5 Key Insights to Shape Your Cloud Strategy – An ASEAN View

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Digital transformation has been a key company objective over the last two years – and more than a third of enterprises in ASEAN have it as their key business priority in 2022-23. They are aiming to be agile and digital organisations – with access to real-time data insights at their core. 

Businesses have learned that their technology systems need to be scalable, accessible, easy to manage, fast to deploy and cost effective. Cloud infrastructure, platforms and software has become key enablers of business agility and innovation.

But the expansion of cloud applications has also seen an infrastructure and applications sprawl – which makes it essential for organisation to re-evaluate their cloud strategy. 

Here are 5 insights that will help you shape your Cloud Strategy.

  • Technology Change Management. Your cloud strategy must define the infrastructure and data architecture, security and resiliency measures, the technology environment management model, and IT operations.   
  • Building Scalable Enterprises. Focus on seamless access to all organisational data, irrespective of where they are generated (enterprise systems, IoT devices or AI solutions) and where they are stored (public cloud, on-premises, Edge, or co-location facilities).
  • A Hybrid Multicloud Environment. For a successful hybrid multi cloud environment, keep a firm eye on hybrid cloud management, a suitable FinOps framework that balances performance and cost, and integration.
  • A Technology-Neutral Approach. Partnering with a technology-neutral cloud services provider that leverages the entire tech ecosystem, will be critical.
  • “Hybrid Cloud” Can Mean Many Things. Work with a cloud services partner, that has broad and deep capabilities across multiple hyperscalers and is able to address the unique requirements of your organisation.

Read on for more insights

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Cloud Insights

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Ecosystm Snapshot: Kyndryl Taps AWS to Broaden their Cloud Platform Capabilities

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Last week, Kyndryl became a Premier Global Alliance Partner for AWS. This follows other recent similar partnerships for Kyndryl with Google and Microsoft. This now gives Kyndryl premier or similar partner status at the big three hyperscalers.

The Partnership

This new partnership was essential for Kyndryl to provide legitimacy to their independent reputation and their global presence. And in many respects, it is a partnership that AWS needs as much as Kyndryl does. As one of the largest global managed services providers, Kyndryl manages a huge amount of infrastructure and thousands of applications. Today, most of these applications sit outside public cloud environments, but at some stage in the future, many of these applications will move to the public cloud. AWS has positioned itself to benefit from this transition – as Kyndryl will be advising clients on which cloud environment best suits their needs, and in many cases Kyndryl will also be running the application migration and managing the application when it resides in the cloud. To that end, the further investment in developing an accelerator for VMware Cloud on AWS will also help to differentiate Kyndryl on AWS. With a high proportion of Kyndryl customers running VMware, this capability will help VMware users to migrate these workloads to the cloud and run core businesses services on AWS.

The Future

Beyond the typical partnership activities, Kyndryl will build out its own internal infrastructure in the cloud, leveraging AWS as its preferred cloud provider. This experience will mean that Kyndryl “drinks its own champagne” – many other managed services providers have not yet taken the majority of their infrastructure to the cloud, so this experience will help to set Kyndryl apart from their competitors, along with providing deep learning and best practices.

By the end of 2022, Kyndryl expects to have trained more than 10,000 professionals on AWS. Assuming the company hits these targets, they will be one of AWS’s largest partners. However, experience trumps training, and their relatively recent entry into the broader cloud ecosystem space (after coming out from under IBM’s wing at the end of 2021) means they have some way to go to have the depth and breadth of experience that other Premier Alliance Partners have today.

Ecosystm Opinion

In my recent interactions with Kyndryl, what sets them apart is the fact that they are completely customer-focused. They start with a client problem and find the best solution for that problem. Yes – some of the “best solutions” will be partner specific (such as SAP on Azure, VMware on AWS), but they aren’t pushing every customer down a specific path. They are not just an AWS partner – where every solution to every problem starts and ends with AWS. The importance of this new partnership is it expands the capabilities of Kyndryl and hence expands the possibilities and opportunities for Kyndryl clients to benefit from the best solutions in the market – regardless of whether they are on-premises or in one of the big three hyperscalers.

Cloud Insights
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Ecosystm Snapshot: Kyndryl and Nokia Forge a Private 5G Partnership

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Since officially separating from IBM in November last year, Kyndryl has been busy cementing some heavyweight partnerships. The alliances with Microsoft, Google, and VMware demonstrate its intention to build hybrid cloud solutions with whoever it needs to, rather than favouring the Big Blue or Red Hat. The SAP tie-up hints at a future of migrating ERP workloads to the cloud and even an eye on moving up the application stack. Last week Kyndryl announced it is working with Nokia to provide private 5G and LTE networks to enable Industry 4.0 solutions. The first customer reference for the partnership is Dow, deploying both real-world and proof-of-concept applications for worker safety and collaboration and asset tracking.

