IBM CEO Ginni Rometty steps down


Bobby Hellard

31 Jan, 2020

IBM has promoted Arvind Krishna to CEO after Ginni Rometty announced she was stepping down from the role and will retire at the end of the year. 

The change marks the end of a 39-year career for Rometty, eight of which were at the top as its CEO. She will stay on as executive chairman of the board until the end of the year before retiring. Red Hat’s Jim Whitehurst will replace Rometty as the company’s president.

In a statement, Rometty said that Krishna and Whitehurst were a «proven technical and business-savvy leadership team».

«Arvind has grown IBM’s Cloud and Cognitive Software business and led the largest acquisition in the company’s history,» Rometty said. «He is well-positioned to lead IBM and its clients into the cloud and cognitive era.»

«Jim is also a seasoned leader who has positioned Red Hat as the world’s leading provider of open source enterprise IT software solutions and services, and has been quickly expanding the reach and benefit of that technology to an even wider audience as part of IBM.»

Virginia ‘Ginni’ Rometty’s career at IBM started in 1981 as a systems analyst. She spent her first ten years working in many technical positions and went on to led the integration of PricewaterhouseCoopers Consulting. She spent the 1990’s working in sales before taking on a number of leadership roles in the next decade.

On New Year’s Day 2012, Rometty became IBM’s ninth CEO as well as its first female chief executive. During her time at the helm, the company set up a number of partnerships with the likes of Apple, SAP and Box, reportedly taking it into higher-growth areas such as cloud and AI.

«Ginni has provided outstanding leadership for IBM, substantially transforming the company and ushering in a new cloud and cognitive era,» said Michael Eskew, lead director of IBM’s Board. «She has taken bold strategic actions to reposition IBM for the future, shedding businesses and growing new units organically and through acquisition, all while achieving record diversity and employee engagement and setting the industry standard for responsible technology ethics and data stewardship.»

She steps down as CEO with the company recently reporting its first-quarter growth since 2018, fueled largely by its cloud division.

Microsoft posts more strong financials and 62% Azure growth – with differentiation key to success

Microsoft saw its Azure business grow 62% in its most recent quarter after posting total revenues of $36.9 billion (£28.2bn) – yet chief executive Satya Nadella was keen to note the breadth of Azure’s stack as well as the bottom line.

The company’s Q220 figures, as ever divided into three primary revenue buckets, saw its ‘intelligent cloud’ stream increase 26% year over year to $11.8bn. ‘Productivity and business processes’ also hit $11.8bn at a yearly rise of 17%, while the ‘more personal computing’ category saw a negligible 1.6% yearly growth to $13.2bn – although a 19% quarterly rise. Total revenues were up 13% on Q219.

“In terms of the Azure momentum, it’s the sort of thing that we have seen even in the previous quarters,” Nadella said in response to an analyst question. “We have a stack that is, from infrastructure to the PaaS services, fairly differentiated.”

Among the products Nadella brought into focus were Azure Sentinel, a cloud-native security information and event management (SIEM) tool, and Azure Synapse Analytics, formerly Azure SQL Data Warehouse and rebadged in November. Maersk and Vodafone were cited as key of the more than 3,500 Sentinel customers – “recent CIO surveys affirm our leadership and strong structural position”, Nadella said – while Synapse was praised as a ‘very competitive product’.

Microsoft has had a very busy three months. On the product side, the launch of Azure Arc at MS Ignite in November took the headlines, following on from AWS Outposts and Google Anthos. At the time the company noted hybrid cloud capabilities ‘must enable apps to run seamlessly across on-premises, multi-cloud and edge devices.’

Hence emphasis on the breadth of portfolio. “The fact that we have a control plane for hybrid computing that is multi-cloud, multi-edge… that’s a pretty differentiated aspect of it,” said Nadella, answering a question on Azure momentum. “The data side, both on the transactions, on the OLTP (online transaction processing) side, as well as on the analytics side, we now have cloud-native databases… that’s what you see play out in terms of customer adoption and the growth there.”

