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Cloud metering and billing exactly how you want it!

+1 vote
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Background

Cloud computing is not an option anymore, rather it is the standard for businesses to run their applications. Cloud computing helps orchestrate IT infrastructure and provide IT services as a commodity on a services based model. For businesses either renting these services or owning them privately, it is implied that the Cloud Service Providers provide insights with respect to resource utilization and metering for capital management and auditing.

Each cloud service provider has his own way of deploying resources and metering them, and that differs from the traditional IT business model, from procuring resources to providing them for deploying services. Improved IT infrastructure management, granularity in resource metering and ability to determine expenditure per service, changes the capital expenditure model to an operational expenditure model.

CIOs who know where their money comes from are in better control of their finances. Charge-back or show back can help to engage the business in IT spending and value, but the effort must be worthwhile. Some CIOs simply want to stop the business from consuming more and more IT while blaming them for the cost and asking them to make it cost less.

Well-implemented charge-back can make the relationship between spending and revenue more transparent and intuitive. This reduces the need for expensive governance committee meetings and management interventions, freeing the organization to focus on optimizing all business spending.

Charge-back is often a source of contention between IT executives and business leaders, but it need not be. CIOs can use charge back to transform their team's relationships with business stakeholders, improve financial transparency, and gain additional funding.

As a cost-center, IT budget always comes from charge-back against the organization's business revenue, even in cases where the IT organization does not directly charge back for IT services.

Organizations that lack financial transparency in their service delivery are vulnerable to time consuming audits and unbudgeted tax invoices.

Public cloud service providers, handle the overhead of managing IT hardware infrastructure while organizations can focus on their core business functionality. In private cloud set up owned by organizations, the entire stack is managed by the owner or outsourced to third party service integrators. In both cases regular insights on resource metering with respect to cost is required for planning and correct strategic decisions.

Efficient IT infrastructure management is incomplete without aligning IT resources with cost. It is also essential to map the consumption of these resources per user in order to determine efficiency and profitability. Gathering data and generating insights is necessary for continuous improvement and getting maximum returns on investments.

Multi-Billing in eNlight Cloud Platform

eNlight Cloud Platform goes out of the box with cloud metering and billing. Being a leader in cloud orchestration software, the platform provides IT infrastructure management, enables application deployment on virtualized resources, multi-tenant operations and multi or flexible billing models.

At the base level eNlight Cloud Platform provides virtual machine resources metering. Real time processor, memory, disk and bandwidth utilization is provided for static as well as dynamically auto-scalable virtual machines. These resources can be directly mapped with per unit utilization and that provides statistics with respect to monetary utilization of resources.

eNlight platform’s multi or flexible billing module combined with multi-tenant architecture, enables businesses gather monetary resource consumption statistics at a business unit, department and individual user level. The cloud platform provides multiple billing models that match almost all business models like:

1.         Dynamic Pay-Per-Consume

2.         Fixed Pay-Per-Use

3.         Service-Based Billing

Dynamic Pay-Per-Consume Billing

Charging resources based upon consumption against allocation is Dynamic Pay-Per-Consume billing. Dynamic Pay-Per-Consume billing leverages eNlight Cloud Platform’s Auto scaling technology to provide charge back mechanism for IT resources based upon consumption rather than allocated resources.

eNlight enables users to deploy auto-scalable virtual machines that scale dynamically as per resource requirement. Compute resources are allocated and deallocated from the virtual machine in real-time. Due to auto scaling virtual machines can run at bare minimum resources and can demand resources as and when required. For example, a virtual machine can run with minimum 2 vCPU and 2GB RAM at 02.00 am and can demand 4 to 6 vCPU and 12 to 16GB RAM in the peak time at 12 pm. This leads to dynamic resource utilization, having wavy resource utilization graphs.

eNlight Cloud Platform allows billing of such dynamic resources at the granularity of minutes. Dynamic virtual machines are provisioned with min / max resource capping. These virtual machines scale between the min / max resource caps. At any point the virtual machine would be consuming resources in between that resource capping. In this case dynamic Pay-Per-Consume billing allows dynamic resource metering and charge these consumed resources based upon the per unit rates defined in eNlight cloud platform’s charge back system.

