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IBM, Deloitte to jointly develop risk management, compliance solutions

IBM and Deloitte are partnering to use big data for compliance in financial services

IBM and Deloitte are partnering to use big data for compliance in financial services

IBM and Deloitte are partnering to develop risk management and compliance solutions for the financial services sector, the companies said this week.

The partnership will see Deloitte offer up its financial services and risk management consulting expertise to help IBM develop a range of cloud-based risk management services that combine the technology firm’s big data analytics and Watson-as-a-Service cognitive computing platform.

Deloitte will also work with joint customers to help integrate the solutions into their organisation’s technology landscape.

“The global enterprise risk management domain is undergoing significant transformation, and emerging technologies like big data and predictive analytics can be used to address complex regulatory requirements,” said Tom Scampion, global risk analytics leader at Deloitte UK. “We are excited to be working with IBM to apply their market leading technologies and platforms to enable faster, more insightful business decisions. This alliance aims to completely re-frame and re-shape the risk space.”

“Financial services firms are under tremendous pressure, which has forced them to spend the majority of their IT budgets addressing regulatory requirements.  There is an opportunity to transform the approach organizations are taking and leverage the same investments to go beyond compliance and deliver real business value,” said Alistair Rennie, general manager of analytics solutions, IBM. “Combining [Deloitte’s] knowledge with our technology will provide our clients with breakthrough capabilities and deliver risk and regulatory intelligence in ways previously not possible.”

Deloitte’s no stranger to partnering with large incumbents to bolster its appeal to financial services clients. Last year the company partnered with SAP to help develop custom ERP platforms based on HANA for the financial services sector, and partnered with NetSuite to help it target industry verticals more effectively.

Dropbox the latest to adopt public cloud privacy standard

Dropbox is the latest to adopt one of the first public cloud-focused data privacy standards

Dropbox is the latest to adopt one of the first public cloud-focused data privacy standards

Cloud storage provider Dropbox said it has adopted ISO 27018, among the first international standards focusing on the protection of personal data in the public cloud.

The standard, published in August 2014, is aimed at clarifying the roles of data controllers and data processors in keeping Personally Identifiable Information (PII) private and secure in public cloud environments; it builds on other information security standards within the ISO 27000 family, and specifically, is an enhancement to the 27001 standard.

ISO 27018 also broadly requires adopting cloud providers to be more transparent about what they do with customer data and where they host it.

In a statement the company said the move would give users more confidence in its platform, particularly enterprise users.

“We’re pleased to be one of the first companies to achieve ISO 27018 certification. Privacy and data protection regulations and norms vary around the world, and we’re confident this certification will help our customers meet their global compliance needs,” it said.

Mark van der Linden, Dropbox country manager for the UK said: “Businesses in the UK and all over the world are trusting Dropbox to make collaboration easier and boost productivity. Our ISO 27018 accreditation shows we put users in control of their data, we are transparent about where we store it, and we operate to the highest standards of security.

Earlier this year Microsoft certified Azure, Intune, Office 365 and Dynamics CRM Online under the new ISO standard. At the time the company also said it was hopeful certifying under the standard would make it easier to satisfy compliance requirements, which can be trickier in some verticals than others.

Phil Carnelley, research director at IDC on cloud, big data, Internet of Things

Philip Carnelley shares his views on the big disrupters in IT

Philip Carnelley shares his views on the big disrupters in IT

As we approach Cloud World Forum in London this June BCN had the opportunity to catch up with one of the conference speakers, Philip Carnelley, software research director at IDC Europe to discuss his views on the most disruptive trends in IT today.

What do you see as the most disruptive trend in enterprise IT today?

This is a tricky one but I think it’s got to be the Internet of Things – extending the edge of the network, we’re expecting a dramatic rise in internet-connected cars, buildings, homes, sensors for health and industrial equipment, wearables and more.

IDC expects some 28 billion IoT devices to be operational by 2020. Amongst other things, this will change the way a lot of companies operate, changing from device providers to service providers, and allowing device manufacturers to directly sell to, and service, their end customers in the way they didn’t before.

