Cloud computing business in TelecomDaNTe 2011DAN NOVIH TEHNOLOGIJAČetvrtak 3. studenoga 2011, Rijeka

Sergej PočučaSenior Solution ManagerNokia Siemens Networks Zagreb

What remains when the cloud (hype) goes away?

Computing, storage and application resources delivered on demand. Scalable - Dynamic - Shared - Paid per use

Business and delivery model evolutionTelecom box

€0.5 per can Special discounted

wholesale price

Virtualized system

€0.8 per literUse your own glass

Tap size fitted to your needs

As a Service

€ 10 per hour ‘all you can drink or as

much as you can’

Hw

Shared hardware

Ap

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atio

n

Ap

plic

atio

n

Ap

plic

atio

n

…

Ap

plic

atio

n

Hw

Ap

plic

atio

n

Hw

Ap

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n

…

Virtualization

Shared hardware (*A

pp

lica

tion

Ap

plic

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n

Ap

plic

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…

Anonymous cloud infra

Pre-integrated and pre-tested silo systems and NSN defined hardware

Software integration to customer infrastructure

Pay-per-use and service delivery, on-demand infra

Benefits and business drivers for cloud computing

Cost-savings of private clouds

Source: IBM, Capturing the Potential of Cloud, September 2009, May 2010

65%

27%

45%

76%

0%

20%

40%

60%

80%

100%

Hardware Software Admin Provisioning

One IT environment

• Uniform infrastructures and apps

• Same environment available globally

• Device-agnostic access to cloud

Keep it simple!

• IT complexity moved from PC to cloud

• Applications in cloud

• Maintenance in cloud

CAPEX --> OPEX

• No up-front investments

• Costs follow business volume

• Only pay for what you need

Better asset utilization

• Improved hardware utilization• Improved SW license utilization• Reduced operating costs• Reduced provisioning costs Flexibility

• Ability to buy services in small increments

• Pay-as-you-go model

• Short service roll-in & roll-out times

SaaS deployment status and plansConsumers •Low costs or free service often expected• Ease of use• Multiple devices in use• “On-demand” type of usage• Social networking / collaboration needs

Small & Medium Enterprises •No up-front investment, especially important for startups•Business flexibility•Ease of use•Buy in expertise

Cloud computing adoption is on the rise …

CSPs as cloud users

• Heavy cost pressure pushes use of cloud computing• Low TCO as the main driver• Business flexibility to offer new end-user services• Short T2M

Large enterprise •Low TCO (low CAPEX is not enough)•Uniform IT environment•Ease of use•Business flexibility

0% 20% 40% 60%80% 100%

Very large (10,000+)

Large (2,500-9,999)

Medium large (500-2,499)

Medium (250-499)

Small (20-249)

Very small (2-19)

Already deployed

Plan to deploy in 12 months

Plan to deploy in 13-24 months

Considering deployment, but no definite/immediate time frame

Not deployed and no plans

Unsure/don’t know

Source: Yankee, 2010 FastView Survey: Cloud Computing Grows Up: July 2010

… and some players are already on the go (IaaS + SaaS)

T-Com Croatia• Virtual PC (computer + OS instances)• Targeted at home and office customers• Basic service fee 149kn/month• tCloud Management package (Basic + MS

Office, Office Email) 198kn/month

VIPnet Croatia• Working Time monitoring/management• Car Fleet management • Vip boat surveillance• Targeted at enterprise customers• 91 KN/month

T-Com Croatia• tCloud Human Resource offered as SaaS

(basic package 45 Kn/month/person)• tCloud ERP offered as SaaS (start package

199 KN/month• Adapted to local law

Metronet Croatia• Cloud market of business applications (CRM,

HR, e-learning, Time mngm, etc)• Cloudmarket.hr• Pay per use model• Localized apps

Telekom Slovenije• desktop computing as a service /virtual

desktop infrastructure• backup services - sihramba.eu• CRMaaS solution

Telekom Srbija•Virtual machine•Virtual desktop•ERP, Exchange, File server as a Service

Transforming from network service provider…

XaaS providers:Apps, contentand services

Consumers and enterprises

CSPs

Content, developer community and revenue flow

Connectivity and basic VASVoice, SMS, Internet access, SIM distribution

…to integrated cloud service provider for experience and efficiency

XaaS providers:Apps, contentand services

Consumers and enterprises

CSPsId

en

tity

Lo

catio

n

Bill

ing

Se

curit

y

Telecom & IT applications

Virtual infrastructure

Physical infrastructure

…..

Enable & create new telco cloud businesses (Paid SLA, consumer & enterprise services, multiple M2M verticals)

Assure privacy, security and cloud service quality for differentiation

Transform telco operations & applications(HLR, voice, location, charging, messaging, browsing and more)

Three major business opportunities are arising for CSPs

Internal efficiency

• Reduction of internal costs through virtualized on-demand network services

• Flexibility thru new business models (SaaS - pay on consumption)

• Lower upfront investments

• Shorter time-to-market -> short time-to-revenues lead times

• Less complexity

New revenues

• End-to-end enterprise offering bundling connectivity with applications

• New value-added services for consumer (through telco assets exposure)

• Multiple M2M verticals and new business models

• Enable revenue generating solutions

• CSP can guarantee following:

- Quality of experience differentiation for cloud services

- Secure the cloud services

- Privacy

Re-establishing

the role of the operator

CSPs play a central role in the cloud computing boom Nokia Siemens Networks offers a unique Telco-cloud portfolio

Telecom mobile/ wireline network(s)

Telecom platform as a service (PaaS)(Creatary Platform, Telco SaaS platform, M2M apps platform (Cumulocity), Apps Store)

SME / enterprise applications (Security as a Service)

Consumer applications (Yuave – Cloud Voice mail)

M2M vertical applications (Vending machines)

Professional

& managed services

Telecom products & applications (VAS as a Service)

Cloud service management

Private cloud Public cloud

New revenues

Internal efficiency

enables indirectrevenue

generation

Re-establishing the role of the

operator

Example – NSN Creatary - telcoassetmarketplace.com - Expose Telco assets to Cloud

Preinstalledsupport

applications

OR

Compiled-in library for developers

Pay with <CSP> Pay

Value Php10ToGameCorp

DescriptionAccess to hidden level “Zoink!”

Confirm Cancel

+++++

Developer SDKs

=

NSN Creatary SDK improves device based apps functionality • In-application charging for increasing revenues• Profile look-ups and single sign-on for increasing

convenience

Example – NSN yuave.com - Voice Mail/Assistant in the Cloud

GREETING • Freedom of choice• Personalized

MAGIC-LOGIC • User defines behavior• Easy setup for voice mail and IVR

DELIVERY Multiple ways for the user to access

messages: mobile, portal, social apps

Key benefits• Make voice

attractive and profitable

• Internet generation focus – user-defined, not operator-defined

• Integrate social, mobile and voice

• Cloud based on Telco Asset Marketplace platform

Remote object management

Data collection & pre-processing

Service creation & management

Business integration capabilities

Energy Logistics /Telematics

Home Security Payment

Connectivity

Smart object communication

eHealth

Smart Objects Services Enablement

Smart Objects Connectivity

Smart Objects Partners

Developerpartners

Multiple Tenants

Enterprise Applications

Key Benefits•Multi-tenant platform for B2B and B2C services•Integrates operator assets of billing, location, network and identity•Ecosystem of devices and applications

M2M Cloud Application Platform with vertical specific applications

Thank Yousergej.pocuca@nsn.com

Twitter: @sergej_pocuca