The platform’s auto scaling feature enables achievement of greater server consolidation ratio while Dynamic Pay-Per-Consume Billing enables cloud resource metering based upon consumption of these auto-scalable virtual machines.

Fixed Pay-Per-Use Billing

Charging resources based upon allocation is Pay-Per-Use Billing. Essentially it is direct billing based upon the units allocated from the pool of cloud resources. As opposed to Dynamic Pay-Per-Consume billing, Fixed Pay-Per-Use billing charges resources based upon their allocation. This is the conventional billing model that the entire cloud market implements.

In eNlight Cloud Platform, a virtual machine with fixed resources can be provisioned which are known as Static Virtual Machines. For example, a VM with 8 vCPU and 12 GB RAM. The resource consumption of static virtual machine equals to the allocated resources. This leads to fixed resource utilization, where the resources can be charged on fixed flat rates.

Services-Based Billing

Charging tenants based upon service deployment is Service Based Billing.

In eNlight Cloud Platform, a service can be deployed in the form of group of related resources. For example, a mail service which consists of email server and backup servers; this group of resources can be charged flat based upon the charges and policies defined in eNlight Cloud Portal’s system.

Service-Based Billing is different from Pay-Per-Consume and Pay-Per-Use in a sense that it enables to set flat rates and charge group of services based upon these rates defined in the system. This flat charge-back model allows to group application deployments and resources under one common financial entity and simplify billing of related resources.

Conclusion

Cloud is de facto approach to deploy services and manage IT infrastructure, and having a clear view of resource metering from a financial perspective is critical. eNlight Cloud Platform provides multiple options a charge back models that suits almost all business requirements. Service Based Billing enables charging group of resources with fixed flat rates across different services deployed across departments or business units.

eNlight provides highly granular resource utilization metering which can be charged using Pay-Per-Consume and Pay-Per-Use billing models. Pay-Per-Use billing provides more control and better granularity in terms of charging IT resources. These resources are charged against static utilization while different rates per unit can be configured in the system. Dynamic Pay-Per-Consume billing model is exclusive to the platform which leverages eNlight’s patented auto-scaling technology to provide charge back mechanism for dynamically scaled resources in real time.

With eNlight Cloud Platform’s, multi-billing combined with multi-tenant architecture CxO’s can experience the next generation IT resource management from a single cloud management portal.

posted Jul 18, 2018 by Manohar Parakh

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+1 vote

Background

Cloud computing is not an option anymore, rather it is the standard for businesses to run their applications. Cloud computing helps orchestrates IT infrastructure and provide IT services as a commodity on a services based model. For businesses either renting these services or owning them privately, it is implied that the Cloud Services Provider provide insights with respect to resource utilization and metering for capital management and auditing.

Each cloud services provider has its own way of deploying resources and metering them, and that differs from the traditional IT business model, from procuring resources to providing them for deploying services. Improved IT infrastructure management, granularity in resources metering and ability to determine expenditure per service, changes the capital expenditure model to an operational expenditure model.

CIOs who know where their money comes from are in better control of their finances. Chargeback or show back can help to engage the business in IT spending and value, but the effort must be worthwhile. Some CIOs simply want to stop the business consuming more and more IT while blaming them for the cost and asking them to make it cost less.

Well-implemented chargeback can make the relationship between spending and revenue more transparent and intuitive. This reduces the need for expensive governance committee meetings and management interventions, freeing the organization to focus on optimizing all business spending.

Chargeback is often a source of contention between IT executives and business leaders, but it need not be. CIOs can use chargeback to transform their team's relationships with business stakeholders, improve financial transparency, and gain additional funding.

As a cost-center, IT budget always comes from chargeback against the organization's business revenue, even in cases where the IT organization does not directly chargeback for IT services.

Organizations that lack financial transparency in their services delivery are vulnerable to time consuming audits and unbudgeted tax invoices.