On the partnership side, three deals stood out. In October, Microsoft and SAP struck an agreement featuring SAP’s Embrace project, which aims to help customers become ‘intelligent enterprises’ by utilising the hyperscaler public clouds. It was written as a ‘preferred cloud’ deal, signifying a big win for Microsoft; Nadella described it in the earnings call as ‘exclusive’. A month later, Microsoft expanded upon its partnership with AT&T, running Azure services on AT&T’s burgeoning 5G network, while Salesforce said it was migrating various suites in another ‘preferred cloud’ tie-up.

With regard to customers, the announcement in October that Microsoft had secured the $10bn JEDI government contract – pending AWS’ appeal – was the natural standout. Nadella referenced it alongside the SAP partnership as an example of winning customers through the ‘differentiated approach across the cloud and edge.’

Speaking with Nick McQuire, VP enterprise at analyst firm CCS Insight, earlier this month, it was evident how Microsoft’s wider strategy was beginning to blossom. Microsoft’s decision to not publish specific cloud revenues – alongside Google – was previously a sign of weakness; now, while the obfuscation may frustrate the financial analysts, many accept the wider strategy at play.

“You see companies, typically from the CEO down, that are all-in on transformation, seeing the workplace environment and internal side of the house as part of that,” McQuire told CloudTech at the time. “That’s typically where you will see companies go a little bit deeper with a Google or Microsoft; they will embed the entirety of their SaaS applications capabilities in and around decision making for their infrastructure as a service as well. That approach very much favours Microsoft.”

You can view the full Q220 financial results here.

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Check Point spots two flaws in Microsoft Azure


Nicole Kobie

30 Jan, 2020

Check Point security researchers spotted flaws in Microsoft Azure that could have let hackers take control over the cloud servers.

The work was part of a wider project looking at cloud infrastructure, dubbed «Attack the Cloud», in which Check Point wants to «break the assumption that cloud infrastructures are secure».

With Microsoft Azure, the researchers spotted two flaws. The first was in Azure Stack, and could have let criminals take screenshots or see other sensitive information by taking advantage of a vulnerability in the «DataService» function, which didn’t require authentication.

«This security flaw would enable a hacker to get sensitive information of any business that has its machine running on Azure,» the researchers said. «In order to execute the exploitation, a hacker would first gain access to the Azure Stack Portal, enabling that person to send unauthenticated HTTP requests that provide screenshots and information about tenants and infrastructure machines.»

The second flaw was in the Azure App Service, where businesses provision and deploy apps and business processes, and could have allowed hackers to take control of a server.

«The end result would be that a hacker could potentially take control over the entire Azure server, and consequently take control over all your business code,» the researchers said.

The researchers could get into applications, see data and take over accounts by creating a free user in Azure Cloud and running malicious functions.

«Exploiting this vulnerability in all of the plans could allow us to compromise Microsoft’s App Service infrastructure,» the researchers explain. «However, exploiting it specifically on a Free/Shared plan could also allow compromising other tenant apps, data, and account.»

Check Point disclosed the findings to Microsoft in January and June last year, with patches for both issued at the end of 2019. The first flaw was awarded $5,000 from Microsoft’s bug bounty programme; the second earned $40,000.

The researchers emphasised in a report on the second flaw that while the cloud is «considered safe», it can still have vulnerabilities: «The cloud is not a magical place.»

Avast shutters Jumpshot unit in wake of data privacy concerns


Dale Walker

30 Jan, 2020

​Avast has announced it will be closing down its Jumpshot data analytics unit, only a day after launching an internal investigation into data-sharing practices following user complaints.

On Tuesday, the company was accused of collecting customer online behaviour data and passing it on to its Jumpshot unit, where it was then sold to third parties, according to an investigation by PC Mag and Motherboard.

Avast has denied the allegations contained in the report and, according to company CEO Ondrej Vlcek, both Avast and Jumpshot have «acted fully within legal bounds» and have «committed themselves to 100% GDPR compliance».

