Monday, January 16, 2012

Managed Cloud Service Provider Deployment Plans

 As more multinational business executives and IT managers consider embracing managed cloud service offerings, many are wondering how the service provider landscape is evolving -- and where providers plan to differentiate their capabilities.

Much of the initial market insight focused on the key emerging trends, but now we're starting to see more detailed analysis.

A new market study by Infonetics Research details operator plans for managed cloud services -- including their strategies and approaches to offering services, how services will be delivered now and in the future, and top applications of each type of cloud service including: Software as a Service (SaaS), Infrastructure as a Service (IaaS), and Platform as a Service (PaaS).

Their latest worldwide study resulted in the report entitled "Cloud Service Strategies: Global Service Provider Survey," where Infonetics analysts interviewed 20 incumbent telco, competitive, data center operators, and cable operators that offer cloud services -- now, or they plan to by 2013.

Investing in New Service Delivery Platforms

"Service providers around the world have embraced the cloud concept in earnest and are heavily investing in new services and service delivery platforms based on their particular areas of expertise. Internet content providers are leading with SaaS, data center and co-location operators are adding IaaS to their product portfolios and investing in additional infrastructure facilities, and traditional telcos are building on their existing networks and adding a range of services," said Sam Barnett, Infonetics Research's directing analyst for data center and cloud.


Highlights from the Cloud Service Survey Include:
  • 70 percent of respondent operators are investing in cloud services in anticipation of demand.
  • The top operator strategies for offering cloud services are bundling cloud services with network connectivity services and offering cloud services over Ethernet or IP VPN services.
  • Many of the smaller data center providers participating in Infonetics' survey plan to keep their business uncomplicated by moving from simple collocation support offerings to IaaS via the addition of computer and storage hardware, rather than getting into the complexities of offering OS software platforms.
  • 95 percent of respondent operators offer IaaS now.
  • More sophisticated offerings like platform as a service, or PaaS (formed by the addition of server operating systems such as Windows, Linux, and Unix) and software as a service, or SaaS (such as e-mail and security services offered by telcos and ICPs like Google) are currently offered by fewer operators, but will grow significantly by 2013.

All the Infonetics survey respondents are knowledgeable purchase decision-makers at service providers in EMEA (Europe, Middle East, Africa), Asia Pacific, and North America that together represent 20 percent of the world's telecom carrier revenue and 21 percent of the world's telecommunications service provider capital expenditure (capex).

Thursday, December 22, 2011

Tablet Use in Business to Gain Momentum in 2012

The early-adopter trials have begun, the commercial apps are being developed -- it's now a given, purpose-built tablets will be used in more mainstream business settings during 2012. Besides, executives and IT managers at multinational companies will likely witness this phenomenon first, particularly in the more advanced markets.

According to the latest market study by International Data Corporation (IDC), media tablet shipments in EMEA reached more than 12 million units in the first three quarters of 2011 -- growing to 20 million units by the end of the year.

Although business purchases currently represent less than 10 percent of the entire tablet market, the near-term opportunity for growth from business use is believed to be significant -- including online collaboration applications.

Functionality such as a touch screen user-interface, portability, secure LAN connectivity and more business apps for vertical industry needs, are all factors that demonstrate the potential value in commercial settings.

Introducing Media Tablets into the Enterprise

IDC recently conducted a study across businesses in Western Europe to understand the perceptions of tablet adoption, intention to purchase, applications for specific business needs, preference for features, and acquisition strategies.

The key takeaways from the IDC study include:

Adoption Trend: More than 48 percent of businesses have either already evaluated and are keen to introduce tablets or purchased a few, and many verticals pointed to interest in purchasing tablets by the first and second half of 2012. With evident uptake among the IT services, professional services industry, other sectors such as transport and storage, utilities and distribution are showing strong interest.

Perception of Adoption: More than 22 percent of businesses think that the present generation of tablets defined by Apple iPad, are more suitable to their needs -- for example, meter reading, inventory management -- rather than their present equipment, such as traditional tablet devices or vertical application devices.

