Joseph Randy H Katz Andrew Konwinski Gunho Lee David A Patterson Ariel Rabkin Ion Stoica Matei Zaharia Electrical Engineering and Computer Sciences University of California at Berkeley Technical Report No UCBEECS200928 httpwwweecsberkeleyeduPubsTech ID: 1754
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Table1:QuickPreviewofTop10ObstaclestoandOpportunitiesforGrowthofCloudComputing. Obstacle Opportunity 1 AvailabilityofService UseMultipleCloudProviders;UseElasticitytoPreventDDOS 2 DataLock-In StandardizeAPIs;CompatibleSWtoenableSurgeComputing 3 DataCondentialityandAuditability DeployEncryption,VLANs,Firewalls;GeographicalDataStorage 4 DataTransferBottlenecks FedExingDisks;DataBackup/Archival;HigherBWSwitches 5 PerformanceUnpredictability ImprovedVMSupport;FlashMemory;GangScheduleVMs 6 ScalableStorage InventScalableStore 7 BugsinLargeDistributedSystems InventDebuggerthatreliesonDistributedVMs 8 ScalingQuickly InventAuto-ScalerthatreliesonML;SnapshotsforConservation 9 ReputationFateSharing Offerreputation-guardingserviceslikethoseforemail 10 SoftwareLicensing Pay-for-uselicenses;Bulkusesales hardwareindustry.Atonetime,leadinghardwarecompaniesrequiredacaptivesemiconductorfabricationfacility,andcompanieshadtobelargeenoughtoaffordtobuildandoperateiteconomically.However,processingequipmentdoubledinpriceeverytechnologygeneration.Asemiconductorfabricationlinecostsover$3Btoday,soonlyahandfulofmajormerchantcompanieswithveryhighchipvolumes,suchasIntelandSamsung,canstilljustifyowningandoperatingtheirownfabricationlines.Thismotivatedtheriseofsemiconductorfoundriesthatbuildchipsforothers,suchasTaiwanSemiconductorManufacturingCompany(TSMC).Foundriesenablefab-lesssemiconductorchipcompanieswhosevalueisininnovativechipdesign:AcompanysuchasnVidiacannowbesuccessfulinthechipbusinesswithoutthecapital,operationalexpenses,andrisksassociatedwithowningastate-of-the-artfabricationline.Conversely,companieswithfabricationlinescantime-multiplextheiruseamongtheproductsofmanyfab-lesscompanies,tolowertheriskofnothavingenoughsuccessfulproductstoamortizeoperationalcosts.Similarly,theadvantagesoftheeconomyofscaleandstatisticalmultiplexingmayultimatelyleadtoahandfulofCloudComputingproviderswhocanamortizethecostoftheirlargedatacentersovertheproductsofmanydatacenter-lesscompanies.CloudComputinghasbeentalkedabout[10],bloggedabout[13,25],writtenabout[15,37,38]andbeenfeaturedinthetitleofworkshops,conferences,andevenmagazines.Nevertheless,confusionremainsaboutexactlywhatitisandwhenit'suseful,causingOracle'sCEOtoventhisfrustration:TheinterestingthingaboutCloudComputingisthatwe'veredenedCloudComputingtoincludeev-erythingthatwealreadydo....Idon'tunderstandwhatwewoulddodifferentlyinthelightofCloudComputingotherthanchangethewordingofsomeofourads.LarryEllison,quotedintheWallStreetJournal,September26,2008TheseremarksareechoedmoremildlybyHewlett-Packard'sVicePresidentofEuropeanSoftwareSales:Alotofpeoplearejumpingonthe[cloud]bandwagon,butIhavenotheardtwopeoplesaythesamethingaboutit.Therearemultipledenitionsoutthereofthecloud.AndyIsherwood,quotedinZDnetNews,December11,2008RichardStallman,knownforhisadvocacyoffreesoftware,thinksCloudComputingisatrapforusersifapplicationsanddataaremanagedinthecloud,usersmightbecomedependentonproprietarysystemswhosecostswillescalateorwhosetermsofservicemightbechangedunilaterallyandadversely:It'sstupidity.It'sworsethanstupidity:it'samarketinghypecampaign.Somebodyissayingthisisinevitableandwheneveryouhearsomebodysayingthat,it'sverylikelytobeasetofbusinessescampaigningtomakeittrue.RichardStallman,quotedinTheGuardian,September29,2008Ourgoalinthispapertoclarifyterms,providesimpleformulastoquantifycomparisonsbetweenofcloudandconventionalComputing,andidentifythetoptechnicalandnon-technicalobstaclesandopportunitiesofCloudCom-puting.Ourviewisshapedinpartbyworkingsince2005intheUCBerkeleyRADLabandinpartasusersofAmazonWebServicessinceJanuary2008inconductingourresearchandourteaching.TheRADLab'sresearchagendaistoinventtechnologythatleveragesmachinelearningtohelpautomatetheoperationofdatacentersforscalableInternetservices.WespentsixmonthsbrainstormingaboutCloudComputing,leadingtothispaperthattriestoanswerthefollowingquestions:3 Figure1:UsersandProvidersofCloudComputing.ThebenetsofSaaStobothSaaSusersandSaaSprovidersarewelldocumented,sowefocusonCloudComputing'seffectsonCloudProvidersandSaaSProviders/Cloudusers.Thetoplevelcanberecursive,inthatSaaSproviderscanalsobeaSaaSusers.Forexample,amashupproviderofrentalmapsmightbeauseroftheCraigslistandGooglemapsservices.WewillarguethatallthreeareimportanttothetechnicalandeconomicchangesmadepossiblebyCloudCom-puting.Indeed,pasteffortsatutilitycomputingfailed,andwenotethatineachcaseoneortwoofthesethreecriticalcharacteristicsweremissing.Forexample,IntelComputingServicesin2000-2001requirednegotiatingacontractandlonger-termusethanperhour.Asasuccessfulexample,ElasticComputeCloud(EC2)fromAmazonWebServices(AWS)sells1.0-GHzx86ISAslicesfor10centsperhour,andanewslice,orinstance,canbeaddedin2to5minutes.Amazon'sScalableStorageService(S3)charges$0.12to$0.15pergigabyte-month,withadditionalbandwidthchargesof$0.10to$0.15pergigabytetomovedataintoandoutofAWSovertheInternet.Amazon'sbetisthatbystatisticallymultiplexingmultipleinstancesontoasinglephysicalbox,thatboxcanbesimultaneouslyrentedtomanycustomerswhowillnotingeneralinterferewitheachothers'usage(seeSection7).WhiletheattractiontoCloudComputingusers(SaaSproviders)isclear,whowouldbecomeaCloudComputingprovider,andwhy?Tobeginwith,realizingtheeconomiesofscaleaffordedbystatisticalmultiplexingandbulkpurchasingrequirestheconstructionofextremelylargedatacenters.Building,provisioning,andlaunchingsuchafacilityisahundred-million-dollarundertaking.However,becauseofthephenomenalgrowthofWebservicesthroughtheearly2000's,manylargeInternetcompanies,includingAmazon,eBay,Google,Microsoftandothers,werealreadydoingso.Equallyimportant,thesecompaniesalsohadtodevelopscalablesoftwareinfrastructure(suchasMapReduce,theGoogleFileSystem,BigTable,andDynamo[16,20,14,17])andtheoperationalexpertisetoarmortheirdatacentersagainstpotentialphysicalandelectronicattacks.Therefore,anecessarybutnotsufcientconditionforacompanytobecomeaCloudComputingprovideristhatitmusthaveexistinginvestmentsnotonlyinverylargedatacenters,butalsoinlarge-scalesoftwareinfrastructureandoperationalexpertiserequiredtorunthem.Giventheseconditions,avarietyoffactorsmightinuencethesecompaniestobecomeCloudComputingproviders:1.Makealotofmoney.Although10centsperserver-hourseemslow,Table2summarizesJamesHamilton'sestimates[23]thatverylargedatacenters(tensofthousandsofcomputers)canpurchasehardware,networkbandwidth,andpowerfor1=5to1=7thepricesofferedtoamedium-sized(hundredsorthousandsofcomputers)datacenter.Further,thexedcostsofsoftwaredevelopmentanddeploymentcanbeamortizedovermanymoremachines.Othersestimatethepriceadvantageasafactorof3to5[37,10].Thus,asufcientlylargecompanycouldleveragetheseeconomiesofscaletoofferaservicewellbelowthecostsofamedium-sizedcompanyandstillmakeatidyprot.2.Leverageexistinginvestment.AddingCloudComputingservicesontopofexistinginfrastructureprovidesanewrevenuestreamat(ideally)lowincrementalcost,helpingtoamortizethelargeinvestmentsofdatacenters.Indeed,accordingtoWernerVogels,Amazon'sCTO,manyAmazonWebServicestechnologieswereinitiallydevelopedforAmazon'sinternaloperations[42].3.Defendafranchise.AsconventionalserverandenterpriseapplicationsembraceCloudComputing,vendorswithanestablishedfranchiseinthoseapplicationswouldbemotivatedtoprovideacloudoptionoftheirown.Forexample,MicrosoftAzureprovidesanimmediatepathformigratingexistingcustomersofMicrosoftenter-priseapplicationstoacloudenvironment.5 Table2:Economiesofscalein2006formedium-sizeddatacenter(1000servers)vs.verylargedatacenter(50,000servers).[24] Technology CostinMedium-sizedDC CostinVeryLargeDC Ratio Network $95perMbit/sec/month $13perMbit/sec/month 7.1 Storage $2.20perGByte/month $0.40perGByte/month 5.7 Administration 140Servers/Administrator 1000Servers/Administrator 7.1 Table3:Priceofkilowatt-hoursofelectricitybyregion[7]. PriceperKWH Where PossibleReasonsWhy 3.6¢ Idaho Hydroelectricpower;notsentlongdistance 10.0¢ California Electricitytransmittedlongdistanceoverthegrid;limitedtransmissionlinesinBayArea;nocoalredelectricityallowedinCalifornia. 18.0¢ Hawaii Mustshipfueltogenerateelectricity 4.Attackanincumbent.Acompanywiththerequisitedatacenterandsoftwareresourcesmightwanttoestablishabeachheadinthisspacebeforeasingle800poundgorillaemerges.GoogleAppEngineprovidesanalternativepathtoclouddeploymentwhoseappealliesinitsautomationofmanyofthescalabilityandloadbalancingfeaturesthatdevelopersmightotherwisehavetobuildforthemselves.5.Leveragecustomerrelationships.ITserviceorganizationssuchasIBMGlobalServiceshaveextensivecus-tomerrelationshipsthroughtheirserviceofferings.ProvidingabrandedCloudComputingofferinggivesthosecustomersananxiety-freemigrationpaththatpreservesbothparties'investmentsinthecustomerrelationship.6.Becomeaplatform.Facebook'sinitiativetoenableplug-inapplicationsisagreattforcloudcomputing,aswewillsee,andindeedoneinfrastructureproviderforFacebookplug-inapplicationsisJoyent,acloudprovider.YetFacebook'smotivationwastomaketheirsocial-networkingapplicationanewdevelopmentplatform.SeveralCloudComputing(andconventionalcomputing)datacentersarebeingbuiltinseeminglysurprisingloca-tions,suchasQuincy,Washington(Google,Microsoft,Yahoo!,andothers)andSanAntonio,Texas(Microsoft,USNationalSecurityAgency,others).Themotivationbehindchoosingtheselocalesisthatthecostsforelectricity,cool-ing,labor,propertypurchasecosts,andtaxesaregeographicallyvariable,andofthesecosts,electricityandcoolingalonecanaccountforathirdofthecostsofthedatacenter.Table3showsthecostofelectricityindifferentlocales[10].Physicstellsusit'seasiertoshipphotonsthanelectrons;thatis,it'scheapertoshipdataoverberopticcablesthantoshipelectricityoverhigh-voltagetransmissionlines.4CloudsinaPerfectStorm:WhyNow,NotThen?Althoughwearguethattheconstructionandoperationofextremelylargescalecommodity-computerdatacenterswasthekeynecessaryenablerofCloudComputing,additionaltechnologytrendsandnewbusinessmodelsalsoplayedakeyroleinmakingitarealitythistimearound.OnceCloudComputingwasofftheground,newapplicationopportunitiesandusagemodelswerediscoveredthatwouldnothavemadesensepreviously.4.1NewTechnologyTrendsandBusinessModelsAccompanyingtheemergenceofWeb2.0wasashiftfromhigh-touch,high-margin,high-commitmentprovisioningofservicelow-touch,low-margin,low-commitmentself-service.Forexample,inWeb1.0,acceptingcreditcardpaymentsfromstrangersrequiredacontractualarrangementwithapaymentprocessingservicesuchasVeriSignorAuthorize.net;thearrangementwaspartofalargerbusinessrelationship,makingitonerousforanindividualoraverysmallbusinesstoacceptcreditcardsonline.WiththeemergenceofPayPal,however,anyindividualcanacceptcreditcardpaymentswithnocontract,nolong-termcommitment,andonlymodestpay-as-you-gotransactionfees.Theleveloftouch(customersupportandrelationshipmanagement)providedbytheseservicesisminimaltononexistent,but6 fortheCloud,stocktradingthatrequiresmicrosecondprecisionisnot.Untilthecost(andpossiblylatency)ofwide-areadatatransferdecrease(seeSection7),suchapplicationsmaybelessobviouscandidatesforthecloud.5ClassesofUtilityComputingAnyapplicationneedsamodelofcomputation,amodelofstorageand,assumingtheapplicationiseventriviallydistributed,amodelofcommunication.Thestatisticalmultiplexingnecessarytoachieveelasticityandtheillusionofinnitecapacityrequiresresourcestobevirtualized,sothattheimplementationofhowtheyaremultiplexedandsharedcanbehiddenfromtheprogrammer.Ourviewisthatdifferentutilitycomputingofferingswillbedistinguishedbasedonthelevelofabstractionpresentedtotheprogrammerandthelevelofmanagementoftheresources.AmazonEC2isatoneendofthespectrum.AnEC2instancelooksmuchlikephysicalhardware,anduserscancontrolnearlytheentiresoftwarestack,fromthekernelupwards.TheAPIexposedisthin:afewdozenAPIcallstorequestandcongurethevirtualizedhardware.Thereisnoapriorilimitonthekindsofapplicationsthatcanbehosted;thelowlevelofvirtualizationrawCPUcycles,block-devicestorage,IP-levelconnectivityallowdeveloperstocodewhatevertheywant.Ontheotherhand,thismakesitinherentlydifcultforAmazontoofferautomaticscalabilityandfailover,becausethesemanticsassociatedwithreplicationandotherstatemanagementissuesarehighlyapplication-dependent.AWSdoesofferanumberofhigher-levelmanagedservices,includingseveraldifferentmanagedstorageservicesforuseinconjunctionwithEC2,suchasSimpleDB.However,theseofferingshavehigherlatencyandnonstandardAPI's,andourunderstandingisthattheyarenotaswidelyusedasotherpartsofAWS.Attheotherextremeofthespectrumareapplicationdomain-specicplatformssuchasGoogleAppEngineandForce.com,theSalesForcebusinesssoftwaredevelopmentplatform.AppEngineistargetedexclusivelyattraditionalwebapplications,enforcinganapplicationstructureofcleanseparationbetweenastatelesscomputationtierandastatefulstoragetier.Furthermore,AppEngineapplicationsareexpectedtoberequest-replybased,andassuchtheyareseverelyrationedinhowmuchCPUtimetheycanuseinservicingaparticularrequest.AppEngine'simpressiveautomaticscalingandhigh-availabilitymechanisms,andtheproprietaryMegaStore(basedonBigTable)datastorageavailabletoAppEngineapplications,allrelyontheseconstraints.Thus,AppEngineisnotsuitableforgeneral-purposecomputing.Similarly,Force.comisdesignedtosupportbusinessapplicationsthatrunagainstthesalesforce.comdatabase,andnothingelse.Microsoft'sAzureisanintermediatepointonthisspectrumofexibilityvs.programmerconvenience.Azureapplicationsarewrittenusingthe.NETlibraries,andcompiledtotheCommonLanguageRuntime,alanguage-independentmanagedenvironment.Thesystemsupportsgeneral-purposecomputing,ratherthanasinglecategoryofapplication.Usersgetachoiceoflanguage,butcannotcontroltheunderlyingoperatingsystemorruntime.Thelibrariesprovideadegreeofautomaticnetworkcongurationandfailover/scalability,butrequirethedevelopertodeclarativelyspecifysomeapplicationpropertiesinordertodoso.Thus,AzureisintermediatebetweencompleteapplicationframeworkslikeAppEngineontheonehand,andhardwarevirtualmachineslikeEC2ontheother.Table4summarizeshowthesethreeclassesvirtualizecomputation,storage,andnetworking.ThescattershotofferingsofscalablestoragesuggestthatscalablestoragewithanAPIcomparableinrichnesstoSQLremainsanopenresearchproblem(seeSection7).AmazonhasbegunofferingOracledatabaseshostedonAWS,buttheeconomicsandlicensingmodelofthisproductmakesitalessnaturaltforCloudComputing.WillonemodelbeatouttheothersintheCloudComputingspace?Wecandrawananalogywithprogramminglanguagesandframeworks.Low-levellanguagessuchasCandassemblylanguageallownecontrolandclosecommunicationwiththebaremetal,butifthedeveloperiswritingaWebapplication,themechanicsofmanagingsockets,dispatchingrequests,andsoonarecumbersomeandtedioustocode,evenwithgoodlibraries.Ontheotherhand,high-levelframeworkssuchasRubyonRailsmakethesemechanicsinvisibletotheprogrammer,butareonlyusefuliftheapplicationreadilytstherequest/replystructureandtheabstractionsprovidedbyRails;anydeviationrequiresdivingintotheframeworkatbest,andmaybeawkwardtocode.NoreasonableRubydeveloperwouldargueagainstthesuperiorityofCforcertaintasks,andviceversa.Correspondingly,webelievedifferenttaskswillresultindemandfordifferentclassesofutilitycomputing.Continuingthelanguageanalogy,justashigh-levellanguagescanbeimplementedinlower-levelones,highly-managedcloudplatformscanbehostedontopofless-managedones.Forexample,AppEnginecouldbehostedontopofAzureorEC2;AzurecouldbehostedontopofEC2.Ofcourse,AppEngineandAzureeachofferproprietaryfeatures(AppEngine'sscaling,failoverandMegaStoredatastorage)orlarge,complexAPI's(Azure's.NETlibraries)thathavenofreeimplementation,soanyattempttocloneAppEngineorAzurewouldrequirere-implementingthosefeaturesorAPI'saformidablechallenge.8 