CSC announces HPE enterprise services merger to create $26bn business

Meg Whitman

HPE CEO Meg Whitman

CSC has announced it will be merging with the enterprise services segment of HPE, as the latter reported its fourth consecutive quarter of year-over-year revenue growth.

Revenues for 2016 Q2 were reported at $12.7 billion, up more than 1%, as the team attributed the success to its servers, storage, networking and converged infrastructure business units. The enterprise services unit also saw a healthy performance, and will now be spun out and merged with CSC to create a $26 billion organization.

“The transaction is currently targeted to be completed by March 31, 2017,” said HPE CEO Meg Whitman on the company’s earnings call. “For the combined CSC and Enterprise Services, this will create a new company that will be a pure-play global IT services leader. For customers, this means global access to world class offerings in cloud, mobility, application development and modernization, business process services, IT services, big data and analytics, and securities.”

The move comes six months after CSC underwent a similar split to HP and HPE. CSC serves commercial and government clients globally, whereas CSRA targets public sector clients in the United States. Following the completion of the transaction next year, CSC’s current president and CEO Mike Lawrie will continue to head up the new company, though the new brand has not been released as of yet. Both companies have seemingly benefited from their respective splits in recent months, demonstrating healthy growth since the two separations.

Since the CSC separation, the company has been aggressively reinforcing its position in the market with various acquisitions and joint ventures. Created CeleritiFinTech, a joint venture with HCL, to strengthen its position in the banking sector, acquired UXC to increase its footprint in the Australia-New Zealand region and bought Xchanging to bolster its insurance solutions.

“Our proposed merger with HPE Enterprise Services is a logical next step in CSC’s transformation,” Lawrie said. “As a more powerful and versatile global technology services business, the new company will be well positioned to innovate, compete and serve clients in a rapidly changing marketplace. We are excited by the great potential this merger brings to our people, clients, partners and investors, and by the opportunity to strengthen our relationship and collaboration with HPE.”

In terms of HPE moving forward, Whitman highlighted next generation software defined infrastructure is a priority for the business, focused on servers, storage, networking, converged infrastructure, hyper-converged, and Helion. The company has stated it will remain open to future acquisitions, though it would appear there aren’t any major targets in the pipeline as Whitman seemed ‘standoffish’ during the earnings call.

NTT Data partners with Privitar to make customers GDPR compliant

Lady JusticeNTT Data UK has announced a partnership agreement with Privitar to provide data protection solutions built on new requirements set out by the EU General Data Protection Regulation.

The GDPR requires companies to process and use the personal data of any European customers in a justifiable and ethical manner, whilst also giving increased control of the data back to the customers themselves. As the role of data increases within the business world customers have become increasingly interested in how their personal information is stored and used. Insight delivered from this data can be used to drive additional revenues for a business, though once GDPR comes into legislation in 2018, there will be strict guidance on how the data is used.

NTT Data believe this dynamic will create complications for various organizations, and claim combining the NTT Data’s data and process capabilities, with Privitar’s privacy software, will create a proposition which will comply to all GDPR data requirements.

“By combining NTT DATA’s sector-specific domain knowledge with Privitar’s software we can now deliver programmes that make our clients champions of both privacy and innovation,” said Steve Mitchener, CEO of NTT Data UK. “I’m excited that this partnership will allow our clients to fully utilise their data assets without fear of reputational and financial damage, or regulatory action.”

Capacity, redundancy, and transparency: The three big cloud question marks

(c)iStock.com/anilakkus

From my perch in the cloud computing ecosystem, I see three concerns on the horizon for cloud computing: capacity, redundancy, and transparency.

In certain ways, these topics are inter-related with security. Certainly, from the customer’s viewpoint, they all touch on perceptions of value and trust. And possible solutions, at least to my mind, tend to reflect old-school logic around risk management principles.

I know from my conversations with other professionals in the cloud computing industry that my concerns are widely shared and that a variety of solutions are actively being sought. Because these are broad-based concerns that affect everyone in this domain, however, they’re worth sharing to generate further discussion of potential solutions.  

Capacity: are we ‘there’ yet?

Our capacity to store data is being challenged by big data – the vast amounts of data that exist and that are being generated afresh each day in an increasingly digital world. Currently, it may appear as if there’s an infinite amount of data storage and processing capacity available in the cloud, but that’s not the case. Industry players tell me they’re concerned that, at some point, we may “fall off a cliff.” Although many believe that the proverbial cliff will be prompted by the advent of the Internet of Things (IoT), it may come sooner. (These issues are being addressed by the IEEE Big Data Initiative, a tremendous resource for CloudTech readers.)

