WASHINGTONCloud computing is transforming virtually every facet of modern manufacturing from how companies operate to how they integrate into supply chains and how they design and fabricate products. This is helping manufacturers innovate, reduce costsand increase U.S. competitiveness, according to a new report from the Information Technology and Innovation Foundation (ITIF) and the American Enterprise Institute. The two think tanks urge policymakers to further bolster U.S. competitiveness by crafting a supportive policy environment to maximize adoption of the technology.

Cloud computing has permeated virtually all facets of modern manufacturing and is transforming how todays products are designed, madeand used, said Stephen Ezell, ITIFs vice president for global innovation policy and the reports lead author. This is enabling both large and small manufacturers to accelerate time to market, facilitate collaboration, support supply-chain integration, increase operational efficiencyand much more all to the benefit of U.S. economic competitiveness. We need to put in place the right policy environment for U.S. manufacturers and the economy as a whole to capture maximum possible benefit from cloud computing and ensure America doesnt fall behind in this new industrial revolution.

The report describes how cloud computing enables modern manufacturing, provides real-word case studies of this process in actionand recommends actions policymakers can take to ensure cloud computing continues to transform manufacturing and bolster U.S. competitiveness.

The report urges U.S. policymakers to take action on both domestic and international policies, including:

Read summary.

You can read the whole report here.

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Report: Cloud Computing Is Transforming Modern Manufacturing - Manufacturing Business Technology

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Intel has launched a new 64-layer SSD 3D NAND technology for cloud computing to deliver scalability and density for performance boost.

Intel has developed a new 64-layer SSD, which the chip giant has pitched as the worlds first commercially available SSD tool for cloud computing.

The new 3D NAND technology is described as having a floating gate architecture that provides density and scalability for future compute tasks. It also offers the opportunity to scale to a large capacity while delivering more gigabytes per wafer.

It has an overall capacity of 512GB, with 6GB SATA interface. The 4K block read/write IOPS which are almost the same size as the existing client SSD 540s products.

Intel says that the development of the 3D NAND technology has enabled them to design the technology into SSD solutions, while also improving performance, power consumption and reliability with each generation.

One of these generations includes the new Intel SSD 545s, which will have additional capacity variants added from sizes 128GB to 2TB. This is built for the mainstream market delivering performance for both old and new value PCs.

Intel was driven by the demand for better experience between compute and data, which is what led the company to continually invest in 3D NAND and Optane technologies.

Rob Crooke, SVP and GM, Intel said: This next generation of process leadership will enable a smooth, easy migration and validation cycle for our existing data centre customers from todays 32-layer products to 64-kayer product extensions.

It also enables an expanded product portfolio that supports new business client and embedded products. We have a very strong generational synergy in our factories and expect a fast ramp of bit supply based on 64-layer, TLC, 3D NAND by mid-2018.

The SSD 545s can be paired with Intels Core-based platform, which boosts improvement levels in power consumption through the use of advanced power mode settings.

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Intel delivers new 64-layer SSD tech for cloud computing - Computer Business Review

Microsoft and Box, which builds on-demand file storage and sharing tools, will work on new links between their products and jointly sell some tools.

Seattle Times technology reporter

Microsoft and file-storage startup Box have signed a deal to sell each others products, the latest blurring of the lines between friends and rivals in the growing business of cloud-computing.

Box builds web-based file storage and management tools, services that compete head-to-head with Microsofts own OneDrive and Sharepoint.

Despite that rivalry, the companies have agreed to jointly sell Box services and elements of Microsofts Azure cloud-computing platform, they said on Tuesday.

The companies say their engineering teams are also working on building more links between their products, including adding Azure to the Box Zones program. That effort lets Box customers opt to store their content in specific areas of Azures massive global network of data centers. (Box Zones already includes Azure rivals Amazon Web Services and IBM).

Cloud-computing has made some partnerships that would have seemed bizarre in the world of out-of-the-box business software of a generation ago. Microsoft, during its dominance of the personal computer heyday, developed a reputation for pushing customers to use its range of products at all costs, and shunning those developed by others.

But as the company prioritizes growth in its Azure cloud-computing platform, which enables other companies to build services on Microsofts network of data centers and rented software services, the Redmond firm has abandoned some of its scorched earth tactics. The company, analysts say, is betting that customers who plug into the cloud will demand that the products they use work well with those of other technology vendors.

Box, based in Redwood City, Calif., began as a startup founded by a pair of college students in Mercer Island. The company is among a slate of startups born in the cloud era that has thrived by building on-demand, web-based tools that replicate or improve on programs companies used to run from their own servers. Box held an initial public offering in 2015, and had sales of $425 million during the most recent 12-month period.

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Microsoft signs cloud-computing partnership with Box - The Seattle Times

Home > Technology > Survey: businesses ramp up spending on cloud computing

Technology June 23, 2017

Security fears ease, but cloud costs can climb fast with increased usage.

By DC Velocity Staff

Businesses are spending more on cloud computing as improved technology eases concerns about security, but users must guard against overspending, according to an IT industry survey released Wednesday.

Nearly 70 percent of U.S. businesses surveyed by Clutch, a Washington-based business-to-business (B2B) ratings and reviews firm, said they plan to increase spending on cloud computing in 2017. One in five of those businesses report their cloud computing spending this year will likely increase by more than 30 percent, according to the study, "How Businesses Use Cloud Computing: 2017 Survey."

Companies are migrating their software applications and databases from on-premise servers to cloud platforms in large part because they are gaining confidence in cloud security, the survey showed. The top five benefits of using the cloud, ranked according to how often they were cited by respondents, were:

1. Security (mentioned by 45 percent of respondents) 2. Increased efficiency (41 percent) 3. Data space (40 percent) 4. Flexibility (33 percent) 5. Scalability (28 percent)

This attitude is a shift from past years.

"Early on, there was a lot of concern from people with respect to moving workloads to the cloud because of security reasons," Jeremy Przygode, CEO of California-based managed service provider (MSP) Stratalux Inc., said in a statement. "Only the most basic of security features were built into the cloud. It really didn't have a lot of the feature sets and functionality that you can find today."

In today's world, however, the cloud is often considered a more secure option than on-premise deployments, whether measured by physical security (protecting physical assets at a geographic location), infrastructure security (ensuring security patches are updated as soon as possible), or data and access security (such as encrypting data and controlling user privileges), the report found.

The only caveat is that end users must follow the same practices that they apply for on-premise software use, the report said. These include maintaining office security strategies such as encrypting data and databases; ensuring that users' privileges are correct; and deploying features such as cybersecurity scanners that monitor for threat scenarios, Clutch found.

"Cloud is the new normal," Przygode said. "When businesses need to evaluate new solutions, or need to do a hardware refresh on existing solutions... [c]loud is the go-to solution to figure out how to do that."

As users become more comfortable with cloud security, however, they are finding a new concernhigher costs. The survey found that the largest percentage of businesses listed "increased cost" as a challenge they had encountered with their cloud provider in the past year, suggesting the increased spending may not always be intentional or wanted in some cases, Clutch said.

Those spikes in cloud computing costs are triggered when businesses buy space on cloud platforms at initial costs that can be as low as fractions of a cent per hour for a given amount of storage. If usage surges, those prices can jump up dramatically, Clutch warns.

"Cloud computing is a dual-edged sword," Przygode said. "It's great because you can quickly provision equipment or resources in the cloud by simply pushing a button. That's the agility. However, the other edge of that sword is, because it's so easy, people tend to fire stuff up and forget about it."

The best solution to control cloud computing price fluctuations and stay within budget is to exercise strict monitoring over usage time, and use proper governance over contract rates, the survey found.

The Clutch survey included 283 IT professionals at businesses across the U.S. that use a cloud computing service. Of those businesses, 58 percent had 11 to 1,000 employees, while 42 percent had more than 1,001 employees. The majority (65 percent) of respondents were male, and three-quarters of the respondent pool were 25 to 44 years old.

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Survey: businesses ramp up spending on cloud computing DC ... - DC Velocity

Companies are planning to spend more on cloud computing services in 2017, but must be cognizant that anticipated costs could balloon absent appropriate monitoring and use, suggest survey results released this week by Clutch.

Reflecting input from 283 IT professionals at businesses in the United States that use a cloud computing service, Clutchs Second Annual Cloud Computing Survey found 67% of polled businesses plan to increase cloud computing spending this year.

Almost half of businesses surveyed report they expect their cloud computing to increase by 11% to 30%, while almost one in five expect the increase to exceed 30%, note poll results from the Washington, D.C.-based B2B ratings and reviews firm.

Just 8% of businesses participating in the survey which explored current and future trends say they expect their cloud computing spending will go down in 2017.

Cloud is the new normal, suggests Jeremy Przygode, CEO of Stratalux, Inc., an Amazon Web Services advanced consulting partner and managed service provider.

When businesses need to evaluate new solutions, or need to do a hardware refresh on existing solutions cloud is the go-to solution to figure out how to do that, Przygode says in a statement from Clutch.