6CloudComputingEconomicsInthissectionwemakesomeobservationsaboutCloudComputingeconomicmodels:Indecidingwhetherhostingaserviceinthecloudmakessenseoverthelongterm,wearguethatthene-grainedeconomicmodelsenabledbyCloudComputingmaketradeoffdecisionsmoreuid,andinparticulartheelasticityofferedbycloudsservestotransferrisk.Aswell,althoughhardwareresourcecostscontinuetodecline,theydosoatvariablerates;forexample,com-putingandstoragecostsarefallingfasterthanWANcosts.CloudComputingcantrackthesechangesandpotentiallypassthemthroughtothecustomermoreeffectivelythanbuildingone'sowndatacenter,resultinginaclosermatchofexpendituretoactualresourceusage.Inmakingthedecisionaboutwhethertomoveanexistingservicetothecloud,onemustadditionallyexaminetheexpectedaverageandpeakresourceutilization,especiallyiftheapplicationmayhavehighlyvariablespikesinresourcedemand;thepracticallimitsonreal-worldutilizationofpurchasedequipment;andvariousoperationalcoststhatvarydependingonthetypeofcloudenvironmentbeingconsidered.6.1Elasticity:ShiftingtheRiskAlthoughtheeconomicappealofCloudComputingisoftendescribedasconvertingcapitalexpensestooperatingexpenses(CapExtoOpEx),webelievethephrasepayasyougomoredirectlycapturestheeconomicbenettothebuyer.HourspurchasedviaCloudComputingcanbedistributednon-uniformlyintime(e.g.,use100server-hourstodayandnoserver-hourstomorrow,andstillpayonlyforwhatyouuse);inthenetworkingcommunity,thiswayofsellingbandwidthisalreadyknownasusage-basedpricing.3Inaddition,theabsenceofup-frontcapitalexpenseallowscapitaltoberedirectedtocorebusinessinvestment.Therefore,eventhoughAmazon'spay-as-you-gopricing(forexample)couldbemoreexpensivethanbuyinganddepreciatingacomparableserveroverthesameperiod,wearguethatthecostisoutweighedbytheextremelyimportantCloudComputingeconomicbenetsofelasticityandtransferenceofrisk,especiallytherisksofoverprovisioning(underutilization)andunderprovisioning(saturation).Westartwithelasticity.ThekeyobservationisthatCloudComputing'sabilitytoaddorremoveresourcesatanegrain(oneserveratatimewithEC2)andwithaleadtimeofminutesratherthanweeksallowsmatchingresourcestoworkloadmuchmoreclosely.Realworldestimatesofserverutilizationindatacentersrangefrom5%to20%[37,38].Thismaysoundshockinglylow,butitisconsistentwiththeobservationthatformanyservicesthepeakworkloadexceedstheaveragebyfactorsof2to10.Fewusersdeliberatelyprovisionforlessthantheexpectedpeak,andthereforetheymustprovisionforthepeakandallowtheresourcestoremainidleatnonpeaktimes.Themorepronouncedthevariation,themorethewaste.Asimpleexampledemonstrateshowelasticityallowsreducingthiswasteandcanthereforemorethancompensateforthepotentiallyhighercostperserver-hourofpaying-as-you-govs.buying. Example:Elasticity.Assumeourservicehasapredictabledailydemandwherethepeakrequires500serversatnoonbutthetroughrequiresonly100serversatmidnight,asshowninFigure2(a).Aslongastheaverageutilizationoverawholedayis300servers,theactualutilizationoverthewholeday(shadedareaunderthecurve)is30024=7200server-hours;butsincewemustprovisiontothepeakof500servers,wepayfor50024=12000server-hours,afactorof1.7morethanwhatisneeded.Therefore,aslongasthepay-as-you-gocostperserver-hourover3years4islessthan1.7timesthecostofbuyingtheserver,wecansavemoneyusingutilitycomputing. Infact,theaboveexampleunderestimatesthebenetsofelasticity,becauseinadditiontosimplediurnalpatterns,mostnontrivialservicesalsoexperienceseasonalorotherperiodicdemandvariation(e.g.,e-commercepeaksinDe-cemberandphotosharingsitespeakafterholidays)aswellassomeunexpecteddemandburstsduetoexternalevents(e.g.,newsevents).Sinceitcantakeweekstoacquireandracknewequipment,theonlywaytohandlesuchspikesistoprovisionfortheminadvance.Wealreadysawthatevenifserviceoperatorspredictthespikesizescorrectly,capacityiswasted,andiftheyoverestimatethespiketheyprovisionfor,it'sevenworse.Theymayalsounderestimatethespike(Figure2(b)),however,accidentallyturningawayexcessusers.Whilethemonetaryeffectsofoverprovisioningareeasilymeasured,thoseofunderprovisioningarehardertomeasureyetpotentiallyequallyserious:notonlydorejectedusersgeneratezerorevenue,theymaynevercomebackduetopoorservice.Figure2(c)aimstocapturethisbehavior:userswilldesertanunderprovisionedserviceuntilthepeakuser10 Table5:WeupdateGray'scostsofcomputingresourcesfrom2003to2008,normalizetowhat$1couldbuyin2003vs.2008,andcomparetothecostofpayingperuseof$1worthofresourcesonAWSat2008prices. WANbandwidth/mo. CPUhours(allcores) diskstorage Itemin2003 1MbpsWANlink 