RELIABLE CLOUD SERVICES IN THE CARRIER CLOUD

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2 RELIABLE CLOUD SERVICES IN THE CARRIER CLOUD Thomas Weishäupl (Bell Cloud Consulting) Nov 6th, 2012

3 Millions ARE YOU USING THE CLOUD? AUSTRIA MOBILE PHONE SHIPMENTS PER YEAR FORECAST % 80% 60% 40% 20% 0% US ADULTS GADGET OWNERSHIP 2 Apr. 09 Sept. 09 May 10 Sept. 10 May 11 Aug. 11 Jan. 12 Feature phones Smartphones Source: (1) OVUM Mobile Phone and Smartphone Forecast: for Western Europe (2) PewInternet Device Ownership Cell phone Laptop computer e-book reader Desktop computer MP3 player Tablet computer IN US 1 OF 4 HAS A SMARTPHONE AND A TABLET - HOW DO YOU KEEP YOUR DATA IN SYNC? 3

4 THE RISE AND DEMAND FOR CLOUD CONTINUES 75% reduction in introducing new services to market 80% of all new software will be available as cloud services by % of organizations will support corporate mobile applications by 2014 Faster Product Deployment Reduced Complexity and Cost New Revenue Source: Predictions of Gartner and IDC 4

5 THE RISE IN DEMAND FOR CLOUD NETFLIX EXAMPLE Scale up/down when needed Plan based on usage, not peak hours Share resources Agility; quick service introduction NETFLIX REQUEST TRAFFIC https://www2.netflix.com/ 5

6 WHY THE CARRIER CLOUD? Remote access to cloud and reliability are important factors over privacy, security or parental controls. Internet access speeds, buffering and poor streaming experiences remain the major pain points for video. Gartner survey: Consumer Cloud, Tablet, Smartphone and Technology Buying Behavior, 2012 I use Cloud storage, which is something completely new. A lot of companies claim theirs is the best, but I could not tell the difference between them. If you go to a place where there is no Internet connection, the Cloud is no use. Shanghai, Male, 24, Comfortable Conformist Source: Gartner, Sept. 10,

7 THE NETWORK MAKES THE CLOUD CARRIER-GRADE AGILE Widespread access Highly available Highly scalable and elastic On demand Open/dynamic RELIABLE Meet or exceed five nines Fast fault recovery Secure TRANSFORMATIVE Network-oriented Pay per use Application aware Fixed and mobile Federated (roaming) 7

8 ALCATEL-LUCENT DATA CENTER CONNECT (DCC) EXAMPLE PRIVATE CLOUD OF FINANCIAL VERTICAL IP & Optical DWDM Private Cloud DC#1 DC#3 DC#6 Dark Fiber Fiber Channel Ethernet 8 x DCs interconnected across national territory through DWDM systems for storage networking extension 1830 PSS for WDM DC#2 Evolving to secure encrypted WDM 7750 SR for IP DC# SAM for E2E management Evolution to 40G/100G both IP & DWDM DC#4 DC#5 DC#7 Dark Fiber Fiber Channel Ethernet DC#1 DC#3 DC#6 8

9 CLOUDBAND THE NETWORK MAKES THE CLOUD VIRTUAL TELCO SERVICES Comms Video Network Data Everything as a service CLOUD MANAGEMENT SYSTEM NETWORK DISTRIBUTED CLOUD NODES BRINGING THE POWER OF THE NETWORK TO THE CLOUD 9

10 ALCATEL-LUCENT CLOUDBAND ARCHITECTURE VIRTUAL TELCO SERVICES IT COMMS VIDEO DATA NETWORK EVERYTHING AS A SERVICE Internal CARRIER PaaS (service on-boarding/management) CLOUDBAND API CLOUDBAND MANAGEMENT SYSTEM (orchestration/automation) PORTAL BSS Product Catalogue CRM Billing CLOUDBAND NODE DRIVER Alcatel-Lucent CloudBand Node Public Cloud Network Management System CLOUD NETWORK DRIVER Network OSS Service Catalogue Inventory Order Management Network Activation 10

