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the CIOs via the CC provider. In fact, withCC, these aspects will be of higher qualityand service level than what the companycan provide. This is due to the economies of scale and cost effectiveness of installingworld class security enclosures along withworld class hardware, software, and

personnel that an individual company couldnot justify providing for themselves. It wasemphasized that security might actually beenhanced because companies with in-house infrastructure tend to get complacentabout security risks, while a cloud vendor understands their viability depends onmaintaining confidentiality of data The paneldid agree the in house IT staff would bereduced, but many would simply relocate tothe CC providers.

Protecting the Crown JewelsThe panel recognized that some data,processes, IP, etc. may be deemed ne plusultra critical to the company. In such cases,these “Crown Jewels” can stay in house,while all the less critical functions can safelylocated with the CC provider.

Private CloudsAnother approach available is for acompany to establish subscribe for “private”cloud computing (PCC); which is the same

as a CC except PCC is physically separatefrom all other clouds. The CC provider would handle and manage this private cloud

 just like the others in their facilities; but onlythe single client company would have user access. The PCC provider would still beable to provide near-instant scalability for utilization spikes. And the client would stillonly be charged for the actual servicesused. The CC or PCC and client couldactually pre-schedule rescaling eventsbased on historical utilization patterns.

Pay Only for What You UseCurrently, CC providers typically chargebased on actual services used. This pay-what-you-use model via CC can mean verysignificant savings for companies that havevery large but infrequent utilization spikes,such as those seen by airlines and retailersduring the Thanksgiving and Christmas

Holiday seasons. These types of companiestypically have to design, buy, provide space,and install the complete infrastructurerequired to handle these spikes. Then theyare saddled with the costs to cool, maintainand manage this excess capacity all year long, even though it is not needed most of 

the year. For example, Scott Petry observedthat startup companies could use the cloudto inexpensively access infrastructure thatwould have required (as it did in the case of his startup, Postini) an large investmentmeasured in the millions of dollars just a fewyears ago;

Private/Protected Personal InformationThe panel cited medical records as anexample of the type of data that would be aperfect fit for CC. A person’s medical

records can be very complicated,voluminous, and difficult to manageamongst multiple doctors. With CC, thisinformation can be quickly available tomultiple doctors worldwide. Thisaccessibility will improve their health caretreatment wherever they are.

Due to HIPPA and other privacy laws,patient privacy is a real challenge whenusing CC. The panel mentioned onecompany that is experimenting with creating

Avatars to act as aliases for patients. Thiswould facilitate protecting the patient’sprivacy rights by ciphering the link betweenthe data and the patient.

“CC” Ten Successful YearsPanel member David Levitt explained howhis company, SalesForce.com, has in effectbeen using CC for the last 10 years. Hiscompany provides primarily applications for sales and customer service (also known ascustomer relationship management or  

CRM) and their  Force.com platform. All of which runs in the cloud. These applicationsprovide CRM capability, on a daily asneeded basis, to companies worldwide.The apps track people, customers, sales,finance, expenses, and much of the other data needed to run a large global salesforce, simultaneously in near real-time. This

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could not be done effectively without usingCC principals.

ConclusionUsing Cloud Computing, a business of anysize can securely increase net profits byoutsourcing most of their IT requirements;

thereby avoiding the burden of having tocreate an internal IT infrastructure, trainemployees, as well as maintain, andmanage a support function that is not acompany’s core business.

Panel Members

Mark Settle - CIO, BMC Software

Scott Petry - Product ManagementDirector, Google Enterprise

Bill Hodak - Principal ProductManager, Oracle Corporation

Dave Levitt - Regional SalesManager, SalesForce.com

Moderator: Roberta Kowalishin—CIO, Houston Chronicle

 Additional Resourceso Collaborate 2009 – Oracle on a Cloud,

by Bill Hodako Cloud Architectures Whitepaper ,

by Jinesh Varia - Amazon WebServices (pdf)

o Oracle Cloud Computing Center 

o SalesForce.com Cloud Computing

Event Images

Pre-Meeting Reception & Networking

Large Diverse Audience in Attendance

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Scott Petry of Google talking with attendees after thepanel session

Moderator Roberta Kowalishin meeting withattendees after the panel session

Dave Levitt of Salesforce.com

Roberta Kowalishin – Panel Moderator; VP & CIO,Houston Chronicle

Bill Hodak of Oracle

Attendees Kathie Forney (President, CEO; i.focuscorp), Phil Schwarz (Director of Client Services for Sfile, LLC) and Jaime Valencia, Sc. D.; ExxonMobilUpstream Research Co.)

Mark Wargo – Chairman, MIT Enterprise Forum of Texas

 About the Author 

 Glenn M. Jenkinson is anentrepreneur and degreed Engineer withover 28 years of business and engineeringexperience. He writes on diverse topicsranging from computing, oil & gas,technology, manned space exploration,aeronautics, and business. He also writeson fine arts, creativity, and psychology. He

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is an Associate Fellow of the AmericanInstitute of Aeronautics and Astronauticsand a member of multiple professionalsocieties. Glenn has received numerousIndustry and NASA Technical Awards whichinclude: the first NASA JSC Director’sReturn-to-Flight Team Achievement Award

(for redesign work done after the ColumbiaShuttle Disaster); the prestigious NASATechnical Publications Award; and theSpace Alliance Technology Outreach

Program Special Appreciation Award-presented for Exceptionally Rapid, Creativeand Effective Problem Solutions in highlydiverse industries. Mr. Jenkinson devotespersonal time to mentoring younger peoplein technical and life skills. Mr. Jenkinson isthe son of Mr. Donald George & Mrs.

Achsabel T. Jenkinson. Glenn and his wifeof 26 years (herself a Chemical Engineer)live in Clear Lake City, TX.

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