2010 big year for the government cloud

I hope all my readers had an enjoyable holiday, and are gearing up for the New Year. 2010 has been a big year of progress towards the government cloud, so I thought a  retrospective post highlighting the progress was very much in order.

When I launched this blog I warned readers my “head was in the clouds,” and I’m happy to report that condition seems to finally be catching on in government. Back in late August, the GAO called government cloud adoption “inevitable” when implemented correctly. This fall the momentum continued, with the GSA approving 11 companies for a BPA to offer cloud services to government agencies via the Apps.gov portal site.

Right around Thanksgiving, the Administration asked agencies to officially codify a new approach to IT challenges. Whenever a new IT project is deemed necessary, agencies should take a “cloud first” mentality to getting the job done. This should result in much greater efficiencies and a lot of taxpayer money saved.

Now let me make clear that while I’m very jazzed about the government cloud, I’m not blind to the objections and obstacles to adoption. To call out two specific examples — I’ve blogged about how to maintain total control of your data while moving to the cloud, and I’ve talked about the need to improve security accreditation. FedRAMP is a great start, but it needs to be improved before security certification stops being a major roadblock to cloud adoption.

Overall however, I think you’d have to say that the forecast for government cloud adoption in 2011 is partly sunny and improving. (Sorry, couldn’t resist!) Best wishes for a happy new year!

IT solutions are not helicopters…

We all know the pace of innovation in technology. New technologies are coming out daily and making the technologies developed the day before obsolete. If you’re going to purchase IT systems or solutions, you have to do it quickly, or the solutions you’re purchasing may no longer be worth the investment by the time it’s approved, purchased and integrated.

In this environment, it would seem counterproductive to handle the acquisition of IT solutions, such as cloud services, the same way you would, say, a new military helicopter. Sadly, that’s the way that the Department of Defense has been purchasing IT solutions for the past three decades.

According to a recent Federal News Radio article, the DoD is working to diverge and differentiate the IT acquisition process from the process for acquiring weapons systems. In fact, they recently released a 19 page report that was mandated by the 2010 Defense Authorization Bill and outlines the steps that they’re going to take to streamline the acquisition process for IT.

The DoD currently funds IT projects through three distinct appropriations (research and development, procurement, and operations and maintenance), which is designed more for weapons systems rather than IT. In the report, they state that this might need to become more flexible for IT, since not all solutions need to be custom developed and some can be purchased off the shelf.

The DoD is also toying with the idea of a non-expiring revolving fund for IT. Congress would still control which projects would be paid for with the fund, but DoD officials could authorize programs and give Congress a heads-up after the fact.

Also recommended was a shift in how the Pentagon approaches its IT spending. Currently, large projects and systems are developed and acquired over a long time frame. The new mentality would have the Pentagon approve funding based on desired capabilities, which means funding could be shifted to new products or services that have proven they can provide the capabilities desired. They will also shift the focus onto short-duration, “incremental” IT projects.

The way the DoD was developing and acquiring IT solutions was broken and forcing the agency as a whole to move much slower than the private sector in adoption of new, beneficial IT solutions. With new technological advances, such as the cloud, becoming more widely embraced and adopted due to their ability to make organizations more effective and efficient, it was time for the DoD to make a change and find a way to move at the speed of innovation.

Be all that you can be…in the cloud

Lynn Schnurr, the director of Intelligence Community Information Management for the Army Intelligence Chief Information Officer, gave a presentation at the Army IT Day in Vienna, Va. earlier this month.

During her presentation, she discussed a handful of new technologies and initiatives that the Army is currently developing to help the warfighter on the battlefield and make their entire branch of the armed services operate better and more efficiently.

The Land Intelligence, Surveillance and Reconnaissance network remains a priority for the Army. They’re also working on bringing improved biometric data to the soldier on the battlefield.

The Army is even toying around with some pretty wicked headgear to make the warfighter better. According to an article in Defense Systems Magazine, a prototype technology will provide soldiers with smart sunglasses that enable them to capture images of enemy combatants and record their voices for analysis and identification matching.

Even with all of this cool, futuristic technology being developed for the warfighter, one of the largest innovations that could have the biggest impact on the Army is not on the battlefield- it’s in the cloud. Well…it IS the cloud.

