Why Enterprises Choose Private Cloud

Transcription

1 Why Enterprises Choose Private Cloud IT IQ Intelligent IT Infrastructure solutions that take your business to a higher level. Connectivity Colocation Managed Hosting Cloud Enabling Private Clouds for the Enterprise Issue 1 Featuring research from 1 2 Introduction 3 Gartner: Private Cloud Computing Ramps Up in Evaluating Private Cloud Solutions TM

2 Introduction The potential advantages of cloud computing are well documented. If designed and provisioned properly, cloud deployments can lower capital and operating costs, increase flexibility, and improve service levels. Private cloud deployments are particularly important because they increasingly represent an enterprises first step toward the ultimate goal of dynamically matching IT service demand with IT service supply; a concept Gartner termed real-time infrastructure in the enclosed Gartner research report. This research might serve as a useful starting point as you consider deploying a private cloud. Several important questions are asked and answered including: How quickly are enterprises adopting private cloud as part of their IT infrastructure? What variables determine the ultimate success or failure of a private cloud implementation? How should a private cloud deployment influence an enterprises overall data center strategy? From Internap s perspective, we firmly agree with Gartner s recommendations that enterprises should be wary of vendors offering a cookie-cutter approach to private cloud implementations and with Gartner s position that companies should examine the extent to which a service provider is investing in their infrastructure, processes, and technologies that support a comprehensive cloud strategy. We also believe that private cloud deployments should consider the applications performance and availability attributes all the way to the end-user. Since 1996, Internap has successfully delivered high-performance, highlyreliable IT infrastructure services to thousands of customers. Our entire business model, from the technologies and services we develop and sell, to the processes and people we employ, is built on providing the best performance, availability, and support to our customers. We continually invest significant resources in our platform of premium datacenters, cloud and hosting technologies, portfolio of intelligent connectivity solutions, and staff to ensure that we can continue to live up to this commitment. In 2010, we opened an additional 30,000 square feet of performancecentric data center capacity designed to N+1 redundancy standards for power, cooling, and connectivity. With almost 40 percent of our data center footprint deployed within the last three years, we enable our customers to provision scalable private cloud solutions with power density requirements up to 12 kw per cabinet. We also recently brought to market a number of enhancements to our managed services and performance connectivity capabilities that increase the utility of our services to our private cloud customers. These enhancements range from a broad footprint roll-out of our TCP acceleration service, XIP, to the launch of our open- source based Internap Cloud Storage. The common thread is our focus on features and functions that improve performance and increase reliability for a better end-user experience in the cloud. We recognize, however, that elegant technologies and reliable planning don t substitute for a service provider s attentiveness and willingness to collaborate. We also know that every organization s approach to achieving their IT infrastructure objectives is different. Therefore, our commitment to service extends from the design consultation stage where our sales engineers help our customers determine what solutions fit with their broader data center and cloud strategies, through implementation and ongoing support. Beyond the information you discover within this note, we invite you to engage with our team to understand how Internap can deliver value at every stage of your IT organization s evolution toward the cloud. We re looking forward to hearing from you. Paul Carmody Sr. Vice President, Product Management and Business Development Internap Network Services Corporation 2

