Cloud Economics

Cost savings are central to the business case for cloud computing but can never be assumed in government. This section on cloud economics intends to explore the potential for cost savings along with the many considerations that complicate the equation for governmental organizations looking to transition their IT services to the cloud.

New report: Commerce Department can improve data access, quality, distribution

Dibya Sarkar, FierceGovernmentIT,  Monday, October 20, 2014

A new report says the Commerce Department, which provides government data to more companies than any other federal agency, can make improvements in several areas involving data access, quality and dissemination. It outlined seven areas – data discovery and findability, access, quality, collection and sharing, interoperability storage and dissemination, and users as customers – that should be improved.

Agencies should pursue cloud for performance, not cost benefits, says report

Molly Bernhart Walker, FierceGovernmentIT,  Wednesday, October 15, 2014

Cloud computing technology is ready for the enterprise, but most agencies are not prepared at a policy level to most efficiently implement it, according to a whitepaper (pdf) published Oct. 10 by the MITRE Corporation and the Advanced Technology Academic Research Center. As a result, agencies adopting the cloud may not realize cost savings but they can realize performance improvements, such as enhanced capabilities and features, say report authors. "An organizational, business, and cultural change needs to occur to enable cloud computing to be readily adopted," says the whitepaper, which summarizes presentations and discussions that took place at the July 2014 Federal Cloud Computing Summit. The report synthesizes governmentwide challenges and best practices around cloud computing.

The Value of the Broker Model

Scott Andersen by Scott Andersen, CGI
Tuesday, September 16, 2014

I find it interesting and have the argument frequently about the value of cloud brokers. I tend to be arguing with cloud service providers and argue that there is significant customer value in the cloud broker model. Cloud service providers don’t always see that value and they should.. From their perspective its business as usual and the broker of course changes that. Lately however I am seeing more and more people moving to my side and tipping the argument further. So I have come up with my top ten reasons brokers will be of value in the next two years.

The Seasons of Cloud

Scott Andersen by Scott Andersen, CGI
Thursday, August 07, 2014

Many organizations have interesting peaks and valleys in their compute needs. Some have periods of significant intensity followed later by great periods of lots of spinning disk but no real business need for all the capacity. That is often called Seasonality. It’s an interesting problem to consider from a customer viewpoint.

The Big Data Report and The Cloud

Paul Rosenzweig by Paul Rosenzweig, The Chertoff Group
Friday, May 02, 2014

On May 1st the Administration released its long-awaited, review of Big Data -- a report from the Executive Office of the President on the phenomenon of large-scale data collection and analysis. The report is likely to set the framework for the policy debate over Big Data for the next 5 years – and that will have significant implications for many cloud applications. Those who collect and aggregate data are going to have to be more proactive and responsible; and that’s a likely sea change. In many ways the report is an excellent summary of the phenomenon of Big Data as it is used today. It collects, in one place, a remarkably concise compendium of information, including contemporary use models for big data; existing government initiatives; and taxonomy of policy questions that arise from new data analytics.

A View of Cloud Brokers Future...

Scott Andersen by Scott Andersen, CGI
Wednesday, April 30, 2014

The concept of cloud broker and cost remains an interesting question. It’s one that I have looked at from a number of angles over the past year and I’ve come to some interesting conclusions as a result.

In Public Cloud Computing Fight, the Gloves Come Off

Bernard Golden, CIO,  Thursday, April 10, 2014

The past two weeks brought big news in the public cloud computing market. In the course of four days, three technology giants made bold statements about their intent to be one of the most important public cloud providers - and, indeed, position themselves to be the No. 1 cloud company on the planet.

Cloud energy savings: looking at both sides of the equation

Doug Miller by Doug Miller, Milltech Consulting
Friday, June 22, 2012

There was an interesting piece in Information Week recently talking about a white paper Google had just published titled “Google Apps: Energy Efficiency in the Cloud.” While overall the paper raises some good points about how moving to a Google Apps cloud infrastructure can save money on energy costs, there are several areas worth thinking about beyond the statements in the paper.

Cloud Costs for Government Could Rise

Richard A. Falkenrath by Richard A. Falkenrath, Chertoff Group
Tuesday, April 17, 2012

Cloud computing for governments in the United States, especially services tailored for the federal government, may not be as efficient or as cheap as many would hope, says Richard Falkenrath, a principal with the security consultancy The Chertoff Group.

How to Break Down the OpEx vs. CapEx Cloud Computing Debate

Bernard Golden,,  Friday, February 17, 2012

The debate about the economic benefits of cloud computing is intense, and is commonly boiled down to a talking point labelled OpEx vs. CapEx. Very often, like many talking points, the headline conflict is really a stalking horse that conceals the true source of conflict.