Page 2 - Customer context for Cloud Computing

 Service-Based: Consumer concerns are abstracted from provider concerns through
service interfaces that are well-defined. The interfaces hide the implementation
details and enable a completely automated response by the provider of the service to
the consumer of the service. Being serviced based means the consumer has no
management or control of the resources (hardware, software, human) used to deliver
the service.

 Scalable and Elastic: The service can scale capacity up or down as the consumer
demands in an automated manner. Scalability is a feature of the underlying
infrastructure and software platforms. Elasticity is associated with not only scale but
also an economic model that enables scaling in both directions. This means that
services scale on demand to add or remove resources as needed.

 Shared: Services share a pool of resources to build economies of scale. IT resources
are used with maximum efficiency and consumers have no ownership of the
underlying infrastructure, software or platforms. This allows unused resources to be
allocated to meet the needs of multiple consumers, all working at the same time.

 Measured/Metered: Service usage is tracked using metrics that allow consumption-
based payment models. This means that payment will be based on service usage, not
on the cost of the assets that are used to deliver the service. Typically, metrics may
be in terms of users, hours, data transfers or other use-based attributes.

 Network Access: The service is delivered using Internet identifiers, formats and
protocols, such as URLs, HTTP, IP and representational state transfer Web-oriented
architecture. This attribute is essential to the Public Cloud deployment model by
avoiding the need for proprietary networks.

 these five definitional attributes are foundational to Cloud Computing in that they distinguish
Cloud from other IT service models. This has a profound consequence for the IT marketplace and
causes a significant potential impact on every aspect of IT management and how users access
applications, information and business services.

THE CLOUD COMPUTING MARKET

Since 2012, Cloud Computing has been an evolving, fast-paced and volatile market characterised by
lots of hype and “Cloud Washing”. The Cloud has encouraged innovation and diversity of services –
with significant disruption to the business models of incumbent hardware and software vendors and
traditional IT service providers (eg. System Integrators). The number of Cloud Service Providers
has grown dramatically as the market has expanded and today they provide many types of services
(in terms of reach and functionality) but with varying service levels and quality.

In terms of workload growth, Cisco Research indicates that:

 Software as a Service (SaaS) will lead cloud market adoption workloads in 2015
 Platform as a Service (PaaS) will remain the smallest portion

of the overall Cloud services market

 Infrastructure as a Service (IaaS) will grow in real terms at a Cloud Computing Workload Adoption
CAGR of 13% although declining in relative terms through
2018 due to the acceleration of SaaS adoption

 The Cloud Computing market is overall is growing at a 5-year
CAGR (Compound Annual Growth Rate) in excess of 20% per
annum

Author: Mike Spink Cloud Computing – The Customer Context Page 2 of 7
Version 2.0 (final) A White Paper for Cisco by Innovise ESM Spring 2015