Cloudscaling Co-Founder and CTO Randy Bias shows the world's largest telcos that carriers must embrace web-scale cloud to be successful in the apps that will drive mobile, web and emerging markets. Legacy "clouds" are essentially virtualized and automated IT, and they do not offer the cost performance or business agility these hyper-growth segments demand.
20. IT - Evolution of Computing Models
SLA
Scaling
Hardware
HA Type
Software
Consumption
Mainframe Enterprise Cloud
21. IT - Evolution of Computing Models
SLA 99.999
Scaling Vertical
Hardware Custom
HA Type Hardware
Software Centralized
Consumption Centralized
Service
Mainframe Enterprise Cloud
22. IT - Evolution of Computing Models
SLA 99.999 99.9
Scaling Vertical Horizontal
Hardware Custom Enterprise
HA Type Hardware Software
Software Centralized Decentralized
Consumption Centralized Shared
Service Service
Mainframe Enterprise Cloud
23. IT - Evolution of Computing Models
SLA 99.999 99.9 Always On
Scaling Vertical Horizontal
Hardware Custom Enterprise Commodity
HA Type Hardware Software
Software Centralized Decentralized Distributed
Consumption Centralized Shared Self-service
Service Service
Mainframe Enterprise Cloud
25. Total Addressable Market: Legacy
Revenue
App Opportunity
Developers
$$$
Long Tail of
Customers
SMB
In-country
Enterprises
Enterprise
In-country Global
26. Total Addressable Market: AWS
Revenue
App Opportunity
Developers
$$$$$
Long Tail of
Customers
SMB
In-country
Enterprises
Enterprise
In-country Global
27. Total Addressable Market: Carriers
Revenue
App Opportunity
Developers
$$$$
Long Tail of
Customers
SMB
In-country
Enterprises
Enterprise
In-country Global
37. A Bookseller Rank Top 10 IT services in
2016???
1 IBM $37,347
2 HP $34,678
3 Fujitsu $26,935
4 CSC $16,281
5 Accenture $15,555
6 Capgemini $11,255
7 Hitachi $11,050
8 Ericsson $11,031
9 AWS $10,465
10 NTT Data Corporation $10,425
Source: servicestop100.org - 2010 top 100 IT services businesses by service revenue
39. Capital Expense (Initial)
Web-scale vs. Legacy Cloud
$4,000
Cost per Sellable $3,216
‘VMU’ $3,000
(m1.small, 1.7GB $2,000
RAM, 1 vCore)
$1,000
Web-scale $382
Legacy $0
Source: Cloudscaling confidential financial models for IaaS clouds
40. Operational Expense (Labor)
Web-scale (1500:1) vs. Legacy (300:1)
Servers : IT Headcount
$150M
$113M
$75M
$38M
$0M
Year 1 Year 2 Year 3 Year 4 Year 5
Web-scale Legacy
Source: Cloudscaling estimates of VM:admin based on known IaaS deployments