Search Results for: cloud

IBM acquires Weather.com for Cloud, AI (aaS), and IoT

February 2, 2016 by Tom Raftery

IBM has announced the completion of the acquisition The Weather Company’s B2B, mobile and cloud-based web-properties, weather.com, Weather Underground, The Weather Company brand and WSI, its global business-to-business brand.

At first blush this may not seem like an obvious pairing, but the Weather Company’s products are not just their free apps for your smartphone, they have specialised products for the media industry, the insurance industry, energy and utilities, government, and even retail. All of these verticals would be traditional IBM customers.

Then when you factor in that the Weather Company’s cloud platform takes in over 100 Gbytes per day of information from 2.2 billion weather forecast locations and produces over 300 Gbytes of added products for its customers, it quickly becomes obvious that the Weather Company’s platform is highly optimised for Big Data, and the internet of Things.

This platform will now serve as a backbone for IBM’s Watson IoT.

Watson you will remember, is IBM’s natural language processing and machine learning platform which famously took on and beat two former champions on the quiz show Jeopardy. Since then, IBM have opened up APIs to Watson, to allow developers add cognitive computing features to their apps, and more recently IBM announced Watson IoT Cloud “to extend the power of cognitive computing to the billions of connected devices, sensors and systems that comprise the IoT”.

Given Watson’s relentless moves to cloud and IoT, this acquisition starts to make a lot of sense.

IBM further announced that it will use its network of cloud data centres to expand Weather.com into five new markets including China, India, Brazil, Mexico and Japan, “with the goal of increasing its global user base by hundreds of millions over the next three years”.

With Watson’s deep learning abilities, and all that weather data, one wonders if IBM will be in a position to help scientists researching climate change. At the very least it will help the rest of us be prepared for its consequences.

New developments in AI and deep learning are being announced virtually weekly now by Microsoft, Google and Facebook, amongst others. This is a space which it is safe to say, will completely transform how we interact with computers and data.

Salesforce on track to being the cloud crm provider with the lowest carbon emissions

January 14, 2016 by Tom Raftery

We have highlighted here on GreenMonk often enough what a poor job some cloud companies are doing of making their cloud infrastructure cleaner, and being transparent about their emissions.

Against that backdrop, it is heartening to see some more enlightened cloud companies doing the right thing. Salesforce announced today its second renewable energy purchase agreement. The first announcement, made just last month was of the signing of a 12-year wind energy purchase agreement, for 40MW of a new West Virginia wind farm through a virtual power purchase agreement (VPPA). This wind farm is expected to generate 125,000MWh of wind energy annually.

Today’s news doubles down on that with the disclosure that Salesforce has signed a second energy agreement, this time with a 24MW new wind farm in Texas which is expected to generate 102,000MWh of electricity annually. When the two wind farms are fully up and running then, Salesforce will be buying 227,000MWh of electricity per annum.

To put this in context, according to its filings with the CDP Salesforce’s total purchase of energy (electricity, fuel, heat, steam, and cooling) in 2015, was just under 152,000MWh. So Salesforce’s energy consumption can grow quite a bit by the time these two wind farms come fully on line in December 2016, and still be well covered by the output of these two wind farms.

If we compare this to a couple of Salesforce’s competitors* –

Microsoft purchases 3,570,438MWh of energy, of which 3,240,620MWh comes from clean energy sources (90.8% clean), and
SAP purchases 918,320MWh of energy , of which 346,885MWh comes from clean energy sources (37.8% clean)

So barring any huge spikes in Salesforce’s energy requirements this year, it looks like they are on track to being the cleanest of the large cloud CRM providers.

In case you are interested in other cloud computing companies purchases of renewable energy, I charted a few of them based on their submissions to the CDP for 2015 – see below

*I tried to find energy and emissions data for Salesforce competitor Workday, but as yet they have not reported their data to the CDP. When they do, I will update this post.

Apple, cloud computing, and enterprise supply chain management

February 18, 2015 by Tom Raftery

Apple’s recent announcements around renewables and supply chain transparency, put the major cloud providers to shame.