11 Newton Local Tandem Clinton Local Tandem Newark Tandem Branchburg 1&2 New Brunswick Tandem Rochelle Park W. Nyack 1&2 E 38th St. Origination Destination Type TG Mbr Count Tandem Tandem Origination Destination Type TG Mbr Count Jersey City 1&2 Laight St. SOHO Tandem Total Inter- Total Inter- MSC E.Laight St. White St.-1 Inter-MSC E.Laight St. White St.-2 Inter-MSC E.Laight St. Branchburg-1 Inter-MSC E.Laight St. Branchburg-2 Inter-MSC E.Laight St. Jersey City-1 Inter-MSC E.Laight St. Jersey City -2 Inter-MSC E.Laight St. Wnyack1 Inter-MSC E.Laight St. Mineola Inter-MSC 408 Total Tandem E.Laight St. New Brunswick Tandem E.Laight St. Williamburg Tandem E.Laight St. White Plains Tandem E.Laight St. Rochelle Park Tandem E.Laight St. E 38th St. Tandem E.Laight St. Soho Tandem E.Laight St. Garden City Tandem E.Laight St. Newark Tandem E.Laight St. Brentwood Tandem E.Laight St. 37th St. Tandem E.Laight St. 13th St. Tandem ALCATEL-LUCENT CLOUD POWERED BY BELL LABS INVENT THE FUTURE NETWORKED CLOUDS Network awareness Monitoring and aggregation Network APIs Algorithms research Optimal resource placement Distributed data management DIVERSITY COVERAGE LOCATION EVALUATE THE FUTURE ECONOMICS OF CLOUD Value of cloud transformation Value of Carrier Cloud to enterprises Cloud-enabled new business models Cloud market assessment and analysis Cloud-enabled operations savings Business case development for cloud services $30.0 $32.0 $34.0 $36.0 $38.0 $40.0 $42.0 $44.0 $ % 50% 10% 10% 30% 120% $60 5% 0% 15% 100 % 10% 0% 5% 15% 30% $70 10% 15% 60% 20% 20% 80% Model input 0% 20% $16.00 $14.00 $12.00 $10.00 $8.00 $6.00 $4.00 $2.00 $0.00 ($2.00) ($4.00) 20% $2M $6M Capital Investments Savings Operational Expense Savings CDCF $13.8M CARRIER CLOUD TRANSFORMATION Virtual RAN Virtual control plane MediaCloud Predictable cloud Auto-scaling of services LightRadio CLOUD CONTROLLER CLOUD NETWORK DESIGN AND PERFORMANCE End-to-end cloud modeling DC Traffic characterization Optimal DC and application location Application characterization and performance Cloud network reliability New York Dublin London Madrid Paris Amsterdam Brussels Oslo Noerre Nebel Cologne Strasbourg Dusseldorf Zurich Milan Frankfurt Stockholm Stuttgart Copenhagen Hamburg Hannover Leipzig Numberg Helsinki Munich Liepaja Berlin Sventoji Dresden Prague BRNO St. Petersburg Riga Poznan Vienna Warzaw Krakow Budapest BELL LABS INNOVATION AND ANALYSIS IS INTEGRAL TO ALCATEL-LUCENT S VISION OF CARRIER CLOUD 11

12 EXAMPLE OPERATIONS IMPACT OF CLOUD IT-DC Operations OPEX 40% reduction Service Operations OPEX 25% reduction Network HW Vendor Maintenance, Power and Real estate OPEX directly proportional to HW CAPEX savings Planning & Engineering OPEX 20% reduction Network Operations OPEX 45% of prorated Network Operations reduction due to lower HW CAPEX Source: Bell Labs analysis published in the Carrier Cloud whitepaper 12

13 BELL CLOUD CONSULTING STRATEGY DEFINITION 1 CARRIER CLOUD TRANSFORMATION TCO - ECONOMICS Determine TCO advantages to a telecom service provider from cloud adoption 2 CARRIER CLOUD TRANSFORMATION PLATFORM STRATEGY Define the TCO optimized platform strategy for Telco applications considering Cloud-based platforms 3 CARRIER CLOUD TRANSFORMATION GROUP DEPLOYMENT Identify the TCO optimal Cloud-based deployment architecture leveraging group synergies for a specific Telco application, considering also regulatory constraints. 4 CARRIER CLOUD TRANSFORMATION HYBRID CLOUD Cost Evaluation of Alternative Cloud Storage Strategies Onsite vs. Offsite Option OUR EXPERIENCE HELPS YOU TO DEFINE YOUR OPTIMAL CLOUD STRATEGY 13

14 THANK YOU Q & A DR. THOMAS WEISHÄUPL Senior Consultant, Bell Labs Business Modeling ALCATEL-LUCENT BELL LABS NETWORK PLANNING, PERFORMANCE & ECONOMIC ANALYSIS T: M:

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