2GHzCPU,2GBDRAM 200GBdisk,50Mb/stransferrate Costin2003 $100/mo. $2000 $200 $1buysin2003 1GB 8CPUhours 1GB Itemin2008 100MbpsWANlink 2GHz,2sockets,4cores/socket,4GBDRAM 1TBdisk,115MB/ssus-tainedtransfer Costin2008 $3600/mo. $1000 $100 $1buysin2008 2.7GB 128CPUhours 10GB cost/performanceimprovement 2.7x 16x 10x Costtorent$1 $0.27$0.40 $2.56 $1.20$1.50 worthonAWSin2008 ($0.10$0.15/GB3GB) (1282VM's@$0.10each) ($0.12$0.15/GB-month10GB) ingothers.Pay-as-you-goCloudComputingcanchargetheapplicationseparatelyforeachtypeofresource,reducingthewasteofunderutilization.Whiletheexactsavingsdependsontheapplication,supposetheCPUisonly50%utilizedwhilethenetworkisatcapacity;theninadatacenteryouareeffectivelypayingfordoublethenumberofCPUcyclesactuallybeingused.Soratherthansayingitcosts$2.56torentonly$1worthofCPU,itwouldbemoreaccuratetosayitcosts$2.56torent$2worthofCPU.Asasidenote,AWS'spricesforwide-areanetworkingareactuallymorecompetitivethanwhatamedium-sizedcompanywouldpayforthesamebandwidth.Power,coolingandphysicalplantcosts.Thecostsofpower,cooling,andtheamortizedcostofthebuildingaremissingfromoursimpleanalysessofar.HamiltonestimatesthatthecostsofCPU,storageandbandwidthroughlydoublewhenthosecostsareamortizedoverthebuilding'slifetime[23,26].Usingthisestimate,buying128hoursofCPUin2008reallycosts$2ratherthan$1,comparedto$2.56onEC2.Similarly,10GBofdiskspacecosts$2ratherthan$1,comparedto$1.20$1.50permonthonS3.Lastly,S3actuallyreplicatesthedataatleast3timesfordurabilityandperformance,ensuredurability,andwillreplicateitfurtherforperformanceisthereishighdemandforthedata.Thatmeansthecostsare$6.00whenpurchasingvs.$1.20to$1.50permonthonS3.Operationscosts.Today,hardwareoperationscostsareverylowrebootingserversiseasy(e.g.,IPaddressablepowerstrips,separateoutofbandcontrollers,andsoon)andminimallytrainedstaffcanreplacebrokencomponentsattherackorserverlevel.Ononehand,sinceUtilityComputingusesvirtualmachinesinsteadofphysicalmachines,fromtheclouduser'spointofviewthesetasksareshiftedtothecloudprovider.Ontheotherhand,dependingonthelevelofvirtualization,muchofthesoftwaremanagementcostsmayremainupgrades,applyingpatches,andsoon.Returningtothemanagedvs.unmanageddiscussionofSection5,webelievethesecostswillbelowerformanagedenvironments(e.g.MicrosoftAzure,GoogleAppEngine,Force.com)thanforhardware-levelutilitycomputing(e.g.AmazonEC2),butitseemshardtoquantifythesebenetsinawaythatmanywouldagreewith.Withtheabovecaveatsinmind,hereisasimpleexampleofdecidingwhethertomoveaserviceintothecloud. Example:Movingtocloud.Supposeabiologylabcreates500GBofnewdataforeverywetlabexperi-ment.AcomputerthespeedofoneEC2instancetakes2hoursperGBtoprocessthenewdata.Thelabhastheequivalent20instanceslocally,sothetimetoevaluatetheexperimentis5002=20or50hours.Theycouldprocessitinasinglehouron1000instancesatAWS.Thecosttoprocessoneexperimentwouldbejust1000$0:10or$100incomputationandanother500$0:10or$50innetworktransferfees.Sofar,sogood.TheymeasurethetransferratefromthelabtoAWSat20Mbits/second.[19]Thetransfertimeis(500GB1000MB=GB8bits=Byte)=20Mbits=sec=4;000;000=20=200;000secondsormorethan55hours.Thus,ittakes50hourslocallyvs.55+1or56hoursonAWS,sotheydon'tmovetothecloud.(Thenextsectionoffersanopportunityonhowtoovercomethetransferdelayobstacle.) Arelatedissueisthesoftwarecomplexityandcostsof(partialorfull)migratingdatafromalegacyenterpriseapplicationintotheCloud.Whilemigrationisaone-timetask,theamountofeffortcanbesignicantanditneedstobeconsideredasafactorindecidingtouseCloudComputing.ThistaskisalreadyspawningnewbusinessopportunitiesforcompaniesthatprovidedataintegrationacrosspublicandprivateClouds.13 bot(simulatedbogususer)perweek[36].UtilityComputingoffersSaaSproviderstheopportunitytodefendagainstDDoSattacksbyusingquickscale-up.SupposeanEC2instancecanhandle500bots,andanattackislaunchedthatgeneratesanextra1GB/secondofbogusnetworkbandwidthand500,000bots.At$0.03perbot,suchanattackwouldcosttheattacker$15,000investedupfront.AtAWS'scurrentprices,theattackwouldcostthevictimanextra$360perhourinnetworkbandwidthandanextra$100perhour(1,000instances)ofcomputation.Theattackwouldthereforehavetolast32hoursinordertocostthepotentialvictimmorethanitwouldtheblackmailer.Abotnetattackthislongmaybedifculttosustain,sincethelongeranattacklaststheeasieritistouncoveranddefendagainst,andtheattackingbotscouldnotbeimmediatelyre-usedforotherattacksonthesameprovider.Aswithelasticity,CloudComputingshiftstheattacktargetfromtheSaaSprovidertotheUtilityComputingprovider,whocanmorereadilyabsorbitand(aswearguedinSection3)isalsolikelytohavealreadyDDoSprotectionasacorecompetency.Number2Obstacle:DataLock-InSoftwarestackshaveimprovedinteroperabilityamongplatforms,buttheAPIsforCloudComputingitselfarestillessentiallyproprietary,oratleasthavenotbeenthesubjectofactivestandardization.Thus,customerscannoteasilyextracttheirdataandprogramsfromonesitetorunonanother.ConcernaboutthedifcultofextractingdatafromthecloudispreventingsomeorganizationsfromadoptingCloudComputing.Customerlock-inmaybeattractivetoCloudComputingproviders,butCloudComputingusersarevulnerabletopriceincreases(asStallmanwarned),toreliabilityproblems,oreventoprovidersgoingoutofbusiness.Forexample,anonlinestorageservicecalledTheLinkupshutdownonAugust8,2008afterlosingaccessasmuchas45%ofcustomerdata[12].TheLinkup,inturn,hadreliedontheonlinestorageserviceNirvanixtostorecustomerdata,andnowthereisngerpointingbetweenthetwoorganizationsastowhycustomerdatawaslost.Meanwhile,TheLinkup's20,000usersweretoldtheservicewasnolongeravailableandwereurgedtotryoutanotherstoragesite.TheobvioussolutionistostandardizetheAPIssothataSaaSdevelopercoulddeployservicesanddataacrossmultipleCloudComputingproviderssothatthefailureofasinglecompanywouldnottakeallcopiesofcustomerdatawithit.Theobviousfearisthatthiswouldleadtoarace-to-the-bottomofcloudpricingandattentheprotsofCloudComputingproviders.Weoffertwoargumentstoallaythisfear.First,thequalityofaservicemattersaswellastheprice,socustomerswillnotnecessarilyjumptothelowestcostservice.SomeInternetServiceProviderstodaycostafactoroftenmorethanothersbecausetheyaremoredependableandofferextraservicestoimproveusability.Second,inadditiontomitigatingdatalock-inconcerns,standardizationofAPIsenablesanewusagemodelinwhichthesamesoftwareinfrastructurecanbeusedinaPrivateCloudandinaPublicCloud.9SuchanoptioncouldenableSurgeComputing,inwhichthepublicCloudisusedtocapturetheextratasksthatcannotbeeasilyruninthedatacenter(orprivatecloud)duetotemporarilyheavyworkloads.10Number3Obstacle:DataCondentialityandAuditabilityMysensitivecorporatedatawillneverbeinthecloud.Anecdotallywehaveheardthisrepeatedmultipletimes.Currentcloudofferingsareessentiallypublic(ratherthanprivate)networks,exposingthesystemtomoreattacks.Therearealsorequirementsforauditability,inthesenseofSarbanes-OxleyandHealthandHumanServicesHealthInsurancePortabilityandAccountabilityAct(HIPAA)regulationsthatmustbeprovidedforcorporatedatatobemovedtothecloud.Webelievethattherearenofundamentalobstaclestomakingacloud-computingenvironmentassecureasthevastmajorityofin-houseITenvironments,andthatmanyoftheobstaclescanbeovercomeimmediatelywithwell-understoodtechnologiessuchasencryptedstorage,VirtualLocalAreaNetworks,andnetworkmiddleboxes(e.g.rewalls,packetlters).Forexample,encryptingdatabeforeplacingitinaCloudmaybeevenmoresecurethanunencrypteddatainalocaldatacenter;thisapproachwassuccessfullyusedbyTC3,ahealthcarecompanywithaccesstosensitivepatientrecordsandhealthcareclaims,whenmovingtheirHIPAA-compliantapplicationtoAWS[2].Similarly,auditabilitycouldbeaddedasanadditionallayerbeyondthereachofthevirtualizedguestOS(orvirtualizedapplicationenvironment),providingfacilitiesarguablymoresecurethanthosebuiltintotheapplicationsthemselvesandcentralizingthesoftwareresponsibilitiesrelatedtocondentialityandauditabilityintoasinglelogicallayer.SuchanewfeaturereinforcestheCloudComputingperspectiveofchangingourfocusfromspecichardwaretothevirtualizedcapabilitiesbeingprovided.ArelatedconcernisthatmanynationshavelawsrequiringSaaSproviderstokeepcustomerdataandcopyrightedmaterialwithinnationalboundaries.Similarly,somebusinessesmaynotliketheabilityofacountrytogetaccesstotheirdataviathecourtsystem;forexample,aEuropeancustomermightbeconcernedaboutusingSaaSintheUnitedStatesgiventheUSAPATRIOTAct.15 Figure3:(a)Memorybenchmarkperformanceon75VirtualMachinesrunningtheSTREAMbenchmarkonleftand(b)Diskperformancewriting1GBleson75VirtualMachinesonright.widespreaddeploymentinsidethecloudsinceithasthehighlydesirableeffectofreducingdatatransferlatenciesandnetworkcontention.Thisinturnenablesmorecoresandvirtualmachinesperphysicalservernodebyscalingupthenetwork.Alsoin2010,40GbEand100GbEwillappearforthehigheraggregationlayers[10].Number5Obstacle:PerformanceUnpredictabilityOurexperienceisthatmultipleVirtualMachinescanshareCPUsandmainmemorysurprisinglywellinCloudCom-puting,butthatI/Osharingismoreproblematic.Figure3(a)showstheaveragememorybandwidthfor75EC2instancesrunningtheSTREAMmemorybenchmark[32].Themeanbandwidthis1355MBytespersecond,withastandarddeviationofjust52MBytes/sec,lessthan4%ofthemean.Figure3(b)showstheaveragediskbandwidthfor75EC2instanceseachwriting1GBlestolocaldisk.Themeandiskwritebandwidthisnearly55MBytespersecondwithastandarddeviationofalittleover9MBytes/sec,morethan16%ofthemean.ThisdemonstratestheproblemofI/Ointerferencebetweenvirtualmachines.OneopportunityistoimprovearchitecturesandoperatingsystemstoefcientlyvirtualizeinterruptsandI/Ochan-nels.TechnologiessuchasPCIexpressaredifculttovirtualize,buttheyarecriticaltothecloud.OnereasontobehopefulisthatIBMmainframesandoperatingsystemslargelyovercametheseproblemsinthe1980s,sowehavesuccessfulexamplesfromwhichtolearn.AnotherpossibilityisthatashmemorywilldecreaseI/Ointerference.Flashissemiconductormemorythatpreservesinformationwhenpoweredofflikemechanicalharddisks,butsinceithasnomovingparts,itismuchfastertoaccess(microsecondsvs.milliseconds)anduseslessenergy.FlashmemorycansustainmanymoreI/Ospersecondpergigabyteofstoragethandisks,somultiplevirtualmachineswithconictingrandomI/Oworkloadscouldcoexistbetteronthesamephysicalcomputerwithouttheinterferenceweseewithmechanicaldisks.ThelackofinterferencethatweseewithsemiconductormainmemoryinFigure3(a)mightextendtosemiconductorstorageaswell,therebyincreasingthenumberofapplicationsthatcanrunwellonVMsandthusshareasinglecomputer.ThisadvancecouldlowercoststoCloudComputingproviders,andeventuallytoCloudComputingconsumers.Anotherunpredictabilityobstacleconcernstheschedulingofvirtualmachinesforsomeclassesofbatchprocessingprograms,specicallyforhighperformancecomputing.Giventhathigh-performancecomputingisusedtojustifyGovernmentpurchasesof$100Msupercomputercenterswith10,000to1,000,000processors,therecertainlyaremanytaskswithparallelismthatcanbenetfromelasticcomputing.Costassociativitymeansthatthereisnocostpenaltyforusing20timesasmuchcomputingfor1=20ththetime.Potentialapplicationsthatcouldbenetincludethosewithveryhighpotentialnancialreturnsnancialanalysis,petroleumexploration,movieanimationandcouldeasilyjustifypayingamodestpremiumfora20xspeedup.Oneestimateisthatathirdoftoday'sservermarketishigh-performancecomputing[10].TheobstacletoattractingHPCisnottheuseofclusters;mostparallelcomputingtodayisdoneinlargeclustersusingthemessage-passinginterfaceMPI.TheproblemisthatmanyHPCapplicationsneedtoensurethatallthethreadsofaprogramarerunningsimultaneously,andtoday'svirtualmachinesandoperatingsystemsdonotprovide17 Number10Obstacle:SoftwareLicensingCurrentsoftwarelicensescommonlyrestrictthecomputersonwhichthesoftwarecanrun.Userspayforthesoftwareandthenpayanannualmaintenancefee.Indeed,SAPannouncedthatitwouldincreaseitsannualmaintenancefeetoatleast22%ofthepurchasepriceofthesoftware,whichiscomparabletoOracle'spricing[38].Hence,manycloudcomputingprovidersoriginallyreliedonopensourcesoftwareinpartbecausethelicensingmodelforcommercialsoftwareisnotagoodmatchtoUtilityComputing.TheprimaryopportunityiseitherforopensourcetoremainpopularorsimplyforcommercialsoftwarecompaniestochangetheirlicensingstructuretobettertCloudComputing.Forexample,MicrosoftandAmazonnowofferpay-as-you-gosoftwarelicensingforWindowsServerandWindowsSQLServeronEC2.AnEC2instancerunningMicrosoftWindowscosts$0.15perhourinsteadofthetraditional$0.10perhouroftheopensourceversion.15ArelatedobstacleisencouragingsalesforcesofsoftwarecompaniestosellproductsintoCloudComputing.Pay-as-you-goseemsincompatiblewiththequarterlysalestrackingusedtomeasureeffectiveness,whichisbasedonone-timepurchases.Theopportunityforcloudprovidersissimplytoofferprepaidplansforbulkusethatcanbesoldatdiscount.Forexample,Oraclesalespeoplemightsell100,000instancehoursusingOraclethatcanbeusedoverthenexttwoyearsatacostlessthanisthecustomerweretopurchase100,000hoursontheirown.Theycouldthenmeettheirquarterlyquotasandmaketheircommissionsfromcloudsalesaswellasfromtraditionalsoftwaresales,potentiallyconvertingthiscustomer-facingpartofacompanyfromnaysayersintoadvocatesofcloudcomputing.8ConclusionandQuestionsabouttheCloudsofTomorrowThelongdreamedvisionofcomputingasautilityisnallyemerging.TheelasticityofautilitymatchestheneedofbusinessesprovidingservicesdirectlytocustomersovertheInternet,asworkloadscangrow(andshrink)farfasterthan20yearsago.Itusedtotakeyearstogrowabusinesstoseveralmillioncustomersnowitcanhappeninmonths.Fromthecloudprovider'sview,theconstructionofverylargedatacentersatlowcostsitesusingcommoditycomputing,storage,andnetworkinguncoveredthepossibilityofsellingthoseresourcesonapay-as-you-gomodelbelowthecostsofmanymedium-sizeddatacenters,whilemakingaprotbystatisticallymultiplexingamongalargegroupofcustomers.Fromtheclouduser'sview,itwouldbeasstartlingforanewsoftwarestartuptobuilditsowndatacenterasitwouldforahardwarestartuptobuilditsownfabricationline.Inadditiontostartups,manyotherestablishedorganizationstakeadvantageoftheelasticityofCloudComputingregularly,includingnewspapersliketheWashingtonPost,moviecompanieslikePixar,anduniversitieslikeours.Ourlabhasbenetedsubstantiallyfromtheabilitytocompleteresearchbyconferencedeadlinesandadjustresourcesoverthesemestertoaccommodatecoursedeadlines.AsCloudComputingusers,wewererelievedofdealingwiththetwindangersofover-provisioningandunder-provisioningourinternaldatacenters.Somequestionwhethercompaniesaccustomedtohigh-marginbusinesses,suchasadrevenuefromsearchenginesandtraditionalpackagedsoftware,cancompeteinCloudComputing.First,thequestionpresumesthatCloudCom-putingisasmallmarginbusinessbasedonitslowcost.Giventhetypicalutilizationofmedium-sizeddatacenters,thepotentialfactorsof5to7ineconomiesofscale,andthefurthersavingsinselectionofclouddatacenterlocations,theapparentlylowcostsofferedtocloudusersmaystillbehighlyprotabletocloudproviders.Second,thesecompaniesmayalreadyhavethedatacenter,networking,andsoftwareinfrastructureinplacefortheirmainlinebusinesses,soCloudComputingrepresentstheopportunityformoreincomeatlittleextracost.AlthoughCloudComputingprovidersmayrunafouloftheobstaclessummarizedinTable6,webelievethatoverthelongrunproviderswillsuccessfullynavigatethesechallengesandsetanexampleforotherstofollow,perhapsbysuccessfullyexploitingtheopportunitiesthatcorrespondtothoseobstacles.Hence,developerswouldbewisetodesigntheirnextgenerationofsystemstobedeployedintoCloudComput-ing.Ingeneral,theemphasisshouldbehorizontalscalabilitytohundredsorthousandsofvirtualmachinesovertheefciencyofthesystemonasinglevirtualmachine.Therearespecicimplicationsaswell:ApplicationsSoftwareofthefuturewilllikelyhaveapiecethatrunsonclientsandapiecethatrunsintheCloud.Thecloudpieceneedstobothscaledownrapidlyaswellasscaleup,whichisanewrequirementforsoftwaresystems.TheclientpieceneedstobeusefulwhendisconnectedfromtheCloud,whichisnotthecaseformanyWeb2.0applicationstoday.Suchsoftwarealsoneedsapay-for-uselicensingmodeltomatchneedsofCloudComputing.InfrastructureSoftwareofthefutureneedstobecognizantthatitisnolongerrunningonbaremetalbutonvirtualmachines.Moreover,itneedstohavebillingbuiltinfromthebeginning,asitisverydifculttoretrotanaccountingsystem.19 Diskarmseeking60%DiskIOpersecondorMB/s80%peakHence,60%to80%isasafeupperbound.7Table8showschangesinpricesforAWSstorageandnetworkingover2.5years.Table8:ChangesinpriceofAWSS3storageandnetworkingovertime. Storage CostofDataStoredperGB-Month Date 50TB50-100TB100-500TB]TJ/;༳ ;.97; T; 8.;չ ; Td; [00;500TB 3/13/06 $0.15$0.15$0.15$0.15 10/9/08 $0.15$0.14$0.13$0.12 %OriginalPrice 100%93%87%80% Networking CostperGBofWide-AreaNetworkingTrafc Date InOut:10TBOut:10-50TBOut:50-150TBOut:]TJ/;༳ ;.97; T; 8.;չ ; Td; [00;150TB 3/13/06 $0.20$0.20$0.20$0.20$0.20 10/31/07 $0.10$0.18$0.16$0.13$0.13 5/1/08 $0.10$0.17$0.13$0.11$0.10 %OriginalPrice 50%85%65%55%50% 8Table9showsthenewservicesandsupportoptionsAWSaddedduring2008,andthedateofeachintroduction.Table10showsthedifferenttypesofAWScomputeinstancesandthedateeachtypewasintroduced.Table9:NewAWSServices. Date NewService 3-Dec-08 PublicDataSetsonAWSNowAvailable 18-Nov-08 AnnouncingAmazonCloudFront(ContentDistributionNetwork) 23-Oct-08 AmazonEC2RunningWindowsServerNowAvailable 23-Oct-08 AmazonEC2ExitsBetaandNowOffersaServiceLevelAgreement 22-Sep-08 OracleProductsLicensedforAmazonWebServices 20-Aug-08 AmazonElasticBlockStoreNowAvailable 5-May-08 OpenSolarisandMySQLEnterpriseonAmazonEC2 16-Apr-08 AnnouncingAWSPremiumSupport 26-Mar-08 AnnouncingElasticIPAddressesandAvailabilityZonesforAmazonEC2 Table10:DiversityofEC2instancesovertime. Date Type Cost/Hour ComputeUnitsDRAM(GB)Disk(GB) Compute/$GBDRAM/$GBDisk/$ 8/24/06 Small $0.10 11.7160 1017.01600 10/22/07 Large $0.40 47.5850 1018.82130 10/22/07 ExtraLarge $0.80 815.01690 1018.82110 5/29/08 High-CPUMedium $0.20 51.7350 258.51750 5/29/08 High-CPUExtraLarge $0.80 207.01690 258.82110 9Whilesuchstandardizationcanoccurforthefullspectrumofutilitycomputing,theabilityoftheleadingcloudproviderstodistributesoftwaretomatchstandardizedAPIsvaries.Microsoftisinthesoftwaredistributionbusiness,soitwouldseemtobeasmallstepforAzuretopublishalltheAPIsandoffersoftwaretoruninthedatacenter.InterestinglyforAWSandGoogleAppEngine,thebestexamplesofstandardizingAPIscomefromopensourceseffortsfromoutsidethesecompanies.HadoopandHypertableareeffortstorecreatetheGoogleinfrastructure[11],andEucalyptusrecreatesimportantaspectsoftheEC2API[34].10Indeed,harkingbacktoSection2,surgechipfabricationisoneofthecommonusesofchip-lesfabricationcompanieslikeTSMC.11A1TB3.5diskweighs1.4pounds.Ifweassumethatpackagingmaterialaddsabout20%totheweight,theshippingweightof10disksis17pounds.FedExchargesabout$100todeliversuchapackageby10:30AMthenextdayandabout$50todeliveritin2days.SimilartoNetix,Amazonmightletyouhaveonediskboatonloantousewhenyouneedit.Thus,theround-tripshippingcostforAmazontoshipyouasetofdisksandforyoutoshipitbackis$150,assuming2-daydeliveryfromAmazonandovernightdeliverytosendittoAmazon.ItwouldthentakeAmazonabout2.4hourstodumpthediskcontentsintotheirdatacenter(a1TBdiskcantransferat115Mbytes/sec).Ifeachdiskcontainswholeles(e.g.aLinuxext3orWindowsNTFSlesystem),alldiskscouldbereadorwritteninparallel.Whileit'shardtoputacostofinternaldatacenterLANbandwidth,itissurelyatleast100xlessexpensivethanWANbandwidth.Let'sassumethelaborcoststounpackdisks,loadthemsothattheycanberead,repackagethem,andsoonis$20perdisk.Thetotallatencyisthenlessthanaday(2.4hourstowrite,14-18hoursforovernightshipping,2.4hourstoread)atacostabout$400($50toreceivefromAmazon,$100tosendtoAmazon,$200forlaborcosts,and$40chargeforinternalAmazonLANbandwidthandlaborcharges).Ratherthanshipdisks,anotheroptionwouldbetoshipawholediskarrayincludingsheetmetal,fans,powersuppliers,andnetworkinterfaces.Theextracomponentswouldincreasetheshippingweight,butitwouldsimplifyconnectionofstoragetotheCloudandtothelocaldeviceandreducelabor.Notethatyouwouldwantalotmorenetworkbandwidththanistypicallyprovidedinconventionaldiskarrays,sinceyoudon'twanttostretchthetimeloadorunloadthedata.12TherelativelynewcompanyDataDomainusesspecializedcompressionalgorithmstailoredtoincrementalbackups,theycanreducethesizeofthesebackupsbyafactorof20.Notethatcompressioncanalsoreducethecosttoutilitycomputingprovidersoftheirstandardstorageproducts.Losslesscompressioncanreducedatademandsbyfactorsfortwotothreeformanydatatypes,andmuchhigherforsome.TheCloudComputing21 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