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Presentation by Joe Kennedy March 2020 Digital Transformation - Infrastructure technology 1

Digital Transformation - Infrastructure technology · many areas including private / hybrid cloud, data center, Hyperconvergence and etc. Common application includes: • “Lift

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Page 1: Digital Transformation - Infrastructure technology · many areas including private / hybrid cloud, data center, Hyperconvergence and etc. Common application includes: • “Lift

Presentation by Joe KennedyMarch 2020

Digital Transformation - Infrastructure technology

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Page 2: Digital Transformation - Infrastructure technology · many areas including private / hybrid cloud, data center, Hyperconvergence and etc. Common application includes: • “Lift

PwC 2

Page 3: Digital Transformation - Infrastructure technology · many areas including private / hybrid cloud, data center, Hyperconvergence and etc. Common application includes: • “Lift

PwC

5G

Past Current Future

Network

Storage

Compute

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Page 4: Digital Transformation - Infrastructure technology · many areas including private / hybrid cloud, data center, Hyperconvergence and etc. Common application includes: • “Lift

PwC

Internet / Network: Past and Current

Past Current

● 1983, the internet becomes official.● 1990, The first web browser (WorldWideWeb) is

developed and released. ● 1993, Internet is released to public domain● 1998, as internet usage continues to grow, internet

speed becomes a bigger concern. The first content delivery network (CDN) is founded.

Networking speed is the key to productivity

● 2005, OpenFlow is developed. This is the introduction of software defined networking (SDN).

● SDN will later be improved upon with network function virtualization (NFV) - the modern, all-encompassing networking concept.

● 5G Network technology began wide deployment in 2019

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Page 5: Digital Transformation - Infrastructure technology · many areas including private / hybrid cloud, data center, Hyperconvergence and etc. Common application includes: • “Lift

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It’s been predicted that by the end of 2020, more than 1,000 large enterprises will use IBNS in production, up from less than 50 a year ago. IBNS defines the ideal state of the network configuration before deployment, and the system continuously compares the actual and desired state of the running network

Network: Future

Intent-based Networking (IBNS)

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Page 6: Digital Transformation - Infrastructure technology · many areas including private / hybrid cloud, data center, Hyperconvergence and etc. Common application includes: • “Lift

PwC

Network: Future 5G

What’s 5G?

• 5G refers to 5th-Generation Wireless Systems. 5G is a revolutionary technology as it will eliminate the bounds of access, bandwidth, performance, and latency limitations on connectivity worldwide

• It has the potential to enable brand new applications, industries, and business models

How Fast is 5G?

• 10 ~ 100 time faster than 4G• Movie download times will

decrease from ~7 mins ( with 4G) to just ~6 seconds

Application

• 5G enables new applications for Mobile, eHealth, cloud & VR gaming, autonomous vehicles, smart cities, smart homes, and the Internet of Things

5G Merits

• Low latencies / more bandwidth• Higher operating frequencies• Improved precision• Low energy consuming

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Page 7: Digital Transformation - Infrastructure technology · many areas including private / hybrid cloud, data center, Hyperconvergence and etc. Common application includes: • “Lift

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Capacity: Past and Current

Past Current

● Through the late 90s/ early 2000s data centers were largely decentralized growing by millions of new servers yearly. However, the fragmented growth in data raise concerns on scalability and efficiency. Industry research company International Data Corporation (IDC) puts the average age of a data center at nine years old.

● Network Improvements have made it more economical for businesses to use the Cloud for storage. The Cloud offers essentially an infinite amount of data storage, near-infinite scalability, and accessibility to data from anywhere, at anytime.

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Page 8: Digital Transformation - Infrastructure technology · many areas including private / hybrid cloud, data center, Hyperconvergence and etc. Common application includes: • “Lift

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What is Hyperscale AIRI?• In March, 2019, Pure Storage

announced that it had partnered with NVIDIA to release a portfolio of storage products for AI initiatives - a new hyperscale configuration of AI-Ready Infrastructure (AIRI), which has been designed to deliver supercomputing capabilities for enterprise users.

Capacity: Hyperscale AI-Ready Infrastructure (“AIRI”)

Why Hyperscale AIRI?• There is high demand in storage

market from both the traditional HPC (High Performance Computing) and enterprise storage markets, alongside new growing markets for AI and machine learning. Many HPC and AI users have complex requirements of faster, lower latency storage architectures with many opting to move data as close as possible to processing elements.