Public cloud service providers, handle the overhead of managing IT hardware infrastructure while organizations can focus on their core business functionality. Private cloud owned by organizations, the entire stack is managed by the owner or outsourced to third party service integrators. In both cases regular insights on resources metering with respect to cost is required for planning and correct strategic decisions.

Efficient IT infrastructure management is incomplete without aligning IT resources with cost. It is also essential to map the consumption of these resources per user in order to determine efficiency and profitability. Gathering data and generating insights is necessary for continuous improvement and getting maximum returns on investments.

Multi-Billing in eNlight 360

eNlight 360 come out of the box with cloud metering and billing. Being a leader in Cloud orchestration software, eNlight 360 provides IT infrastructure management, enables application deployment on virtualized resources, multi-tenant operations and Multi-Billing models.

At the base level eNlight 360 provides virtual machine resources metering. Real time processor, memory, disk and bandwidth utilization is provided for static as well as dynamically auto-scalable virtual machines. These resources can be directly mapped with per unit utilization and that provides statistics with respect to monetary utilization of resources.

eNlight 360’s Multi-Billing module combined with multi-tenant architecture, enables businesses gather monetary resource consumption statistics at a business unit, department and individual user level. eNlight 360 provides multiple billing models, which suite almost all business models, they are –

1. Dynamic Pay-Per-Consume

2. Fixed Pay-Per-Use

3. Service Based Billing

Dynamic Pay-Per-Consume Billing

Charging resources based upon consumption against allocation is Dynamic Pay-Per-Consume Billing. Dynamic Pay-Per-Consume billing leverages eNlight 360’s Auto scaling technology to provide chargeback mechanism for IT resources based upon consumption rather than allocated resources.

eNlight 360 enables users to deploy auto-scalable virtual machines that scale dynamically as per resource requirement. Compute resources are allocated and deallocated from the virtual machine in real-time. Due to auto scaling virtual machines can run at bare minimum resources and can demand resources as and when required. For example, a virtual machine can run with minimum 2 vCPU and 2GB RAM at 02.00 am and can demand 4 to 6 vCPU and 12 to 16GB RAM in the peak time at 12.00 pm. This leads to dynamic resources utilization, having wavy resource utilization graphs.

eNlight 360 allows billing of such dynamic resources at the granularity of minutes. Dynamic virtual machines are provisioned with min / max resource capping. These virtual machines scale between the min / max resource caps. At any point the virtual machine would be consuming resources in between that resource capping. In this case dynamic Pay-Per-Consume billing allows dynamic resource metering and charge these consumed resources based upon the per unit rates defined in eNlight 360’s chargeback system.

eNlight 360’s Auto scaling enables to achieve greater server consolidation ratio while Dynamic Pay-Per-Consume Billing enables cloud resource metering based upon consumption for these auto scalable virtual machines.

Fixed Pay-Per-Use Billing

Charging resources based upon allocation is Pay-Per-Use Billing. Essentially it is direct billing based upon the units allocated from the pool of cloud resources. As opposed to Dynamic Pay-Per-Consume billing, Fixed Pay-Per-Use billing charges resources based upon their allocation. This is the conventional billing model that the entire cloud market implements.

In eNlight 360, a virtual machine with fixed resources can be provisioned which are known as Static Virtual Machine. For example, a VM with 8 vCPU and 12 GB RAM. The resource consumption of static virtual machine is equals to the allocated resources. This leads to fixed resource utilization, where the resources can be charged on fixed flat rates.

Services Based Billing

Charging tenants based upon service deployment is Service Based Billing.

In eNlight 360, a service can be deployed in the form of group of related resources. For example, Mail service which consists of email server and backup servers. And this group of resources can be charged flat based upon the charges and policies defined in eNlight 360’s Billing system.

Service Based Billing is different from Pay-Per-Consume and Pay-Per-Use in a sense that it enables to set flat rates and charge group of services based upon these rates defined in the system. This flat chargeback model allows to group application deployments and resources under one common financial entity and simplify billing of related resources.