In an attempt to operate more effectively and efficiently, the Army is looking to consolidate their hundreds of datacenters for intelligence analysis and storage into just three facilities (Wiesbaden, Germany; Fort Bragg, N.C.; and Hawaii). These three facilities will interact and coordinate with other intelligence community data facilities so that the Army can avoid storing data that can be accessed from other government sources.

The Army also wants to utilize their intelligence cloud efforts to reuse software. This is expected to increase operational flexibility and cut costs.

The Army’s shift to the cloud will help them become exponentially more efficient. They’ll be able to dramatically reduce the cost of excessive and unneeded datacenters while more effectively sharing resources with other intelligence agencies. They’ll also see a significant decrease in the time it takes to develop and implement new software.

What can the cloud do for your agency?

Get the most out of the cloud with bandwidth acceleration

In a previous post on GovCloudTalk, we discussed the steps that government agencies can take towards embracing cloud computing.

During the course of the shift to the cloud, resources across multiple datacenters are aggregated and work as a single resource pool. Unfortunately, many datacenter managers overlook the actual physics of moving the data between those datacenters or to the edge, where the user community exists.

The physical act of moving this data from datacenter to datacenter, or from datacenter to the end user, requires bandwidth. This bandwidth can cost a lot of money. Many agencies looking to move to the cloud are doing so to save money, this makes having to purchase additional bandwidth counterproductive.

These agencies would rather get the most out of their bandwidth providers and utilize their current investments before investing more. Luckily, there’s technology available that allows them to do so, called network and bandwidth acceleration technologies.

There are a handful of network and bandwidth acceleration technologies that exist in the marketplace today, including solutions offered by Riverbed, Cisco, Silver Peak, Asankya, Aspera and a host of other companies. These technologies work as an extension of existing infrastructure and exist on the customer’s premises, within their datacenters.

Cloud adopters are just starting to realize that network acceleration devices could help them transmit data between datacenters and to the edge without having to make an additional investment in extra bandwidth. In fact, some cloud users are starting to think that they should be included in cloud services and packages since they’re becoming a fundamental part of a cloud infrastructure solution.

Regardless of whether network and bandwidth acceleration devices begin to become bundled with cloud service solutions, they are an increasingly instrumental part of an agency or organization getting the most out of embracing the cloud. When looking to make the switch to the cloud, don’t overlook the benefits of including bandwidth acceleration as part of your overall design and planning.

Is the new government cloud directive a red flag for IT workers?

As we’ve discussed in the past, Obama’s technology team, including Vivek Kundra, the country’s CIO, is looking for ways in which the federal government can improve its IT acquisition process and adopt technologies that can make the government operate more effectively and efficiently.

Last Thursday, Kundra announced a series of steps that the government is planning to take to streamline how the government tests and purchases new IT technologies and to help drive down the cost of IT within the federal government.

Included in the plan was a directive for agencies to look to cloud services first to handle increasing data demand. Also included was a directive to reduce the existing number of datacenters in the federal government from 2,100 by approximately 800 datacenters.

The end result of this plan will be a sharing of resources between agencies. For example, if a datacenter is being underutilized by one agency, they will be encouraged to share those resources with another agency in need. Civilian agencies will increasingly make the shift to cloud service providers. Other agencies, such as those responsible for defense and homeland security, will most likely increase their adoption of private cloud solutions that provide all of the benefits of the cloud with fewer security concerns.

The agencies that will see the largest economic gains from their switch to the cloud will be the civilian agencies. These agencies will see a large portion of their IT spends switch from hardware purchases, maintenance and operations to infrastructure as a service (IaaS).

Currently, service, maintenance and operations expenses account for over 70 percent of their budgets, while 10-15 percent goes towards growth and a small fraction goes to innovation. A switch to the cloud will invert that pyramid of expenses and significantly cut down on the downstream expenses, freeing up IT budget dollars for innovation and other more mission-critical tasks.

Unfortunately, not all IT employees at federal agencies see this as a positive thing. After all, if your job is to “keep the lights on,” the switch to a cloud environment could be considered a major assault on your position.

For these individuals, it’s an alarming wakeup call for what’s coming down the pike. Cloud services provide such value and can so drastically reduce operating expenses that the switch has become an inevitability in the federal government. Instead of looking at cloud services as threats to their jobs, federal workers should instead be looking at them as an opportunity to shift towards more mission critical work.

