Cloud computing in the Maritime Industry

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1 Cloud computing in the Maritime Industry

2 My day-to-day life 100 Mbps fiber optics links; streaming media to all devices everywhere; unlimited communication packages; unlimited storage on the cloud ; Big Data, the internet of Things and Cloud Computing.

3 My work life Communication links in Kbps; packages in Mb or single digit GBs; and if you mention streaming, or unlimited storage on the cloud ; Big Data, the internet of Things and Cloud Computing, people would just think you are crazy

4 Are they really different? KVH Turning Big Data Into Big Value

5 Modern communications will fundamentally transform the shipping industry, with more data analysis, digital controls and greater use of cloud computing. Developments in communications and IT will lead to increased use of automated systems to improve operational performance and greater use of cloud computing resources.

6 Over the next decade, developments in information and communications technology will transform shipping, with vessels closely integrated with shipping offices, as well as with supply chains. Increases in bandwidth and reductions in costs, more data will be collected, analysed and become a part of the decision-making process. This trend will be enhanced by the miniaturisation, virtualisation and embedding of software within hardware.

7 Investment Investment in HTS systems Operators planned CAPEX on HTS systems expected to surpass $12 billion by Contains information from World-Link and Euroconsult 5

8 Capacity leapfrog in oceans Estimated satellite capacity for maritime VSAT, Gbps 70 Pacific 60 HTS systems to increase capacity over oceans to over 65Gbps by The Northern Atlantic and the Pacific Ocean with strongest capacity increase. 50 Indian Ocean 40 Mediterranean Atlantic Ka-band to grow from ~1Gbps in 2012 to over 40Gbps by Gbps Ku-band to almost triple over the next 5 years. 50 Even google is planning to spend more than $1 billion to launch its own constellation of 180 Ku-band satellites. 20 Contains information from World-Link and Euroconsult 40 Ka-band Ku-band

9 Capacity leapfrog in oceans 2011 G b ps others 50 O3b Inm ars at I n te ls a t Airbus has won a contract to build 900 communications satellites for OneWeb's global high-speed satellite Internet service. Due to multi-spot beam approach there is however a difference between overall capacity and capacity at a given point in the ocean. Contains information from World-Link and Euroconsult

10 Data explosion Social media will also result in the generation of huge amounts of data, which will need to be stored. The introduction of more automation on ships, and rapidly expanding data volumes, will require new approaches to data storage, processing and transfer of information, including a move to cloud computing and virtualization technologies Maritime communication developments will also have an immensely positive effect on crew retention. Making broadband Internet available on vessels significantly improves the lives of seafarers, who can more easily communicate with family and stay connected to world events.

11 Data explosion

12 Data growth

13 IBM

14 A move to cloud computing is a unavoidable Processing power advances have led to greater demand for connectivity and advanced data storage. The growth in processing power will enable intelligent monitoring and analysis of data and information. The ever-increasing number of machines that contain embedded software, and enhanced communication capabilities, will lead to the replacing of mechanical control systems by digital control systems. The difficulty of controlling these digital control systems will increase in parallel to the increase in the implementation of more autonomous, decentralised software applications combined with more powerful processors. Electronic devices containing built-in software will use more cloud computing and interactive networks. Ensuring security, data integrity, user identity, and reliability will be a growing concern as maritime operations become more dependent on software.

15 Impact: Some reported incidents In 2012 it was revealed that crime syndicates had penetrated the cargo systems operated by the Australian Customs and Border protection. The penetration of the systems allowed the criminals to check whether their shipping containers were regarded as suspicious by the police or customs authorities. Drug traffickers hacked into the computer controlling the location and movement of shipping containers at the port of Antwerp. North Korea uses lorry-mounted devices to block GPS signals in South Korea. In early 2012 the attacks ran for 16 days, causing 1,016 aircraft and 254 ships to report disruption.

16 M2M Sensors in engine rooms and ship bridges will not only monitor certain operating parameters, such as temperature, pressure, torque and fuel consumption. This trend will flow into more aspects of daily operations: Business operations, Navigation Maintenance Regulatory and administrative procedures Commercial shipping will also adopt technologies developed for the oil and gas sector, such as systems for remote operations, diagnostics and data mining.

