BETA
This is a BETA experience. You may opt-out by clicking here
Edit Story

Cloud is The World's Economic Opportunity

SAP

Image by AFP via @daylife

It was readily apparent at the U.S. Commerce Department’s National Institute of Standards (NIST) Cloud Computing Forum in November that cloud computing is a global IT phenomenon with global business benefits. It was also clear that U.S. cloud computing needs mirror those of other countries, possibly offering another way to bring nations together to build other kinds of bridges because of the cloud.

The U.S. Government’s Federal Cloud Computing Strategy describes cloud computing as a "profound economic and technical shift ….”  NIST’s role is to “define and advance standards and with U.S. government agency CIOs, private-sector experts and international bodies to … reach consensus on cloud computing technology and standardization priorities."

As SAP’s Commissioner on the U.S. Federal Cloud Commission, the highlight of the NIST Forum for me was the Panel:  Cloud Without Borders:  International Perspectives chaired by Ambassador Philip L. Verveer, United States Coordinator for International Communications & Information Policy, Department of State. Participants on the NIST Panel included key representatives from Korea, Japan, China, U.S., and the European Commission.  There was a myriad of common ground with needs and goals between the different countries. And in speaking with Ambassador Verveer after the event, he will play an active role in sponsoring the international dialogue on global cloud computing policies around privacy and access to data crossing borders. Here's how the international cloud computing landscape currently looks:

Korea

Similar to our own government, and as we emphasized in the US Federal Cloud Commission recommendations, Korea’s vision includes heavy adoption of cloud computing in their public sector -- to reduce operating costs 30% by 2015.  They will actively participate in global standards initiatives to benefit from cross-border opportunities, especially to optimize use of their “world’s highest” ranking in broadband Internet penetration.

As in the U.S., large Enterprise customers in Korea are exploring on premise private clouds, and public cloud access is highly popular among smartphone and Pad users.  Nonetheless, “trust” remains a factor in the adoption rate of the public cloud model, as it does elsewhere. Cloud computing is thought by many to be a catalyst for economic growth, especially for small business, and therefore, Korea looks forward to a new International Roundtable to talk about the global cloud ecosystem -- and benefit from US leadership in “sharing the light” across our “increasingly connected world.”

Japan

Japan sees its opportunity with cloud computing as both a new business accelerator for small- and medium-sized companies/venture companies, and for energy optimization for Smart Grid.  A top priority for the Japanese government is how cloud computing can accelerate recovery from natural disasters. The Japan Cloud Consortium between government, academia, and the private sector was convened in December 2010. Part of its focus has been to capture lessons from the March 2011 disaster, and develop a strategy and cloud-based architecture for delivery of medical, education, agriculture and other services to make communities and businesses safer and more resilient from the devastating impact of natural disasters.

China

China looks to cloud computing to accelerate economic activity, deliver citizen services at lower cost, support business sustainability, and like Japan, build safer cities to protect citizens from natural disasters. China has designated 5 pilot cities for cloud computing, each to model a different area of service delivery: Beijing for eGovernment;  Shanghai for financial and logistics;  Shenzhen for manufacturing and small business;  Hangzhou for ecommerce;  Wuxi for manufacturing and Internet of Things (key technologies for sensor networks.) China has a lot of family businesses and companies that are small-scale manufacturers, who will benefit the most from consumption of IT services in the cloud – as in a utilities model with no up-front capital.

European Union

Europe is focused on harnessing the cloud to create new jobs and growth for tomorrow’s economy.  The European Cloud Strategy being developed in the EU Commission’s Digital Agenda seeks to ensure sufficient access to “cloud computing …  so that European companies of all sizes, government institutions and citizens can use these to develop innovative services.” Europe is examining issues in compatibility with European legislation, technical security, standards and interoperability so that all potential users can take full advantage of cloud computing. Europe faces country-specific jursidictional issues around data privacy similar in concept to those faced by individual states here in the U.S.  While an international dialogue is underway about global ramifications, perhaps a closer look at any common ground shared by U.S. states and EU countries might lead to new ideas and models that could benefit all.

United States

In our own cloud computing investment in both the public and private sectors, another opportunity involves global collaboration in scientific research. Research on NOAA weather prediction models and personalized medicine are prompting a look into university community clouds and international hybrid clouds for joint projects where large-scale data analysis is paramount. In the international 1000 Genomes Project, to build the most detailed catalog of human genetic variation, the National Human Genome Research Institute (NHGRI) is exploring how cloud computing could eliminate data bottlenecks that slow down health care breakthroughs achieved from genome sequencing. These are the kinds of activities that contribute to enhancing quality of life for all, and could transcend other international differences.

It begs the question -- could resolution of other global differences become more achievable because of the need to work harmoniously on the global cloud computing opportunity for all to realize its maximum economic benefits? These are breathtaking times in how cloud computing as the next IT wave will impact our lives and connect our humanity.

Follow Jacqueline @JacquelnVanacek

RECOMMENDED READING:

Will Cloud Computing Really Be As Big As the Internet?

David Packard and Steve Jobs -- One Pioneer Inspiring Another

What Do Legally Blonde 2, Cloud Computing, and the Federal Government All Have in Common?