However, announcing the decision on Thursday, Vlcek said that a review of Avast’s practices revealed that the «data collection business is not in line with our privacy priorities as a company».

«Protecting people is Avast’s top priority and must be embedded in everything we do in our business and in our products. Anything to the contrary is unacceptable,» said Vlcek.

«I firmly believe it will help Avast focus on and unlock its full potential to deliver on its promise of security and privacy. And I especially thank our users, whose recent feedback accelerated our decision to take quick action,» he added. «As CEO of Avast, I feel personally responsible and I would like to apologize to all concerned.»

Vlcek also said the decision would impact «hundreds» of Jumpshot employees and customers, but that it was «the right thing to do».

Avast intends to continue paying Jumpshot vendors and suppliers in full during the wind-down process, and will begin notifying customers shortly. It also added that the closure would not affect its 2019 fiscal results.

Having once led the anti-virus market, Avast is now considered the fifth-largest provider of security software behind Symantec, McAfee, ESET and Bitdefender.​

Hybrid cloud environments: A guide to the best applications, workloads, and strategies

Nowadays, developers at pretty much every company require quick IT response time, self-service deployments, and a good user experience. And when it comes to line of business (LoB) activities, they don’t hesitate to bypass IT if they’re not satisfied with their current options. The result is that the past several years has seen the shift of applications and workloads deployed to a hybrid cloud model, with a mix of traditional on premise, private and public cloud platforms.

Yet the integration and orchestration of workloads between these various platforms means that there are factors companies must be aware of if they are to realise the cost and efficiency benefits they’re looking for from cloud services.

The hybrid cloud model: evolution, development and deployment

At first, companies ran their applications, data, and compute power on local servers on-premise. Some organisations utilised virtualisation technology for their IT infrastructures, with the intent of optimising the on-premise environment. As more companies established private cloud platforms, and developers continued looking for ways to deliver releases even more quickly, they began moving some workloads to public cloud services.

There’s been a natural evolution to hybrid cloud environments and the 'tyre kicking' has stopped. Yet there are questions to consider when weighing the pros and cons of designating different workloads within hybrid clouds.

Which applications and workloads to which cloud?

A good approach is to keep in mind the three main cloud buckets as options within a hybrid cloud environment: traditional, private, and public clouds.  Which applications and workloads belong in which bucket?

Since the first step is to know what questions to ask, here are a few to start with.

  • Should it stay in the “vault”? When hybrid cloud and multi-cloud were new concepts, integrating cloud environments posed security and privacy concerns. There’s an old joke that the formula for Bush’s Baked Beans and Coke always stays in the vault. Companies may still want to keep their secret sauce — critical applications and workloads — in traditional environments on prem and designate low criticality, low complexity workloads to public clouds. Overtime, we’re seeing less and less of that thinking, but it’s still a consideration
     
  • Which workload to which cloud? Due to incentives and potential license costs savings, it may be more cost effective to run legacy Oracle workloads in Oracle Cloud, Microsoft workloads in Azure, and so on. New applications may make sense to develop and deploy on AWS because of the rich set of DevOps tools available in AWS
     
  • What’s the most efficient way to handle fluctuating workloads? When applications have computing and storage requirements that are highly variable for whatever reasons, say a website is extremely busy only during certain periods, “cloud bursting” may make sense.  Use an on-premises private cloud to handle normal workload and automate the scale-up to burst peak workloads to a public cloud
     
  • Will a do-it-yourself cloud migration work? Many companies start off attempting cloud migration themselves, especially if they are currently managing their own legacy environment and want to move to a hybrid cloud environment. Perhaps they’re currently using Azure and have employees trained on Azure. However, a business case justifies moving or creating new applications on AWS. Some companies attempt to take that same Azure-skilled workforce, expecting that knowledge to apply to AWS, and handle the integration between the two environments. It isn’t that easy.

