CLOUD COMPUTING AND THE GOVERNMENT PP290 12/8/2011 Yusuke Kato 1

Agenda 1. Understanding cloud computing 2. Cloud computing and the government US Government Japanese Government Summary 2

Understanding cloud computing 3

 A good example of cloud computing is Google Docs.  You don’t need to buy a CD-ROM and install it in your computer.  Just access to Google’s server via Internet.  Write and save files in Google’s server.  It’s like borrowing Google’s server and application. 4

 Traditional service is like building a house.  Cloud computing is like renting an apartment. 5

Why is cloud computing cheaper?  Servers are not fully utilized. Average utilization rate is below 10%. Time Utilization rate 6

Virtualization 10% “Virtualization” has made it possible to use this portion for other purposes. 7

Economies of scale  By aggregation, hourly demand levels off.  Cloud providers achieve efficiency by deploying large-scale servers. 8

Characteristics of cloud computing  Speedy service  Low cost  Flexibility  Security concerns 9

Major providers  Amazon, Rackspace, Microsoft, Google, Salesforce, IBM, etc.  Some provide application services in addition to lending servers (called SaaS). 10

Public cloud versus private cloud  Public cloud Standard cloud model explained above.  Private cloud Operated solely for a single organization over the Intranet. Not connected to the Internet. So it’s Secure. 11

 Private cloud (cont.) Companies have to buy, build, and manage servers by themselves. Economies of scale decrease. 12

Cloud computing and the government 13

US Government Federal cloud computing strategy (2011)  Federal Government’s IT spending is currently $80 billion. $20 billion is a potential target for migration to cloud computing. Federal Data Center Consolidation Initiative (2010)  Out of current 2,100 data centers, a minimum of 800 should be eliminated by

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Source: General Services Administration (GSA), available at: 16

Japanese Government Kasumigaseki Cloud Project  Private cloud model.  Basically consolidate all servers.  Consolidate as many operating systems as possible.  Consolidate applications that have similar features across ministries. 17

Server OS Application Server OS Application Server Kasumigaseki Cloud Ministry AMinistry B Similar applications 18 Ministry B has to change workflow

Summary  US Government Hybrid of public and private cloud Incremental approach  Japanese Government Private cloud Drastic approach (is it feasible?)  Another “make or buy” issue 19