App Usage in Business: Applications and usage of tablets in businesses vary depending on the industry. Mainstream business use for tablets are as presentation tools during customer meetings and to remotely check emails and calendars. But tablets are suited for several key vertical applications such as:
  • Equipment maintenance, meter-reading (water, gas, electricity), proof-of-service in the field service category.
  • Asset and inventory management, telematics and direct store delivery in the storage and logistics, travel, and distribution verticals.

Tablet User Preference: While iOS and Android receive a strong response rate, more than 30 percent of respondents would consider a Windows OS-based tablet. While some businesses are price-sensitive, others would pay up to 50 percent above the standard price to have the most suitable tablet. Features vary depending on the business use-case; whether for the choice of screen size, or ruggedized features:
  • Transport and storage and distribution sectors prefer to have barcode scanners, SD card readers, and cameras.
  • Finance sectors prefer features such as credit card readers, signature capture, and HDD with encryption.

Deployment and Acquisition Strategy: Most businesses favor partnering directly with OEMs and traditional resellers with few verticals interested in partnering with ISVs. Virtualization and cloud-based solutions are the top preferred technologies considered to support tablet devices.

IDC believes that tablets now are a credible client device option, and in some cases they better fulfill the needs which are only partially met by traditional devices. They say that while some companies are in a wait-and-see mode, the forward-thinking leaders and early-adopters are already keen to deploy solutions.

Wednesday, December 14, 2011

Five Predictions for Managed Cloud Services in 2012

The proof-positive business impact from managed cloud services deployment, including the numerous associated productivity benefits and anticipated cost-savings, have pushed cloud computing well into the mainstream during 2011.

As we move into 2012, International Data Corporation (IDC) predicts that this evolution will continue as more users test the growing capabilities of the public cloud services that are already available.

However, by 2015, IDC envisions a very different scenario -- one where cloud services will become commonplace, thereby forcing significant changes in the ongoing adoption of progressive business technology practices throughout legacy IT organizations.

"In the next 24 months, the 'cloud' as a marketing label will cease to exist, as the success of cloud services will mean that it will permeate the sourcing strategies of the CIO and business unit manager alike," says Chris Morris, Lead Analyst for Cloud Services at IDC Asia/Pacific.

He adds, "The use of externally sourced business and IT services from the cloud will form the basis of what we see as the Outsourcing 3.0 period, and will provide an extensive portfolio of services from which innovative solutions can be constructed."

How Cloud Drives the Next Wave of Outsourcing

With Outsourcing 3.0, the cloud will metamorphose into a universal service catalog of individual cloud services. This will begin to replace both traditional information technology outsourcing (ITO) and business process outsourcing (BPO) engagements as well as on-premises infrastructure.

IDC believes that in an Outsourcing 3.0 scenario, the sourcing of business and IT services from multiple external suppliers will result in a major challenge for the enterprise CIO. They will become a service broker and aggregator, involved in sourcing, integrating and managing the services -- on behalf of their business units.

Drawing from the latest research and internal brainstorming sessions amongst IDC's regional and country analysts, the following are five cloud predictions for 2012.

These key points represent major trends with either the most significant financial impact or long-term market impact across the Asia-Pacific region, according to the IDC assessment.
  1. Less than Half of End-Users across APEJ will complete their Private Cloud Projects by 2014
  2. Making 2 + 2 = 1: Cloud Service Orchestration Services Lead the Drive to Outsourcing 3.0
  3. Infrastructure as a Service (IaaS) will become Verticalized by 2013
  4. By the end of 2012, 90% of Telecom Service Providers (SPs) in the APEJ region will have brought a broad portfolio of Cloud Services to market; but, by end of 2013, their Portfolios will become Specialized as they redefine their preferred role in the Cloud Ecosystem and target specific markets
  5. Cloud SP (CSPs) strategies based on Aggregation and Resale of IT and business services will Fail to meet Profitability Goals by 2013 unless they can efficiently and effectively Manage, Support and Bill Services from Multiple Service Providers

Wednesday, December 7, 2011

Cisco CloudVerse: a Comprehensive Cloud Framework

Multinational company CEOs are one of the most vocal advocates of the managed cloud services phenomenon. Many have been through the painful process of watching helplessly as their CIO championed the deployment of monolithic ERP and CRM systems -- only to discover that these huge enterprise software projects failed to live up to their promise.

