The US Army has begun to use IBM’s hybrid cloud technology to process their transactions, the amount of which surpasses the amount of transactions performed on the New York Stock Exchange. This occurred last year when the Army switched its Logistics Support Activity system to a hybrid cloud.

 

The hybrid cloud system is used by more than 65,000 personnel to obtain, manage and maintain inventories of products needed by the troops out on the field. Utilizing a cloud to perform these functions allow the Army to better utilize the data it collects, which in turn will provide better insight and service to members. IBM claims that since the switch, the Army has seen savings of up to 50%.

 

 

With the success of the use of a hybrid cloud, the Army has now set eyes on introducing new analytical services, such as data mining, that can be rolled out to all parts of the organization. Anne Altman, general manager for US federal at IBM, has said that hybrid cloud implementation has enabled the Army to keep its existing investments in on-premise technology while also benefiting from a hybrid cloud, such as security, scalability and being able to connect to existing infrastructure.

 

The Army has always been a progressive adopter of promising information technologies, and other agencies and organizations are following in their footsteps. For example, the Central Intelligence Agency (CIA) signed a $600 million cloud contract with Amazon Web Services, which IBM lost out on. After this loss, IBM went on to gain momentum in the federal space and signed other cabinet agencies and pushing forward with a cloud data center targeting defense department workloads. This center is housed in the Navy-owned Allegany Ballistics Laboratory in West Virginia.

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