Apple had a couple of interesting announcements last week. The first was that they were investing $848m in a 130MW solar farm being built by First Solar in California. With this investment, Apple enters into a 25 year power purchase agreement with the solar farm, guaranteeing income for the solar farm, and securing Apple’s energy bills for the next 25 years in California. According to First Solar this is the largest agreement in the industry to provide clean energy to a commercial end user, and it will provide enough energy for Apple to fully power its headquarters, operations and retail stores in California, with renewable energy.

For it’s data centers, which hosts Apple’s iCloud, App Store, and iTunes content, Apple uses 100% locally generated, renewable energy. It’s Maiden, North Carolina data centre, for example, uses a combination of biogas fuel cells and two 20‑megawatt solar arrays — the largest privately owned renewable energy installation in the US, according to Apple. And it is now investing another $55 million in a third, 100-acre 17.5MW plant for the facility. You can find details of Apple’s other data centre facilities, and how they are powered by renewables, here.

Apple’s Maiden NC Data Center Solar Array

The second announcement from Apple was the publication of its 2015 Supplier Responsibility Progress Report (highlights here, full PDF here). Apple has been criticised in the past for workers rights violations in its supply chain, so it is good to see Apple taking very real steps, positive, to address this. The amout of detail, the steps taken, and the levels of transparency in the report are impressive.

On underage labour, for instance, Apple’s policy requires that

any supplier found hiring underage workers fund the worker’s safe return home. Suppliers also have to fully finance the worker’s education at a school chosen by the worker and his or her family, continue to pay the worker’s wages, and offer the worker a job when he or she reaches the legal age. Of more than 1.6 million workers covered in 633 audits in 2014, 16 cases of underage labor were discovered at six facilities — and all were successfully remediated.

Apple also has strict policies around work week hours, health and safety, sourcing of conflict minerals, and the environment. In order to increase its transparency, Apple publishes its Supplier Code of Conduct, its Supplier Responsibility Standards, its Conflict Minerals Standard, as well as a list of its smelter suppliers and its top 200 suppliers amongst other documents. And Apple’s comprehensive list of environmental reports are published here.

What does this have to do with cloud computing and the enterprise supply chain management?

Well, Apple recently partnered with IBM in order to expand its userbase into the enterprise space. And it has opened its iWork office suite to anyone with an Apple ID, no Apple device required – though this was long overdue.

Comparing Apple’s cloud offerings to actual enterprise cloud players (or any cloud players, for that matter), you see there’s a yawning chasm in terms of transparency, reporting, and commitment to renewables.

Of the main enterprise cloud players:

Microsoft publish their Citizenship Report here [PDF]. And while it is a decent enough report, it doesn’t go into anything like the level of detail that Apple does. On page 53 of this report Microsoft mention that 47% of the energy it purchases is renewable. It does purchase renewable energy certificates for the other 53% so it can report that it is carbon neutral.
Google doesn’t produce a corporate sustainability report. Instead it has this page which outlines some of the work it does in the community. Information on Google’s energy breakdown is sparse. What is published is found on the Google Green site, where we find that although Google has many investments in renewable energy, and Google has been carbon neutral since 2007, Google’s actual percentage of renewables is only 35%.
IBM has a good history of producing corporate reports (though it still hasn’t published its report for 2014). However on the energy conservation section of IBM’s corporate report, IBM reports that sources 17% of its electricity came from renewable sources in 2013. However, they go on to note that this does not include the energy data of Softlayer – IBM’s cloud platform.

And finally, Amazon, who have arguably the largest cloud computing footprint of any of the providers, is the worst performer in terms of reporting, and likely in terms of emissions. The only page where Amazon mentions emissions, claims that it has three carbon neutral regions, but fails to say how they have achieved this status (or whether they are third party audited as such). The same page also claims that “AWS has a long-term commitment to achieve 100% renewable energy usage for our global infrastructure footprint” but it fails to give any time frame for this commitment, or any other details on how it plans to get there.

Taking into account last November’s historic deal between the US and China on carbon reductions, and the upcoming Paris Climate Change Conference in December this year (2015), where there are very likely to be binding international agreements on carbon reductions. This will lead inevitably to increased requirements for CO2 reporting from the supply chain.

