Category Archives: Cisco

Deutsche Telekom launches pan-European public cloud on Cisco platform

T-Mobile Computing cloudDeutsche Telekom has announced the start of a new pan-European public cloud service aimed at businesses of all sizes. The debut offering will be DSI Intercloud, run by T-Systems, which will offer Infrastructure as a service (IaaS) to businesses across Europe. In the first half of 2016, software and platforms as a service deals (SaaS and PaaS) will be launched.

The service, built on a Cisco platform by T-Systems, the business division of Deutsche Telekom, will run from German data centres and be subject to Germany’s data sovereignty regulations.

The pay-as-you-go cloud services can be ordered through Telekom’s new cloud portal, with no minimum purchase requirements and contract periods. Prices start at €0.05 per hour for computing resources and storage at €0.02 per gigabyte. Deutsche Telekom said it hopes to create the foundation for a secure European Internet of Things with high availability and scalability for real time analytics.

Data security company Covata test piloted the platform and will be the first customer to use the DSI Intercloud infrastructure service. Another beta tester was communications company Unify, which used it to investigate the viability of open source cloud platforms running from German data centres.

The new DSI Intercloud marks the latest chapter in the Cisco Intercloud initiative. In June BCN reported how Cisco had bolstered the Intercloud, which it launched in 2014, with 35 partnerships as it aimed to simplify hybrid clouds. Cisco and Deutsche Telekom say they will focus on delivering high availability and scalability for real-time analytics at the edge of the networks, in order to cater for IoT experiences. Edge of networking big data analytics is to become a key a concept in the IoT, BCN reported in December. Last week Hewlett Packard enterprises (HPE) revealed how it is helping IoT system users to decentralised all their processing jobs and devolve decision making to local areas. The rationale is to keep masses of data off the networks and deal with it locally.

Deutsche Telekom said the Cisco partnership is an important building block in expanding its cloud business and aims to at least double its cloud revenue by the end of 2018. In fiscal year 2014, net sales of cloud solutions at T-Systems increased by double figures, mainly in secure private clouds.

Cisco boosts SDN range with ACI update

Cisco corporateCisco claims that customers can take a further step towards network automation as it launched a new release of Application Centric Infrastructure (ACI) software to its software defined networking range.

Despite massive demand there are only 5% of networks being automated, according to Cisco’s own customer feedback. In response it has moved to simplify the task by making it easier to address all the various autonomous segments of any complicated network infrastructure.

The new software revision of ACI makes it capable of microsegmentation of both physical (i.e. bare metal) applications and virtualized applications, which are separated from the hardware by virtual operating systems such as VMware VDS and Microsoft Hyper-V. By extending ACI across multi-site environments it will enable cloud operators and network managers to devise policy-driven automation of multiple data centres.

In addition, Cisco claimed it has paved the way for integration with Docker containers through its contributions to open source. This, it said, means customers can get a consistent policy model and have more options to choose from when using the Cisco Application Policy Infrastructure Controller (APIC).

ACI now supports automated service insertion for any third party service running between layers four and seven on the network stack, it said. More support will be put behind cloud automation tools like VMware vRealize Automation and OpenStack, including open standards-based Opflex support with Open vSwitch (OVS).

The ACI ecosystem now makes the automation of entire application suites possible, including Platform as a Service (PAAS) and Software as a Service (SAAS) and there are now over 5000 Nexus 9000 ACI-ready customers using Cisco’s open platform it said.

“Customers tell me that only five to ten percent of their networks are automated today,” said Soni Jiandani, SVP at Cisco. Though they are eager to adopt comprehensive automation for their networks and network services through a single pane of management, they haven’t managed it yet. However, since several ACI customers have achieved full this could be the next step, said Jiandani.

Cisco promises breakthrough software for cloud-scale networking

Network ExpansionCisco claims it has invented a way to integrate and simplify web scale networks to make them twice as cost effective and much more scalable.