Notes Clutch, As the cloud gains popularity, businesses are perhaps less likely to see it as an alternative option, but rather as the logical next step for their data storage. Therefore, they will increase their spending in the technology.

While the anticipated spending rise may be encouraging, Clutch cautions that these additional expenditures may be due to a variety of factors, from a greater desire to use the cloud to negligence regarding usage.

Consider that 47% of polled business the largest percentage of all options cited increased cost as a challenge encountered with their cloud provider in the past year.

This suggests that, in some cases, the increased spending is perhaps not always intentional or wanted, Clutch reports. The reality of cloud computings mechanisms means that businesses may end up paying more than they expected.

Keeping costs in line can be advanced by monitoring and appropriate use. For example, if usage surges, prices can increase dramatically.

Cloud computing is a dual edged sword, says Przygode.

Its great because you can quickly provision equipment or resources in the cloud by simply pushing a button. Thats the agility. However, the other edge of that sword is, because its so easy, people tend to fire stuff up and forget about it, he points out.

When starting out with a cloud project, the customer may think that its much cheaper, says Haresh Kumbhani, founder and CEO of Zymr, Inc., a cloud consulting and software development services company.

But, by the time they go to production, the bill goes from $800 to $8,000 per month, Kumbhani notes, adding price increases can be alleviated through proper monitoring.

That surge happens because theyve chosen the auto-scale option and didnt tune the policies which govern the costs, he explains.

Survey findings show that advances have been made on a number of fronts, including security and perception of how secure cloud can be. In fact, the largest percentage of respondents listed security as a benefit of using the cloud.

Still, Kumbhani advises considering three aspects when it comes to cloud security:

Around 80% of breaches occur because this third part is not very well-secured, Kumbhani points out. That being the case, he recommends that clients encrypt their data and databases, ensure users privileges are correct, and deploy features such as cyber security scanners that monitor for threat scenarios.

There is also movement with regard to what type of cloud private, hybrid or public respondents are using or looking into using.

Though a private cloud remains the most popular option, results indicate a hybrid cloud is an increasingly attractive option, with 82% of polled businesses that do not currently use a hybrid cloud saying they are exploring the option for the future.

A hybrid cloud has services and infrastructure spread between a private network and off-site cloud provider, offering flexibility and customizable features.

Even if you are committed to a private cloud solution, a hybrid cloud solution can provide additional benefits where you can burst your workloads into the public cloud as needed, Przygode suggests.

Burstability is defined as meaning even if cloud usage surges past average levels, then the public cloud can provide the CPU to manage that, as opposed to maxing out.

When you go with a hybrid solution, you have to make sure as a company its engineered properly to gain access to it, advises Kevin Rubin, president and COO of IT managed service provider Stratosphere Networks.

Although a bit more challenging, customizing your cloud experience allows [a business] to leverage different toolsets that are truly drilled down to their department, their individuals, and how they do business, Rubin explains.

Przygodes view is that the transition towards public cloud is an inevitability.

Size also matters when it comes to the cloud and choices around that.

Findings show the needs of small- to mid-sized businesses versus large enterprises are very different, and that each type of company should evaluate their specific needs before deciding between private, public, or hybrid cloud options.

While large enterprises may be able to afford external help, Rubin says, small- to mid-sized businesses may need to wait to transition, or seek out lower priced options.

Related: Global spending on worldwide cloud services and infrastructure to reach US$122.5 billion in 2017: International Data Corporation

In addition, almost one in five surveyed businesses using a cloud computing service are using artificial intelligence (AI) encompasses the concept of computer systems accomplishing tasks that previously required human intelligence features.

The cloud can progressively power AI with larger computing power and data storage, Clutch reports, adding that 60% of polled businesses using AI began doing so in 2015 or 2016; and 10% in 2017 (from January and mid-May).

Przygode points out that AI can be used to scan IT environments and analyze potential threats with greater efficiency.

AI is a really good use case for finding the signal in the monitoring noise, because sometimes there might be alerts for an activity that is perfectly normal, but using AI, we can filter alerts through machine learning algorithms and reduce false positives before they get escalated to our team, he explains.

As businesses explore their options for data management and storage in the future, it is important to understand the opinions and trends regarding cloud computing, and how this technology is evolving, Clutch recommends.

Companies can go it alone, Przygode says.

He adds, however, that cloud computing is not the same type of computing as it was in previous generations, and traditional IT and cloud IT are different. Frankly, the infrastructure and, more importantly, the way of managing that infrastructure, has changed dramatically, he maintains.

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Companies plan to spend more on cloud computing services this year, higher prices among drivers: Clutch - Canadian Underwriter