Gartner published some new research this month that suggests enterprises will be spending $109 Billionthis year on public cloud services. This inspired a post by Stacey Schneider on [VMware’s vFabric blog] that describes the metamorphosis that organizations are undergoing to evolve with the new CloudOperating Model. Schneider describes a separation of duties between IT and DevOps:

“IT retrenches and focuses on building out a private cloud that is cost competitive to public clouds, provides end user services that attract apps to stay in-house, and can support a larger server-to-admin ratio. Application and business teams, presented with readily available infrastructure and armed with sophisticated app management and provisioning tools, transform themselves into DevOps—literally Development-Operations—that now have full control of application lifecycles including developing, running and managing their apps. While IT still provides services to DevOps, they actually become untangled from each other’s day-to-dayoperations.”

For those that don’t think their Development teams are ready to assume the burden of operations in its entirety, Schneider reminds us that the $109 Billion spend should be a wake up call that they are already doing it. By turning to public clouds, app teams are operating without direct IT support. However, she also reassures IT that they will remain relevant in the future and cites 5 benefits that VMware customers who build out robust private cloud services to improve upon the public cloud model are seeing today:

1. User services attract apps and stop “Shadow IT”. PricewaterhouseCoopers (PwC) has data that shows large enterprises (averaging $500MM in revenue a year) “leak” as much as 30% of their IT budget to the cloud, without IT’s knowledge or involvement. These can be big surprises to the CIO, as well as pose corporate risks for security and compliance if done incorrectly. By transforming your virtual infrastructure to be offered as a self-service portal, allowing business units to start and stop virtual infrastructure just as easily as they could externally, more users gravitate toward using the internal resources. By layering in attractive end user services such as application performance monitoring and provisioning, they’re even more likely to run everything through your cloud. For a more compelling picture of how this looks, put on your DevOps hat and check out our 7 minute video that shows how this self-service provisioning and management process looks to them.

2. App uptime and services improve. By putting the app teams completely in the driver seat, they are able to develop, deploy and support their applications completely. They have full visibility to how apps are performing, potentially have early warnings for when app performance starts to degrade (depending on how quickly it degrades, of course), and they have open capabilities to troubleshoot and take corrective action themselves. The result is true ownership of their application lifecycle, and streamlined development and troubleshooting by people that fully know the application and all its moving parts.

3. IT will be able to support more servers per admin. Imagine a world where IT did not have to mess with application outages and troubleshooting applications they had little to do with developing. Focused on their strengths of networking, security, hardware and virtualization infrastructure, they are able to divorce themselves from worrying about the day to day operations and firedrills of the applications that run on them. Daily tasks transform themselves from being ruled by reactive tasks such as troubleshooting apps to proactive tasks that improve the variety and volume of services. More servers are supported because there is more time as a virtue of less involvement in the operations of the apps that run on them. This won’t get IT out of any troubleshooting of course, but the troubleshooting they do will be squarely in their wheelhouse.

4. Standardization increases productivity. Imagine being able to create a single CentOS VM, and having your app teams be able to layer Apache Tomcat or RabbitMQ on it as they please. Right now, without true standardization, you have N number of “standardized” machine images basedon CentOS running each component. Or worse for app teams, you just have the CentOS image and they have to manually install software on it every time. It’s a giant time suck either way. By standardizing application components and machine images, IT saves time by managing a much smaller service catalog, especially when it comes time to patch the OS or middleware. DevOpsis able to assemble application infrastructure much more quickly, and is assured that if fits IT’ss tandards for security and compliance.

5. Its cheaper. The Aberdeen Group spelled it out for CIO’s last year, stating that the private cloud saves a total of 12% combined annual cost savings over public clouds on a per-application basis. Of course, this applies to organizations running apps at scale. Early phase startups still have a tremendous incentive to run purely in public clouds. However, after partnering with thousands of customers on making their transition to virtualization, VMware recommends that any organization with over 50 virtual machines in public clouds will find they have the financial justification to be hosting those virtual machines internally.

For the complete article and to hear more about the sessions covering the Cloud Operating Modeland DevOps revolution at VMware’s upcoming VMworld August 26-30 in San Francisco, check out Schneider’s post “5 Ways IT Benefits From The New Cloud Operating Model”.

Edited on Jan 25, 2013 5:49 PM - Link to additional information added.