Cloud Computing and The Law

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Cloud Computing and

The Law

Wally Kowal, President and Founder

Canadian Cloud Computing Inc.



8 June, 2011 Page
2



Today’s Agenda


Introduction


Defining cloud computing


The benefits of cloud computing


The state of the cloud in Canada


The future of the cloud


8 June, 2011 Page
3



Who is Canadian Cloud?


We are a facilities
-
based cloud computing services provider


We have built our own cloud platform located in Canada and are
delivering cloud services today to commercial clients


We are a member of the Communitech Accelerator Program


Founded in 2009


Moved in to the Communitech Hub in Kitchener in September 2010


Launched commercial service in January 2011


Member of the Canadian Digital Media Network


Our management team have 9 decades of experience in high
-
growth
technology companies but this is our first start
-
up from scratch


Our management team has its roots in telecom, so we understand the
meaning of the word “reliable”



8 June, 2011 Page
4



Defining cloud computing: NIST

"Cloud computing is a model for enabling 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. This cloud model promotes availability and is
composed of five essential characteristics, three service
models, and four deployment models.”

Essential Characteristics:


On
-
demand self
-
service


Broad network access


Resource pooling


Rapid elasticity


Measured Service




Service Models:


Cloud Software as a Service (SaaS)


Cloud Platform as a Service (
PaaS
)


Cloud Infrastructure as a Service
(
IaaS
)

Deployment Models:


Private cloud


Community cloud


Public cloud


Hybrid cloud


8 June, 2011 Page
5



The Roots of Cloud Computing

Mainframe
Timeshare

1970’s

Client/
Server

1980’s

PC and the
Internet

1990’s

Cloud
Computing

2000’s


8 June, 2011 Page
6



Defining Cloud Computing: NIST

"Cloud computing is a model for enabling 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. This cloud model promotes availability and is
composed of five essential characteristics, three service
models, and four deployment models.”

Essential Characteristics:


On
-
demand self
-
service


Broad network access


Resource pooling


Rapid elasticity


Measured Service




Service Models:


Cloud Software as a Service (SaaS)


Cloud Platform as a Service (
PaaS
)


Cloud Infrastructure as a Service
(
IaaS
)

Deployment Models:


Private cloud


Community cloud


Public cloud


Hybrid cloud


8 June, 2011 Page
7



The Trusted Canadian Cloud
TM


8 June, 2011 Page
8



Defining Cloud Computing: NIST

"Cloud computing is a model for enabling 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. This cloud model promotes availability and is
composed of five essential characteristics, three service
models, and four deployment models.”

Essential Characteristics:


On
-
demand self
-
service


Broad network access


Resource pooling


Rapid elasticity


Measured Service




Service Models:


Cloud Software as a Service (SaaS)


Cloud Platform as a Service (
PaaS
)


Cloud Infrastructure as a Service
(
IaaS
)

Deployment Models:


Private cloud


Community cloud


Public cloud


Hybrid cloud


8 June, 2011 Page
9



Cloud has Multiple Delivery Models


Platform as a Service (
PaaS
)


Deploy
customer
-
created applications
to a cloud


e.g.
Provide web servers


Built upon
IaaS

platform



Infrastructure as a Service (
IaaS
)


Rent processing, storage, network
capacity, and other fundamental
computing resources


e.g. Provide bare
-
bones servers



Software as a Service (SaaS)


Use provider’s applications over a
network


e.g.
Provide applications


Built upon
IaaS

or
PaaS

platforms


8 June, 2011 Page
10



Defining Cloud Computing: NIST

"Cloud computing is a model for enabling 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. This cloud model promotes availability and is
composed of five essential characteristics, three service
models, and four deployment models.”

Essential Characteristics:


On
-
demand self
-
service


Broad network access


Resource pooling


Rapid elasticity


Measured Service




Service Models:


Cloud Software as a Service (SaaS)


Cloud Platform as a Service (
PaaS
)


Cloud Infrastructure as a Service
(
IaaS
)

Deployment Models:


Private cloud


Community cloud


Public cloud


Hybrid cloud


8 June, 2011 Page
11



Hybrid Cloud

APP

Loads

APP

Loads

APP

Loads

The Power of the Cloud

Private Clouds

Management

VMware vSphere

Public Cloud

Management

VMware vSphere


8 June, 2011 Page
12



Benefits of Cloud Computing


Reduce capital costs


Cloud computing removes the need to purchase hardware and software
and replaces capital expenses with operating expenses


Increase quality of service


Clouds are usually located in a data centre where power, cooling and
Internet connectivity are designed and maintained to meet strict
reliability levels


Reduce implementation time


The cloud delivers a server up and running within minutes or hours
instead of weeks or months


Increase flexibility


Cloud computing lets you change CPU, memory or storage as required.


Save money


Leave server operations and maintenance to the cloud provider,

which reduces manpower costs


8 June, 2011 Page
13



Canadian Competitive Overview


Canadian IT hosting market is highly concentrated


Top 15 companies have 80% of the market


Global public cloud computing providers (Google, Amazon, IBM)


Managed Service Providers


Data centre operators (Q9, PEER1, Bell)


The remaining 20% is split between 2,000 companies


Few direct Canadian competitors in cloud


8 June, 2011 Page
14



Who Should be Concerned

1.
Companies that have legal requirements


Medical


Banking

2.
Companies that have regulatory requirements


Insurance


Financial

3.
Companies that just want to sleep better


“at risk” groups


Cautious decision
-
makers


8 June, 2011 Page
15



Most cloud legal issues are not new


Service level agreement


Qualify and quantify


Remedies are both contractual and legal


User access


Who has access to the data?


Regulatory compliance


Data recovery


What happens on exit or breach of service?


Investigative support


Are foreign service providers subject to local warrants/demands?


What resources does the operator have?


8 June, 2011 Page
16



Some legal issues are unique to cloud


Data location


Where is the data located?


Who is aware of the data’s location?


Who controls the data’s location?


What jurisdiction applies?


Data segregation


Comingling of data


Security


Auditability


Software licensing


8 June, 2011 Page
17



Thank You