The networking vendor has worked with the world’s top hyperscale web companies to help service providers create faster simpler clouds from its IOS XR network operating system using popular IT configuration and management tools.

By making networks more programmable they can create a form of liquidity in cloud services that will allow providers to pool and converge their data centres and wide area network (WAN) architectures, it claims.

As a result of its collaboration, new features will appear in Cisco’s IOS XR software which, it claims, would halve the cost of running today’s network over the course of five years (under the present circumstances) by doubling network efficiency and performance.

However network running costs for cloud operators are expected to soar in future due to predicted surges in data demand. Total global data centre traffic is projected to triple by the end of 2019 (from 3.4 to 10.4 Zettabytes), according to the Cisco Global Cloud Index figures for 2014-2019. With 83% of total data centre traffic expected to come from the cloud by 2019 the improvement in manageability will help to rein in soaring costs, according to Cisco.

The investment in IOS XR will also help cloud and data centre operators to make a smoother, less expensive, transition to cloud-scale networking in future, Cisco claims.

Cisco IOS XR software, which is currently run over 50,000 live network routers, will benefit from a number of technical improvements, including new modularity, more service agility and higher levels of automation convergence with third-party application hosting.

Cisco said its software development kits and the DevNet Developer Program Cisco will encourage service providers to create large-scale automation and predictable network programmability, with higher levels of visibility and control. The aim, says Cisco, is to cater for any data model, any encoding method and any transport method.

“The network is cloud computing’s final frontier, at technology, people and process levels,” said Laurent Lachal, senior analyst of infrastructure solutions at analyst Ovum.  “It needs to be built for scale and ruthlessly automated.”

Cisco strengthens China operations with Inspur joint venture

Cisco corporateCisco Systems is to form a joint venture with Chinese server maker Inspur, selling networking and cloud computing products in China. Cisco and Inspur will jointly invest $100 million in the project.

The partnership comes in the face of mutual suspicion between the US and Chinese government amid claims and counter claims of state sponsored cyber security threats.

In June Cisco was forced to remove several of its senior executives in China, amid reports of falling sales slide and Chinese government fears about the foreign ownership of networking equipment.

Cisco’s China sales fell 20 per cent on the previous year in the quarter ending on April 25 at a time when its global revenue gained 5.1 per cent. As its share of the Chinese router market fell from 21.2 per cent to 9.4 per cent the lost sales went to local rival Huawei Technologies, according to Bernstein Research.

Direct selling became more challenging, The Wall Street Journal has reported, after US National Security Agency whistleblower Edward Snowden said the NSA put surveillance tools in US technology products sold overseas.

US-Chinese technology company partnerships are growing in number and Microsoft announced on Thursday an alliance with Baidu and the Chinese state-owned private investment firm Tsinghua Unigroup on cloud technology. Last week Dell unveiled plans to invest $125 billion over five years in China. Earlier this year, IBM pledged to help develop China’s advanced chip industry with a ‘Made with China’ strategy, while chipmakers Intel and Qualcomm are developing chips with smaller Chinese companies.

Chinese President Xi Jinping’s arrived in Seattle this morning on a state visit to the US.

Chinese officials have said the partnerships will follow the pattern of car manufacturing agreements in the past, with foreign technology firms granted market access in return for shared technology and co-operation with Chinese industry.

Public cloud generating $22 billion a quarter for IT Companies

metalcloud_lowresPublic cloud computing generated over $22 billion in revenues for IT companies in the second financial quarter of 2015, according to a study by Synergy Research Group.

The revenue breaks down into $10 billion earned by companies supplying public cloud operators with hardware, software and data centre facilities and $12 billion being generated from selling infrastructure, platforms and software as a service.

In addition the public cloud supports ‘huge’ revenue streams from a variety of internet services such as search, social networking, email and e-commerce platforms, says the report. It identifies the supply side companies with the biggest share of revenues as Cisco, HP, Dell, IBM and Equinix. On the cloud services side the market leaders are AWS, Microsoft, Salesforce, Google and IBM.