Embedded systems generate enormous amounts of unstructured data and companies with legacy embedded systems are starting to analyze it for insights into how their products have been used. This need may challenge us before IoT’s exponentially vast data generation becomes an issue.

In IoT’s case, however, a number of strategies suggest themselves, including processing at the network’s edge to reduce the amount of data flowing upstream to the cloud. Other strategies include variations on current practices such as representative sampling of data and logical partitioning of data sets. Intercloud services could divvy up the work, but these remain a work-in-progress.   

Redundancy: déjà vu all over again?

Redundancy to my mind means that cloud-based data repositories should be retrievable or self-regenerating, if they are lost or purposefully or inadvertently discarded by the cloud service. This is a form of security. Our IEEE Cloud Computing Initiative’s Facebook page, for example, inexplicably vanished recently – and, with it, a great deal of valuable, time-consuming work.

The issue is that many companies are turning to the cloud to provide redundancy for critical business continuity data and processes. If the user relies on the cloud for storage and redundancy, what are the redundancy capabilities and policies used by your cloud service? After all, the cloud’s key selling point is that it eliminates the time and cost of maintaining one’s own databases.

Transparency: it isn’t clear

Transparency is a quality that might be applied to both the capacity and the redundancy issues – what is a cloud provider’s policy regarding its own capacity to store and process vast amounts of data and to back it up, should it be discarded or lost? For competitive reasons, the answer is likely not forthcoming from your cloud service provider.

More important to current and future users of the cloud (and the Internet), however, is the vast amounts of data being gathered – and, increasingly, applied in various ways – on a user’s identity, location, browsing habits, topics of interest, social media activities and purchasing patterns, to name a few.

How many of us really realise the degree to which that data, in ever more granular form, is being collected in the first place? And wouldn’t we all like to know exactly what is being collected and how that data is being used? Certainly we should all have some understanding of what personally identifiable information is gathered and how it is used. It might also be valuable to know how and when our activities are tracked and analysed, even if and when that data is anonymised.

Trust and value

Becoming smarter about the cloud vendors we work with is a critical piece of the solution to all the issues I’ve just raised. In a recent issue of IEEE Internet Computing magazine, “Managing Risk in a Cloud Ecosystem,” the authors offer the following, logical reassurance: “Due to economies of scale, cutting-edge technology advancements and higher concentration of expertise, cloud providers have the potential to offer state-of-the-art cloud ecosystems that are resilient, self-regenerating and secure – far more secure than the environments of consumers who manage their own systems.”

Yet the article’s ultimate conclusion is that cloud consumers must follow a rigorous, established process to determine their own approach to risk management and identify their security requirements. That’s the basis for understanding how cloud providers manage risk and the degree to which they can meet a customer’s security requirements.

I urge you to read the article, which is full of practical guidance on these issues. And I invite you to join the community that has coalesced around IEEE Cloud Computing to broaden your knowledge of current challenges and participate in discovering solutions. 

Let the countdown to GDPR begin

Location Germany. Red pin on the map.The road to data protection has been a long and confusing one. Despite being one of the biggest concerns of consumers and corporates throughout the world, progress has hardly been moving at breakneck speed, but as of today (May 25th), companies now have exactly two years to ensure they are compliant with the EU’s General Data Protection Regulation.

The general objectives of the GDPR are to give citizens back the control of their personal data and to simplify the regulatory environment for international business by unifying the regulation within the EU. Data protection is a complicated business throughout the EU mainly due slight differences from country to country, and then again, with overarching EU regulations, or directives which haven’t even made it to regulation.

Conversations surrounding the new regulations have been ongoing since 2012, though companies now have until 25th May 2018 to ensure they are fully compliant. For this would seem an adequate amount of time, however a recent YouGov and Netskope survey highlighted only one in five are confident they will be compliant in this time period. For Eduard Meelhuysen, VP at Netskope, decision makers need to take a step back to get a better understanding of the current state of their data, before concentrating on any company app.

“If they are to comply, IT teams will need to make the most of the two-year grace period which means that both cloud-consuming organisations and cloud vendors will need to take active measures now,” said Meelhuysen. “As a starting point, organisations should take a hard look at how their data are shared and stored, focusing in particular on any cloud apps in use across the organisation.

