By Tim Ferguson, 1 August 2008 16:06
Don't talk about clouds, that usually means rain's on its wayÂ…
Yeah, sorry about that but don't worry because cloud computing actually refers to services and applications that are hosted on and accessed through the internet - or 'the cloud' as it's now known.
Makes sense but why should I be interested?
Well if vendors and analysts are to be believed, everything will be done in the cloud in a few years' time. Lots of tech companies, big and small, are dabbling in cloud computing with the likes of Google, Microsoft and SAP all getting (or trying to get) a piece of the action. HP, Intel and Yahoo! also announced recently that they're teaming up to work on cloud computing.
But is it actually something businesses will find useful?
There's definitely a market out there for this kind of stuff, with Google Apps doing a roaring trade and software as a service (SaaS) companies like salesforce.com and Netsuite - who have based their entire business models on supplying software via the web - enjoying huge growth in just a few years.
Give me an example of this cloud malarkey thenÂ…
You're probably familiar with online email services such as MSN Hotmail and Google Mail. These are a form of cloud computing as they're essentially a way of storing and accessing data through a web browser.
The email data is held on servers by the service provider but users can securely access them through a standard web browser. In fact some big name businesses have moved their staff onto this kind of email service due to the flexibility and value it offers compared with traditional computing.
Other applications include online portals such as iGoogle, which allows you to have a selection of online services available on a single web page. It means you can have your email, map service, RSS feeds and even cartoon strips all appearing on a single home page.
There's also been talk of this idea being adopted in the business world to allow workers to access all the applications and information they need through their browser.
It can't just be about email though can it?
You're right - there are loads of other applications lurking in the cloud, many of which are classed as SaaS or on-demand software. This essentially allows businesses to use tailored versions of software that are actually hosted by a third-party vendor. SaaS applications range from customer relationship management to purchasing, finance, HR and document collaboration.
Big SaaS players offering these kinds of software include Google with its Google Apps and SaaS specialists salesforce.com and Netsuite.
Businesses can also use the cloud to boost their storage capability. For example, online retailer Amazon charges businesses to use spare capacity in its enormous infrastructure to give them extra storage options.
The other big traditional tech vendors are all working on cloud services, with Microsoft starting to really embrace the internet following its initial slow start and SAP is working on an ambitious software package called Business by Design, which it's touting as being the most comprehensive SaaS enterprise resource planning product on offer - when it finally appears.
OK, I get what the cloud is now but what's so great about it?
Cloud computing means data and applications don't need to be held on servers within businesses or on home PCs where they will actually be used. This does away with the need for software to be installed and fewer servers are needed, all of which significantly cuts down on tech maintenance and implementation costs.
If you look at Google Apps, for example, the licence cost per user for its Premier Edition is just £25 per user. Google simply supplies the accounts and maintains the systems while business users merrily go about their day-to-day business.
So it's cheap but is that it?
Nope. Cloud computing also means IT teams can focus on other tasks as a third party deals with any misfiring software or server maintenance. Instead, in-house IT teams can focus on projects that could improve their business and not have to worry about more mundane tasks.
Another benefit is that people can access their business services and applications through almost any device with an internet browser. This obviously means they can work more flexibly without having to rely on a connection back to their office network.
Some cloud computing vendors are also tailoring their applications to work on mobile devices. The launch of the 3G iPhone, for example, was accompanied by countless vendors touting their SaaS products for Apple's shiny new device.
What about security?
Good job you asked. Customers, on the whole, seem to trust the cloud services they are adopting in ever increasing numbers. Google Apps has been praised for its security as it incorporates tried and tested technology from security firm Postini, which it acquired in 2007.
Some people are even talking about security services that are hosted in the cloud, with malware and spam detection applications already available. In fact analysts at Gartner are predicting that spending on online security applications will treble by 2013.
There is still an issue around business continuity and uptime - namely if your cloud provider's service goes offline, for whatever reason, it can leave you unable to access vital applications, emails or information, which could have an impact on your business.
Cloud advocates point out that traditional corporate networks are just as, if not more, vulnerable to downtime, while some vendors are also working on cloud applications that can also be used in offline situations.
Sounds like clouds aren't always such as bad thing.
Well you know what they say: every cloud has a silver lining...



Comments
There are 9 comments. Join the discussion
1. anonymous
Google are not the cure to security and privacy. Cloud providers are actually part of the problem for enterprises. Even for existing outsourcing material there are technologies which ensure that corporates or individuals can ensure that the data admin in the outsourcer cannot access information. So far with cloud providers it boils down to everyone has to trust them that they won't access data. The Chinese walls may be there but compliance and regulators are very unlikely to accept "trust" as an option or an excuse if data leaked. The cloud will sweep in but it will have few successes with enterprises until privacy and security is in the hands of the end user and does not have to rely on trusting the cloud providers.
2. Mark Hosey
Great! Looking forward to it!
So when can we expect service providers to host server based security applications as part of the standard service they provide?
3. Francis Kwadade-Cudjoe
This is fantastic if and only if, it can be reliable and timely. At least, it would take a chunk of tasks off the heads of IT managers to enable them concentrate on other demanding tasks.
4. anonymous
It still sounds really hairy to me. Everybody is talking about Internet gridlock, you're just writing a very important letter and the Internet gets stuck at ared light!
Alternatively, one day somebody out there will develop a virus to kill the Internet and then where will we be?
Does anybody really trust the Internet yet? I know that I am still very dubious about the total reliance that we are place on the cloud, a day without e-mail is supposed to be more stressful for some than getting a divorce, what about a day with no applications at all?
5. Alain Maillet
What about data confidentiality when using cloud computing ? Does such approach could favorise industrial espionage ?
6. anonymous
Great cheat sheet. One in the cloud service that I have recently come across is the CRYPTOCard MAS (Managed Authentication service) as it provides an in the cloud Two Factor Authentication Service. We are currently testing and it is fantastic to use and personally in the cloud security services are the way to go.
7. James Strachan
Let’s see, Customer buys in Shiny Cloud Computing, stores very sensitive data, customer locked into contract.
Customer then finds out that SCC has been bought out by rival, or moved to another country.
What trust have they now?
We trusted our Gov not to lose data, we trusted banks to keep our money safe, we trusted companies over many things.
Trust is hard won but very easily lost.
Remember the early days, that upstart PC was a rebellion against the tyranny of centralised computing (mainframes and dumb terminals anyone!)
May look shiny, nice and cheap on paper...
But what price that trust?
Remember Memory sticks are cheap and small!
PS
Don't even start on the problems with the other issues, Networks, Bandwith, Legal, outages, etc.
8. anonymous
Hmmmm, I am with an organisation moving from an old NT network into an IBM Via Cloud and would contest the comment that old systems suffer as much, if not more, downtime.
I have to say that I am very surprised to say that I am actually missing the old, cranky (but relatively reliable) NT network.
9. Sue Whitmore
Conceptually, is there much difference between cloud computing and wireless mainframe for the masses?