epldt Cloud Services 4 th National ICT Summit National ICT Confederation of the Philippines (NICP) GENSAN, November 4-6, 2011 Sonny Valdez CTO, epldt
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1 epldt Cloud Services 4 th National ICT Summit National ICT Confederation of the Philippines (NICP) GENSAN, November 4-6, 2011 Sonny Valdez CTO, epldt
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7 Philippines = 26.75M users (26.78% of population) 7
8 The FOUNDATION VITRO Internet Data Center NETWORK VITRO #2 VITRO Pasig VITRO #3 VITRO #4 8
9 epldt s NEW MODEL IT INFRASTRUCTURE UTILITY + Software Vendor Partners Cloud Services Business Solutions Software World-class Data Center Platform Nation-widest Network Infrastructure 9
10 What recent studies are saying Cloud Computing is a game changer; it is the next major platform for the computing industry. Software as a Service is already in the rapid growth phase. Iaas, PaaS and SaaS have a proven and tested delivery mechanism. The greater percentage of proven components in these technologies delivers greater dependability, which means firms don t have to wait to use them. Public Cloud Computing may be used effectively today by SMEs. Public Cloud appeals more to SMBs because of its pay-as-you-go cost structure and its potential to act as an equalizer relative to larger enterprises. 10
11 Benefits of Cloud Computing Reduced costs CAPEX to OPEX conversion Reduction of IT maintenance costs Free-up IT staff from performing updates, installing patches, or providing application support FAST provisioning. Improved speed to market. No need to wait days for equipment delivery, and weeks of installation. Elasticity and Scalability. Agile use of IT resources. Anytime + Anywhere access to apps and data = Work Anywhere Environmental benefits Data can be stored in facilities that minimize energy usage. Fewer servers means reduction in the power required to operate and cool them. This helps to minimize a company s carbon footprint. 11
12 epldt will be your IT Utility epldt/pldt is the Digital Enabler to local business and your Partner in using IT to achieve your goals: To enable your organization to achieve more with less To increase competitiveness and productivity, and To enhance the customer experience. epldt+pldt+smart going through internal journey Optimizing IT resources, freeing-up datacenter space, and leveraging the network of datacenters epldt will be the internal IT Utility to the Group epldt will be your IT Utility Datacenter and Cloud services IT infrastructure as a service (opex) not as a product (capex) 12
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16 BACKUP SLIDES 16
17 Cloud is a DISRUPTIVE Technology Performance Cellphones + Mobile internet Friendster, MySpace, Facebook, Twitter Broadband + WiFi access IM + chat, ICQ, AOL, Yahoo, MSN High Performance DoubleClick, Google Ad Words ( ) Google, search engines ( ) Browser wars ( ) WWW ( ) ( ) Internet (Disruption Can Take 3 Years or 30 years) Market Disruption Low Performance Time Chart inspired by Clay Christensen: The Innovator s Dilemma 17
18 Cloud is a DISRUPTIVE Technology Performance Jump! High Performance Cloud Low Performance Internet (Disruption Can Take 3 Years or 30 years) Disruptive Innovation Time Timing the jump is critical to remain competitive. Chart inspired by Clay Christensen: The Innovator s Dilemma 18
19 Cloud Computing $$$ Forecast
20 Cloud Computing Market Size Estimated Cloud Computing Revenue by Company Size, , In billions Php Estimated Total Market Revenue of Php3.4B from 2012 to 2014 Estimated Cloud Computing Revenue by System, , In millions Php *All figures are based on statistical estimates and are indicative figures of the actual market size. * All calculations are based on survey result s budget allocations. *Due to low level of IT maturity and lack of cloud awareness of companies, projections should be revisited after 6 months. 20
21 Cloud Computing Market Size Technology Preference, Metro Manila, 2011 Small and Medium Enterprises 61% 51% 33% 20% Large Enterprises 19% 15% % of Businesses using or already implementing cloud computing within 2011 SME: less than 8% LE: less than 6% Migrate to the Cloud Status Quo Upgrade to Legacy System More than 50% of all businesses (both SMEs and LEs) are interested and prefer cloud computing technology. 21
22 Delivering Cloud Services Gartner predicts that, due to Virtualization and Cloud Computing, by 2012, 20% of businesses will own no IT assets. Cloud Services Business Solutions + Software Vendor Partners Software World-class Data Center Platform Nation-widest Network Infrastructure 22
23 Some Conclusions Several ways that companies can gain efficiencies through Cloud Computing: Companies can economically host applications with potential security issues outside of their secure, internal network at a trusted vendor to reduce their risk exposure. Companies that need to purchase a specialized application that is not compatible with their internal system configuration standards (and would therefore be more expensive to support) may choose to run it in the Cloud at a trusted vendor for less than they could host it themselves. Large system migrations may be rendered less disruptive by using the Cloud to ramp up capacity to a level where the new and old systems can be run in parallel as traffic is slowly migrated to the new system, or quickly migrated back to the old if problems are encountered. Many large companies currently incur the costs of a 3 rd party data center at a remote location for Disaster Recovery (DR). Companies can benefit greatly from a cloud-based DR facility not just from the reduced cost structure, but also from the simplification of maintenance. Normal DR best practices should be followed, such as periodically testing a recovery, etc. As Cloud-oriented malware evolves, so will Cloud Security products to counteract it. The increasing volumes of valuable business data concentrated together in Cloud providers sites will certainly stimulate hackers and web-vandals to achieve new heights of creativity, and equal creativity will be required to counteract their actions. 23
24 Caution! NO CLOUD IS PERFECT 24
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