Berkeley RAD lab is researching data center innovations.  Here is a slide from one of their presentations.  Note the sponsors and members.

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One of the points made on a blog post is cloud computing is their definition of cloud computing is a Software as a Service (SaaS) with “pay as you go billing.

Hence, to be more precise, in Above the Clouds, we defined Cloud Computing as follows:

Cloud Computing refers to both the applications delivered as services over the Internet and the hardware and systems software in the datacenters that provide those services. The services themselves have long been referred to as Software as a Service(SaaS), so we use that term. The datacenter hardware and software is what we will call a Cloud. When a Cloud is made available in a pay-as-you-go manner to the public, we call it a Public Cloud; the service being sold is Utility Computing. … We use the term Private Cloud to refer to internal datacenters of a business or other organization that are not made available to the public. Thus, Cloud Computing is the sum of SaaS and Utility Computing, but does not normally include Private Clouds.

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In the same presentation, RAD lab goes on to explain “why now?”

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The Economics of Pay by use have an interesting overlap with a point AWS makes.

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Capacity vs. Usage Comparison

This last graph is the Christmas wish list for enlightened green IT thinkers.  IT load that tracks to demand.

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Ex-Microsoft Security Evangelist works for AWS, shouldn’t he have been transferred to Azure instead of fired?

A new AWS technical evangelist has a blog entry.

Hello, world!

Good day, everyone. I'm Steve Riley. In July 2009 I joined the AWS evangelism team. I spent my first few months absorbing information about all our offerings and am now getting back on the road again, speaking at various events and user groups and meeting with customers. I came from Microsoft, where I was in the telecommunications consulting practice for three years and in the Trustworthy Computing group for seven. I was a global security evangelist there and also worked closely with our chief security officer and enterprise security architect communities. I'm continuing that work here at Amazon Web Services, concentrating on enterprise deployment of cloud computing, all things cloud security, and of course the Windows Server aspects of our offerings.

I'm very excited to be part of AWS. The cloud is the future, and I look forward to meeting many of you and working together. As with all of us on the team, I'm here to help you succeed. More information in the links below.

Steve has a nice map of the Amazon EC2, S3, and CloudFront from one his presentations that is on his presentation page.

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What I found interesting is Steve Riley was laid off from Microsoft’s security group, trustworthy computing.

Good bye, and good luck

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Friends, as a part of Microsoft’s second round of restructuring, my position was eliminated yesterday and my employment with Microsoft has ended.

Shouldn’t Steve been transferred to Windows Azure instead of being laid off, and being hired by Amazon Web Services?

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Amazon Web Services adds global physical data shipping and receiving to cloud computing services

Amazon is setting the standard for cloud computing services.  AWS just announced a beta import/export service to allow 2TB of data to be imported or exported globally from AWS S3.

AWS Import/Export Goes Global

AWS Import/Export is a fast and reliable alternative to sending large volumes of data across the internet. You can send us a blank storage device and we'll copy the contents of one or more Amazon S3 buckets to it before shipping it back to you. Or, you can send us a storage device full of data and we'll copy it to the S3 buckets of your choice.

Until now, this service was limited to US shipping addresses and to S3's US Standard Region. We've lifted both of those restrictions; developers the world over now have access to AWS Import/Export. Here's what's new:

  • Storage devices can now be shipped to an AWS address in the EU for use with S3's EU (Ireland) Region.At this time, devices shipped to our AWS locations in the EU most originate from and be returned to an address within the European Union.
  • Storage devices can be shipped from almost anywhere in the world to a specified AWS address in the US for data loads into and out of buckets in the US Standard Region. Previously, devices could only be shipped from and returned to addresses in the United States.

What would use this for? 

Common Uses for AWS Import/Export

AWS Import/Export makes it easy to quickly transfer large amounts of data into and out of the AWS cloud. You can use AWS Import/Export for:

  • Data Migration – If you have data you need to upload into the AWS cloud for the first time, AWSImport/Export is often much faster than transferring that data via the Internet.
  • Offsite Backup – Send full or incremental backups to Amazon S3 for reliable and redundant offsite storage.
  • Direct Data Interchange – If you regularly receive content on portable storage devices from your business associates, you can have them send it directly to AWS for import into your Amazon S3 buckets.
  • Disaster Recovery – In the event you need to quickly retrieve a large backup stored in Amazon S3, use AWSImport/Export to transfer the data to a portable storage device and deliver it to your site.