3 Research from Gartner Private Cloud Computing Ramps Up in 2011 Data center executives are showing a definite interest in pursuing a private cloud computing strategy through 2014, and client inquiries and polls are also showing that many early deployments are already in place. Feedback from data center executives is that 30% more enterprises plan to invest in private cloud computing in Key Findings While test lab automation software has been on the market for years and would be considered an early private cloud solution, the broader private cloud computing vision for all of IT is still a new concept supported by relatively immature technology solutions. Gartner polling data shows that approximately one-third of IT organizations already having implemented private cloud computing solutions will be a significant year for private cloud computing, with an additional one-fourth to one-third of larger enterprises starting to make investments. Most organizations are incrementally implementing private cloud computing, rather than wholesale rip-andreplace of their IT architectures. Recommendations Develop your data center strategy with private cloud computing in mind, inclusive of resiliency, resource acquisition (internal, external), and IT service and workload management strategies. Develop a private cloud strategy that can extend into future hybrid models, with service provider interoperability as a goal to achieving resource acquisition flexibility. A private cloud computing initiative should focus on people and process issues first, including designing applications for private cloud computing don t let technology lead this initiative. Starting small with private cloud initiatives is a good idea as long as it doesn t preclude the longerterm vision enabled by it. WHAT YOU NEED TO KNOW Private cloud computing is emerging from the hype and turning into very real implementations 2011 will be an especially big year for proofs of concept and implementation. Technology solutions are still relatively incomplete and immature, and clients should be cautious to focus on private cloud computing s larger vision and goals, as well as the fundamental prerequisite process changes, management changes, cultural changes, customer relationship changes, etc., ideally first, or at least in parallel with small technology deployments. STRATEGIC PLANNING ASSUMPTION(S) Through 2014, IT organizations will spend more money on private cloud computing investments than on offerings from public cloud providers. ANALYSIS All indications are that private cloud computing is shifting from concept to early implementation, and expanding at a rapid rate will be a very big year for private cloud success stories and failures. Critical success factors include having a far-reaching strategy with customer and executive buy-in, avoiding being vendor- or technology-led, and starting small, but ensuring that fundamental process, management, business model and funding changes are being solved in advance or in parallel. A key problem is that many vendors are selling private cloud computing as a set of technologies that removes IT organizations from having to invest in cultural, governance and process changes. Organizations that follow these vendor guidelines without these prerequisite investments will fail at private cloud computing. 3

4 Pursuing Private Cloud as a Strategy At Gartner s Data Center Conference in December 2010, 655 attendees in a keynote session responded to a poll asking, Will your enterprise be pursuing a private cloud computing strategy by 2014? (see Figure 1). This poll was taken in a keynote session with more than 2,000 attendees (however, polling devices were limited). The Data Center Conference tends to draw a high percentage of CIOs and data center executives decision makers about data center direction. A full two-thirds say they have pursued or are pursuing a private cloud computing strategy by 2014, with only 10% saying they will not. Analysis: Private cloud computing is a relatively new term (about three years), but the concepts behind private cloud computing are not. Test lab automation, for example, has been around since the late 1990s, and while not called private cloud in those days, today it is considered an early example of private cloud computing, and one in which many enterprises start their investments. In addition, Gartner first introduced the concept of the real-time infrastructure (RTI) in 2001 and its concepts of dynamically optimizing IT service demand to IT service supply are embedded in private cloud computing. Private cloud computing is an evolution of RTI, and leverages RTI concepts. Gartner surveys and conversations with clients since 2001 have shown a gradual increase in client plans to pursue an RTI vision. However, Figure 1: Gartner Data Center Poll on Private Cloud No 10% Maybe 24% Directions Through 2014 achieving dynamic data center optimization has been a dream versus reality for most enterprises today, simply because it is so hard to enable with today s technology. Enter cloud computing to the scene with an easier proposition optimize pools of resources for specific use cases and services where usage is somewhat transient, meaning that resources can be consumed and then reused for others making similar requests. In this case, private cloud computing goes beyond virtualization (which already increased resource utilization rates) by enabling users to self-request standard services (with a timeline associated with them) and automate the delivery of the resources dynamically, thus getting people out of the process of service delivery, albeit for just those Yes 66% Source: Gartner (December 2010) frequently requested services. As a result, private cloud computing starts to make RTI real for some services, in specific defined use cases. The broader data-center-wide RTI vision, including elasticity at the IT service level, will remain elusive for some time. In parallel, virtualization has emerged (especially since 2001 on x86-based servers) as a fundamental mechanism for allocating and managing data center resources. Roughly 30% of all x86 server workloads are now running in virtual machines (VMs). Large enterprises, in particular, see virtualization as a foundation on which to build a private cloud. In many ways, private cloud computing has evolved from existing data center modernization initiatives; it has 4