Conclusion

Cloud is de facto approach to deploy services and manage IT infrastructure, and having a clear view of resource metering from a financial perspective is critical. eNlight 360 provides multiple options a chargeback models that suits almost all business requirements. Service Based Billing enables charging group of resources with fixed flat rates across different services deployed across departments or business units.

eNlight 360 provides highly granular resource utilization metering which can be charged using Pay-Per-Consume and Pay-Per-Use billing models. Pay-Per-Use billing provides more control and better granularity in terms of charging IT resources. These resources are charged against static utilization while different rates per unit can be configured in the system. Dynamic Pay-Per-Consume billing model is exclusive to eNlight 360 which leverages the eNlight 360’s patented Auto scaling technology to provide chargeback mechanism for dynamically scaled resources in real time.

With eNlight 360’s, Multi-Billing combined with Multi-Tenant architecture CxO’s can experience the next generation IT resource management from a single cloud management portal.

About US:

With eNlight 360’s, Multi-Billing combined with Multi-Tenant architecture CxO’s can experience the next generation IT resource management from a single cloud management portal. For more information, visit us at: cloud services India AND eNlight 360

+1 vote

The adoption of cloud computing is increasing rapidly due to its impact and improvements in business processes due to its advantages. A lot of benefits can be reaped by implementing cloud computing according to one’s business needs. Cloud computing has set a certain standard for organizations to run their business critical applications on its platform. Now-a-days organizations can largely benefit from a cost-effective cloud solution which instantly provides on-demand services to clients at an affordable price.

Aligning resources with the IT budget helps in minimizing the redundant costs which are associated with cloud based services. IT heads do not consider the cloud billing system and thus obtain resources which they are probably not going to use. Cloud service provider allocates the resources demanded by a customer but even after the fact only half of the resources were used, the customer still needs to pay full amount due to the CSP’s billing norms which indirectly results in customer’s loss of money. Capacity planning is very important when you wish to use cloud services and distribute it among various departments in your organization.

Cloud promises a very cost efficient way to do business and it is the only reason why more than half of the businesses have started switching to cloud platform because it offers a great way to get maximum resources where they only have to pay for the resources consumed which is a better option than traditional system which needs upfront costs. Now-a-days cloud services are billed based on their usage and there is various consumption based business models in the market who only charge you for the amount of resources you have consumed. Metering of your used resources and costs affiliated with it give a very clear picture to the organization of current resource usage and spending scenario that helps them to take more informed decisions and this is also a good practice to measure your usage of virtual resources on the cloud platform.

Many-a -times there are resources which are unused like RAM, CPU and disk space for which the IT manager needs to pay the full amount even if only half of the allocated resources are used. The concept of Charge-back and Show back can help a business to engage in IT spending and value through responsible accounting of resources and the departments which consume these resources. CIOs want to analyze the resources which are allotted to each department and study their consumption through analysis because they do not want to pay additional costs for the resources which they are not going to consume.

Every department or individual who are allocated their own set of resources needs to efficiently use this IT service and should be responsible for the significant expenses. Charge-back system also helps organizations to achieve greater profitability by creating transparency in business decisions

Multi-Billing in eNlight Cloud Platform

ESDS’ eNlight Cloud Platform comes with Cloud Metering and Billing for optimum utilization of resources and paying for only those services which you have consumed. A true leader in Cloud orchestration software, eNlight Cloud Platform provides easy IT infrastructure management, enables customers to seamlessly deploy applications on virtualized resources, offers Multi-Tenancy and Multi-Billing models.

eNlight Cloud Platform’s Multi-Billing Module is consolidated with Multi-Tenant Architecture enables businesses to gather information of monetary resources consumption on business, department or individual level. eNlight Cloud Platform smartly maps per unit utilization of resources like real-time processor, memory, disk space and bandwidth and then provides statistics regarding the usage bill for the same. eNlight Cloud Platform provides multiple billing models, which suite almost all business models, they are

1. Dynamic Pay-Per-Consume

2. Fixed Pay-Per-Use

3. Service Based Billing

Dynamic Pay-Per-Consume Billing

When you consume certain resources & are charged for the resources which are allocated to you then it is known as Dynamic Pay-Per-Consume Billing. eNlight Cloud Platform provides Charge-back mechanism through its Auto-Scaling technology which focuses on the resources consumed rather than the allocated resources. eNlight Cloud Platform lets you deploy virtual machines which can scale dynamically as per the users’ activity. A user can easily allocate and deallocate compute resources whenever needed which directly leads to efficient use of resources.

