1. Challenges in the Commercial Adoption of Grid Computing Technologies Ian Osborne Project Director Intellect, London +44 20 7331 2054 +44 7793 258219 ian.osborne@intellectuk.org

2. 18/9/2006www.gridcomputingnow.org2 Agenda  Grid Computing Now! Project Overview  Progress to date  Our pitch  The “Playing Field”  Plans  Is the game changing?  Summary

3. 18/9/2006www.gridcomputingnow.org3 About Grid Computing Now! A Knowledge Transfer Network project funded by the DTI Technology Programme aimed at transferring knowledge about Grid Computing Technologies to Public and Private Sector Users in the UK. Partnership between Intellect, the UK Hi-Tech Trade Association; National e-Science Centre, a world leader in Grid Computing research; and CNR Ltd, a consultancy focused on SME organisations and business intermediaries. Substantial number of industrial, business user and academic partners

4. 18/9/2006www.gridcomputingnow.org4 Grid Computing Now! Objectives 1.Establish wide understanding of the potential of Grid Computing particularly among the IT user community 2.Accelerate the recognition of requirements and issues for Grid Computing 3.Prepare the UK ICT industry, users and government for Grid Computing 4.Follow through the e-Science Core Programme vision The KTN will engage: IT and business leaders, policy makers in central government, regional government, regional development agencies and the devolved administrations, specialist grid suppliers, service providers and e-Science experts.

5. 18/9/2006www.gridcomputingnow.org5 Grid Computing Now! Progress to date… Website Background Information Industry News/Events User Case Studies Events programme Technical Overviews Multiple vendor perspectives Featured Case Studies Sector Agenda Healthcare; Government; Telecoms; Services; etc.. User Community Network with peers Find useful contacts Contribute experience Some Key Facts: 3 yr, £1M/$1.8M Funding Leading suppliers engaged Website live August 2005 >500 network members 80% Business #27 Google “Grid Computing” 600 unique visits/month 90% Returning members Average visit duration >5mins 14 Case Studies 6 Invited Industry Talks >20 Target Media Articles

6. 18/9/2006www.gridcomputingnow.org6 Why Grid Computing? What is Grid Computing and the capabilities it holds for business? –Grid computing harnesses the massive processing power made possible by distributed computing and applies it to business problems. –It does this through virtualising computers, storage and networking resources such that a grid appears as one large computer. –A grid computing infrastructure is capable of managing large peaks of work; managing large amounts of processing and automatically adjusting capacity to meet workload. –When this infrastructure is combined with business systems that allow users to describe their processes, substantial benefits can be obtained. What benefits does Grid Computing bring to users? –Improved Return on Assets –Increased Scalability –Business Flexibility & Agility –Managing IT Complexity

7. 18/9/2006www.gridcomputingnow.org7 But today’s data center IT architecture can’t deliver a service effectively Email Retail Manuf. ERP CRM Servers Storage Database Trans. proc. Web host. File/print Infrastructure/Mgmt./ Security Payroll Business Processes

8. 18/9/2006www.gridcomputingnow.org8 Email Retail Manf. ERP CRM Servers Storage Database Trans. proc. Web host. File/print Infrastructure/Mgmt./ Security Payroll Business Processes Establishing Business Process Management Federated Data & Information Collaboration/Messaging Virtualized Storage Virtualized Processing Virtualized Infrastructure Service Level & Resource Management Security Management Interface & Access Packaged Apps – ERP CRM HR In- house, 3 rd party compo- nents Custom Apps, Busines s Rules Business Rules & Functionality Business Processes Business Monitoring, Analysis & Decision-Making Integration, Event & Deployment S O I S O A B P M

9. 18/9/2006www.gridcomputingnow.org9 IT Leadership’s Top Issues Service Continuity Security Compliance More with less Power and Cooling Aligning IT with Business Critical Skills Supplier Management Outsourcing, off-shoring and on- shoring IT on the Board Technical Strategy

10. 18/9/2006www.gridcomputingnow.org10 Implementation Challenges Overcoming the Market Confusion! It’s not just hype! Different Business Drivers Where is the ROI? Who’s server is it anyway? System planning Network, storage, processors Middleware or application server? In house, outsource or vendor? Migration strategy Legacy encapsulation or replacement? Cost model Accounting License management

11. 18/9/2006www.gridcomputingnow.org11 Grid Computing Now! Plans … Strategy:  Engage & Influence IT leadership in Sectors with potential  Identify more success stories!  Seize initiative on critical issues  Capitalise on collaborative R&D progress  Generate media attention  Energize community of Grid enthusiasts, experts Sector Agenda Pilot Projects: Government Infrastructure Healthcare Transport Leverage Collaborative Projects Technical Events Webinars Face to face Showcase events Media Case Studies Competition Industry platforms

12. 18/9/2006www.gridcomputingnow.org12 Starting The IT Transformation LOW Today200520062007200820092010 HIGH Transformation Remove waste, Reclaim Capacity, Manage Demand Consolidation / Standardization Capacity dynamically sourced Virtualization and Provisioning Management as a discipline Asset Optimization Service-oriented architectures Service-oriented Infrastructures Grid