What do you think is lacking in the cloud sector today?

There are 2 things. First, many organizations still have concerns about security, privacy and compliance in a cloud-centric world. The industry needs to make sure that organizations understand that these needs can be met by today’s solutions.

Second, while most people buy into the cloud vision, it’s often not easy to get to there from where they are today. The industry must make it easy as possible, with simple solutions that don’t require fleets of highly trained people to understand and implement.

Are you seeing more enterprises look to non-relational database tech for transactional uses?

Absolutely. We’re seeing a definite rise in the use of NoSQL databases, as IT and DB architects become much more ready to choose databases on a use-base basis rather than just going for the default choice. A good example is the use of Basho Riak at the National Health Service.

Is cloud changing the way mobile apps and services are developed in enterprises?

Yes, there is a change towards creating mobile apps and services that draw on ‘mobile back-end-as-a-service’ technologies for their creation and operation

Why do you think it’s important to attend Cloud World Forum?

Because cloud is the fundamental platform for what IDC calls the 3rd Platform of Computing. We are in the middle of a complete paradigm shift to cloud-centric computing – with the associated technologies of mobile, social and big data – which is driving profound changes in business processes and even business models (think Uber, AirBnB, Netflix). Any company that wants to remain competitive in this new era needs to embrace these technologies, to learn more about them, in the way it develops and runs its operations for B2E, B2B and B2C processes.

Dell partners with Pivotal on Cloud Foundry

Dell Services will resell Pivotal CF and advise customers on implementation, app development and migration to different cloud platforms

Dell Services will resell Pivotal CF and advise customers on implementation, app development and migration to different cloud platforms

Dell Services announced a partnership with Pivotal this week that will see the company include Pivotal CF in its digital services portfolio.

The deal will see Dell Services resell Pivotal’s Cloud Foundry distribution as well as advise clients on application development, integration and multi-cloud migration using both Pivotal’s and open source Cloud Foundry.

The companies said the move will help customers enable a DevOps culture within their organisations and speed up application deployment.

“Digital transformation is driving enterprises to develop and deploy applications in an agile manner thereby creating the need for a new generation of application platforms,” Raman Sapra, executive director and global head, Dell Digital Business Services.

“Our collaboration with Pivotal expands our digital services portfolio to include development of next-generation, enterprise-class solutions using a leading platform like Pivotal Cloud Foundry to help customers unlock the power of innovation and fast track their digital transformation journey,” Sapra said.

Scott Aronson, senior vice president, worldwide field operations at Pivotal said: “Pivotal Cloud Foundry is emerging as a fundamental enabler of digital transformation as companies are under increased pressure to leverage software to differentiate their business models. Our partnership with Dell Services, a leading and trusted global services provider, will help our customers accelerate their digital transformation journey.”

NTT Data, DiData partner on SAP cloud migration

NTT Data and Dimension Data are helping enterprises move their SAP software into the cloud

NTT Data and Dimension Data are helping enterprises move their SAP software into the cloud

NTT Data and Dimension Data announced a partnership this week that will see the two firms jointly offer cloud migration services for SAP application users.

As part of the deal Dimension Data will host SAP Cloud and SAP HANA instances in 16 of its cloud datacentres globally, with NTT Data offering up its implementation, migration and application management services.

The companies said the partnership will enable them to offer clients complete SAP lifecycle management for workloads, which they said are increasingly being shifted into the cloud (even bulkier ERP workloads).

“Many of our clients tell us that they’re ready for the next chapter in cloud, which is moving production applications to a consumption based infrastructure. Until recently, clients found that self-service provisioning is complete, while self-service management of applications in the cloud remains challenging,” explained Steve Nola, Dimension Data’s group executive – ITaaS.

“That’s why Dimension Data is providing software and hands-on attention that will provide our enterprises with the confidence to move their SAP licenses to the Dimension Data cloud,” Nola said.

