Characterizing cloud computing

Insightful analysis by consultants Steve Taylor and Jim Metzler, plus links to the latest WAN news headlines

In our last newsletter we reminded our readers that there is no universally accepted definition of cloud computing. We stated that when we think of cloud computing we focus on two key goals: saving money and providing IT services in a more elastic fashion. We added that while there is not a litmus test that indicates what is or is not a cloud computing service, there are some key characteristics that are often associated with cloud computing services. In this newsletter, we will continue our discussion of these characteristics.

FAQ: Cloud computing demystified

The Wikipedia definition of cloud computing assumes that the Internet is the WAN that interconnects users with cloud computing services. We certainly agree that in the majority of cases there will be heavy reliance on the Internet. This is driven in part by the fact that the use of the Internet tends to reduce cost, reduce the amount of time and effort it takes to deploy a new solution, and extends access to a wider range of resources and users. The Internet, however, can exhibit high levels of delay and packet loss that result in poor application performance. Hence, for some applications IT organizations will choose to use an Internet overlay from a company such as Akamai, or an MPLS service from a wide array of service providers.

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In our last newsletter we reminded our readers that there is no universally accepted definition of cloud computing. We stated that when we think of cloud computing we focus on two key goals: saving money and providing IT services in a more elastic fashion. We added that while there is not a litmus test that indicates what is or is not a cloud computing service, there are some key characteristics that are often associated with cloud computing services. In this newsletter, we will continue our discussion of these characteristics.

FAQ: Cloud computing demystified

The Wikipedia definition of cloud computing assumes that the Internet is the WAN that interconnects users with cloud computing services. We certainly agree that in the majority of cases there will be heavy reliance on the Internet. This is driven in part by the fact that the use of the Internet tends to reduce cost, reduce the amount of time and effort it takes to deploy a new solution, and extends access to a wider range of resources and users. The Internet, however, can exhibit high levels of delay and packet loss that result in poor application performance. Hence, for some applications IT organizations will choose to use an Internet overlay from a company such as Akamai, or an MPLS service from a wide array of service providers.

A number of cloud computing service providers (CCSP), such as Amazon, make extensive use of open source to reduce cost. Many IT organizations already use some open source products, most notably Linux. However, there is significantly less interest on the part of IT organizations to use open source for other key IT functions such as routing. We don't think there will be a dramatic uptick in the use of open source in the foreseeable future.

Another key characteristic of CCSP provided solutions is that they tend to be provided on a pay-as-you-go basis. We understand that many IT organizations that acquire a service such as video conferencing from a third party pass the cost of those services back to the users. However, relative to the services that they provide themselves most IT organizations have only implemented usage sensitive chargeback in those situations where it would change user behavior in ways that reduce cost and where it fits with the company's culture. We don't think that in the next two years that many IT organizations will greatly expand their deployment of usage sensitive chargeback. The deployment of usage sensitive chargeback is, however, just one of the many topics we are exploring in the survey mentioned below.

This is our last newsletter for a while on the topic of cloud computing. We will undoubtedly come back to this important topic soon. In the mean time we invite you to participate in a really important and interesting survey on the topic of cloud computing. The goal of the survey is to cut through the hype that surrounds cloud computing and identify exactly what IT organizations are doing today, and are likely to do over the next two years relative to cloud computing. You can access the survey here.

Read more about lans & wans in Network World's LANs & WANs section.

Steve Taylor is president of Distributed Networking Associates and publisher/editor-in-chief of Webtorials. Jim Metzler is vice president of Ashton, Metzler & Associates.