There are tools, technologies, frameworks, and processes specific to Azure and vice versa, those that are unique to AWS. There’s a steep learning curve between them and companies have two options. If they don’t want to rely entirely on the skills of in-house staff, they can seek help from a partner or a systems integrator. Another option is to reach out directly to cloud providers who typically have some level of consulting built into the cloud platform in the form of tutorials, knowledgebase articles, training classes or training videos that can make the migration easier.

Final thoughts

Most companies that I’ve worked with over the past three to four years, if not longer, eventually want to move to public cloud. They may already have a public cloud strategy in place. Yet they don’t plan to get rid of their traditional or private clouds in the near future. They’re cherry picking workloads that make sense to move to public cloud. Other companies have a cloud-first strategy with the goal-in-mind to move or create new applications on public cloud only until they can eventually decommission their legacy on-prem infrastructure and/or private cloud.

In summary, a hybrid cloud strategy is a must have in the foreseeable future.

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SAP announces solid Q419 revenues – but decline in new cloud bookings causes concern

SAP announced solid cloud revenues for its most recent quarter and noted it hit all of its revenue targets in 2019 – yet a quarterly downturn in new cloud customers caused some concern.

For Q4 2019, cloud revenue was at €1.90bn, up 35% from this time last year. Combined cloud and software revenues were €6.85bn, up 8% from Q418, while total revenues, of €8.04bn, also rose 8% year on year.

Yet while new cloud bookings rose 19% in Q4 to €878 million, it represented a significant decline from 39% the previous quarter. Alongside this, just over half of the rise in Q4 was attributed to a significant on-premises customer committing to move the majority of its SAP portfolio to the cloud over the coming three years.

This is one potential area of interest going forward. As this publication reported in October, SAP announced it was going with Microsoft Azure for a ‘preferred cloud’ partnership. This related to the launch of Embrace, SAP’s blueprint to help customers become ‘intelligent enterprises’ by utilising the hyperscaler clouds. At the time of the Microsoft partnership, and while Amazon Web Services (AWS) and Google Cloud were noted, Microsoft was the only beneficiary of this extended partnership. The cloud to which this on-prem customer was migrating was, naturally, Azure.

Key customers SAP cited in this quarter were Deutsche Telekom, Ford and Lockheed Martin, who all went live on ERP behemoth S/4HANA. Ford was noted as a customer with no previous SAP experience replacing competitors’ software at scale, alongside British Telecom and Tech Mahindra.

Vodafone, meanwhile, was singled out for special mention as it went live on a single global instance. Co-CEO Christian Klein noted the case study was a ‘perfect example of a hybrid landscape… licensing and operating a combination of on-premise and cloud technology, allowing them to gradually transition to cloud at their own speed.’

As regular industry watchers will know, SAP insisted the journey from moving on-prem revenues to cloud would be a long one. There were other benefits noted: Klein said capex had dropped 45% in spite of supporting a much larger cloud ecosystem.

Plans for 2020, Klein noted, included integrating acquired cloud assets, sustainability, as well as vertical-centric solutions. It was ‘a big lever to further accelerate ERP market share gains’, he added. One such recent example of movement in this area was a partnership with Accenture to cover cloud for utilities. Klein added the estimated market size for vertical cloud solutions would be more than €150 billion by 2023.

You can read the full financial report here.

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Google demos real-time speech to text translation


Nicole Kobie

29 Jan, 2020

Google has demonstrated a real time translation and transcription tool powered by AI, that will take lectures and other long-form voice in one language and output it in another. 

Part of Google Translate, the tool will let a smartphone act as interpreter, listening to speech via the microphone and transcribing translated text in real time. So far, the system only supports a few languages, including English, French, German and Spanish. The demo showed English being translated to Spanish. 

«With this, your Android mobile phone will effectively turn into an almost real time translator device for long-form speech,» Google said at the demonstration according to reports, adding it could «unlock continuous speech translations in this world at scale» in the longer term.

