Cloud Computing, OSS, and SaaS. 陆 建 豪 Paul Lu Director, Sun Open Source Innovation Center CEO, Wuxi Cloud Computing Center Oct.
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1 Cloud Computing, OSS, and SaaS 陆 建 豪 Paul Lu Director, Sun Open Source Innovation Center CEO, Wuxi Cloud Computing Center Oct. 2008
2 Topics: What is Cloud Computing Technology OSS Trends and Perspectives in China What Opportunities OSS bring to China How make that happen: A new business model: Cloud Computing + OSS + SaaS + China Thanks
3 Cloud Computing big deal, buzz, bubble? November, 2007, in Shanghai, IBM unveiled plans for Blue Cloud. Feb 2008, IBM s first Cloud Computing Center for software companies in China will be situated at the new Wuxi Tai Hu New Town Science and Education Industrial Park in Wuxi, China May 2008, Wuxi Cloud Computing Center celebrated its opening ceremony October, 2008, Microsoft unveiled its cloud computing platform, dubbed Windows Azure. Amazon s EC2 Elastic Computing Cloud Google s App Engine
4 What is Cloud Computing Technology IBM - HiPODS The cloud is a next generation platform that provides dynamic resource pools, virtualization, and high availability. Cloud computing describes both a platform and a type of application. A cloud computing platform dynamically provisions, configures, reconfigures, and deprovisions servers as needed. Cloud applications are applications that are extended to be accessible through the Internet. These cloud applications use large data centers and powerful servers that host Web applications and Web services.
5 What is Cloud Computing Technology
6 What is Cloud Computing Technology
7 What is Cloud Computing Technology
8 What is Cloud Computing Technology
9 软 件 配 置 软 件 研 发 平 台 需 求 架 构 管 理 平 台 DB2 Utilizes Software Architect 需 求 变 更 对 模 型 的 影 响 ClearQuest 管 理 代 码 并 行 开 发 协 作 WebSphere 团 队 建 模 开 发 质 量 保 证 管 理 支 撑 平 台 执 行 性 能 测 试 开 发 代 码 进 行 白 盒 测 试 运 行 时 测 试 ClearCase Functional Tester ITCAM 追 踪 需 求 和 测 试 关 联 追 踪 需 求 变 更 和 开 发 任 务 追 踪 代 码 和 开 发 任 务 (UCM) Performance Tester 质 量 保 证 管 理 平 台 PurifyPlus 创 建 & 执 行 测 试 脚 本 ClearQuest TestManager 提 交 BUG ClearQuest 提 交 BUG 配 置 和 变 更 管 理 平 台
10 Why we need Cloud Computing Energy cost are increasing: Power and cooling are expensive. Today, it costs far more to run computers than it does to buy them in the first place. This is about economics and engineering: improve the utilization CPU utility is about 15% - 20% IT system are more complex and interdependent: The administration costs are more than the costs of IT system itself in the whole life cycle : automation IT budget increasing rate is much lower than IT demand increasing rate IT budget increasing rate is about 5% - 9% CAGR CPU demand 11% CAGR, Storage demand 22% CAGR, bandwidth: 50% CGAR
11 Why we need Cloud Computing Global Access: get service, configure and provision IT infrastructure PaaS : Platform As A Service No or low entry cost Pay As You Go platform service Dynamic environment Market and business changes requires IT system react rapidly
12 The Value Propositions of Cloud Computing Improve the utilization of the system Consolidation Share the system: resource pools, load balancing Dynamically allocate resources Automatic configuration, provision, and management Reduce Labor and management costs Easy and simple management Low entry cost Pay As You Go service: No long term commitment
13 The Value Propositions of Cloud Computing Improve IT agility : Quick lunch services Flexibility: adaptable to business changes Scalability High Availability Cloud Computing is Real, big thing. It needs time to mature. A lot of things going on.
14 Wuxi Cloud Computing Center Portal
15 Logon
16 Apply For Resources
17 Submit the requests
18 OSS Future: How Experts Tell Us Gartner 2007: By 2010, 75 percent of open-source software will be deployed on newly created (instead of "rip and replace") IT systems (0.8 probability). By 2010, OSS solutions will directly compete with closed source products in all software infrastructure and workplace application markets (0.8 probability). By 2010, at least 40 percent of mainstream IT organizations will include OSS in their workplace-focused software investments (0.7 probability).
