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Can Africa benefit from Cloud Computing?

Can Africa benefit from Cloud Computing?. Andrew Stott Senior Consultant, TWICT formerly Deputy UK Gov CIO Washington 09 Jul 2012 v0.9. @dirdigeng andrew.stott@dirdigeng.com. What is Cloud Computing?. Cloud Computing.

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Can Africa benefit from Cloud Computing?

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  1. Can Africa benefit from Cloud Computing? Andrew Stott Senior Consultant, TWICT formerly Deputy UK Gov CIO Washington 09 Jul 2012 v0.9 @dirdigeng andrew.stott@dirdigeng.com

  2. What is Cloud Computing?

  3. Cloud Computing “Cloud computing is a model for enabling ubiquitous, convenient, on-demand network access to a shared pool of configurable computing resources (e.g., networks, servers, storage, applications, and services) that can be rapidly provisioned and released with minimal management effort or service provider interaction.” NIST, US

  4. Cloud Computing “Cloud computing is a model for enabling ubiquitous, convenient, on-demandnetwork access to a shared pool of configurable computing resources (e.g., networks, servers, storage, applications, and services) that can be rapidly provisioned and released with minimal management effort or service provider interaction.” NIST, US

  5. Cloud Computing “A standardised IT capability delivered via Internet technologies in a pay-per-use, self-service way.” Forrester Research

  6. Cloud Computing: Essential Characteristics • On-demand self-service • Broad network access • Resource pooling • Rapid elasticity • Measured service

  7. Cloud Computing: Service Models

  8. Cloud Computing: Deployment Models

  9. Benefits and Risks

  10. Cloud Computing: Benefits

  11. Issues • Requires always-on broadband • (Perceptions of) Security • (Perceptions of) loss of control • Legal/regulatory framework • Languages • Territoriality • Vendor Lock-in • Adapting the business to the IT • Migration costs and staff adaptation • Business continuity

  12. SME users disproportionately benefit • Access to enterprise-class software as a service • Better security and resilience at lower cost • No premises costs • Fewer skills requirements • Easier access to business building blocks (eg e-commerce, payment systems, CRM, ERP)

  13. The Cloud Market

  14. What parts of the ICT market are affected? High Low Impact Medium Market size data: Forrester Research

  15. IT Market changes • New entrants in Infrastructure, Platform and Software • Traditional IT players highly conflicted • Telcos familiar with cloud infrastructure model • For G-Clouds, PPP is a feasible model • Lower barriers to entry for software providers • Lower upfront capex by using cloud infrastructure • Lower marketing and distribution costs • Easy access to international markets

  16. SAAS is predicted to dominate long-term Source: Forrester Research

  17. SAAS on IAAS

  18. Implications for Procurement

  19. Cloud: implications for procurement • Providers tend to shape the market • Requirements-led specifications may not give optimal solutions • Capability-led specifications raise new issues • Prime Contractor model needs to be adapted • Client side integration skills important • Risk allocation, not simple risk transfer • Low-cost, commodity, model makes high bid costs untenable for some vendors • “Thick” integration layer absorbs most/all of financial and non financial benefits

  20. Can Africa benefit from Cloud Computing?

  21. Can Africa benefit from Cloud Computing? • Opportunity to leverage current broadband investment programmes • Proven platform for fast deployment of innovative services • Gives SMEs and entrepreneurs access to high-quality IT services • Leverages available skills towards adding value • Allows “leap-frogging” of legacy IT dead-ends • Established model for private capital investment

  22. Cloud-ready: national level • Always-on megabit-class broadband? • 80%+ coverage of system users? • Good low-latency international connectivity? • Trusted payment mechanisms? • Standards-based regulatory framework? • Sufficient potential market for localisation? • Integration skills? • Telco or cloud/data centre specialist with access to investment capital?

  23. Cloud-ready: Government • Effective cross-government ICT leadership? • Effective ICT governance? • Full ICT cost awareness? • Standards-based approach to ICT security? • Results not inputs culture? • Suitable Ministry to be “G-Cloud broker”?

  24. Cloud opportunities in current ICT portfolio • US$250m of telecoms infrastructure • cloud enabling, but not itself cloud • US$15m of specialist IT – not cloud-suitable • US$235 of projects worth asking the question • Transformational opportunities • Whole-of-Government ICT infrastructure • Whole Ministry technology upgrade • e-Government platform • Efficiency and time-to-value opportunities • Finance and HR systems • Line of business apps with dispersed users

  25. Discussion

  26. End

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