Kaz Nishihata, executive vice president, global business, NTT DATA said: “NTT DATA will manage the implementation of SAP with fully customized configurations, leverage well-established and automated cloud migration processes, and manage the ongoing services using our proprietary tools to improve service quality and manage costs. Combined with Dimension Data’s robust cloud platform, we can offer clients the mission-critical service levels required for today’s SAP environments.”

To its credit SAP has worked to make more recent versions of its software both more modular and more cloud-friendly in terms of architecture, but moving SAP applications into the cloud isn’t a particularly easy job given the bulkiness of their suites – and enterprises seem ready to take cues from service providers on how to get the job done.

Last year Colt and Virtustream struck a very similar partnership, the two companies now working together to migrate enterprises to SAP’s cloud platform and SAP HANA, with the former providing the service management and cloud infrastructure and the latter providing SAP-optimised microvirtualisation and cloud management tools.

IBM claims strong traction with cybersecurity cloud network

IBM says its recently announced cybersecurity cloud service is gaining traction

IBM says its recently announced cybersecurity cloud service is gaining traction

IBM said over 1,000 organisations have now joined its recently announced cloud-based cybersecurity service, dubbed X-Force Exchange.

The service includes hundreds of terabytes of raw aggregated threat intelligence data and those that sign up to the service can upload their own data, so the more people join the more robust the service gets.

The initial data dump is based on over 25 billion web pages and images collected from a network of over 270 million endpoints, and includes data from over 15 billion monitored security events daily. But the company said participants have created more than 300 new collections of threat data since its launch.

“Cybercrime has become the equivalent of a pandemic — no company or country can battle it alone,” said Brendan Hannigan, general manager, IBM Security.

“We have to take a collective and collaborative approach across the public and private sectors to defend against cybercrime. Sharing and innovating around threat data is central to battling highly organized cybercriminals; the industry can no longer afford to keep this critical resource locked up in proprietary databases. With X-Force Exchange, IBM has opened access to our extensive threat data to advance collaboration and help public and private enterprises safeguard themselves,” Hannigan said.

Security isn’t a new area for IBM but offering real-time cyberthreat detection is, a move that has also put it in direct competition with a wide range of managed security service providers that have been playing in this space for years. Nevertheless, the company has a lot of clients so there’s a huge opportunity for the firm to harvest all of that data – particularly as it creates new partnerships with networking incumbents (like Cisco with VersaStack).

AWS unveils programme to train, attract students to cloud

Amazon has launched a programme to help attract students to its cloud services

Amazon has launched a programme to help attract students to its cloud services

Amazon has launched the AWS Educate in a bid to help educators and student cultivate cloud-centric development and operations skills, and attract the next generation of users to its cloud services ecosystem.

The company plans to offer students and educators credits for AWS cloud services and make available cloud-related educational content for teachers to use as course materials. Amazon said the move is intended to help train up students on cloud, which it said it becoming the default environment for developing and deploying greenfield applications.

“For years, the AWS educational grants program has put cloud technology in the hands of educators and students, giving them the ability to put big ideas into action. We’ve seen students develop assistive computer vision technology in collaboration with the National Federation of the Blind, and aspiring entrepreneurs take a web startup from conception to launch within 60 hours,” said Teresa Carlson, vice president, worldwide public sector, AWS.

“Based on the feedback and success of our grant recipients and the global need for cloud-skilled workers, we developed AWS Educate to help even more students learn cloud technology firsthand in the classroom. We’re pleased to offer AWS Educate to educators, students and educational institutions around the world,” Carlson said.

Students and educators at any educational institution can join the programme and can apply to redeem AWS credits for a range of its services including Amazon Elastic Compute Cloud (Amazon EC2), Amazon Simple Storage Service (Amazon S3), Amazon Relational Database Service (Amazon RDS), Amazon CloudFront, Amazon DynamoDB, Amazon Elastic MapReduce (Amazon EMR), Amazon Redshift, and Amazon Glacier.

Programme participants will also get access to online training materials and app testing labs, collaboration forums and materials uploaded from other educators.