As the public cloud makes inroads into the total IT market, the hardware and software used to build public clouds now account for 24 per cent of all data centre infrastructure spending. Public cloud operators and associated digital content companies account for 47 per cent of the data centre colocation market.

While the total IT market grew at less than five per cent per year, the growth of cloud revenues outpaced it. Infrastructure and platform as a service revenues (Iaas/Paas) grew by 49 per cent in the past year and software as a service (SaaS) grew by 29 per cent.

“Public cloud is now a market that is characterized by big numbers, high growth rates and a relatively small number of global IT players,” said Synergy Research Group’s chief analyst Jeremy Duke.

However, the report noted that there is still a place for regional small-medium sized public cloud players.

Cisco claims new Infinite cloud can deliver video services in 90 days

iptv_webCisco has unveiled its new Infinite range of cloud-powered video services aimed at service providers, broadcasters and media companies. It claims the cloud could cut the delivery time for a new video service from 12 months to 90 days.

The first two services in the range to be released are Infinite Home and Infinite Video. Home will deliver linear, on-demand and time-shift TV video to any screen over two-way cable and telco networks. Infinite Video offers the same service, but is geared to cater for a variety of consumer electronics devices reached over unmanaged mobile Internet connections.

Cisco claims its new efficiencies will make the tests, trials and roll-outs of new services quicker for service providers and make service updates easier. This, claims Cisco, will improve the subscribers’ experiences, cut costs and boost revenue for broadcasters.

Broadcasters can now launch a new video service in 90 days, according to Cisco, because the networking technicalities have been dramatically simplified by the new cloud infrastructure. Once running, service improvements that once took months can now be completed in minutes, because the functions are no longer installed on individual devices, having been centralised on the cloud infrastructure. This makes addressing changes a lot less complicated and time consuming. Advances in cloud orchestration software have also helped automate and simplify configuration and activation even further, Cisco said.

With the pace of management quickening, service providers will get a faster delivery of new features. The Infinite systems will be pre-integrated and will use open-source components with open application programming interfaces.

Getting video services to market quickly is crucial to today’s video operators, said consultant Colin Dixon, digital media analyst at nScreen Media. “This is exactly the type of technological approach needed. That agility will have huge implications.”

The Infinite Home service was used in beta trials by service provider Kabel Deutschland. “The platform moves control and functions into the cloud, making it quick and easy to update and offer new services,” said user Florian Landgraf, senior VP at service provider Kabel Deutschland.

HP overtakes Cisco in cloud infrastructure equipment leadership battle

ServersHP is now the top selling supplier to the cloud infrastructure equipment market, having sat on the shoulder of market leader Cisco throughout 2013 and 2014, according to a study by the Synergy Research Group.

The research group’s sales figures for the two vendors showed them to be tied in the first quarter of 2015, but by Q2 HP had opened a lead after achieving much stronger sequential revenue growth. The two leading vendors are both achieving ‘stellar revenue growth’ in the burgeoning market, according to Synergy. However, while HP maintained a 13 per cent worldwide market share in Q2, Cisco’s share dropped by half a percentage point. The two front runners are followed by Microsoft, Dell, IBM, EMC, VMware, Lenovo and Oracle.

In the public cloud infrastructure equipment market Cisco still has a ‘commanding lead’, but HP has a clear lead in private cloud. Total cloud infrastructure equipment revenues, including hardware and software, are now running at $16 billion per quarter, having grown 25 per cent year on year.

HP leads the cloud infrastructure competition because of its dominance in the cloud server sector and its strong contention in storage, according to Synergy. Cisco’s challenge is upheld by its domination of networking, with support from its rapid ascension in the server market. Microsoft owes its high ranking to the success of its server operating system and virtualization applications. In the chasing pack, Dell and IBM both maintain strong positions with a respectable presence in a range of cloud technology markets.