With that in mind, including the % renewable energy as one of the factors when choosing a cloud provider, would be a very wise move.

UPDATE:
As pointed out to me on Twitter:

https://twitter.com/OhMeadhbh/status/568132756762271744

In that case, you could always go with GreenQloud. GreenQloud bill themselves as a drop-in AWS replacement and being based in Iceland their electricity is 100% renewable.

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Photo credit NAIT

Customer service, in-memory computing, and cloud? The utility industry is changing.

September 17, 2014 by Tom Raftery

I attended this year’s North American SAP for Utilities event and I was pleasantly surprised by some of the things I found there.

The utilities industry (electricity, gas, and water) are regulated industries which can’t go down (or at least, shouldn’t go down). Because of this, the industry is very slow to change (the old “if it ain’t broke…” mindset). However, with technology relentlessly enabling more and more efficiencies at the infrastructure level, utilities need to learn how to be agile without affecting their service.

This is challenging, sure. But, on the other hand, organisations like Google, Facebook, and Microsoft are incredibly nimble, updating their technologies all the time, and yet they have far better uptime figures than most utilities, I suspect (when is the last time Google was down for you, versus when did your electricity last go out?).

Having said all that, at this year’s event I saw glimmers of hope.

There were a number of areas where change is being embraced:

Customer Service – utility companies have traditionally not been very consumer friendly. This is the industry which refers to its customers as rate payers, and end-points. However, that is starting to break down. This breakdown has been hastened in some regions by market liberalisation, and in all areas by the huge adoption of social media by utility customers.
Utility companies are now starting to adopt social media and utilise some of the strategies we have spoken about and written about so often here.
What was really encouraging though, was to see that one of the four parallel tracks on the first day of the conference was dedicated to usability (which admittedly is more geared to usability of apps for utility employees, but there’s a knock-on for its customers too), and even better, on the second day of the conference, one of the four parallel tracks dedicated to customer engagement!
In-memory computing – SAP has been pushing its SAP HANA in-memory computing platform to all its customers since it was announced in 2010. As mentioned previously, utility companies are slow to change, so it was interesting to listen to Snohomish County PUD CIO Benjamin Beberness, in the conference’s closing keynote, talking about his organisation’s decision to go all-in on SAP’s HANA in-memory platform. I shot an interview with Benjamin which I’ll be publishing here in the next few days where he talks about some of the advantages for Snohomish PUD of in-memory computing.
Cloud computing – and finally, there was some serious talk of the move to Cloud computing by utilities. In the Utility Executive Panel (pictured above), Xcel Energy‘s CIO and VP, David Harkness said that before he retires his organisation will have closed their data center and moved their IT infrastructure entirely to the cloud. And he then added a rider that his retirement is not that far off.
Given that this was the week after the celebrity photo leaks, there was also, understandably, some discussion about the requirement for cybersecurity, but there was broad acceptance of the inevitability of the move to cloud computing

I have been attending (and occasionally keynoting) this SAP for Utilities event now since 2008 so it has been very interesting to see these changes occurring over time. A year and a half ago I had a conversation with an SAP executive where I said it was too early to discuss cloud computing with utilities. And it was. Then. But now, cloud is seen by utilities as an a logical addition to their IT roadmap. I wouldn’t have predicted that change coming about so soon.

Disclosure – SAP paid my travel and accommodation to attend the event.

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Lack of emissions reporting from (some) cloud providers is a supply chain risk

July 22, 2014 by Tom Raftery

We here at GreenMonk spoke to Robert Francisco, President North America of FirstCarbon Solutions, last week. FirstCarbon solutions is an environmental sustainability company and the exclusive scoring partner of CDP‘s (formerly the Carbon Disclosure Project), supply chain program.

Robert pointed out on the call that there is a seed change happening and that interest in disclosure is on the rise. He noted that carbon scores are now not only showing up at board level, but are also being reported to insurance companies, and are appearing on Bloomberg and Google Finance. He put this down to a shift away from the traditional regulation led reporting, to a situation now where organisations are responding to pressure from investors, as well as a requirement to manage shareholder risk.