CenturyLink adds clean cloud datacentre in Washington

CenturyLink has added a datacentre in Washington to its footprint

CenturyLink has added a datacentre in Washington to its footprint

CenturyLink has opened a datacentre in Moses Lake, Washington this week, which is powered in part by hydro-electric energy.

The facility is powered in part by hydroelectric generators located on the nearby Columbia River, and because the local climate allows for significant use of free-air cooling (which is much less power-intensive than traditional cooling methods) the company said the datacentre has among the lowest power usage effectiveness (PUE) ratings in the industry.

“CenturyLink’s new low-cost power datacentre services provide many benefits to our customers, including a highly resilient solution coupled with power costs and efficiency metrics that rank among the best in the industry, and the facility serves as an excellent disaster recovery location,” said David Meredith, senior vice president, CenturyLink. “Enterprises enjoy global access to CenturyLink’s portfolio of cloud and managed hybrid IT services, and we continue to extend the reach of our data center footprint to new markets to meet from the needs of our customers.”

The datacentre is being hosted by Server Farm Realty, a managed datacentre and colocation provider, and offers access to cloud, colocation, networking and managed services.

This is the second datacentre CenturyLink has added to its footprint in recent months. Two weeks ago the company announced a partnership with NextDC to broaden its datacentre footprint in Australia, and in March brought its cloud platform online in Singapore.

While most datacentres are typically located close to large metropolitan centres, Kelly Quinn, research manager with IDC reckons CenturyLink’s latest datacentre could bring more attention to the region’s potential as a hub for other facilities.

The central part of Washington state is one of the geographies in which I see substantial potential for further growth as a datacentre hub,” Quinn said.

“Its potential stems from the area’s abundance of natural, power-generating resources, and its relative immunity from natural disasters.”

“It also may offer customers who are ‘green’ conscious the ability to work with a provider that can satisfy their datacentre needs with renewable energy sources, Quinn added.

USA Freedom Act passes ending bulk data collection

The USA Freedom Act will end bulk data gathering familiar to the PRISM programme and other NSA iniatiatives

The USA Freedom Act will end bulk data gathering familiar to the PRISM programme and other NSA iniatiatives

The USA Freedom Act, a bipartisan bill aimed at reforming the US Patriot Act that would among other things end kind of bulk data collection Edward Snowden revealed two years ago, passed the House or Representatives by a wide margin this week. The move may be welcome news to both telcos and cloud service providers alike, many of which lobbied hard for US surveillance reform.

The bill, which passed in a 328 for – 88 against vote, ends the bulk collection of communications metadata under various legal authorities, and not only includes telephony metadata collected under Section 215 but internet metadata that has been or could be collected under other legal authorities as well.

It will also allow companies to be more transparent with the demands being placed on them by legal authorities, and will create  new oversight and accountability mechanisms that will shed more light on the decisions reached by the Foreign Intelligence Surveillance Court (FISC), which has so far operated in a deeply secretive manner and with little interference.

“This bill is an extremely well-drafted compromise—the product of nearly two years of work.  It effectively protects Americans’ civil liberties and our national security.  I am very proud of the USA Freedom Act and am confident it is the most responsible path forward,” said Jim Sensenbrenner, Republican Representative for Wisconsin’s fifth district.

“If the Patriot Act authorities expire, and the FISC approves bulk collection under a different authority, how would the public know?  Without the USA Freedom Act, they won’t.  Allowing the PATRIOT Act authorities to expire sounds like a civil libertarian victory, but it will actually mean less privacy and more risk.”

“Let’s not kill these important reforms because we wish the bill did more.  There is no perfect.  Every bill we vote on could do more,” he added.

Others, including Ted Lieu (D-CA), voted against the proposed reforms because the bill didn’t go far enough.

“While I appreciate a number of the reforms in the bill and understand the need for secure counter-espionage and terrorism investigations, I believe our nation is better served by allowing Section 215 to expire completely and replacing it with a measure that finds a better balance between national security interests and protecting the civil liberties of Americans,” Lieu said.

