APRIL 2018CIOAPPLICATIONS.COM8Utilities are Finally Moving Applications to the CloudHENRY BAILEY, GLOBAL VICE PRESIDENT, UTILITIES IBU INDUSTRY BUSINESS UNIT, SAP AMERICA, INC.Why are utilities moving IT applications to the cloud?As recently as 2 years ago, many utilities challenged any discussion related to cloud computing with sharp comments such as "Unthinkable, the barriers are just too high!" and "One compromised piece of data could mean the CEO's job!" with most utilities stating they would never go to the cloud for their core business. Fast forward to today and several of those same utilities have completely changed their business models and several are now adopting those "unthinkable" cloud solutions to quickly adapt to their new models. Utilities are discovering that the cloud offers flexibility with scalable solutions, virtually unlimited data access, advanced computation systems and potential cost savings.What is Cloud Computing?The NIST definition is clear to some and confusing to others. Simply, cloud computing uses a network of remote servers hosted on the Internet to store, manage and process data, rather than using a personal computer, local server or servers at one location. It promotes convenient access, availability and serviceability.There are three service models for cloud computing:1. Software as a Service (SaaS): runs the cloud provider's applications on a cloud infrastructure. Each application is accessible from a specific device through a portal such as a Web browser. There is no client management or control of network, servers, operating systems, storage or individual application capabilities. Access to limited user-specific application configuration settings might be an exception.2. Platform as a Service (PaaS): provides clients the ability to deploy cloud provider-supported applications onto the cloud infrastructure. Clients have no management or control permission on the cloud infrastructure but control the deployed applications and possibly application hosting environment configurations.3. Infrastructure as a Service (IaaS): allows clients access to processing, storage, networks and other fundamental computing resources giving clients ability to deploy operating systems and other applications. Clients have no cloud infrastructure management or control options but can control operating systems, storage, deployed applications and possibly limited select networking components such as host firewalls.There are four deployment models to be considered:1. Private cloud: designed to be managed by one client or a third-party administrator on-site or off-site.2. Community cloud: shared by several clients and supports a specific community group sharing concerns regarding mission, security requirements, policy and compliance considerations. Management may be conducted by clients or a third party and may exist on-site or off-site.3. Public cloud: available for use by the general public and owned by a cloud service provider.4. Hybrid cloud: two or more clouds that can be private community or public. Individual cloud models must remain separate but are bound by standardized technology allowing data and application portability and load-balancing between clouds.IN MY VIEW
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