Dynamic virtual machines use resources between the resource capping which is set. Minimum and Maximum resource capping is set for virtual machines to scale between these limits. Through dynamic resource metering, a bill is generated for the consumption of resources which were used based upon the per unit rates according to eNlight Cloud Platform’s Charge-back mechanism. A user can achieve maximum benefit through the auto-scalable virtual machines which will only charge them for the resources which are consumed.

Fixed Pay-Per-Use Billing

When you charge a user based on the consumption of resources then it is pay-per-consume but when there are fixed units (resource) which are allocated to a user then it is essentially a direct billing model which is known as Fixed Pay-Per-Use Billing. This is the kind of billing model which is implemented by the entire cloud market. On eNlight Cloud Platform, static virtual machine is provided with fixed resources which is equals to the resources consumed and the billing is fixed. This leads to fixed resource utilization, where the resources can be charged on fixed flat rates.

Services Based Billing

There are multiple services offered by eNlight Cloud Platform and those tenants who wish to deploy a certain service are charged based upon service deployment which is known as Service Based Billing. A particular service can be provided to a customer along with the resources related to it like additional storage services, backup, security services etc. This package can be a service which is offered to a customer and can be charged individually based on single service utilization.

This billing model is very different from the previous 2 billing models because here the rates are flat and fixed and will not change according to the consumption or allocation of resources to a customer. The flat rate charge-back model allows group application deployments and resources under one single financial plan for simple billing.

Conclusion

Cloud offers various services and there are multiple options to choose from when it comes to deploying a service according to your needs. The multiple billing models help a customer to choose from various suite of options which is fit for one’s business requirement. The charge-back model offered by eNlight Cloud Platform suits almost all the business requirements.

Proper resource utilization models like Pay-Per-Use and Pay-Per-Billing allows a customer to meter their resource consumption and not pay any additional charges. When a customer has fixed resource utilization per month then there isn’t a best option than eNlight Cloud Platform’s Pay-Per-Billing model. All these billing models put together along with Multi-Tenant Architecture; CXOs can experience a whole new level of IT resource management through a single cloud management portal.

0 votes

Cloud Computing has been implemented and accessed by almost 89 per cent of population in the world today. The cloud has been adopted in each and every industry and the benefits have been acquired by enterprises and individuals. Many organizations have opted for cloud services to store their critical data because they now know how secure cloud can be. Earlier, there were many questions raised against the technology and its application in businesses as everybody was skeptical regarding the security of data on cloud. Throughout the years, cloud technology has proved everybody wrong and established how easily cloud can benefit storage and access of data from anywhere and from any device.

A specific space on the server allows you to store data and retrieve it whenever it is needed. This technology has saved a lot of costs, improved business efficiencies and provided huge competitive advantage over organizations that do not use cloud services. Data on cloud can be accessed remotely through any device which is connected to the internet which is one of the major benefits of this technology.

A relatively new term which is Mobile Cloud Computing, is on the rise and the implementation and popularity around it is rising. The very existence of mobile phones will drive the trend of mobile cloud computing. Now-a-days almost every individual has a smartphone and knows how to use every feature of it. As smartphones are able to run multiple high-end applications, cloud-based applications are also available on the phone as it can connect to your cloud storage to store and retrieve data. Mobile cloud computing completely makes use of cloud computing to deliver applications to certain mobile devices. Smartphones are not powerful like cloud infrastructure but they at least provide a platform which can make use of a cloud infrastructure to make use of powerful processing power and storage facilities which are not a part of a mobile device. Mobile-based cloud applications can be used remotely using flexibility and speed through the help of the cloud’s computing power and data storage capabilities.