• AIRI is built to enable data architects and scientists to operationalize AI at scale

Application• Businesses from a variety of

industries are starting to utilize AI to tackle existing problems and create new opportunities. For example, healthcare organizations from around the world are using AI to bring advancements to treatments and quality of care. Hyperscale AIRI is designed to bring supercomputing capabilities to pioneers of real-world AI, without the complexities that often occur when scaling across multiple racks.

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Page 9: Digital Transformation - Infrastructure technology · many areas including private / hybrid cloud, data center, Hyperconvergence and etc. Common application includes: • “Lift

PwC

Compute: Past and Current

Past Current

● 1970s, the concept of Virtual Machine (VM) operating system emerged. It eventually led to the development of the modern cloud computing infrastructure in the 1990s.

● In the early 2000s, Amazon Web Services (AWS) emerged, allowing companies and individuals to rent virtual computers through which they could use their own programs and applications.

● In 2007, Netflix launched its video streaming service, using the cloud to stream movies and other video content into the homes and onto the computers of thousands (and eventually millions) of subscribers worldwide.

● Software as a Service (SaaS)., Platform as a Service (PaaS), Infrastructure as a Service (IaaS), Backup as a Service (BaaS) and Disaster Recovery as a Service (DRaaS) are made available over the past few years to businesses, as cheaper, easier and more scalable enterprise solutions

Billion

Billion

(Billions)

Source: Cloud Computing Market (2019)

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Compute: Future

● Hybrid multi-cloud / omni-cloud architectures

● Serverless architecture

● Containerization

● Security becomes more important and more integrated

Page 11: Digital Transformation - Infrastructure technology · many areas including private / hybrid cloud, data center, Hyperconvergence and etc. Common application includes: • “Lift

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Compute: Enabling

What’s Serverless?

• Serverless Computing is an execution model that does not require server infrastructure management

• Applications are uploaded to a platform (usually Cloud) and then executed, scaled, and billed in response to the exact demand needed at the moment

Serverless Computing

Why Serverless?

Enables you to build modern applications with increased agility and lower total cost of ownership

• Zero Server Ops• Increased Scalability & Auto

Scaling• Increased Maintainability and

Reliability

Application

Microservices: The biggest change for transitioning to Serverless is to architecture the applications in the form of functions. Several impactful use cases for serverless:

• Event-Triggered Computing• Elastic Resizing for Live Video

Broadcasting• IoT Data Processing

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Page 12: Digital Transformation - Infrastructure technology · many areas including private / hybrid cloud, data center, Hyperconvergence and etc. Common application includes: • “Lift

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Compute: Enabling

Containerization

What’s a Container?• A container is a standard unit of

software that packages up code and all its dependencies so the application runs quickly and reliably from one computing environment to another. Containers can be run on the cloud.

Why Containerization?Containers isolate software from its environment and ensure that it works uniformly despite differences for instance between development and staging

• Consistent environment• Run anywhere• Less overhead• Efficiency in the operational

activities• Higher security

ApplicationContainerization could be utilized in many areas including private / hybrid cloud, data center, Hyperconvergence and etc. Common application includes:

• “Lift and shift” existing applications into modern cloud architectures

• Provide better support for microservices architectures

• Provide easier deployment of repetitive jobs and tasks

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Page 13: Digital Transformation - Infrastructure technology · many areas including private / hybrid cloud, data center, Hyperconvergence and etc. Common application includes: • “Lift

PwC’s Digital Services

Convergence

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Page 14: Digital Transformation - Infrastructure technology · many areas including private / hybrid cloud, data center, Hyperconvergence and etc. Common application includes: • “Lift

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Convergence: Network / Storage

What’s Hyperconvergence?• Hyperconvergence is an IT

framework that combines storage, computing and networking into a single system in an effort to reduce data center complexity and increase scalability

Why Hyperconvergence?Hyperconverged infrastructure’s promise is simplicity and flexibility:

• Ease of use• Scalability and Resource

Efficiency• Cost savings in data center power

and space; IT labor and etc.

Application• Hyperconvergence is used primarily

to deploy general-purpose workloads, virtual desktop infrastructure, analytics (Hadoop clusters for example), and for remote or branch office workloads.

• It can also be used to run mission critical applications, server virtualization, or high-performance storage, underlies private or hybrid cloud or those agile environments that support rapid software-release cycles.