When should you consider this service?  AWS answers this as well.

When to Use AWS Import/Export

If you have large amounts of data to load and an Internet connection with limited bandwidth, the time required to prepare and ship a portable storage device to AWS can be a small percentage of the time it would take to transfer your data over the internet. If loading your data over the Internet would take a week or more, you should consider using AWS Import/Export.

Below is a table that gives guidance around common internet connection speeds on: (1) how long it will take to transfer 1TB of data over the Internet into AWS (see the middle column for this estimate); and, (2) what volume of total data will require a week to transfer over the Internet into AWS, and therefore warrant consideration of AWSImport/Export (see the right-hand column). For example, if you have a 10Mbps connection and expect to utilize 80% of your network capacity for the data transfer, transferring 1TB of data over the Internet to AWS will take 13 days. The volume at which this same set-up will take at least a week, is 600GB, so if you have 600GB of data or more to transfer, and you want it to take less than a week to get into AWS, we recommend you using AWSImport/Export.

Available Internet Connection
Theoretical Min. Number of Days to Transfer 1TB at 80% Network Utilization
When to Consider AWSImport/Export?

T1 (1.544Mbps)
82 days
100GB or more

10Mbps
13 days
600GB or more

T3 (44.736Mbps)
3 days
2TB or more

100Mbps
1 to 2 days
5TB or more

1000Mbps
Less than 1 day
60TB or more

If anyone can efficiently receive and ship items it is amazon, and it was smart they added this capability to AWS.  We’ll see how long before other cloud computing providers add this service.  My bet is you’ll have to wait a while as few would have thought to set up shipping and receiving in their cloud computing internal network.

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Amazon Web Services Economics Center, comparing AWS/cloud computing vs co-location vs owned data center

Amazon Web Services has a post on the Economics of AWS.

The Economics of AWS

For the past several years, many people have claimed that cloud computing can reduce a company's costs, improve cash flow, reduce risks, and maximize revenue opportunities. Until now, prospective customers have had to do a lot of leg work to compare the costs of a flexible solution based on cloud computing to a more traditional static model. Doing a genuine "apples to apples" comparison turns out to be complex — it is easy to neglect internal costs which are hidden away as "overhead".

We want to make sure that anyone evaluating the economics of AWS has the tools and information needed to do an accurate and thorough job. To that end, today we released a pair of white papers and an Amazon EC2 Cost Comparison Calculator spreadsheet as part of our brand new AWS Economics Center. This center will contain the resources that developers and financial decision makers need in order to make an informed choice. We have had many in-depth conversations with CIO's, IT Directors, and other IT staff, and most of them have told us that their infrastructure costs are structured in a unique way and difficult to understand. Performing a truly accurate analysis will still require deep, thoughtful analysis of an enterprise's costs, but we hope that the resources and tools below will provide a good springboard for that investigation.

The AWS team has laid out the costs of AWS Cloud vs. owned IT infrastructure.


Whitepaper
The Economics of the AWS Cloud vs. Owned IT Infrastructure. This paper identifies the direct and indirect costs of running a data center. Direct costs include the level of asset utilization, hardware costs, power efficiency, redundancy overhead, security, supply chain management, and personnel. Indirect factors include the opportunity cost of building and running high-availability infrastructure instead of focusing on core businesses, achieving high reliability, and access to capital needed to build, extend, and replace IT infrastructure.

If you have every wished for a spreadsheet to help you calculate data center costs, AWS has this.


Ec2costcalcThe Amazon EC2 Cost Comparison Calculator is a rich Excel spreadsheet that serves as a starting point for your own analysis. Designed to allow for detailed, fact-based comparison of the relative costs of hosting on Amazon EC2, hosting on dedicated in-house hardware, or hosting at a co-location facility, this detailed spreadsheet will help you to identify the major costs associated with each option. We've supplied the spreadsheet because we suspect many of our customers will want to customize the tool for their own use and the unique aspects of their own business.

And, they launched an Economics Center.