Meanwhile, purposeful line-of-business executives have successfully utilized software-as-a-service (SaaS), with their CEO's support, to break free from the legacy IT platforms and thereby give their employees the business technology (BT) productivity tools that they had hoped for -- or that the power-users demanded.

Forward-looking vendors and prescient BT service providers are now leading the transition to the next wave of productivity-enhancing and cost-reducing platforms. Next year, we'll likely witness increased market activity, as the next chapter of this story unfolds.

In anticipation, Cisco has pro-actively presented its cloud strategic plan and tactical roadmap to both eager channel partners and savvy enterprise customers.

Cisco CloudVerse is a framework that combines the foundational elements needed to enable organizations to build, manage and connect public, private and hybrid clouds.

Cisco CloudVerse combines these key cloud elements -- Unified Data Center, Cloud Intelligent Network, and Cloud Applications and Services -- enabling businesses to realize all of the benefits of clouds: improved agility, better economics, enhanced security and a dynamic, assured experience.

The Cisco Cloud Index, issued last week, forecasts how dramatically clouds are transforming business IT and consumer services. The study predicts that over 50 percent of computing workloads in data centers will be cloud-based by 2014, and that global cloud traffic will grow over 12 times by 2015, to 1.6 zettabytes per year -- the equivalent of over four days of business-class video for every person on earth.

The insightful study suggests that the explosive growth in clouds requires advanced capabilities that allow the data center and network to work together -- to support end-to-end cloud application delivery.

The All-Inclusive Approach to Cloud Enablement

Today, most cloud technologies exist in silos, preventing an efficient, integrated management approach. By integrating the three foundational cloud elements -- the Cisco Unified Data Center with the Cisco Intelligent Network to enable Cloud Applications and Services -- CloudVerse delivers a business-class cloud experience within the cloud, between clouds, and beyond the cloud to the end user.

A large number of enterprises, service providers, and governments have announced that they are adopting Cisco CloudVerse as the foundation of their cloud strategies, including ACS, a Xerox Company; Fujitsu; NWN; LinkedIn; Orange Business Services; Qualcomm; Silicon Valley Bank; Telecom Italia; Telefónica S.A.; Telstra; and Terremark, a Verizon Company. Today over 70 percent of leading cloud providers are using Cisco CloudVerse on their journey to the cloud.

"We're moving to a world where our business customers want to experience services anywhere, anytime on any device. Cisco CloudVerse is architected to help deliver on the promise of cloud by unifying compute, storage and network resources that can be securely and rapidly re-purposed and managed on-demand to meet the needs of different customers or applications. These capabilities are fundamental to the cloud and the Cisco Cloud Intelligent Network is purpose-built to help deliver the security, scalability and flexibility we need," said Kerry Bailey, Terremark, a Verizon Company.

The Three Core Elements of CloudVerse:


Unified Data Center changes the economics of cloud infrastructure by providing a fabric-based platform automating the "as-a-service" model across physical and virtual environments, and designed to scale with business demands by flexibly allocating resources within and between data centers using unified computing and unified fabric. Cisco is also adding new Unified Management capabilities:

Cisco Intelligent Automation for the Cloud is designed to provide automated provisioning and management of data center resources for the delivery of cloud services within and between data centers.

Cisco Network Services Manager is designed to automatically create, deploy and modify physical and virtual networking resources on demand.

Cloud Intelligent Network provides a consistent and highly secure user experience wherever the user is located and across the multiple clouds involved in delivering an application or service. Cisco now adds new "Cloud-to-Cloud Connect" capabilities:

"Cloud-to-Cloud Connect," featuring the Cisco Network Positioning System on the ASR 1000 and 9000 Series Aggregation Services Routersin 2012, will enable dynamic resource identification, allocation and optimization between data centers and clouds.

Cloud Applications and Services enable "as a service" delivery of both Cisco and third-party cloud applications. Several new capabilities are being added to Cisco's Hosted Collaboration Solution (HCS):

Private Cloud HCS empowers enterprises to build their own collaboration cloud using Cisco's validated and tested solution and full management capabilities.

Mobile HCS provides mobile service providers with an easy and cost-effective way to offer collaboration from the cloud, thus extending services from "fixed" devices to mobile phones. For example, providers can virtually connect thousands of mobile users at a company with single-number reach, or enable customers to transition a call from a desk phone to a mobile phone while the call is in progress.