Hyperconvergence

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Convergence: Storage / Compute

Edge Computing

What’s Edge Computing?

• Edge computing is a distributed computing model in which computing takes place near the physical location where data is being collected and analyzed

• Unlike traditional cloud deployments in which data is collected and transmitted to a central server for analysis, edge networks keep that data on the periphery, analyzing and applying it closer to the source.

Why Edge Computing?

• Edge computing enables data stream acceleration, including real-time data processing without latency.

• It also allows for efficient data processing that eliminates costs and ensures that applications can be used effectively in remote locations.

• In addition, the ability to process data without putting it into a public cloud adds a useful layer of security for sensitive data.

Application

• Banking institutions are adopting edge computing in conjunction with smartphone apps, ATMs and kiosks with the ability to gather and process data, making them more responsive, and allow the bank to better predict market behaviours

• High-volume finance firms places their servers in data centers near stock exchanges around the world, increasing trading data accuracy and speed

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Page 16: Digital Transformation - Infrastructure technology · many areas including private / hybrid cloud, data center, Hyperconvergence and etc. Common application includes: • “Lift

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Many digital business projects create data that can be processed more efficiently when the computing power is close to the thing or person generating it. More and more organizations have realized that a more decentralized approach is required to address some pressing digital business infrastructure requirements. For example, the sources of data generation are usually things with sensors or embedded devices in the context of IoT, where Edge computing solutions address the need for localized computing power.

Convergence: Storage / Compute / Network

The Intelligent Edge

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Collecting and processing data locally - some firm already started to adopt better infrastructures to support such new ideas, like Capital One’s new cafés. They allow expert banking systems to be accessed remotely, including the determination of credit worthiness, loan applications and fraud detection...

Page 17: Digital Transformation - Infrastructure technology · many areas including private / hybrid cloud, data center, Hyperconvergence and etc. Common application includes: • “Lift

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Convergence: Network / Storage / Compute

Infrastructure as Code (IaC)

What’s IaC?

• Infrastructure as code (IaC) means to manage your IT infrastructure using configuration files, rather than physical hardware configuration or interactive configuration tools.

• It manages of infrastructure (networks, virtual machines, load balancers, and connection topology) in a descriptive model, using the same versioning as DevOps team uses for source code

Application

• IaC allows for DevOps implementation in your organization. It enables testing your IT infrastructure like testing your code, which improves the quality of the IT infrastructure and reduces the likelihood of failure

Why IaC?

• Without IaC, individual deployment environments need to be maintained, inconsistency among environments leads to issues during deployments

• IaC increases speed, consistency, accountability for infrastructure configuration / management, reduces maintenance cost, and increases efficiency during the Software Development Cycle

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Management: Enabling Focus

Managed Services

What’s Managed Services?

• Managed services is the practice of outsourcing on a proactive basis certain processes and functions.

• The Managed Service Provider performs on-demand services and bills the customer only for the work done, bounded by a contractual, service-level agreement

Why Managed Services?

• Managed Services provides access to specific skills, platforms, services and flexible resources that can efficiently help you address compliance / technology / risk requirements / issues

Application

• As the IT infrastructure components of many firms are migrating to the cloud, a lack of knowledge and expertise becomes obstacle in the transition. Managed Service Providers can provide in-house cloud services or acting as brokers with cloud services providers to resolve the problem at a lower cost

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Author Contact

Joseph Kennedy is a Partner in PwC’s Financial Services practice. He leads the Architecture, Integration and Mobile capabilities supporting Financial Services clients

[email protected]/in/joekennedy/

This publication has been prepared for general guidance on matters of interest only, and does not constitute professional advice. You should not act upon the information contained in this publication without obtaining specific professional advice. No representation or warranty (express or implied) is given as to the accuracy or completeness of the information contained in this publication, and, to the extent permitted by law, PricewaterhouseCoopers LLP, its members, employees and agents do not accept or assume any liability, responsibility or duty of care for any consequences of you or anyone else acting, or refraining to act, in reliance on the information contained in this publication or for any decision based on it.

© 2020 PricewaterhouseCoopers LLP. All rights reserved. In this document, “PwC” refers to PricewaterhouseCoopers LLP which is a member firm of PricewaterhouseCoopers International Limited, each member firm of which is a separate legal entity.

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