Servers, operating systems, storage and networking combined account for 89 per cent of the cloud infrastructure market, according to Synergy’s figures. The balance of the market revenues are made from cloud security, cloud management and virtualization applications.

“The public cloud services market is clearly booming and driving heavy investment in cloud infrastructure, while a rapid transition to cloud is also in full swing in the enterprise IT market,” said Jeremy Duke, Synergy Research Group’s founder and chief analyst. “The good news for all vendors is that this huge market is growing rapidly and in aggregate the two leaders only account for a quarter of it – much the same as they did a year ago.”

Yesterday cloud service provider Ormuco, an HP Helion Network charter member, appointed Norwich based MigSolv as its UK data centre partner, adding another HP installation to the cloud infrastructure.

Businesses want private cloud as revenue enabler says IDC

Cisco says cloud - primarily private cloud - is the key to unlocking new business value

Cisco says cloud – primarily private cloud – is the key to unlocking new business value

Cloud business is moving into a second wave of adoption, according to a global study commissioned by Cisco. Half (53 per cent) the survey group said they expect cloud to raise their revenues in the next two years – with almost as many (44 per cent) identifying private cloud as their chosen enabler.

The lack of private cloud options could be handicapping cloud business, analyst IDC reports, in its Cisco-sponsored Infobrief, “Don’t Get Left Behind: The Business Benefits of Achieving Greater Cloud Adoption”. Only one per cent of organizations claimed to have optimized cloud strategies in place and 32 per cent admitted they have no cloud strategy at all.

Cisco’s customers would be more interested in the second wave of cloud if it resolved their concerns about security, performance, price, control and data protection, according to its vice president for global cloud and managed services sales, Nick Earle. Cisco’s customer sentiments seem to be reflected in the IDC study, according to Earle, and the interest in private and hybrid clouds would seem to confirm this, with 64 per cent of cloud adopters reportedly considering hybrid cloud.

“Our strategy to build private and hybrid infrastructure is reflected in the new IDC study,” said Earle.

The study identifies five levels of cloud maturity: ad hoc, opportunistic, repeatable, managed and optimized. As the cloud strategy of organizations matures, moving from the lowest level ad hoc clouds to fully developed optimized clouds, ‘dramatic’ business benefits materialise, Cisco contends. It quantifies these benefits as revenue growth of 10.4 per cent, IT cost cutting at 77 per cent, a 99 per cent reduction in the time to lay on IT services and applications, a 72 per cent improvement in meeting service level agreements and a doubling of the IT department’s capacity to invest in new projects.

On a macro economic level the study estimated that ‘mature’ cloud organizations gain an average of $1.6 million in additional revenue for every application run on private or public cloud. They also cut the cost per application by $1.2 million by running them in the cloud.

Cisco said that private cloud will improve resource use, allow projects to run at greater scale and will give faster response times, while providing more control and security.

Though concerns about the complexities of hybrid cloud adoption – workload portability, security, and policy enablement – were reflected study, up to 70 per cent of respondents expect to migrate data between public and private clouds or among multiple cloud providers.

Link Labs bags $5.7m to boost IoT network dev efforts

Link Labs scored $5.7m, which it will use to double down on product development

Link Labs scored $5.7m, which it will use to double down on product development

Internet of Things (IoT) networking specialist Link Labs has secured $5.7m in series A funding which the company said would be used to boost its low-power wide area network (LPWAN) expansion efforts.

The funding round was led by TCP Venture Capital, which included investment from the Maryland Venture Fund, Blu Venture investors, Inflection Point Partners, and individual and existing investors.

Link Labs specialises in developing IoT networking technology based on LoRa, a standard for IoT-centric wide area networks. Its wares are popular in the intelligent manufacturing, healthcare and smart metering sectors.