Advantages of Mobile Cloud Computing

1. Flexibility

Mobile cloud computing allows you to store and retrieve data from anywhere in the world through any device as long as it is connected to the internet. This allows smooth exchange of data whenever there is a need of information.

2. Multiple Platform Support

You can make use of mobile cloud computing regardless of the platform you are using because cloud computing supports various different types of platforms to run your applications.

3. Data Availability at all times

You can get real time data at your will when you make use of mobile cloud applications. This allows you to get access to your data when you want it and you can also save your data on the cloud when you wish to surf offline.

4. Cost efficiency

This service is very pocket friendly as there are not any hefty charges related to mobile cloud computing because now-a-days the service is based on only pay for what you use.

5. Data back-up

As you constantly generate new data on your phone, the mobile cloud application helps you to back up your data on the cloud when it needs to be kept secure or when the data is not in use.

6. Data recovery

In case of a disaster you lose your critical data, the cloud application always allows you to recover your data from the cloud by following certain process. Recovery of your data from any location is possible if you are connected to the internet and you have sufficient storage space on your device.

Disadvantages of Mobile Cloud Computing

1. Data Privacy

Most of the times the user has sensitive content on the cloud and during the data flow there can be breach in the network which can lead to the loss of data. It is extremely important to choose the right service provider who will ensure that your data is safe at all times and in any situation.

2. Connectivity

When the service which you want to use is completely dependent on the internet connection, it is important to see that the connection is up at all the times so that your cloud connection is not being suffered which might affect the transfer of your data.

There are no disadvantages except these issues because cloud has come a long way and many glitches are resolved which has made the offering a suitable service for every organization and individual.

Conclusion

Despite some back draws, cloud computing and mobile cloud computing have a very bright future as they have made it very easy to access data and applications over the cloud without the need of incurring huge costs associated with the technology.

+1 vote

In recent months, I’ve been poking around various clouds. Along the way, I realized that they were not working the way I expected. Virtual machines are not as interchangeable or as cheap as they seem. Moving to the cloud is not as simple as it should be. In other words, anyone who has thought about the word “cloud” as a synonym for “perfection” or “painless” will be very disappointed.

You cannot say that there is no truth in what the companies claim about cloud, but there is much exaggeration and also plenty of complicated details that are not immediately obvious. In essence, the cloud are not miracle workers. The improvements are incremental, not revolutionary.

To keep our expectations in more realistic level, here’s a list of what we should really expect from the clouds.

1: Uneven Performance of Virtual Machines

Cloud uncomplicated many of the steps related to the purchase of a server. The desire? Press a button, choose your operating system and get the root password. Everything else should be treated by the cloud, which takes care of all computational tasks behind the curtain.

But the benchmarks taught me that virtual machines behave quite differently. Even if you buy a body having the same amount of RAM running the same version of the operating system, you will find surprisingly different performances. There are different chips and hypervisors running underneath it.

2: Many Choices

A great promise from cloud? Rent a Cloud and see what it can do. Your boss may want to invest in buying a rack or collocating the architecture to data center. But spending a few hours in understanding cloud can help in easy decision making.

To rent Cloud under pay per use model is an ideal way for people interested in trying out some features. But with the increasing choice also increases the complexity of analysis and uncertainty about what is really needed.

3: Eternal Instances

After spending some time with the installation of software and settings, many people give up on shut down a virtual machine that costs so little per hour, leaving them in the background waiting for work.

Generally, an audit of the lists of virtual machines takes longer than the cost of leaving them running another month.

I think the cloud companies will make big money with servers that are standing there, waiting for further instructions.

4: Difficulty Dealing with SaaS Pricing

Software as a service is another temptation in the cloud. You do not need to buy the license and install. You send your bits to an API and it does everything for you. But calculate the cost of software as a service involves analyzing several variables.

