understanding current cloud market drivers and...

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Thomas Murphy@metamurph

[email protected]

Understanding Current Cloud Market Drivers and Responses

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Technological advances allow real-time analytics and real-

time complex event processing

NoSQL, Hadoop and the gradual isolation of the relational model

Web scale and ubiquity of cloud services and resources

Contextual, personal, cloud-backed, mobile

applications, apps

Internet of Things brings OT close to IT, devices

close to software systems

The death of the9 to 5 work day (always-on decision making)

Explosion of digital social activities and collaborations

The Change That Demands a Response

The pervasive continuity of the personal and business computing,

emergence of Citizen IT

Imperative of rapid innovation and change


PaaS at the Peak of Inflated Expectations

From "Hype Cycle for Platform as a Service (PaaS), 2013," 31 July 2013, G00251072

Innovation Trigger

Peak ofInflated

Expectations

Trough of Disillusionment

Slope of EnlightenmentPlateau of

Productivity

time

expectations

Plateau will be reached in:

less than 2 years 2 to 5 years 5 to 10 years more than 10 yearsobsoletebefore plateau

As of July 2013

Business Analytics PaaS(baPaaS)

Cloud IMDG Services

Cloud MDM Hub Services

Cloud Event Processing Services

Cloud-Enabled IntegrationPlatforms (CEIPs)

Cloud Mobile Back-End ServicesPlatform as a Service in China

ADLM PaaSCloud API Management

Cloud Managed File Transfer Services

Cloud-Enabled ApplicationPlatform (CEAP)

Portal PaaSPrivate PaaS

bpmPaaSIntegration PaaS (iPaaS)

Platform as a Service (PaaS)

IaaS+

Application PaaS (aPaaS)

Elastic Multitenancy

Database Platform as a Service (dbPaaS)

Infrastructure as a Service (IaaS)

Software as a Service (SaaS)


Applications created in 2013 using traditional architecture

models will be an IT-constraining legacy by 2016

The leading business applications of 2016 are currently designed using nexus-ready application

architecture principles

Your Current Architecture May BeWoefully Obsolete


The Next Application Architecture Must Serve the Next Business Outcomes

Nexus Ready

Real Time

Orient

DecideAct

Observe

Events

Data Modeling

Process Modeling

Decision Modeling

Context Aware

Person Centric


PC

The Computer Gets Personal

Client/Server

Data WithoutProgrammers

Web

Instant WWInformation

Nexus

The ConsumerTakes Control

Consumers Now Drive IT

90s 00s80s 10s

… and Consumers Now Define Quality


No Longer "Users"

Consumers at "Work"

IT-averse

Team Motivations

Self-directed

Information Rich

Employees Don't Stop Being Consumers


Cloud Computing Lets You Focus

• IaaS – Compute Power Available in Cloud as a Utility like Electricity Generation – Your applications run like always

• PaaS – Cloud Platforms that support building new Software and Simplifying Collaboration and Deployment – Think Telephony Services

• SaaS – Software Built and Optimized for Cloud that you Consume – Anywhere, As You Need

7

We Don’t Generate Our Own Electricity or Run Our Own Telephone Network


Improving The Business/IT Conversation

One Size

Fits All

BusinessLeader

Apps/IT

Leader

Better

Ideas

New

Ideas

Common

Ideas


How Do Other "Systems" in Industry Deal With Varying Rates of Change? Pace Layering/Shearing Layers

Structure:

Skin:

Space Plan:

Services:

Stuff:

30 – 300 Years

20 Years

3 – 30 Years

7 – 15 Years

1 Day to 1 Month

Site: Eternal

Note: For more on pace layers and shearing layers in building architecture see “How Buildings Learn” (1994) by Stewart Brand


Systems of Record

Systems of Differentiation

Systems of Innovation

A Pace Layered View of Systems

New

Ideas

Better

Ideas

Common

Ideas


Think Nexus-ready Architecture: The Future Is Closer Than It Appears

Think Mobile:• Consider user in context

• Consumer-grade user experience

• Loosely coupled (service oriented)

• Frequently changed

• Fast attrition

• Intermittent access

• Reduced chattiness

• Minimal message sizes

Think Cloud:• Service oriented

• Loosely coupled

• Stateless and "hoardless"

• Multitenant ready

• Event driven

• Continuously versionable

• Parallel and in-memory ready

• Instrumented for governance

• Low chattiness

• Frugal use of resources

• Industrially packaged

• Platform independent

• Composed and composable

• Public access ready


Public Cloud Services Market Is a Fraction of the Overall IT Spending …

0

50

100

150

200

250

2011 2012 2013 2014 2015 2016 2017

Public Cloud Services

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

4,500

5,000

2011 2012 2013 2014 2015 2016 2017

Overall IT Spending Public Cloud Services

4%

17%

Public cloud services market grows from 3% to 5% of overall IT spending

Billions of DollarsBillions of Dollars

CAGR

CAGR

Source: Forecast: Public Cloud Services, Worldwide, 2011-2017, 1Q13 Update, Mar 2013 (G00248727)