5 evolved as a defensive response to external cloud computing hype, and it has adopted the momentum of existing virtualization initiatives. Based on conversations with clients and miscellaneous small polls, it also appears that many midmarket companies perceive private cloud computing as a natural evolution of their virtualization efforts. In most cases, these midmarket companies do not require a fully abstracted services catalog, or perhaps they can bypass metered usage but they may still be pursuing many of the RTI/private cloud concepts as a next step. Through 2014, IT organizations will spend more money on private cloud computing investments than on offerings from public cloud providers. Gartner recommends that enterprises put together a living strategy that encompasses the data center, cloud computing, private cloud computing and interoperability. IT organizations like the idea behind hybrid cloud computing having visibility of IT service delivery whether processing internally or externally. However, an important point to remember is that future flexibility will also depend on your application strategy the design and architecture, and whether they are built to be moved between or processed in multiple data centers. That s why data center and application design must be part of the overall cloud computing strategy. Gartner also recommends that organizations avoid being technology- or vendor-led private cloud computing requires fundamental changes in how organizations manage, work with customers, deal with services, automate, fund and charge for services. Immediate Plans With Private Cloud Computing At Gartner s Data Center Conference in December 2010, 81 attendees in a break-out session responded to a poll asking, Where are you with private cloud computing? (see Figure 2). More than one- third of the respondents have already implemented Figure 2: Where Are You With Private Cloud Computing? Don t know No plans 2012 Plans 2011 Plans Implemented 5 14 some form of private cloud computing services 19% in a production role and 16% in development/test or other nonproduction use case. Perhaps most importantly, 30% of the respondents plan to implement in Matching the previous poll, only 14% have no plans (roughly matching the 10% that had no plans in Figure 1). Analysis: While this is a relatively small poll, the attendees tend to be data center decision makers and IT executives in larger enterprises the results in this poll also match information from client inquiries. These results show a surprisingly rapid ramp-up to private cloud computing. For at least the larger and more 16 D/T N-P Production Percent D/T = Development/test N-P = Other nonproduction 30 Source: Gartner (December 2010) 5

6 leading-edge enterprises, it seems to provide a reasonable indication that private cloud computing is rapidly moving from strategy to implementation very quickly. Roughly half of the respondents who said they had implemented something already had implemented in a nonproduction mode. This is very similar to how larger enterprises tended to introduce virtualization first in development and test (where rapid provisioning and deprovisioning was important), then with less-critical workloads, etc. Test lab automation has been around since the late 1990s, so we expected many in the audience to already have implemented private cloud computing for nonproduction workloads. What surprised us was that 19% of IT organizations were implementing private cloud computing in production, suggesting that the attendees of the conference were somewhat an advanced audience. Examples of production use cases we see and get inquiries from our clients about include frequently requested Web environments, database management system (DBMS) environments and collaboration environments (e.g., SharePoint as a service). However, many of these production deployments were also very small in nature, effectively testing the concept before broader rollouts. While deploying in an incremental and evolutionary way is usually the most cost-efficient (and best) way to find unexpected requirements, behaviors and impacts, it can also be dangerous. Case in point are unhealthy virtualization environments. Some enterprises allowed virtualization to expand without fundamentally changing their storage architecture or storage management processes, their operational processes, their IT governance model and policies for resource acquisition, or their core management tooling. These organizations found that they had to spend much more to re-engineer their architectures and processes after the fact to deal with growing virtualization (and storage) sprawl. Effective virtualization deployments deal with the management and process issues first, or at least in parallel with their virtualization deployments. The same issue can occur with private cloud computing. Starting small is a fine idea, but an effort to redesign funding models, service relationship models, management tooling and operational processes should be started at the same time. If one of the reasons to deploy a private cloud is to avoid having customers use credit cards and buy services externally, it could be equally a problem if enterprises rapidly flock to an internal private cloud that doesn t have the requisite management and operational changes surrounding it that are needed to make it an effective solution. Start small, but plan ahead and be proactive, so that your early efforts can fit into the larger vision of cloud computing and its benefits. The other data point in this poll that s important is the fact that 30% of the respondents plan to implement starting in Given the fact that vendors have ramped up their marketing around private cloud computing in many cases, around technologies that simply can t deliver on the promise yet there is plenty of danger here. Clients should be very cautious of vendor claims of turnkey private cloud solutions, and ensure that any deployment has a proactive plan for operational processes, management, expansion and interoperability with public cloud providers at some point in the future. A strategy, executive buy-in, strong leadership and excellent communications with end customers are critical success factors. Bottom Line Private cloud computing is emerging from the hype and has turned into very real implementations; moreover, we expect implementations to double in Technology solutions are still relatively incomplete and immature, and clients should be cautious to focus on the fundamental business model, process changes, management changes, cultural changes and customer relationship changes first, or at least in parallel with small technology deployments. Research from Gartner RAS Core Research Note G , Thomas J. Bittman, Donna Scott, 3 March