“The GDPR makes specific provisions for unstructured data of the type created by many cloud apps, data which are typically harder to manage and control. That means organisations need to manage employees’ interactions with the cloud carefully as a key tenet of GDPR compliance.”

a safe place to work“As cloud app use continues to increase within businesses, data will become harder to track and control. But with the GDPR instigating a maximum possible fine of €20 million or 4% of global turnover (whichever is higher) in certain cases, there is now more incentive than ever for companies to focus on data protection. Getting a handle on cloud app use will be a crucial part of ensuring compliance for any organisation, and IT teams will need to start work now to meet the May 2018 compliance deadline.”

One area which has been given attention within the GDPR is that of data residency. New regulations will require organizations do not store in or transfer data through countries outside the European Economic Area that do not have equivalently strong data protection standards. The list of countries that meet these standards is short, 11, with a notable absentee, the United States of America, which could pose problems for numerous organizations.

While this may be considered one of the headline areas for the GDPR and one which will likely be heavily scrutinized, for Dave Allen, General Counsel at Dyn, concentrating too much on this area could lull companies into a false sense of security.

“As the EU GDPR comes into effect, businesses will need to take a hard look at their current methods of sharing and storing data,” said Allen. “While some Internet companies have begun to address new challenges at the fixed locations where data is stored – this alone will not necessarily be enough to ensure compliance.

“Those companies focusing solely on data residency may well fall victim to a false sense of confidence that sufficient steps have been taken to address these myriad regulations outlined in the GDPR. As the GDPR will hold businesses accountable for their data practices, businesses must recognise that the actual paths data travels are also a key factor to consider. In many ways, the constraints which come with the cross-border routing of data across several sovereign states mean these paths pose a more complex problem to solve.

“Although no silver bullet exists for compliance with the emerging regulations which govern data flows, businesses which rely on the global Internet to serve their customers should be seriously considering visibility into routing paths along both the open Internet and private networks. As we enter an era of emerging geographic restrictions, businesses with access to traffic patterns in real time, in addition to geo-location information, will find themselves in a much stronger position to tackle the challenges posed by the GDPR.”

Anonymous unrecognizable man with digital tablet computerOverall, the GDPR will ensure companies take a greater level of responsibility to safeguard the personal data they hold from attacks. Recent months have seen a number of highly publicised attacks significantly impact the reputation of well-known and respected brands, making consumers nervous about which of their personal information is being held. Previously, attacks on such organizations would not have been thought possible; surely they have the budgets to ensure these breaches wouldn’t happen?

Another headline proposition from the GDPR is the consumer’s right to access data which is stored on them, and also the right to have this data ‘forgotten’. For Jon Geater, CTO at Thales e-Security, this will create numerous challenges and changes to the way in which data is stored and accessed.

“The new rules also make clear another important factor that we should already have known: that you can outsource your risk, but you can’t outsource your responsibility,” said Geater. “If organisations use a third party provider to store and manage data – such as a cloud provider, for example – they are still responsible its protection and must demonstrate exactly how the data is protected in the remote system. Therefore, formal privacy-by-design techniques need to make their way down the supply chain if companies are to avoid penalties or nightmarish discovery and analysis tasks.

“In addition, organisations will now have to provide citizens with online access to any their own personal data they store. While the Data Protection Act traditionally allowed anyone to request access to this data, with GDPR in effect organisations must make this available for download ‘where possible’ and ‘without undue delay’.

“This is a very significant change and securing this access will represent a significant challenge to many organisations – especially while still complying with the new tighter rules – and will require robust cybersecurity technology across the board.”

What is clear is there will be complications. This shouldn’t be considered a massive surprise as any new regulations are fraught with complications on how to remain or become compliant, but the European Commission isn’t messing around this time. With fines of €20 million or 4% of global turnover (whichever is greater), the stick is a hefty one, and the carrot is yet to be seen.

Middleware Solutions | @CloudExpo #DataCenter #BigData #M2M #IoT #API

While there has been much ado about interoperability, there are still no real solutions, same as last year and the year before that. The large EHR vendors who continue to dominate the market still maintain that interoperability is all but solved, still can’t connect EHRs across the continuum causing frustration by providers and a disservice to patients. The ONC pays lip service to the problem, but that is about it. It is time for the healthcare industry to consider alternatives like middleware which has been proven in other industries such as finance, retail and hospitality.