Customer Collaboration makes contact center capabilities more affordable and accessible by adding Cisco Customer Collaboration offerings to HCS. These offerings are available on a limited basis now and targeted for general availability in 2012.

Cisco is supporting CloudVerse with new cloud enablement services, whichcombine Cisco's professional and technical services expertise with those of a broad ecosystem of partners, allowing organizations to accelerate their cloud success and realize the full potential of cloud.

Wednesday, November 30, 2011

Global Cloud Index: the Evolution of Data Center Traffic

As 2011 comes to a close, many busy executives and IT managers will be pondering the continued adoption of cloud applications within their organizations. How can a business be adequately prepared for the anticipated increase in demand for managed cloud services? Moreover, what are the key related market indicators that are shaping the future of emerging business technology deployments?

The Cisco Global Cloud Index is an ongoing effort to forecast the growth of global data center and cloud-based IP traffic. The forecast includes trends associated with data center virtualization and cloud computing.

From 2000 to 2008, peer-to-peer file sharing dominated Internet traffic. As a result, the majority of Internet traffic did not touch a data center, but was communicated directly between Internet users. Since 2008, most Internet traffic has originated or terminated in a data center.

Data center traffic will continue to dominate Internet traffic for the foreseeable future, but the nature of data center traffic will undergo a fundamental transformation brought about by cloud applications, services, and infrastructure.

By 2015, one-third of data center traffic will be cloud traffic.

Global Data Center IP Traffic: Already in the Zettabyte Era

The Internet may not reach the zettabyte era until 2015, but the data center has already entered the zettabyte era. While the amount of traffic crossing the Internet and IP WAN networks is projected to reach nearly 1 zettabyte per year in 2015, the amount of data center traffic is already over 1 zettabyte per year -- and by 2015 will quadruple to reach 4.8 zettabytes per year.

This represents a 33 percent CAGR.The higher volume of data center traffic is due to the inclusion of traffic inside the data center (Typically, definitions of Internet and WAN stop at the boundary of the data center).

The global data center traffic forecast, a major component of the Global Cloud Index, covers network data centers worldwide operated by service providers as well as private enterprises.


Traffic Destinations: Most Traffic Stays Within the Data Center

In 2010, 77 percent of traffic remains within the data center, and this will decline only slightly to 76 percent by 2015. The fact that the majority of traffic remains within the data center can be attributed to several factors:
  • Functional separation of application servers and storage, which requires all replication and backup traffic to traverse the data center.
  • Functional separation of database and application servers, such that traffic is generated whenever an application reads from or writes to a central database.
  • Parallel processing, which divides tasks into multiple smaller tasks and sends them to multiple servers, contributing to internal data center traffic.

The ratio of traffic exiting the data center to traffic remaining within the data center might be expected to increase over time, because video files are bandwidth-heavy and do not require database or processing traffic commensurate with their file size.

However, the ongoing virtualization of data centers offsets this trend. Virtualization of storage, for example, increases traffic within the data center because virtualized storage is no longer local to a rack or server.

How does the transition of workloads from traditional data centers to cloud data centers effect the typical IT environment? Find the answer to this question, and learn more about the implications, by browsing the Cisco Global Cloud Index forecast data.

Monday, November 28, 2011

Cloud Storage Spending to Reach $22.6 Billion by 2015

Cloud computing demand will drive new IT spending over the next five years, as public cloud service providers and the adopters of private cloud solutions invest in the supporting infrastructure, according to a recent market study by International Data Corporation (IDC). Therefore, the leading managed cloud service providers have been busy expanding their service delivery platforms.

Overall spending by public cloud service providers on storage hardware, software, and professional services will grow at a compound annual growth rate (CAGR) of 23.6 percent from 2010 to 2015, while enterprise spending on storage for the private cloud will experience a CAGR of 28.9 percent.By 2015, combined spending for public and private cloud storage will be $22.6 billion worldwide.

"Despite current economic uncertainties, IDC expects cloud service providers -- both public and private -- to be among the most expansive spenders on IT products and services as they continue to build out their facilities worldwide and expand their service options," said Richard Villars, vice president, Storage Systems & Executive Strategies at IDC.