In other words the drivers for sustainability reporting now are the insurance companies, and Wall Street. Organisations are realising that buildings collapsing in Bangladesh can have an adverse effect on their brand, and ultimately their bottom line.

So transparency in business is the new black.

Unfortunately, not everyone has received the memo.

We’re written previously about this lack of transparency, even ranking some cloud computing providers, and the supply chain risk as a result of that lack of reporting. Amazon and SoftLayer being two prime examples of cloud computing platforms that fail to report on their emissions.

However, SoftLayer was purchased by IBM in 2013, and IBM has a reasonably good record on corporate reporting (although, as of July 2014, it has yet to publish its 2013 Corporate Responsibility report). Hopefully this means that SoftLayer will soon start publishing its energy and emissions data.

Amazon, on the other hand, has no history of any kind of environmental energy or emissions reporting. That lack of transparency has to be a concern for its investors, a risk for for its shareholders, and a worry for its customers who don’t know what is in their supply chain.

Image credit Roger

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Cloud computing and supply chain transparency

April 7, 2014 by Tom Raftery

Supply chains? Yawn, right?

While supply chains may seem boring, they are of vital importance to organisations, and their proper management can make, or break companies.

Some recent examples of where poorly managed supply chains caused at best, serious reputational damage for companies include the Apple Computers child labour and workers suicide debacle; the Tesco horse meat scandal; and Nestlé’s palm oil problems.

What does this have to do with Cloud computing?

Well, last week, here in GreenMonk we published a ranking of cloud computing companies and their use of renewables. Greenqloud, Windows Azure, Google, SAP and Rackspace all come out of it quite well.

On the other hand, IBM and Oracle didn’t fare well in the study due to their poor commitment to renewables. But, at least they are reasonably transparent about it. Both organisations produce quite detailed corporate responsibility reports, and both report their emissions to the Carbon Disclosure Project. So if you are sourcing your cloud infrastructure from Oracle or IBM, you can at least find out quite easily where the dirty energy powering your cloud is coming from.

Amazon however, does neither. It doesn’t produce any corporate responsibility reports and it doesn’t publish its emissions to the Carbon Disclosure Project. This is particularly egregious given that Amazon is, by far the largest player in this market.

Amazon’s customers are taking a leap of faith by choosing Amazon to host their cloud. They have no idea where Amazon is sourcing the power to run their servers. Amazon could easily be powering their server farms using coal mined by Massey Energy, for example. Massey Energy, as well as having an appalling environmental record, is the company responsible for the 2010 West Virginia mining disaster which killed 29 miners, or Amazon could be using oil extracted from Tar sands. Or there could be worse in Amazon’s supply chain. We just don’t know, because Amazon won’t tell us.

This has got to be worrisome for Amazon’s significant customer base which includes names like Unilever, Nokia and Adobe, amongst many others. Imagine what could happen if Greenpeace found out… oh wait.

Just a couple of weeks ago US enterprise software company Infor announced at Amazon’s Summit that it plans to build it’s CloudSuite offerings entirely on Amazon’s AWS. As I tweeted last week, this is a very courageous move on Infor’s part

Kudos to @cpinfor – very courageous move betting @infor’s CloudSuite on AWS, despite AWS’ lack of supply chain transparency

— Tom Raftery (@TomRaftery) April 1, 2014

All the more brave given that Infor will be using Amazon to host the infrastructure of Infor’s own customer base. “Danger, Will Robinson!”

This lack of supply chain transparency is not sustainable. Amazon’s customers won’t tolerate the potential risk to their reputations and if Amazon are unwilling to be more transparent, there are plenty of other cloud providers who are.

Image credits failing_angel

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Cloud computing companies ranked by their use of renewable energy

April 2, 2014 by Tom Raftery

UPDATE: After publication of this post I was contacted by Rackspace who informed me that they do, in fact, publish their megawatt electricity consumption. it is contained in an investor report (PDF) published on their Investor Relations page. This shows Rackspace used just over 105mWh of electricity in 2013. This means that the 35% of Renewables figure corresponds to 36.8mWh (in fact it comes to 36,785kWh, or 0.037m kWh, as it is now represented in the chart above). Consequently, I adjusted the chart and moved Rackspace up a number of places in the rankings.