The Partnership

Kyndryl has a competitive networking services unit, particularly in partnership with Cisco. Its focus has been on SD-WAN, campus networks, and network management as part of broader cloud services deals. This 5G partnership with Nokia is its first serious effort to work with one of the major carrier-grade vendors using cellular technology. It creates an opportunity for Kyndryl to position itself as a provider of services that underpin IoT and edge applications, rather than only cloud, which has until now been its main strength.

Prior to the Kyndryl announcement, Nokia was already developing private 5G solutions under the moniker Digital Automation Cloud (DAC). A key customer is Volkswagen, using the network to connect robots and wireless assembly tools. Over-the-air vehicle updates are also tested over the private network. Volkswagen operates in a dedicated 3.7-3.8 GHz band, which was allocated by the Federal Network Agency in Germany. This illustrates a third option for accessing spectrum, which will become an important consideration in private 5G rollouts.

Private 5G Use Cases

Private 5G has several benefits such as low latency, long-range, support for many users per access point, and provision for devices that are mobile due to handover. It is unlikely that it will completely replace other technologies, like wireless LAN, but it is very compelling for certain use cases.

Private 5G is useful on large sites, like mines, ports, farms, and warehouses where connected machines are moving about or some devices – like perimeter security cameras – are just out of reach. Utilities, like power, gas, and water, with infrastructure that needs to be monitored over long distances, will also start looking at it as a part of their predictive maintenance and resiliency systems. Low latency will become increasingly important as we see more and more customer-facing digital services delivered on-site and autonomous robots in the production environment.

Another major benefit of private 5G compared to operating on public service is that data can remain within the organisation’s own network for as long as possible, providing more security and control.

Private 5G Gaining Popularity

There has been a lot of activity over the last year in this space, with the hyperscalers, telecom providers and network equipment vendors developing private 5G offerings.

Last year, the AWS Private 5G was announced, a managed service that includes core network hardware, small-cell radio units, SIM cards, servers, and software. The service operates over a shared spectrum, like the Citizens Broadband Radio Service (CBRS) in the US, where the initial preview will be available. CBRS is considered a lightly licenced band. This builds on AWS’s private multi-access edge compute (MEC) solution, released in conjunction with Verizon to integrate AWS Outposts with private 5G operating in licenced spectrum. A customer reference highlighted was low latency, high throughput analysis of video feeds from manufacturing robots at Corning.

Similarly, Microsoft launched a private MEC offering last year, a cloud and software stack designed for operators, systems integrators, and ISVs to deploy private 5G solutions. The system is built up of components from Azure and its acquisition of Metaswitch. AT&T is an early partner bringing a solution to the market built on Microsoft’s technology and the operator’s licenced spectrum. Microsoft highlighted use cases such as asset tracking in logistics, factory operations in manufacturing, and experiments with AI-infused video analytics to improve worker safety.

The Future

Organisations are likely to begin testing private 5G this year for Industry 4.0 applications, either at single sites in the case of factories or in select geographic areas for Utilities. Early applications will mostly focus on simple connectivity for mobile machines or remote equipment. In the longer term, however, the benefits of private 5G will become more apparent as AI applications, such as video analysis and autonomous machines become more prevalent. This will require the full ecosystem of players, including telecom providers, network vendors, cloud hyperscalers, systems integrators, and IoT providers.

Emerging Technology
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Ecosystm VendorSphere – IBM: The Journey Ahead

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IBM has made several significant announcements in the last year and are clearly pivoting fast for continued success. 

In October, IBM held a series of analyst briefings to highlight their future strategies. This included a view into the “New IBM”, the re-branding of IBM Global Business Services as IBM Consulting, and the future roadmap for Kyndryl.

Going forward IBM is betting big on the dual capabilities of the Hybrid Cloud and Data & AI. Their strategy keeps a firm eye on the evolving needs of the enterprise with offerings such as the IBM Cloud Satellite, IBM Garage, and industry clouds.

Ecosystm Analysts, Tim Sheedy, Ullrich Loeffler, Matt Walker, Venu Reddy and Sash Mukherjee comment on IBM’s strategy going forward and the associated opportunities.  

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