17 Efficiency & Transparency The changes in IT will improve safety and efficiency, while the use of sensors and monitoring systems will enable greater transparency. Cargo owners, charterers and ship owners will require that shipping companies and managers provide verified information about a vessel s performance. The flow of information between ships, port authorities and regulators will be increasingly digitalised. Advances in communications will lead to more automation of vessel operations. Unmanned vessels would benefit from lower operational costs, due to the elimination of on-board crew costs, risks associated with human error, and threats to crew safety. Unmanned vessels may also revolutionise supply chain logistics, which would have wide-reaching impacts. Shipping companies will also change how they interact with customers and suppliers and start utilising centralised connected software and portals for example BSM s use of PalE3.

18 Cloud Computing Software, platforms and infrastructure that are sold "as a service", i.e. remotely through the Internet The practice of using a network of remote servers hosted on the Internet to store, manage, and process data, rather than a local server or a personal computer. Cloud computing platform and infrastructure, created by Microsoft, for building, deploying and managing applications and services through a global network of datacenters

19 Concerns before we implemented Cloud for one of our clients Security Compliance Outages Is my data safe in the cloud? Can I legally put my data in the cloud? Will the cloud be available when I need it most? Understand the rules that apply to you. Compare your cloud provider SLAs to the alternative, not to perfection. Choose a cloud provider you can trust.

20 and the small steps we took Strategy Planning Investment Decide when and how to put a cloud strategy in place. Prepare your company for the cloud. Shifting to the cloud will reduce expenses and increase productivity.

21 From the hassle of the Office Computer Room Branch Computer Rooms Private Cloud 1 deployment Private Cloud 2 deployment Branch DR / No BC sites Centralized DR / No BC Full DR/BC capabilities Client Server Apps Web Based Applications More platforms deployment Local Servers Datacenter hosted Mail Gateways Public Cloud Backup Service

22 to the peace of the Cloud Public Cloud deployment BC switched to Public Cloud DR switched to Public Cloud Private Cloud 1 shutdown VMs deployment time down 95% Branch servers consolidation Focus more on core competencies HW maintenance cost down 60% SaaS & Hybrid Environment Invest more in R&D Limited hardware and platforms maintenance

23 List of questions to ask before deciding on a cloud service provider What is the capability and experience of the vendor, is there any reference for similar deployment? How much do the services, functionalities and features meet your business requirement? Is there SLA, and what is it? Does it meet critical security or compliance needs e.g. disaster recovery plan, privacy protection. Is it in compliance with standards e.g. ISO27002? What flexibilities does it offer in terms of features / services setup and subscription? How good is the support service? Only support? Phone, chats, or on-site support? Local support is important sometimes. Can company own data be got back (and how), when service is terminated? Important especially for ERP system. What is the location of the data centre(s)? If your main offices/operation are in the local region, make sense to have cloud data centre in the same region e.g. Singapore What are the costs? Initial, monthly, yearly, any price protection?

24 Case Study : Cloud based Maritime ERP Deployment of MariApps PALe3 by BSM Implementation of full ERP suite (Crewing, maintenance, purchase, accounts, payroll, quality & safety, voyage, sea chef etc.) on Cloud with redundant disaster recovering site Used by 30+ shore offices, shore users Secured access by authorized users anywhere, anytime, on any device Data backup to cloud (Azure) Implemented on 300+ vessels, used by onboard crew Vessel modules installed on V-Cloud (virtualized server integrated with World-Link Ship Sat communication system) Automated data replication and program updates between vessel and shore cloud systems

25 Other projects implemented in Cloud for one of our clients Microsoft Azure Datacenter 1. Hybrid Active Directory 2. DR Environment for PAL and SharePoint 3. Public Websites 4. Testing Environments 5. Cloud Backup 6. Media Services Office Hybrid Active Directory (ADFS) 2. Exchange Online Archive 3. SharePoint Online for OneDrive and Collaboration Sites 4. Lync Online (Cloud Platform)

26 Top 10 benefits from cloud people see today

27 What stops shipping companies from adopting cloud

28 Pulse of the market

29 THANK YOU!

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