Cloud computing is booming. Cloud providers are investing billions in infrastructure to build out their data centers, but just how clean is cloud?

Given that this is the week that the IPCC’s 5th assessment report was released, I decided to do some research of my own into cloud providers. The table above is a list of the cloud computing providers I looked into, and what I found.

It is a real mixed bag but from the table you can see that Icelandic cloud provider Greenqloud comes out on top because they are using the electricity from the 100% renewable Icelandic electricity grid to power their infrastructure.

On the Windows Azure front, Microsoft announced in May of 2012 that it was going to go carbon neutral for its facilities and travel. Microsoft are now, according to the EPA, the second largest purchaser of renewable energy in the US. In 2013 they purchased 2,300m kWh which accounted for 80% of their electricity consumption. They made up the other 20% with Renewable Energy Certificates (RECs). And according to Microsoft’s TJ DiCaprio, they plan to increase their renewable energy purchases from 80% to 100% in the financial year 2014.

Google claim to have been carbon neutral since 2007. Of Google’s electricity, 32% came from renewables, while the other 68% came from the purchase of RECs.

SAP purchased 391m kWh of renewable energy in 2013. This made up 43% of its total electricity consumption. SAP have since announced that they will go to powering 100% of its facilities from renewable energy in 2014.

The most recent data from IBM dates from 2012 when they purchased 764m kWh of renewable energy. This accounted for just 15% of their total consumption. In the meantime IBM have purchased cloud company Softlayer for whom no data is available, so it is unclear in what way this will have affected IBM’s position in these rankings.

The most up-to-date data on Oracle’s website is from 2011, but more recent data about their renewable energy is to be found in their 2012 disclosure to the Carbon Disclosure Project (registration required). This shows that Oracle purchased 5.4m kWh of renewable energy making up a mere 0.7% of their total consumption of 746.9m kWh in 2012.

Rackspace have no data available on their site, but in email communications with me yesterday they claim that 35% of their electricity globally is from renewable sources. They declined to say exactly how much that was (in kWh) See update above.

Amazon discloses no information whatsoever about its infrastructure apart from a claim that its Oregon and GovCloud regions are using 100% carbon free power. However, they don’t back up this claim with any evidence, they don’t disclose to the Carbon Disclosure Project, nor do they produce an annual Corporate Responsibility report.

The other three cloud providers in the list, Softlayer, GoGrid, and Bluelock have no information on their websites (that I could find), and they didn’t respond to written inquiries.

I’ll be writing a follow-up post to this in the next few days where I look into the supply chain risks of utilising cloud platforms where there is no transparency around power sourcing.

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SAP to power its cloud computing infrastructure from 100% renewable energy

March 26, 2014 by Tom Raftery

Cloud computing is often incorrectly touted as being a green, more environmentally-friendly, computing option. This confusion occurs because people forget that while cloud computing may be more energy efficient (may be), the environmental friendliness is determined by how much carbon is produced in the generation of that energy. If a data centre is primarily powered by coal, it doesn’t matter how energy efficient it it, it will never be green.

We have mentioned that very often here on GreenMonk, as well as regularly bringing it up with cloud providers when talking to them.

One such cloud provider is SAP. Like most other cloud vendors, they’re constantly increasing their portfolio of cloud products. This has presented them with some challenges when they have to consider their carbon footprint. In its recently released 2013 Annual Report SAP admits

Energy usage in our data centers contributed to 6% of our total emissions in 2013, compared with 5% in 2012

This is going the wrong direction for a company whose stated aim is to reduce the greenhouse gas emissions from their operations to levels of the year 2000 by 2020.

To counter this SAP have just announced

that it will power all its data centers and facilities globally with 100 percent renewable electricity starting in 2014

This is good for SAP, obviously, as they will be reducing their environmental footprint, and also good for customers of SAP’s cloud solutions who will also get the benefit of SAP’s green investments. How are SAP achieving this goal of 100 per cent renewable energy for its data centers and facilities? A combination of generating its own electricity using solar panels in Germany and Palo Alto (<1%), purchasing renewable energy and high quality renewable energy certificates, and a €3m investment in the Livlihoods Fund.

