tailieunhanh - THE ECONOMICS OF CLOUD COMPUTING ADDRESSING THE BENEFITS OF INFRASTRUCTURE IN THE CLOUD

After a few months of respite brought about mainly by the provision of longer-term liquidity by the Eurosystem in early 2012, the sovereign-debt crisis intensified again in spring. However, financial markets have recovered since July, helped by important policy decisions in the EU and the announcement of further monetary easing on both sides of the Atlantic. Sovereign yields in most vulnerable countries have receded somewhat since summer. Risk appetite appears to have improved as stock markets have recuperated the losses experienced earlier in the year. The ECB measures explicitly. | The Economics of Cloud Computing Addressing the Benefits of Infrastructure in the Cloud by Ted Alford alford_theodore@ Gwen Morton morton_gwen@ Booz I Allen I Hamilton delivering results that endure Booz Allen Hamilton Booz I Allen I Hamilton The Economics of Cloud Computing Addressing the Benefits of Infrastructure in the Cloud The federal government is embracing cloud computing as a means of reducing expenditures for information technology IT infrastructure and services-trading up-front investment for significant outyear savings. Booz Allen Hamilton has conducted an economic analysis to investigate the potential savings of the federal plan focusing on IT data centers and using a proprietary cost model and extensive experience in cost and economic analysis of government IT programs. Our results generally confirm the government s expectations of significant cost savings for a non-virtualized 1 000-server data center the benefit-to-cost ratios BCR in the study reflected in this paper range from to with BCRs for larger data centers ranging potentially as high as 25 . Our analysis implies that over a 13-year life cycle the total cost of implementing and sustaining a cloud environment may be as much as two-thirds lower than maintaining a traditional non-virtualized IT data center. Our study takes into consideration transition costs and life-cycle operations as well as migration schedules-which other studies usually ignore or treat incidentally-to arrive at BCRs that reflect the realities of transitioning major IT activities and reveal what federal enterprises can expect to realize from a transition to cloud computing. Other studies often focus only on cost savings from hardware replacement and omit some of these considerations which may result in higher BCRs in a much shorter investment payback period that does not in our view paint an accurate picture. Introduction The President s budget for fiscal year 2010 FY10 includes in IT spending .

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