System Integration Morphs To Cloud Service Integration

June 19, 2016 / G C Network / Comments Off

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Amazon’s Jeff Bezos on Cloud Computing

By G C Network | June 18, 2008

Amazon’s Jeff Bezos on Cloud Computing How and when Amazon began its cloud computing effort.Why Amazon has become an innovator with Amazon Web Services and how it relates to their…

Dataline, IBM, Google, Northrop Grumman on Cloud Computing

By G C Network | June 17, 2008

My company, Dataline LLC, in cooperation with IBM, Google and Northrop Grumman Mission Systems, is sponsoring an educational series entitled “Cloud Computing in a Netcentric Environment“. The series will be…

EMC Studies Cloud Computing Security

By G C Network | June 17, 2008

Storage firm EMC has joined the Daoli Trusted Infrastructure Project which conducts research into “trust and assurance” in cloud computing environments. The team’s research will focus on cloud computing, trusted…

The Cloud Computing Marketplace

By G C Network | June 17, 2008

For explaination and details see Understanding the Cloud Computing/SaaS/PaaS markets: a Map of the Players in the Industry by Peter Laird, Kent Dickson, and Steve Bobrowski from Oracle. Update: Please…

Key cloud computing concerns by CXO’s

By G C Network | June 16, 2008

Key cloud computing concerns by CXO’s attending the Enterprise 2.0 Conference in Boston were addresed in a June 9th panel of executives from Google, Amazon Web Services (AWS), and Salesforce.com.…

IBM Cloud Computing Center

By G C Network | June 13, 2008

On June 5th, IBM announced it will establish the first Cloud Computing Center for software companies in China, which will be situated at the new Wuxi Tai Hu New Town…

EUCALYPTUS – An Open Source Cloud Computing Platform

By G C Network | June 13, 2008

Elastic Utility Computing Architecture for Linking Your Programs To Useful Systems (EUCALYPTUS) is a new project that seems to be trying to put an “open source” flavor to cloud computing.…

The Honorable John G. Grimes Speaks about Cloud Computing

By G C Network | June 12, 2008

Today I had the pleasure of hearing The Honorable John G. Grimes, Assistant Secretary of Defense for Networks and Information Intergration and Department of Defense CIO, speak on some key…

Amazon leads Google into the cloud (So what else is new)

By G C Network | June 12, 2008

In this May 1, 2008 Globe and Mail Update article, Mathew Ingram provides an excellent comparison of Amazon and Google’s cloud computing initiatives. Bottom line: Amazon leads the pack with…

Web 2.0 Expo – What is Cloud Computing?

By G C Network | June 11, 2008

For some interesting views, take a look at these video interviews on what is cloud computing. These were done during the recent Web 2.0 Expo, April 22-25 in San Francisco,…

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Cloud Service Brokerage is changing from an industry footnote toward becoming a major system integration play. This role has now become a crucial component of a cloud computing transition because they help organizations aggregate multiple cloud services, integrate services with in-house applications, and customize these services to better meet customer needs. CSBs also help by consulting and recommending the best fit cloud services according to business requirements and goals. Cloud brokers may also be granted rights to negotiate with different service providers on behalf of their customers. This transformation is driven by the rapid rise of cloud computing, which has risen from under $6B in 2008 to a point where the market is expected to almost reach $160B in 2020. The global Cloud Service Brokerage Market itself is expected to grow from $5.24 Billion in 2015 to $19.16 Billion by 2020.

Since CSBs merge the functions of reseller, systems integrator and independent software vendor (ISVs) into a convenient service delivery model, they deliver solutions by aggregating cloud services sourced from multiple cloud service providers. They can also customize those services to meet unique business requirements. Although CSBs often deliver transactional cloud services, their real value lies in the unique ongoing operational support they provide. Unlike financial or real estate brokers that typically end their customer relationship after the sale, CSBs:

Enable cloud service arbitrage based on cost, performance or operational need;
Help companies migrate operations to the cloud and assist with staff augmentation and training;
Provide cloud service auditing and SLA monitoring services;
Help in focusing and managing organizational cloud service demand;
Provided toolsets to assist in the migration and integration of enterprise applications; and
Help in change management and the selection and integration of other managed services.

By automating and operationalizing the governance of cloud services, CSBs can efficiently multi-source services and augment them with third party metering and monitoring. Using CSBs, organizations also accelerate their transition to hybrid IT models. This marketplace is typically segmented type of services: cloud brokerage and cloud brokerage enablement, wherein cloud brokerage enablement is further segmented into internal and external brokers. When used internally, cloud enablement platforms helps enterprises adopt the new hybrid IT and multi-sourced operating model. By building organic expertise, companies can personalize IT service consumption and unify
IT service delivery through the use of a corporate self-service store, a dynamic service marketplace, and continuous delivery. This centralized, supply chain approach unifies the order, execution, and management of multi-sourced solutions across legacy and cloud resources, by centrally delegating and tracking execution.

Another important management capability they deliver is performance auditing. Cloud Service Provider (CSP) price/performance has been shown to vary as much as 1000 percent depending on time and location. High levels of variability have also been seen within the same CSP processing the exact same job. This also means that the cost for an enterprise to processing the exact same job in the cloud could vary by this much as well.

Changes in instance types, pricing, performance over time and availability of services by location highlights the inadequacy of traditional benchmarking philosophies and processes. The use of “performance quotas” by service providers may also lead to operational cost increases. This generally happens if a customer meets a CSP-determined management quota and the performance of relevant instance is reduced. Active metering and monitoring by a CSB can help companies detect and avoid this hidden cost.

As the cloud service brokers market matures, they are destined to replace the traditional system integrator. Maturation of technologies and CSB offerings will also make this service a “must-have” for the foreseeable future.

(This post was brought to you by IBM Global Technology Services. For more content like this, visit Point B and Beyond.)