So, how does SAP’s green credentials stack up against some of its rivals in the cloud computing space?

Well, since yesterday’s pricing announcements from Google they definitely have to be considered a contender in this space. And what are their green credentials like? Well, Google have been carbon neutral since 2007, and they have invested over $1bn in renewable energy projects. So Google are definitely out in front on this one.

Who else is there?

Well, Microsoft with its recently branded Microsoft Azure cloud offerings are also a contender, so how do they fare? Quite well actually. In May 2012, Microsoft made a commitment

to make our operations carbon neutral: to achieve net zero emissions for our data centers, software development labs, offices, and employee business air travel in over 100 countries around the world.

So by doing this 2 years ahead of SAP and by including employee air travel, as well as facilities, you’d have to say that Microsoft come out ahead of SAP.

However, SAP does come in well ahead of other cloud companies such as IBM, who reported that renewable electricity made up a mere 15% of its consumption in 2012. IBM reported emissions of 2.2m tons of CO2 in 2012.

But, at least that’s better than Oracle. In Oracle’s 2012 report (reporting on the year 2011 – the most recent report available on their site), Oracle state that they don’t even account for their scope 3 emissions:

Scope 3 GHG emissions are typically defined as indirect emissions from operations outside the direct control of the company, such as employee commutes, business travel, and supply chain operations. Oracle does not report on Scope 3 emissions

And then there’s Amazon. Amazon doesn’t release any kind of information about the carbon footprint of its facilities. None.

So kudos to SAP for taking this step to green its cloud computing fleet. Looking at the competition I’d have to say SAP comes in around middle-of-the road in terms of its green cloud credentials. If it wants to improve its ranking, it may be time to revisit that 2020 goal.

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SAP Afaria in the Cloud – enterprise functionality, consumer pricing

May 21, 2013 by Tom Raftery

One of the most interesting announcements which came out of SAP’s SapphireNow conference in Orlando last week was the Afaria in the Cloud update. This is a real game-changer (an expression we use very rarely) for a number of reasons.

Afaria, if you are not familiar, is SAP’s mobile device management (MDM) product. What does that mean – it means Afaria secures, monitors and manages all types of mobile devices (smartphones, tablet computers, mobile POS devices, etc.). Because mobile is making organisations far more efficient, as we’ve written previously here, more and more industries are deploying them. And thus the need for MDM solutions to protect mobile devices, to reduce risk and increase employee productivity.

Typical MDM functionality allows for over the air (OTA) updates, remote tracking and wiping in the event that the device is stolen, and sandboxing of personal and work-related mobile functionality, for example.

During the announcement at SapphireNow, one of the light-hearted potential usage scenarios mentioned was that as a reward for hitting sales targets an employee might be allowed to play Angry Birds for a set duration.

The fact that SAP are now offering this as a cloud option is significant because MDM offerings typically require a server to control the devices. There can be significant cost and time factors associated with the purchase and deployment of the MDM server. This is done away with with the cloud version. But still, this isn’t entirely game-changing, right?

No, the real game-changer came when SAP announced the price for Afaria in the cloud – €1 per device, per month. And it is possible to trial it for free for 30 days. Sitting in the announcement it occurred to us that that kind of price makes Afaria in the Cloud suddenly attractive, not just to organisations, but also to regular parents looking to keep their children’s mobile devices safe.

As far as we know, this is the first time SAP have offered a product at such a low price point for enterprise customers. This pricing is almost as if SAP were aiming it squarely at the consumer app market. I know if I had an option to safeguard my kids mobile devices for €1 per device per month, I’d grab it. In a heartbeat. Unfortunately we can’t test Afaria as the free trial registration page doesn’t include European countries in its list of available countries. Yet. Although countries like Vanuatu, Uzbekistan and even Somalia get to try it out 🙁

It seems SAP is getting very aggressive in its cloud pricing options. We’ve heard that the TwoGo ride-sharing app will be similarly priced (€1 per user, per month) when it’s official pricing is eventually published.

Cloud price wars anyone?

Disclosure – SAP paid my travel and accommodation expenses for this conference

Image credit Tom Raftery

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