According to the IDC assessment, the most significant driver of storage consumption over the past three years has been the emergence of public cloud-based application and infrastructure providers. Many of these service providers act as content depots -- gathering, organizing, and providing access to large quantities of digital content.

Meanwhile, other cloud-based service providers have emerged with a focus on delivering IT infrastructure and applications in an "as a service" model. Collectively these companies have undertaken massive storage buildouts as they have expanded their service offerings, entered new markets, and extended their geographic reach.

In parallel to the expansion of the public cloud, many organizations have started to deploy their own private clouds for application, compute, and archival storage. Some of these private cloud deployments -- government and research sites -- are comparable in scope and complexity to public cloud environments, while others are limited in scope.

 Five information requirements are driving storage demands:
  • Enabling more efficient delivery of information/applications to Internet-based customers.
  • Reducing upfront infrastructure investment levels (i.e., cutting the cost and time associated with deploying new IT and compute infrastructure).
  • Minimizing internal IT infrastructure investment associated with "bursty" or unpredictable workloads.
  • Lowering and/or distributing the ongoing costs associated with long-term archiving of information.
  • Enabling near-continuous, real-time analysis of large volumes and wide varieties of customer-, partner-, and machine-generated data (Big Data).

To meet these diverse requirements, IDC believes that organizations will continue to demand access to low-cost storage capacity -- plus a growing range of complementary advanced data transformation, security, and analytics solutions.

"The challenge facing the storage industry will be to balance public cloud service providers' demand for low-cost hardware while boosting demand for advanced software solutions in areas such as object-based storage, automated data tiering, Big Data processing, and advanced archiving services," noted Villars.

"Big Data developments will be perhaps the most critical new marketplace for storage solutions providers in the coming decade. Providing a strong portfolio of complete Big Data solutions -- hardware, software, and implementation services -- will be a high priority to succeed. Similarly, a strong portfolio of active archival storage solutions will be a critical differentiator for private content or archive cloud deployments."

Monday, November 14, 2011

Increased Adoption of Telepresence and New Video Apps

Telepresence and other forms of advanced visual collaboration technologies are moving further into the mainstream of forward-looking business practices. This increase in adoption has been a global phenomenon, as more business leaders follow the numerous application examples of the early-adopters.

Infonetics Research released excerpts from its second quarter 2011 (2Q11) "Enterprise Telepresence and Video Conferencing" report. Their findings demonstrate the progress that's been made so far this year.

Their latest market study provides insights on market size, vendor market share, and analysis for PBX-based video phones and software, as well as dedicated video conference infrastructure and endpoints -- including immersive telepresence and software.

Forecast for Continued Double-Digit Growth

For the first 6 months of 2011, enterprise telepresence and video conferencing equipment revenue is up 24 percent year-over-year -- and according to the current Infonetics market assessment, they expect strong double-digit growth in 2011 over 2010.

"Growth will stay in double-digit territory through at least 2015, thanks to demographic and communication trends favoring video, increasing acceptance of video among users, and specific use cases like tele-learning and tele-medicine," notes Matthias Machowinski, directing analyst for enterprise networks and video at Infonetics Research.


 Enterprise Telepresence and Video Conferencing study insights include:

  • The global enterprise video conferencing and telepresence equipment market jumped 21% to $683 million between the first and second quarters of 2011, setting a record high for quarterly revenue.
  • Year-over-year (2Q10 to 2Q11), the market is up 34 percent.
  • Cisco, the leading vendor, sequentially increased its videoconferencing and telepresence system revenue 33 percent, and now holds over half the global market share.
  • Infonetics forecasts the enterprise telepresence and video conferencing equipment market to grow to $5.4 billion by 2015.
  • Dedicated multi-purpose room video systems make up over half the enterprise video equipment market now and will continue to be the biggest revenue-generator among enterprise video solutions.
  • Meanwhile, videophones are the fastest-growing segment of the market; they are the smallest in size.
  • Regionally, the strongest demand for enterprise video equipment is coming out of North America, China, India, and Brazil.

 
Design by Free Wordpress Themes | Bloggerized by Lasantha - Premium Blogger Templates