Did you have an opportunity to read the recent research study published by The Economist Intelligence Unit (EIU)? If not, you really should because it draws some extremely interesting conclusions. The paper analyzes results from a survey taken earlier this year of 232 global information technology (IT) executives that investigated the challenges experienced while implementing cloud technologies, including private, public and hybrid clouds.
Among the key points exposed by the EIU survey was that while the overall outcome was positive when migrating to cloud technologies, challenges still remain; the road to cloud transformation isn’t necessarily free of obstacles and missteps. As many as 67% of the respondents experienced service outages, integration failures and even data losses. For others, the cloud services failed to generate expected commercial benefits. For most – 55% - the damage caused by such situations was limited. However, these circumstances led 46% of executives to voice their fear of losing customer data, and 36% to state that breach of customer privacy remains a key concern.
Oftentimes, it’s a foregone conclusion that the public cloud is going to be the least expensive, and probably safe enough, solution. However, this is not always accurate after you look another layer down. Consider the cost of data leakage to your reputation, the cost of dedicated bandwidth, optional security features, and the frequency with which you’ll be recalling data from the cloud. You might just find that an on premises solution makes the most sense from cost and security perspectives. Ideally, you should be able to pursue an on premises solution if it makes the most sense AND have the option to leverage public cloud services whenever you’re ready to do so. In fact, that’s among the key values that HCP delivers.
Before I go any further, are you familiar with HCP? If not, check out this brief, cool new video that explains everything you need to know about what HCP is and why it’s special.
The best way to highlight my points above is to tell you about a highly relevant HCP customer success story. The customer is a global insurance company; among the largest in the world. This opportunity was focused on their Mexico business unit. The company was experiencing millions of dollars in fraud per month and wanted to tag their content and more effectively manage that content to eliminate the fraud and also cut storage costs.
The company has a SharePoint 2007 environment that required a massive upgrade. They needed to start with 60TB of storage, and they were anticipating about 2TB per month of growth. This is more than the SharePoint implementation could handle and they were looking for a way to offload storage. Furthermore, since they have a chargeback system in place within the organization, they wanted to leverage a solution that could provide a pay-as-you-go pricing model. They initially decided that the Amazon S3 service best suited their needs.
After meetings with representatives from several internal organizations, the HDS account team eventually had the opportunity to meet with the customer’s application development team. The account team demonstrated how in as little as 30 minutes, they could point the data associated with their custom content management solution to HCP via the S3 protocol. This was a powerful solution because it meant that with almost no additional development, data could be stored securely onsite instead of in the cloud.
Satisfied that the technology was capable of meeting their high level requirements, the customer then developed their own TCO study. After considering the cost of bandwidth and encryption related add-on charges, the TCO study showed that over the course of several years, HCP would be 20% less expensive than Amazon S3. The customer decided to purchase HCP, and was able to work creatively with HDS Financing to make the Capex payments look similar to Opex payments.
The cost of public cloud services continues to drop aggressively. The customer made it clear that at some point they would like to be able to move data to the cloud AND implement file sync and share. HCP can do just that. Using it’s adaptive cloud tiering functionality, content can be tiered to any of the leading public cloud services whenever the customer decides to do so. Meanwhile, the tightly integrated HCP Anywhere solution provides file sync and share capabilities without forfeiting security, or content control and visibility.
This customer example shows that it’s easy to make the transition to the cloud on your terms with HCP, and store the right data in the right place at the right time.