7 Internap Evaluating Private Cloud Solutions We, at Internap, agree with Gartner s analysis that private cloud deployment is moving into a new phase of the adoption curve and will experience significant usage growth across the enterprise. Proven Value Private cloud computing is quickly emerging as a proven and preferred technology model for many IT organizations. IT professionals are familiar with virtualization technologies and the early use of private cloud computing from test lab implementations. For CIOs and IT management, private clouds represent an evolutionary approach for deploying business-critical and business-sensitive applications. Many enterprises are hesitant to deploy business-sensitive applications in the public cloud environment leaving the door option to a private cloud solution instead. They may have concerns over shared security or the shared performance of the physical server, or they may have strict compliance requirements that preclude a public cloud computing option. Private cloud solutions, whether on-premise or outsourced, provide more control and perceived security from the perspective of a dedicated platform environment than their public cloud counterparts. In addition, private cloud environments can be designed with more flexibility and greater configuration options. Significant Contrasts The debate over the appeal of private cloud versus public cloud environments can take place on a number of levels. Whereas public cloud computing platforms provide maximized economies of scale with utility-based billing and utility-based usage models, private cloud solutions represent a powerful, dedicated solution tailored to the unique challenges of individual enterprises. There is a bright future for multi-tenant cloud architectures; however, their real-world application today is often for short-term projects where development resources can scale up and down rapidly without much cost, or for placement of lower-value applications. Solving Challenges Private cloud architectures are designed to solve a number of complex business and technology challenges. Private cloud solutions expand on server and resource virtualization to create resource pools that can be scaled and allocated more efficiently. In addition, private cloud solutions represent a dedicated platform where, at a minimum, control at the operating system/virtual level is maintained. Because of this control, private cloud users are likely familiar with the solution s hardware and network infrastructure. Today, this same level of visibility and control is more limited for public cloud computing users. In-sourcing Limitations The decision whether to in-source or outsource an infrastructure solution often is based on a desire to reduce capex burdens, to utilize a level of expertise that is lacking in-house or to reduce management burdens associated with hardware and network infrastructure. However, another question to ask when evaluating an in-sourced versus outsourced model is, How can we architect a private cloud solution that utilizes technologies and processes that can improve IT s overall business contribution? No longer can IT solutions operate in a vacuum and perform a basic technological service. Enterprises must consider the broader question of how IT solutions will increase revenue or cut costs, either directly or indirectly. The challenge for the in-sourced private cloud model is the lack of complementary innovative technologies that can fulfill a broader strategic objective. The most critical technology gaps organizations in this situation will encounter include the lack of visibility and network control from the private cloud platform to the end user. Superior Designs The network beyond the private cloud infrastructure represents the area of least control and potentially the greatest risk for enterprises. Availability and performance of any private cloud implementation is only as good as the network quality upon which the solution depends. 7