AWS Economics Center

The AWS Economics Center provides access to information, tools, and resources to compare the costs of Amazon Web Services with IT infrastructure alternatives. Our goal is to help developers and business leaders quantify the economic benefits (and costs) of cloud computing.

Overview

Amazon Web Services (AWS) gives your business access to compute, storage, database, and other in-the-cloud IT infrastructure services on demand, charging you only for the resources you actually use. With AWS you can reduce costs, improve cash flow, minimize business risks, and maximize revenue opportunities for your business.

  • Reduce costs and improve cash flow.
    Avoid the capital expense of owning servers or operating data centers by using AWS’s reliable, scalable, and elastic infrastructure platform. AWSallows you to add or remove resources as needed based on the real-time demands of your applications. You can lower IT operating costs and improve your cash flow by avoiding the upfront costs of building infrastructure and paying only for those resources you actually use.
  • Minimize your financial and business risks.
    Simplify capacity planning and minimize both the financial risk of owning too many servers and the business risk of not owning enough servers by usingAWS’s elastic, on-demand cloud infrastructure. SinceAWS is available without contracts or long-term commitments and supports multiple programming languages and operating systems, you retain maximum flexibility. And for many businesses, the security and reliability of the AWS platform often exceeds what they could develop affordably on their own.
  • Maximize your revenue opportunities.
    Maximize your revenue opportunities with AWS by allocating more of your time and resources to activities that differentiate your business to your customers – instead of focusing on IT infrastructure “heavy lifting.” Use AWS to provision IT resources on-demand within minutes so your business’s applications launch in days instead of months. UseAWS as a low-cost test environment to sample new business models, execute one-time projects, or perform experiments aimed at new revenue opportunities.

Capacity vs. Usage Comparison

This last graph is the Christmas wish list for enlightened green IT thinkers.  IT load that tracks to demand.

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SAP’s Green Commitment – building and software, strategic sale to Autodesk

The Philadelphia Inquirer has an article about SAP America’s new green building.

Tech company SAP is living the green life

By Diane Mastrull

Inquirer Staff Writer

SAP America is not in the building business. Yet lately, the major buzz about the provider of information-technology systems has centered on its new headquarters in Newtown Square.

Company officials are not offended.

SAP's four-story, 218,000-square-foot monument to energy efficiency and planet protection is turning out to be a credibility booster. And that was part of the plan.

The 35-year-old company is expanding its line of software products designed to help companies go green. Erecting an office that is one of the greenest in the region was intended to demonstrate SAP's commitment to "walk the talk," said Bill McDermott, president of global field operations.

SAP is going for Platinum LEED.

Since opening in May, the SAP headquarters has picked up awards from environmental, architecture, and construction groups. Whether it qualifies for the highest level of sustainability certification under the U.S. Green Building Council's LEED program - platinum - is not yet known.

Why is SAP going green?

In large part, the sustainability trend is fueled by practicality. Stricter environmental regulations on emissions of greenhouse gases, for instance, are expected for business, especially big industry.

The recession and escalating energy prices have been a prod, too - inspiring a worldwide corporate search for budget-trimming options, including switching to more energy-efficient lightbulbs and replacing face-to-face meetings with videoconferencing.

Public relations is also a driver, as shareholders and customers are paying more attention to the environmental effect of a company's pursuit of profits, said Brenda Hustis Gotanda, a partner at the Bala Cynwyd law firm of Manko, Gold, Katcher & Fox L.L.P. and a specialist in sustainability.

"How they are judged by the public" on sustainability is "a really big issue" to a growing number of companies, Gotanda said.

Autodesk is integrated in the story.

It all matters to Emma Stewart, even though she is 2,500 miles away in San Francisco. She is a sustainability leader at Autodesk Inc., a company that specializes in design software for the built environment, from bridges and data centers to airplanes and washing machines.

Her company wants not only to help its customers do their work in a more sustainable way, but to set an example of sustainability. SAP's commitment to those dual objectives helped convince her that it was a good fit for Autodesk, which is now using SAP's Carbon Impact, a system that helps companies determine their total carbon output.

In selecting a business partner, "I gauge not only what a company tells me [about its sustainability commitment]," Stewart said, "but what they're doing."

More and more there is strategic alliance between companies to help companies go green.  SAP and Autodesk are having discussions.

Who are your strategic green partners?

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