However, the transcription and translation won’t happen on your device. Instead, the audio recording will be uploaded to Google’s servers – so you’ll need a decent Wi-Fi connection or solid data package, as well as a willingness to share the audio with Google, to use this tool. 

Google didn’t say when the feature would arrive. 

The Google Translate tool was unveiled as part of a showcase of Google’s AI projects at its San Francisco office, which also included a neural network used to track and monitor whales using underwater microphones, which is now being used in Canada.  

«With this information, marine mammal managers can monitor and treat whales that are injured, sick or distressed,» said Julie Cattiau, product manager for Google AI, in a blog post. «In case of an oil spill, the detection system can allow experts to locate the animals and use specialised equipment to alter the direction of travel of the orcas to prevent exposure.» 

That machine-learning system was trained on 1,800 hours of underwater audio recordings that were labelled and supplied by Fisheries and Oceans Canada. 

The AI demonstrations come a week after Google CEO Sundar Pichai wrote a column urging sensible regulation of artificial intelligence to avoid misuse of the technology. 

Google developing all in one messaging app for business


Bobby Hellard

29 Jan, 2020

Google is reportedly gearing up to take on Slack and Microsoft Teams with its own business communications app.

The app will combine its raft of G Suite services, including Gmail, Google Drive, Hangouts Meet and Hangouts Chat, into a single mobile entity, according to The Information, which cites two people who have used it.

A prototype of the app is currently being tested internally at Google, with the CEO of its cloud division, Thomas Kurian, reportedly sharing details about the project with cloud salespeople and business partners.

The tech giant announced a range of AI and communication-based features at its Cloud Next conference in November, including voice assistant capabilities for parts of G Suite, smart compose functions for Google Docs and a new video chat feature on Gmail.

More recently, it demonstrated a real-time translation feature for Android that will allow users to hear one language and read it in another. 

If the reports are true, the new comms app could see Google in the middle of Slack and Microsoft’s on-going battle for business communications.

Microsoft Teams is currently the more popular service with 13 million active users, according to figures released in July 2019. However, the numbers are boosted by companies using Office 365, of which teams is an integral part. It’s worth noting that Google’s rumoured new app is said to be part of its G Suite service and so could fulfil a similar role.

Slack is also hugely popular, particularly with startups, where it has 10 million daily users according to the latest figures. Despite falling behind Microsoft Teams, the company has called out the tech giant on a few occasions.

In November, Slack tweeted a video suggesting a Teams advert had copied one of its own and captioned the tweet «ok boomer». The company’s CEO Stewart Butterfield has also criticised Microsoft for its «surprisingly unsportsmanlike» behaviour bundling Teams into Office 365.

Cisco WebEx will use voice tools to exploit ‘next frontier’ of data insights


Keumars Afifi-Sabet

29 Jan, 2020

Cisco’s flagship collaboration suite, WebEx Meetings, will introduce a voice assistant alongside transcription and translation tools to help customers mine insights from the voice data collected by the platform.

The added tools, powered by artificial intelligence (AI), will allow teams using the platform to streamline the entire meetings process, from automating aspects like minute-taking, and recording actionable items.

In addition to an Alexa-like voice assistant, real-time transcription tools will combine with advanced analytics so businesses can derive insights from the voice data that’s collected internally during all meetings.

This technology, which Cisco adopted following its Voicea acquisition in September last year, generates a word cloud following each meeting, and automates clips and videos that can serve as packaged highlights. The system, moreover, can be trained to learn corporate taxonomy specific to each business.

“Voicea users have reported saving more than six hours per week per user with more actionable and efficient meetings, and we believe Webex users will experience similar results,” said VP and GM for team collaboration at Cisco, Sri Srinivasan.

“We’re excited to bring this and other cognitive features to the 300 million users we already serve with Cisco Collaboration. This technology will fundamentally change how we are able to deliver massively personalised experiences and transform the way we work.”