8 For enterprises considering a private cloud solution, there is an opportunity to design a superior solution that encompasses an endto-end approach from the private cloud platform to the end user. Availability is always a chief concern. Most enterprises attempt to address the inherent shortcomings in a single carrier by multi-homing their network to two or more carriers. This carrier connection diversification or spreading of the risk, is a simplistic approach to achieving a greater-than-default level of performance. Multi-homing, however, is not a preferred solution because it brings additional responsibilities and requirements. Connections must be maintained, relationships must be managed and efficient routing must be facilitated in-house. Multi-homing doesn t give visibility into the network to understand latency, packet loss, route stability and congestion. The opportunity rests is in using technologies that address the Internet s shortcomings to drive higher availability and performance levels. This is done by using technologies that address the performance limitations associated with Border Gateway Protocol (BGP), TCP and latency/performance degradation associated with distance. A network-based solution that can rewrite the parameters of TCP and allow for a faster, more sustained rate of communication ensures that file delivery is optimized (i.e. accelerated) and the end user s expectations are satisfied. A second layer of improvement is to leverage a route optimization capability that improves on BGP and routes traffic over the best available carrier path. Taking advantage of an application acceleration service in conjunction with a route optimized delivery platform ensures that traffic reaches its destination in the most efficient and expedited manner possible. These services, working in tandem with a private cloud solution, can provide the necessary holistic approach that creates a compelling end-user experience and thus, contributes to higher customer satisfaction and increased sales activity. Simplified Design and Implementation Enterprises are increasingly deploying sensitive business-critical applications into a private cloud environment. These applications will likely have many interdependencies and exposures between other applications, databases, storage architectures, third-party systems and networks. This amalgamation creates a complex system with many moving parts and business processes that dictate a thorough current-state and needs analysis, as well as a full design review prior to implementation. Unfortunately, these activities often exceed the capabilities of the enterprise, especially as it relates to private cloud solutions. Enterprises involved in these complex deployments need to work with an outsourced provider well versed in private cloud implementations that can accelerate time-to-market for these solutions. However, it is important to differentiate providers. Because of the sensitivity of implementing any private cloud solution, it is critical to go beyond the simple integration services a provider may offer. The provider of choice must consult your organization and act as an extension of your IT team to understand requirements, system dependencies and timelines and then design a solution that is customized to your enterprise. The provider s ability to do so clearly depends on having a high level of expertise in systems administration, network engineering, hardware integration and customer support that makes these resources accessible to customers through the entire process. Summary Private cloud computing is quickly becoming the preferred deployment option for enterprises most sensitive information due to the flexibility, scalability and control derived from the private cloud s dedicated environment. Enterprises now have the opportunity to build a superior private cloud solution that encompasses the physical and virtualized platform environment as well as the network in order to deliver a superior end-user experience. For those organizations looking for more strategic value from IT, private cloud deployment that leverages these innovative technologies will play a pivotal role in redefining IT s business contribution. 8

9 About Internap Internap provides intelligent IT Infrastructure services that enable our customers to focus on their core business, improve service levels, and lower the cost of IT operations. Our enterprise IP, CDN, colocation, managed hosting and cloud solutions are differentiated by unparalleled levels of performance, availability and support. Since 1996, thousands of enterprises have entrusted Internap with the delivery and protection of their online applications. Transform your IT infrastructure into a competitive advantage with IT IQ from Internap. For More Information: Call: Chat: contactsales@internap.com Follow: Visit: Why Enterprises choose Private Cloud is published by Internap. Editorial supplied by Internap is independent of Gartner analysis. All Gartner research is 2011 by Gartner, Inc. All rights reserved. All Gartner materials are used with Gartner s permission. The use or publication of Gartner research does not indicate Gartner s endorsement of Internap s products and/or strategies. Reproduction or distribution of this publication in any form without prior written permission is forbidden. The information contained herein has been obtained from sources believed to be reliable. Gartner disclaims all warranties as to the accuracy, completeness or adequacy of such information. Gartner shall have no liability for errors, omissions or inadequacies in the information contained herein or for interpretations thereof. The opinions expressed herein are subject to change without notice. Although Gartner research may include a discussion of related legal issues, Gartner does not provide legal advice or services and its research should not be construed or used as such. Gartner is a public company, and its shareholders may include firms and funds that have financial interests in entities covered in Gartner research. Gartner s Board of Directors may include senior managers of these firms or funds. Gartner research is produced independently by its research organization without input or influence from these firms, funds or their managers. For further information on the independence and integrity of Gartner research, see Guiding Principles on Independence and Objectivity on its website, 9