13. 18/9/2006www.gridcomputingnow.org13 Oracle & non-Oracle based Legacy Applications Channels SOA Vision Business Hub Oracle Applications Composite Applications Workflows Business logic Business Rules Data access Transformation Reusable service components Orchestration Integration Platform receive getSSN invoke FLOW select SCOPE receive review end getRating BPEL Workflows receive getSSN invoke FLOW select SCOPE receive review end getRating receive getSSN invoke FLOW select SCOPE receive review end getRating

14. 18/9/2006www.gridcomputingnow.org14 Software Licensing It used to be simple! One computer, one license -scaled by processor or number of users Not any longer … -Virtual stacks, moving around -Multi-core processors -Potential for on-demand, utility style dynamic capacity What’s the situation?

15. 18/9/2006www.gridcomputingnow.org15 Marketplace confusion Related stories Software rental firm targets SMBsSoftware rental firm targets SMBs (23 August 2006) IBM prepares to make per processor software pricing proprietary (27 July 2006) Open Source for the Enterprise (8 January 2006) Oracle begins Phase IV of per processor pricing offensive (20 December 2005) Microsoft to shelve per processor prices for users willing to get virtual (11 October 2005) BEA gives up on dual-core pricing confusion (23 August 2005) VMware greets new dual-core chips with old world licensing (18 July 2005) Oracle processor core pricing a comedy of fractions (15 July 2005) IBM prepares to make per processor software pricing proprietary Open Source for the Enterprise Oracle begins Phase IV of per processor pricing offensive Microsoft to shelve per processor prices for users willing to get virtual BEA gives up on dual-core pricing confusion VMware greets new dual-core chips with old world licensing Oracle processor core pricing a comedy of fractions Per processor/core used by some –e.g. Oracle –IBM Power Value Units, scaled by processor power Per “socket” used by others Multiple concurrent use per “system” agreed by MS (*4) Site licensing a work around Software as a Service (SAAS) looms into view, e.g. Salesforce.com Linux/Opensource, an alternative But, surely, metering and usage accounting would be best? –E.g. IBM purchase of CIMS Some clarity of thought is required here, led by the Users and their needs!

16. 18/9/2006www.gridcomputingnow.org16 IT Architecture Trends Resource Sharing Flexibility Range of solutions Infrastructure Consolidation Virtual Computing Service Oriented Architecture Web Services

17. 18/9/2006www.gridcomputingnow.org17 The Internet, Web & Open Standards are a new wave Assembly of Services Applications Business scenarios defined within applications Event Driven Business Scenario Services Today’s worldService Oriented Enterprise Processes and business scenarios “hard-wired” within applications Hard to make business connections necessary to change and improve processes IT’s speed of change is limiting factor on business speed of change Extraction of business scenarios and processes from application landscape Clear focus on defined services, which are reusable through an assebly of services Internal and external users get better access to data in different systems

18. 18/9/2006www.gridcomputingnow.org18 Rethinking the role of IT in your enterprise Ad Hoc Interactions Operational Departments (“The Rims”) Enterprise Operations (“Enterprise Hub”) Enterprise Procedure (“Spokes”) Departmental Process 1 2 3 Inter- Enterprise Procedure 5 4 5 Understanding the Hubs and Spokes 1.Enterprise Operations: The “Hub” of critical corporate data management and maintenance for CxO level use, auditors, etc… 2.Enterprise Procedures: The “spokes” serve as vehicles for delivering data across the company, typically already exist via current ERP systems 3.Operational Departments: The “rim” sees many new department specific processes defined by day-to-day activities 4.Departmental Process: Essential to individual departments, they provide more value to business owners than to the Enterprise 5.Inter-Enterprise Procedures / Ad Hoc Interactions: Additional processes developed to manage daily interactions/ requirements

19. 18/9/2006www.gridcomputingnow.org19 The World is Changing Fast … Software as a Service Salesforce.com Microsoft Software Vendors Service Hosting Google, Microsoft, Amazon Outsourcing SWITCH

20. 18/9/2006www.gridcomputingnow.org20 Summary The adoption of Grid Computing Technologies is progressing: 1.Virtualisation 2.Service Oriented Architecture 3.Web Services The bandwidth of the IT Director for new technology is limited by: 1.Operational pressures 2.Budget limits/Legacy Infrastructure 3.Limited Skills and Capacity 4.Change Management issues There are some challenges … but is it possible that a Web-centric Services model might replace all?

21. 18/9/2006www.gridcomputingnow.org21 Acknowledgements John Barr, Intel Paul Butler, IBM John Easton, IBM William Fellows, The 451 Group Mark Linesch, HP/GGF Andy Mulholland, Capgemini Dave Pearson, Oracle Vernon Turner, IDC DTI Innovation Group Intellect National eScience Centre UK eScience Community Grid Computing Now! Team Dave Berry Gillian Law Shaheed Mohammed, Tradermedia Mark Simpson, Griffiths-Waite

22. Thank You! Ian Osborne Intellect Ian.Osborne@Intellectuk.org www.gridcomputingnow.org