Introduction to Cloud Services: Leverage the Cloud for Your Business

Discussion outline

CornerStone’s journey with the cloud What is the cloud? Categories of cloud services Case studies reveal benefits of the cloud

Our history with cloud services

2002 Challenge: Launched with limited capital and limited resourcesSolution: Use local ASPs for billing, provisioning, CRMResult: Became a provider known for quality and value

2005 Challenge: Integrate sales and operations in 4 offices, support remotesSolution: Rely on hosted desktop and leverage ASPResult: Became SaaS agent

2006 Challenge: Shift from services to solutions

Solution: Buy softswitch (VoIP & hosted voice), acquire 40% SkySphere

Result: Began to see increase in average revenue per user

Our feet firmly planted…head in “the cloud”!2009 Acquired Richmond Telephone/Richmond Networx

2011 Acquired Distributed Applications Technologies and ActiveHost and extended SkySphere cloud services product line

Data Center Services Cloud Computing Hosted Voice Services Network and operations presence in Manhattan

What is the Cloud?

?

damn-cloud-computers copy

Perilous endeavor?

The Cloud is for Everyone

At work, at home, on the road! Banking – at ATMs and onlineAmazon – shoppingSocial networking – communicatingGoogle – e-mail and document sharingApple – entertainment

Cloud Computing…

Hire a taxi or buy

a car?

Taxi driver/company• Drives the car• Fills the tank• Maintains the vehicle

You pay a fixed ‘rate’ and taxi gets you there.

You’re the owner • Insure the vehicle• Pay for upkeep • Keep it secure

Upfront and ongoing cost gives you pros and cons of owning the car.

Three categories of service

Application (SaaS)

Platform (PaaS)

Infrastructure(IaaS)

Software as a Service

Application (SaaS)

Caters to end-users Customer uses services for business, shopping or recreation Vendor manages all applications, data, operating

system (OS), servers, storage and entire computerinfrastructure

Platform as a Service

Platform (PaaS)

Caters to developers Customer brings their own application software and data Vendor supports middleware, OS, servers, storage, and all hardware Let’s user develop and host customized applications

Infrastructure as a Service

Caters to IT staff who want access to remote hardware Customer manages application software, data, middleware and some OS Cloud provider delivers virtual equipment including servers, storage Customer has worry-free hardware, maintenance, environmental

conditions Global growth from $3.7 billion to $10.5 billion by 2014

Infrastructure (IaaS)

Benefits of cloud computing

Case Studies

CARDIOVASCULAR HOSPITAL Syracuse, NYNeed: Scalable, high availability, compliant solution for 5 remote locationsSolution: 150 Virtual Xen Desktops

MUNICIPALITY Warren CountyNeed: Scalable solution for collaboration anddemand for growing email storageSolution: 100 hosted Microsoft Exchange seats with 25GB mail boxes - sync to mobile phones included

MAJOR HOSPITAL Western MassachusettsNeed: Reduce $85,000 annual fee for encrypted email to support 2500 users. Solution: Hosted service on gold standard platform for $35,000

NATIONAL BANK Headquarter in MassachusettsNeed: Become compliant with Gramm-Leach Bliley Act for financial privacySolution: Hosted Exchange with archiving and email encryption

AUTO DEALERSHIP Albany, NYNeed: Secure, off site backup for 1 Terabyte of data, and growingSolution: Online backup with data de-duplication for fast , secure off site backup

What can it do for you?

What Problems Can Cloud Computing Help Solve?

Availability Security Flexibility Reduced costs

Availability, Reliability and Disaster Recovery

Constant access to business applications Leverage your cloud provider’s disaster recovery plan Alternative to customer-owned, redundant platforms

Security

Challenges Increasingly complex Increase in hacker activity and available malware Fines for non-compliance with HIPAA and other regulations

Cloud solution Standards compliance / SaaS 70 Proven results for Fortune 1000 and U.S. Armed Forces

Flexibility Challenges

Increasing number of work-from-home employees

Need to collaborate, share files, and communicate with ease

Cloud Solution Portability Hosted e-mail, desktop files, and hosted phone service

that are affordable and secure

Reduced costs Gartner’s 2011 CIO Agenda survey: reducing cost as a top priority

U.S. Government’s CIO shows savings as agencies move to the cloud

GSA: move 17,000 users to hosted e-mail saves $15 million

Dept. of Agriculture: move 120,000 users to hosted e-mail saves $27 million

D.O.D: $54,000 up front for cloud avoids $1 million in legacy upgrade

Department of Health and Human Services implements electronic health records using cloud service. Reduces time to market from over 1 year to only 3 mos., supporting over 100,000 primary care practitioners.

Position yourself to compete

Faster time to market

Creation of new value

drivers

Easier to scale-out

Lower upfront IT

costs

Immediate access to hardware

resources

No upfront capital

Pay-per-use billing

Scalability & Affordability

Seamlessly scale services in

correlation with client demand

Lower IT barriers to innovation

Support interoperability

between legacy / new platforms

Consider your strategy

Want to know more about Cloud Services? Contact: David Wilmingdwilming@cstel.comP (518) 423-2688