The company says the added automation, particularly on action points and highlights that can be distributed to absentees or attendees to serve as reminders, will lead to more productive meetings overall. The engine can also determine information such as what the meeting was about and even the tone of the meeting.

The addition of aspects like live closed-captioning, meanwhile, will allow people to tune into meetings remotely while they’re in busy or noisy environments. All users, meanwhile, will be able to read back through a transcript that’s automatically generated to recap on certain points and even search this for particular information.

Cisco’s Webex assistant and voice tools feed into the company’s idea of «cognitive collaboration», which essentially amounts to giving customers the right information, at the right time and in the right context. This is, as the company sees it, paramount to giving businesses the ability to gain insights from a new pool of data that’s been relatively untapped.

“We think of transcription and the capabilities around it … as the next frontier as information as a currency,” Srinivasan added. “It is the next data quorum – the largest data quorum – that we can create at Cisco collaboration.

“And when you think about 300 million users across calling, across meetings, starting to bring this information forward, we are able to bring that information – that data – and convert that into information. So there’s a number of capability sets that come; for example, analytics at the end of the meeting.”

The firm also moved to quash any concerns from businesses over whether Cisco might itself gather their voice data, suggesting that users can set their own privacy controls, and that all its services are GDPR-compliant. All data is also end-to-end encrypted, which customers can either manage themselves or give Cisco the keys to.

Avast expands opt-out after data-sharing investigation


Nicole Kobie

28 Jan, 2020

Avast has been caught up in yet another privacy scandal, with a joint investigation by PC Mag and Motherboard revealing the extent to which the security firm is collecting user browser histories and selling the data on to third parties. 

Last year, Avast browser extensions were spotted collecting browsing data to sell to advertising firms, sparking Chrome, Opera and Firefox to pull the add-ons from their marketplaces, though some have since returned.

Avast said at the time that it removed any identifying information from the browsing history. The PC Mag and Motherboard investigation suggested it’s possible to re-identify that data once it’s in the hands of marketers. 

The investigation revealed that Avast sells the collected data via its Jumpshot division to third parties such as marketing companies. The browsing history being collected includes every click, keyword search, and entered URLs, harvested not only from browser extensions but also from users of Avast’s free antivirus software. 

The collected data is «de-identified» by stripping out personal details, and tagged with an identifying code. However, research casts doubt on whether any large sample of user data can be truly anonymised. Jumpshot’s data does not directly identify any specific individual, but when it is combined with other data, it’s simple to see who is clicking what, the investigation claims. 

For example, if a data harvesting company or marketer bought data from Avast and also from a website you’re logged into (for example Amazon), the information provided would make it possible to link the Avast data to your Amazon account, therefore revealing your identity, and tying it to your entire browsing history. The data seen by the investigators includes searches, GPS coordinates on maps, visits to social media accounts, and even what video was watched on a porn site. 

The investigation showed Jumpshot was selling that data to companies that aggregate such information, with customers buying access to that «all clicks feed» for millions of dollars. 

Avast stopped sharing such data collected via extensions after the revelations last year, and in July 2019 started asking users for permission before sharing their browsing data with Jumpshot. It will now also ask all existing users of its free antivirus to opt-in to data sharing in February. 

An Avast spokesperson said the company stopped sharing browser extension data with Jumpshot in December, only using collected information for core security tasks.

«We ensure that Jumpshot does not acquire personal identification information, including name, email address or contact details,» the spokesperson added.

Avast also noted that users have always had the ability to opt out of such data sharing: «As of July 2019, we had already begun implementing an explicit opt-in choice for all new downloads of our AV, and we are now also prompting our existing free users to make an opt-in or opt-out choice, a process which will be completed in February 2020.»

The spokesperson added: «We have a long track record of protecting users’ devices and data against malware, and we understand and take seriously the responsibility to balance user privacy with the necessary use of data for our core security products.»

This isn’t the first data privacy scandal to hit Avast: in 2018, Avast pulled an update to its CCleaner tool over data collection concerns. 

The cloud news categorized.