“Beyond Section 215, I am troubled that the USA Freedom Act would leave in place Sections 505 and 702, provisions that also allow sweeping data collection and backdoor searches circumventing encryption that can result in the collection of information of US citizens not identified in warrants.  The loopholes left in place will continue to undermine the trust of the American people.”

“A federal district court struck down the NSA’s spying on Americans and called the NSA PRISM program ‘Orwellian.’ A federal appellate court ruled last week that the NSA’s bulk collection program was illegal. Despite these two court decisions, the NSA continues to operate its unconstitutional and illegal programs.”

Many cloud service providers and telecoms companies have for the past two years (since Snowden’s NSA-related revelations primarily) voiced concerns that failure to reform US surveillance practices could alienate customers both foreign and domestic. Microsoft and Google have been particularly vocal about this in recent months.

Google’s vice president public policy and government affairs in the Americas Susan Molinari trumpeted her support of the bill. She said the bill takes a big step forward in surveillance reform “while preserving important national security authorities.”

“It ends bulk collection of communications metadata under various legal authorities, allows companies like Google to disclose national security demands with greater granularity, and creates new accountability and oversight mechanisms.”

“The bill’s authors have worked hard to forge a bipartisan consensus, and the approved bill is supported by the Obama Administration, including the intelligence community. The bill now moves to the other side of the Capitol, and we hope that the Senate will use the June 1 expiration of Section 215 and other legal authorities to modernize and reform our surveillance programs, while recognizing the importance of protecting Americans from harm,” she added.

US-based telco Verizon declined to comment on the passage of the bill.

Cisco Q3: Enterprise shines while service provider biz struggles

Cisco said it enterprise business is looking strong but service provider segment still sees challenges

Cisco said it enterprise business is looking strong but service provider segment still sees challenges

Cisco reported third quarter 2015 revenues of $12.1bn this week, just over 5 per cent what it raked in during the same quarter last year. In a call with analysts this week Cisco execs said the company sees continued growth in its enterprise segment, but its service provider business continue to struggle.

Revenue for the first nine months of fiscal 2015 was $36.3bn, up from $34.8bn for the first nine months of fiscal 2014.

Kelly Kramer, Cisco executive vice president and chief financial officer said the company saw a good balance across its portfolio, with its enterprise segment looking fairly strong, much like the previous quarter.

UCS revenues for the quarter were $3bn, which is sequentially flat but a 30 per cent year-on-year increase, and the company said its seeing growth in its converged infrastructure offerings (those co-developed with VCE and IBM). Its cloud revenues grew 11 per cent year-on-year, mostly on growth in its conferencing cloud software.

In a call with analysts this week Cisco chairman and chief executive John Chambers said the company is seeing better performance in its enterprise segment than its server provider business – hindered in part by an industry-wide slowdown in spending seen over the past few quarters now.

“In enterprise, the shift to selling outcomes, not products, is resulting in larger opportunities and dramatic increases in pipeline. In US enterprise, for example, the value of our pipeline of deals over $1 million increased approximately 60 per cent year-over-year, with the average deal size up over 30 per cent,” he said.

“We are managing continued challenges in our service provider business, which declined 7 per cent, as global service provider capex remained under pressure and industry consolidation continues. We believe the organisational changes we have made in our global service provider organisation are working, and we are very focused on growing our share of wallet.”

“We are managing continued challenges in our service provider business, which declined 7%, as global service provider CapEx remained under pressure and industry consolidation continues. We believe the organizational changes we have made in our global service provider organization are working, and we are very focused on growing our share of wallet”

Chambers also said Cisco’s intercloud strategy announced last year will kick into “phase 2” shortly, and while he declined to specifically outline what that entails he did shed some light on the programme’s challenges in its bid get other service providers on board with it.

“The pieces that we were missing was how do you go into this new environment where each of these “public clouds in clouds” are separate? And you have to be on different vendors or different companies’ tech to have the ability to go into it. So what we’re looking at first is an architecture and it cements our relationships in service providers. And then it really comes through to how you monetise it over time.”

“This will just take time to monetize, but the effect we see indirectly is already huge when you talk about a Deutsche Telekom or a Telstra and our relationships with those,” he added.