19 OSS Future: How Experts Tell Us
20 OSS Trends: From Foundations to Applications General acceptance of infrastructure and networking OSS Number and maturity of open-source applications growing Open-source applications included in conventional products Rich Internet Application technology improves acceptance of open source as a service Open-source product support from service providers Open-source development principles adopted by software vendors OSS software can solve our real problems now. It is a great opportunity for innovative IT companies to deliver values to customers by OSS products, or by providing services based on OSS, or by adding values on top of OSS products and services
21 OSS Trends: From Foundations to Applications
22 OSS Trends: Commercial Goes Open Source Vendor Motivation Transparency Counter the insurgency Lower-end offerings Market disruption Buyer s Motivations Lower cost Reduce vendor lock-in
23 OSS Trends: Open Source Goes Commercial Vendor Motivation Food, shelter IPO or acquisition $ It costs money to support Buyer s Motivations Predictable support Security fixes Someone responsible
24 How Customers Consider OSS
25 What OSS Brings To China Leverage the Chinese software companies technical capability to a level matches to global software companies China is an emerging markets, IT market is dominated by global software companies Local venders can not compete with global companies because of technical barrier Relative small market, piracy issue in China, and existing products and services from global companies, squeeze local vendors to only succeed in non main stream markets OSS makes the software source codes open to everyone, including the vendors in China, eliminating the technical barrier for Chinese local software vendors
26 What OSS Brings To China Leverage the Chinese software companies technical capability to a level matches to global software companies By studying the existing OSS projects, local Chinese software companies can, instead of inventing the wheel, not only master the technologies, but also develop new and advanced products and services based on these existing OSS projects. It is quite possible that China software industry can have a big and quick advance based on OSS and therefore, for the first time in the history, compete neck to neck, head to head with global companies
27 What OSS Brings To China Open the potential huge markets Traditional business model high TCO prevents many Chinese companies, including large enterprise, adopting many IT technologies simple because the solutions are not cost-effective considering labor costs are low in China and the margins of many Chinese companies are small. This also happens for many SMB in many developed counties. Many IT solutions are not accessible for SMB simple they are just too expensive The low cost OSS based solutions will be cost effective for many SMB in developed countries as well as many companies in China. This will make Chinese IT market soon become the largest IT market in the world. There are over 30 m SMB in china
28 What OSS Brings To China People make difference Once overcoming the technical barrier, with hug talent pool, the local companies in China will make high quality software for domestic and possible global market in the future and yet the cost will be so low that now we can not image how much low they can be. Bad becomes not so bad and good becomes better Piracy issue: with the OSS and SaaS, piracy will become a minor issue since OSS opens the source code, and SaaS does not distribute the software at all. Many revenues come from service in the future, and it is always true that local vendors will provide better services to the local customers, so is China. The local vendors in China will have relatively competitive advantages over global vendors at least in China domestical IT market
29 What OSS Brings To China OSS will give the great opportunities, which includes technology, market, competitive advantages, for the local vendors in China. China s rising in IT will not only greatly impact China domestical IT market but also global IT market in the future, just as same as China manufacture industry does today.
30 New Business Model: Cloud Computing + OSS + SaaS + China Huge IT market in China, esp for SME IT market China local vendors understand IT market in China No or low entry costs for SaaS service providers to lunch IT services Software is free or low cost Platform is based on Cloud Computing, very low entry cost Professional supports and upgrade services Easy build values on top of current OSS applications Low software licensing costs
31 Thanks China-Japan-Korea OSS Forum Wuxi Municipal Government and Wuxi Municipal Information Office Wuxi TaiHu New Town Science & Education Industrial Park K-Park IBM Sun Microsystem Welcome to visit K-Park, Wuxi Cloud Computing Center, and Sun Open Source Innovation Center Tomorrow and I will make a demo to run a OSS in Wuxi Cloud Computing Center
32 Thank You 谢 谢
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