… and yet Everybody Wants in: Enterprise Cloud Computing Bazaar

Enterprise

Cloud

Hardware vendors

Middleware vendors

Platform vendors

IaaS vendors

Application vendors

Hosting and outsourcing

vendors

Consumer markets vendors

Telco. vendors System

integrators


Public PaaS Market Is a Fraction of the SaaS and IaaS Markets …

SaaS PaaS IaaS

Five-year CAGR

(2012-2017)

18.5% 23.5% 37.8%

0.0

5.0

10.0

15.0

20.0

25.0

30.0

35.0

40.0

2011 2012 2013 2014 2015 2016 2017

Bil

lio

ns

of

Do

lla

rs

Cloud Application Infrastructure Services (PaaS) Total

Cloud Application Services (SaaS) Total

Cloud System Infrastructure Services (IaaS) Total

Source: Forecast: Public Cloud Services, Worldwide, 2011-2017, 1Q13 Update, Mar 2013 (G00248727)


aPaaS iPaaS

bpmPaaS

… and yet Everybody Wants in: The Diverse Public PaaS Marketplace

Integration PaaS

BPM PaaS

Messaging Services

Business Analytics

PaaS

Portal/UX PaaS

API/Service Governance

Application PaaS

Database PaaS

Mobile Back-end Services

Event Streaming Services

IMDG Services

ADLM PaaS

Covicint Portal

IBM WebSphere Cast Iron Live

SQL Database

ElastiCache

Cache

Source: "Platform as a Service: Definition, Taxonomy and Vendor Landscape, 201


Monolithic design

Over-provisioning and hoarding of resources

Stateful

No support of parallel or in-memory computing

Not open for programmatic access

Tightly coupled

Not modular

Assumes predictable connectivity

Not designed for 24/7 use

Discontinuous versioning

Not horizontally scalable

Not instrumented for introspection

Single-channel front-end

Complex

Expensive

Locked into proprietary frameworks, platforms, and vendors

The Old Architecture Does NotMeasure Up


Cloud vs. Enterprise: Vendors Must Master Both to Lead

• apinso appeleon

• AppPoint AppsOnAzure

• Caspio Bridge

• CloudBees RUN@cloud

• cloudControl

• dotCloud

• Engine Yard Cloud

• Fhoster Platform

• Google App Engine

• Indra Gnubila

• OrangeScape Cloud

• salesforce.com (Heroku)* and Force.com

• TrackVia Application Platform

• Wolf OnDemand Public Cloud

• WSO2 StratosLive

• Zoho Creator

Cloud natives:

• IBM SmartCloud Application Services

• IS Tools Hosted Platform

• Mendix App Platform

• Microsoft Windows Azure Cloud Services

• MioSoft MioEdge

• OpenText (Cordys Cloud)*

• Oracle Java Cloud Service (limited access)

• Pramati (WaveMaker)*: CloudJee

• Progress Software Rollbase Hosted Cloud (Rollbase)*

• Red Hat (OpenShift Online)

• SAP HANA Cloud Platform AppServices

• ServiceNow PaaS

• Software AG AgileApps Live (LongJump)*

Enterprise natives:aPaaS

*acquisition


Design for Continuous Delivery

IT

Developers

IT

Operations

Citizen

Developers

Cloud

Providers

Business

Partners

OT

EngineersContinuous

Development

Integration

Operations


The Bottom Line 1: Mind Your Architecture

Nexus-ready Architecture Principles

1. Build on SOA Plan for modular, distributable, discoverable,

shareable, and replaceable services

2. Cloud first, mobile first Avoid instant-legacy applications, plan "future-first"

3. Separation of concerns Separate services by role, cadence, semantics, and

scope

4. Business-out design Establish core business services before designing

clients and sources

5. Hybrid Business Solutions Design into a network — local, multi-site, and global

6. Event-driven architecture Implement event processing for real-time operations

7. Context-aware computing Seek context for situation-aware intelligent

operations

8. Managed service ecosystem Control your ecosystem of resources

9. Global class Be ready to consume and provide global services

10. Continuous delivery Manage the life cycle of continuous change


The Bottom Line 2: People First

Cultural Change

Fight the Not-invented-here Syndrome

Socialize, Listen, and Be Transparent

Avoid Stovepipe Projects and Applications

Be Systematically Opportunistic

Avoid Rigid Policies: Plan, Act, Learn, and Change

Think Integrated Business (All Business Is IT Business)


Recommended Gartner Research

The Nexus Effect and How the Nexus of Forces Alters Established Architecture ModelsYefim V. Natis (G00238661)

Ten Ways to Avoid SaaS Delivery Problems and Protect Your Organization

Toolkit: SaaS Security Decision Framework

Don't Believe the Hype: SaaS Only Reduces Part of the Effort Needed to Implement and Operate Business Applications

Risks and Opportunities of PaaS at the Peak of Inflated Expectations

Calculating and Comparing Public Cloud IaaS Costs

For more information, stop by Gartner Research Zone.

http://www.gartner.com/document/2150817?ref=QuickSearch&sthkw=G00238661

http://www.gartner.com/document/2524115?ref=QuickSearch&sthkw=SAAS



http://www.gartner.com/document/2619317?ref=QuickSearch&sthkw=PaaS

http://www.gartner.com/document/2626217?ref=QuickSearch&sthkw=IaaS

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