One of the ways for a company to be aware of the costs is to start the execution of applications in the cloud computing platform, and then calculate the actual costs. But this raises a number of additional issues, such as how to account for the characteristic fluctuating prices of an immature market.

To prove the cloud can be a rather nebulous process, even comparing a private cloud with the traditional IT infrastructure model.

5: Embedded Solutions

When Google announced Google App Engine, it seemed that the device would make the simplest cloud computing. The problem is that the product’s owner needs to use it. This means that you will be tied to it until you can rewrite the software. And who has time to do that?

Not surprisingly, the standard OpenStack is gaining momentum. Everyone is frightened by the possibility of seeing tied to a provider, no matter how good he can be. It takes more flexibility.

6: Security Is Still A Mystery

At first glance, it seems that you completely control your machine. You and only you set the root password. If the OS is secure and patches are installed, that’s OK, right?

All the clouds are far from clear what actually happens under the hypervisor. Cloud providers are far from offering as safe environments like a cage in the center of the room where you can lock your server.

7: The Cost Estimate Is Not Easy

You should buy a faster machine to 7 cents per hour or three slower machines to 2.5 cents per hour? As each vendor has its own way to charge for bandwidth, storage and other resources, expect to spend hours analyzing the use of various sizes of servers. Then put all this data into a spreadsheet to determine the cheapest configuration.

8: Moving Data Is Not Easy

You like the idea of buying computing power per hour? But often the purchase is the smallest part of the work. Getting your data in the cloud can be a substantial task. If you are loaded log files or large data sets, you may be spending too much time in just moving the data you need.

So some suppliers are making it easy to store data locally and then buy computation time when you need it.

9: The Data Is Not Guaranteed As Well

Cloud contracts rarely have disaster recovery. Some vendors are starting to be more clear about its guarantees. Some have terms of service that explain a little better what they cover and do not cover. Others are responding faster and better questions about the physical location of the data, knowing that the answer may be crucial for regulatory compliance or security issues. The geographical distribution is critical for disaster recovery.

One of the most important items in the hiring of public cloud is the agreement of the level of service quality (SLA). Users need better answers from cloud providers on the finer points of management of availability and vulnerability of services before signing contracts. It is important for customers to know not just where your data is stored as who will access them.

10: No One Knows What Laws Apply

It is easy to imagine that the cloud is living in a Shangri-La, away from those pesky laws and rules that complicate the lives of companies. We would all like to believe that cyberspace is a beautiful place, full of harmony and mutual respect, which dispenses lawyers. What is a half-truth, because no one really knows what laws apply.

Not all the laws apply, because the Web extends throughout. As services and solutions are delivered anywhere in the world, this feature of the concept of cloud computing challenges the current legal model, which is based on local laws. As a result, the legal risks are even greater than those of other traditional IT outsourcing contracts, experts in digital right.

Join this borderless world requires more caution in drawing up contracts with service providers. It is important that the contract contains clauses on privacy issues and data availability. Companies should know the risks of hosting information outside of India. In case of a court order, the data confidentiality may be broken, depending on the privacy law and data protection applied by the country where the server is installed.

11: Extras Will Reach

The cloud business seems to be following the same model for collection of hotel companies and airlines. They will do anything to keep the cost of the main service as low as possible, because they know that price is the determining factor for the purchase of the service. But will try to compensate for this cheap price with add-ons.

The problem for most customers is that it is increasingly difficult to predict how many extra services are used. You can estimate the amount of data that will flow between their machines and the server in the cloud? Some cloud companies charge for it. If a programmer uses a data structure such as XML, can quadruple their bandwidth costs.

12: Responsibility For Backup Still Rests on You

It is tempting to buy the marketing hype and think of the cloud as a giant collection of computing resources. When you need to chew numbers, you cast your spell across the ocean and the answers are reborn from the mists.

If you think the cloud will save the responsibility of backing up your data to you, you are mistaken. Underneath it all, the virtual machines are so fragile as the machines on your desk.

In practice, the machines are machines only. If you build a backup plan for your server today, then you should build one for your software in the cloud as well. But It can also fail.

...