The company’s Symphony Link software and hardware connects a range of IP-connected devices over long ranges, both indoors and outdoors, over both licenced and unlicensed spectrum (915 MHz ISM band and ETSI­ compliant for use in the 868 MHz band in Europe and are capable of deployment from 137 MHz­1020 MHz).

“This round marks an important milestone for us as we shift from system development, to accelerated deployment with our early customers,” said Brian Ray, chief executive of Link Labs. “This gives us the capital to expand our distribution channel and open up additional international markets and new applications.”

Bob Proctor, founding member at Blu Venture Investors said: “Link Labs is quickly emerging as the leader in hardware and software systems for low-power, long-range communications. We were excited to provide the seed round for Link Labs last year and are proud to be a major part of the Series A round.”

Link Labs is one of a small but growing number of startups making inroads in the IoT networking space, where there is a flurry of activity around developing standards to handle the communications element.

LoRa, which is developed by Semtech, is being backed by IBM, Cisco, and Microchip among the members of the LoRa Alliance, but other include Sigfox (which is being backed by Samsung) and Neul (which is being backed by Huawei).

Box, Docker, eBay, Google among newly formed Cloud Native Computing Foundation

The Cloud Native Computing Foundation is putting Linux containers at the core of its definition of 'cloud-native' apps

The Cloud Native Computing Foundation is putting Linux containers at the core of its definition of ‘cloud-native’ apps

The Linux Foundation along with a number of enterprises, cloud service providers , telcos and vendors have banded together to form the Cloud Native Computing Foundation in a bid to standardise and advance Linux containerisation for cloud.

The newly formed open source foundation, a Linux Foundation collaborative project, plans to create and drive adoption of common container technologies at the orchestration level, and integrate hosts and services by defining common APIs and standards.

The organisation also plans to assemble specifications to address a “comprehensive set of container application infrastructure needs.”

The members at launch include AT&T, Box, Cisco, Cloud Foundry Foundation, CoreOS, Cycle Computing, Docker, eBay, Goldman Sachs, Google, Huawei, IBM, Intel, Joyent, Kismatic, Mesosphere, Red Hat, Switch Supernap, Twitter, Univa, VMware and Weaveworks.

“The Cloud Native Computing Foundation will help facilitate collaboration among developers and operators on common technologies for deploying cloud native applications and services,” said Jim Zemlin, executive director at The Linux Foundation.

“By bringing together the open source community’s very best talent and code in a neutral and collaborative forum, the Cloud Native Computing Foundation aims to advance the state-of-the-art of application development at Internet scale,” Zemlin said.

The central goal of the foundation will be to harmonise container standards and techniques. A big challenge with containers today is there are many, many ways to implement them, with a range of ‘open ecosystems’ and vendor-specific approaches, all creating one heterogeneous, messy pool of technologies that don’t always play well together.

That said, the foundation expects to build on other existing open source container initiatives including Docker’s recently announced Open Container Initiative (OCI), with which it will work on building its container image spec into the standards it develops. Google also announced that the foundation would henceforth govern development of Kubernetes, which reached v.1 this week, over to the foundation.

“Google is committed to advancing the state of computing, and to helping businesses everywhere benefit from the patterns that have proven so effective to us in operating at Internet scale,” said Craig McLuckie, product manager at Google. “We believe that this foundation will help harmonize the broader ecosystem, and are pleased to contribute Kubernetes, the open source cluster scheduler, to the foundation as a seed technology.”

Ben Golub, chief executive of Docker said while the OCI offers a solid foundation for container-based computing many standards and fine details have yet to be agreed.

“At the orchestration layer of the stack, there are many competing solutions and the standard has yet to be defined. Through our participation in the Cloud Native Computing Foundation, we are pleased to be part of a collaborative effort that will establish interoperable reference stacks for container orchestration, enabling greater innovation and flexibility among developers. This is in line with the Docker Swarm integration with Mesos,” Golub said.