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DevOps Managers? | @DevOpsSummit #DevOps #IoT #ContinuousIntegration

My personal view is NO.
It needs DevOps for sure, but not Devops Managers.
There is a simple explanation and a more well defined, elaborate explanation to this question though.
The simple explanation first. A manager’s role needs to be associated with some outcome. A Project Manager – is responsible for the outcome of successful project, a Business Manager – is responsible for the outcome of a growing and profitable business, a Service Manager – is responsible for delivering improved service, etc. DevOps is not an outcome. It’s a means to an end – that end being continuous delivery.

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Transferring Windows From Boot Camp Partition To a New Mac

Guest blog by Arun Raj, Parallels Support Team Transferring Windows From Boot Camp Partition To a New Mac If you’re reading this blog, chances are you are thinking to buy a new Mac (or already got one, yay!). Apple made it super easy to migrate all your files, applications and settings to the new machines […]

The post Transferring Windows From Boot Camp Partition To a New Mac appeared first on Parallels Blog.

Cloud security strategies: In the land of the blind, the one eyed man is king

(c)iStock.com/Kalawin

New research released today by enterprise cloud hosting provider iland has revealed almost half (47%) of security workers “simply trust” their cloud providers to meet security agreements.

The findings, from 100 IT decision makers and security experts, appear in a study whose title – ‘Blind Trust is Not a Security Strategy: Lessons from Cloud Adopters’ – lays the problem on thick. Even though 78% of firms polled are using the cloud in some capacity, and more than half (56%) of respondents say security technology is more consistently applied in the cloud, the report insists vendors need to do more to keep things safe.

This will not come as a major surprise to regular readers of this publication, with a study released in June last year from iland saying largely the same thing. Back then, the finger was pointed at rogue vendors not sharing metadata with customers. Customers, ranging from one third to half of respondents, had various concerns over how closely their provider looks after them – the idea that they were ‘just another account number’.

Customers are not immune either however; the research also found a ‘significant’ gap in IT understanding of compliance requirements, with 96% of security professionals admitting their firms have compliance-related workloads in the cloud compared to just 69% of IT teams. David Monahan, research director of security and risk management at Enterprise Management Associates, who conducted the study with iland, argues a lack of staff and skills are holding firms back. “Companies can no longer combat security threats by simply throwing technology at perceived vulnerabilities,” he said.

On the plus side, business and IT are more likely to be on the same page with regard to cloud security, and if IT is reluctant to push a new application because of security fears. iland calls this a ‘fundamental shift in dynamics’, yet Monahan added: “While IT has made monumental progress in identifying and adopting necessary security technologies, cloud providers must do more to ensure teams can easily validate claims, manage disparate tools, anticipate threats and take action when needed.”

IoT Marketplaces By @EsmeSwartz | @ThingsExpo #IoT #M2M #DigtalTransformation

What a difference a year makes. Organizations aren’t just talking about IoT possibilities, it is now baked into their core business strategy. With IoT, billions of devices generating data from different companies on different networks around the globe need to interact. From efficiency to better customer insights to completely new business models, IoT will turn traditional business models upside down. In the new customer-centric age, the key to success is delivering critical services and apps with a consistent quality of experience irrespective of device, app or network. Open platforms are enabling the creation of game-changing apps that fundamentally transform a company’s approach for unleashing new value from core assets and data.

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Container Solutions brings production environment to the developers laptop

Global Container TradeLondon-based Container Solutions has released the latest version of its minimesos project, an open source testing and experiment tool for Apache Mesos, which it claims brings production orchestration testing to the development environment.

The new offering targets the challenge of moving microservice applications from a developer’s laptop to the production environment, which can prove to be complicated as the target platform is different than the local one. The offering allows developers to bring up a containerised Apache Mesos cluster on their laptop, creating a production-like environment on their desktops for building, experimenting and testing.

“When we started building a number of Mesos frameworks, we found it hard to run and test them locally,” said Jamie Dobson, CEO of Container Solutions. “So, we ended up writing a few scripts to solve the problem. Those scripts became minimesos, which lets you do everything on your laptop. We later integrated Scope so that developers could visualise their applications. This made minimesos even more useful for exploratory testing.”

The company claims developers can now start a Mesos cluster through the command line or via the Java API, which is logically isolated as each of the processes run in separate Docker containers. Minimesos is aslo integrated: it exposes framework, state and task information to its Cluster State API.

The cloud news categorized.