Wednesday, December 24, 2008

[ Cloud Computing ] Re: Cloud Computing ROI model

Geva,
 
There is an ACM paper on S3 analysis which includes costs - "Amazon S3 for Science Grids: a Viable Solution?"
Authored by Palankar, Iamnitchi, Ripeanu, and Garfinkel.

and Amazon has some case studies ... that may lead you to asking the actual companies used in the case some more detail

Wayne



> Date: Tue, 23 Dec 2008 23:41:57 -0800
> Subject: [ Cloud Computing ] Re: Cloud Computing ROI model
> From: gevaperry@gmail.com
> To: cloud-computing@googlegroups.com
>
>
> Thanks, Sankar. All your points above are valid, but not relevant to
> what I'm looking for. I was hoping that someone had worked on a
> calculation they can share that analyzes the cost benefits from
> switching to a public cloud from an on-premise data center or a
> dedicated hosting environment.
>
> You are raising some of the challenges in migrating to a cloud, which
> should of course be taken into account in the little exercise I am
> trying to work on, particularly if they add to the costs of moving to
> a cloud (management, monitoring, security, etc.) and thus reduce the
> ROI of such a move.
>
> On Dec 23, 7:54 pm, Sankar Nagarajan <nagarajansan...@gmail.com>
> wrote:
> > Geva,
> >
> > All your points holds good.
> >
> > However, for a knowledgeable customer, there are more selling points
> > or differentiators (in terms of your services) needed
> >
> > * Reliability is seen as an issue on the cloud - How does one address
> > this?
> >
> > * Protection/Security is seen as a major issue on the cloud :- How
> > does one address this?
> >
> > * Cloud deployment for moderate to complex applications is not easy -
> > (Custom App-stack/Machine Images) - How does one address this?
> >
> > * Monitoring ,Management and maintenance of deployed apps are not so
> > easy for every app- How is this addressed?
> >
> > * There are various clouds / cost models , If one can make a
> > comparison, consult and be able to help a client to find the best
> > choice for their budget and service them
> >    this would be add punch to the Value -Proposition?
> >
> > In essence, it is granted that clouds come with their inherent
> > benefits and value , However to sell this model effectively with an
> > ROI model, from a solution provider or SaaS viewpoint, a number of
> > points (i have mentioned a few) have to be considered and factored in
> > the value proposition to a end user,dependening on one's capabilities.
> >
> > Sankar Nagarajanhttp://www.linkedin.com/in/nsk007
> >
> > On Dec 24, 12:54 am, Geva Perry <gevape...@gmail.com> wrote:
> >
> > > Hello all,
> >
> > > Has anyone developed an ROI model for cloud computing (specifically,
> > > public Infrastructure-as-a-Service a-la AWS)?
> >
> > > I'm trying to demonstrate to a few companies both the hard and "soft"
> > > cost-savings of migrating to a public cloud environment. I'm
> > > attempting to encompass as many aspects as possible. Including:
> >
> > >  -- Costs savings for servers, storage, networking, software licenses,
> > > power & cooling, real estate, system administration labor -- mainly
> > > focusing on the possibility to eliminate over-provisioning and scale
> > > on-demand with a pay-per-use pricing model
> > > -- Costs savings due to decreased provisioning time
> > > -- Shortening of application lifecycle and decreased time-to-market of
> > > new products and services
> > > -- Increased reliability (DR, etc.) at lower costs
> > > -- Increased performance
> >
> > > Of course, the model also needs to take into account various
> > > "switching costs".
> >
> > > If anyone has any concrete thoughts on the matter, or perhaps just
> > > links to quantitative case studies, it would be greatly appreciated.
> >
> > > Geva Perryhttp://gevaperry.typepad.com
>
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