how are service providers helping their customers to deliver IT as a Service? Peter Glock – Orange Business Services 18 May 2011, presentation to Europe Future Internet, Budapest

2 contents 1. what our customers are experiencing 2. what does the future look like for end users 3. an example of how IT is changing the way it provides services 4. what behaviours are we seeing in the network space to support these services 5. what can service providers do to support their customers

3 the changing role of IT and the IT department “for an organization that has already optimized IT internally, the main route to further reduce IT costs and contribute to the business profitability is to turn to cloud computing provided externally” –many customers aim to remove operations from the IT department by mid-decade –IT has to manage the consumerization of IT i.e. the will for users to work anywhere, at any time, and with any device

what will the future look like for your users?

5 what the future will look like  users become consumers  the IT department needs to provide a homogeneous set of applications anywhere, any time, from any device  the future is hybrid: these applications come from different places: internal and service provider, public and private cloud

how can you get there?

7 cloud computing transforms your IT delivery model, technical impacts are only one part of the challenge a transformed delivery model, from ICT solution to service provider what impacts on my internal organization?  business alignment & service offerings  skills & competencies  suppliers relationship  business alignment & service offerings  skills & competencies  suppliers relationship what impacts on my technical existing environments?  infrastructures (networks, platforms, data centers)  IT applications  virtualization  security & performance  infrastructures (networks, platforms, data centers)  IT applications  virtualization  security & performance what benefits can I truly expect?  business improvement  economies (TCO, RoI)  regulatory compliance  be greener  business improvement  economies (TCO, RoI)  regulatory compliance  be greener how to define my target and how to measure and control?  architecture (public, private, hybrid)  service management level  commitments and SLAs  architecture (public, private, hybrid)  service management level  commitments and SLAs where do I start ? how do I integrate with my legacy IT ? how do I reach my target ?

8 presentation title a typical cloud customer journey DESIGN IMPLEMENT MANAGE & OPTIMIZE CLOSE 456 architecture design transition service managementreversibility 7 Target ICT architecture Transition scenario Business model SLA definition Project portfolio Transition implementation Governance dashboard Communication & training Project management Operations & support Customer care Capacity management Services closing Services transfer out Continuity ensuring commercial proposal accepted Interviews/workshop Information analysis Scope definition Executive meeting Agreement to continue Discovering tools Technical assessment Business impact analysis Gap analysis Feasibility demonstration Critical success factors Improvement 123 cloud readiness assessment specific assessments proof of concept ASSESS DESIGN IMPLEMENT MANAGE & OPTIMIZE commercial proposal RFI customer needs

9 cloud readiness assessment domains demand management incident management monitoring / reporting capacity management service management security constraints data protection identity & access management security policy regulations & laws commitments & SLA hosting contracts outsourcing contracts critical business process critical competencies IT carbon footprint benefits & costs business & HR impacts contracts analysis LAN & WAN mobility flow rates protocol filtering network map servers & workstations DB, middleware & OS licenses application performance virtualization eligibility applications inventory applications lifecycle applications interlink volumes of data critical applications map

10 example - data center consolidation in Asia beyond consolidation, a true IaaS transformation consolidation of 4 Datacenters into 1 regional Datacenter in Singapore transformation from DIY IT management to Cloud IaaS Service Delivery DC Consolidation and Transition professional services a consistent service catalog + a « pay per use » pricing model managed services for virtual and physical servers + storage/backup services a self-provisioning portal adapted SLA (Bronze, Silver, Gold) scope client benefits Orange solution operational costs reduction state of the art DC infrastructure without having to invest improved & standardized SLA in Asia smooth transition to reduce risks

11 integration and customization of multiple elements to deliver an applications catalogue Orange Networks Orange access Orange Private Cloud Customer Private Cloud Public Cloud by ORANGE PrivateApplicationsStore

12 let’s not forget the network  users don’t care if it is the Cloud provider, the network provider, or the end point service provider that is at fault, it should ‘just work’  many applications need tightly defined network performance (voice, video…)  differentiation of performance required for interpersonal, person-to-machine and machine-to-machine applications  for some applications and/or some situations, the ‘dumb’ internet is good enough  for some, an end to end SLA is required  we see several behaviours…

13 …let’s not forget the network 2  Cloud providers fight to connect at the ‘best’ Tier 1 peering points, globally  customers procure public Cloud services then connect via private networks with network SLA if/when/where the public internet is not sufficient  interconnects between Cloud service providers and application aware network service providers  network service providers provide Cloud services directly  network service providers act as integrators in Build, Operate, Transfer projects to create a Private Cloud to their customers  network service providers provide (private/public/hybrid) Cloud services as a managed service

14 the question is not “which is the best way?” but “how can I get the best mix of all the options?” conclusion  cloud computing can help transform IT departments to support business objectives  it’s a journey, service providers can help you navigate your way from consulting, through integration, into managed services  hybrid infrastructures will be the normal way of providing service in the future  the network is a vital part of delivering service to the end user  benefit from the experience of the service providers you already do business with

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