To help in the transition, government agencies are going to have to reeducate staff and move IT people from being maintainers of the datacenter to architects of the cloud. In an effort to help the process, EMC and other vendors in the market are collaborating on a vendor net-neutral curriculum and certification process.

Government IT professionals shouldn’t be viewing the shift to the cloud as competitive or negative. It is, in fact, providing them with an avenue in which to be more innovative and provide added value to their agency and its mission. With government pay frozen for the next two years, it also gives them an opportunity to educate themselves, become more valuable and go up a pay grade. The benefits of the cloud and its ability to help agencies operate better and more cost effectively are making cloud computing the future of government IT. Now’s the time to step up and stop just “keeping the lights on.”

American innovation takes another one on the chin

America was always the nation that built things. We were the leaders in innovation and research. We made the first automobile on a mass production assembly line. We invented the telephone. We sent the first man to the moon. Heck, we invented the pop-up toaster (seriously…look it up).

Unfortunately, our country has been losing its edge in the world of research and development (R&D). As science, technology, engineering and math (STEM) education has fallen behind and other global industrial powers have emerged, we’ve started to lose our reputation as an innovator.

Last December, something happened that could finally stick a fork in America as the world’s center of science, innovation and R&D. Surprisingly, it’s flown under the radar and many Americans aren’t really aware of it. The R&D tax credits, which have powered innovation and research in our country for nearly three decades, were allowed to expire and have yet to be extended by Congress.

Now, we’re all aware that the government is currently in a bit of a financial bind and facing a $1.3 trillion deficit. Regardless, the government is practically ensuring that America remains behind in innovation and invention by not sustaining the R&D tax credits.

The R&D tax credits allows medium-sized and large companies to spend multiple year’s worth of money all at once on new technologies that they’re looking to bring to market and then deduct that figure from applicable corporate taxes. This is important because the largest part of the innovation process involves funding and paying smart people to conduct R&D.

If there is no guidance and consistency on the tax credits, it could seriously damage a company or sector’s ability to innovate.

What’s worse, if there’s no net tax credit, companies will have to reconsider how and where they do their R&D. This could lead them to move R&D and innovation to other countries or jurisdictions that have more favorable taxes and treatment for R&D spending.

This means that R&D and innovation dollars go to nations like China or India that are competing with us in the global economy. But there’s another problem with these product development lifecycles going through nations like China.

Our government takes away the R&D tax credits and then pays a company to innovate or invent something. That company is conducting its R&D in China, India or somewhere else. However, our government has already said that they don’t trust product lifecycles that run through these countries.

To have exquisite supply chains, R&D needs to be conducted in America. The R&D tax credits, or something similar, need to be kept in place for American companies to remain innovative and for the government’s supply chain excellence to remain in tact.

Some of the most innovative companies in America spend 10-15% of their revenue on R&D. That’s an activity that we want to continue. If we’re going to continue to create the cloud technologies, IT solutions and other advances that will power our government and economy into the future, Congress needs to extend these tax credits and get America innovating again!

Why Amazon pulled the cloud out from under WikiLeaks

Unless you’ve been in hiding in a cave somewhere, you’ve probably heard about WikiLeaks and its founder, Julian Assange.

The WikiLeaks Website is an international organization that publishes submissions of classified, leaked and otherwise unavailable documents from anonymous news sources. Julian Assange is the site’s founder and editor in chief.

WikiLeaks has run afoul of multiple governments in the past few years in large part to the leaked documents and classified information that it features as content.

In March 2003, they released a copy of the standard operating procedures for the Guantanamo Bay detention camp. During the 2008 presidential election, WikiLeaks reported the contents of a Yahoo email account belonging to Sarah Palin, a vice presidential nominee. In October 2010, WikiLeaks released hundreds of thousands of documents relating to the Iraq War.

Most recently, WikiLeaks released diplomatic cables at the end of November. The leaked documents contained inflammatory and sensitive information about diplomatic proceedings, somewhat embarrassing information about world leaders and other information that experts felt could strain diplomatic relations between the United States and many other countries.

Needless to say, WikiLeaks hasn’t made many government friends, inside the U.S. or elsewhere.

Then, on December 2, something interesting happened. Amazon.com, the company providing cloud infrastructure services for WikiLeaks, severed its ties with the organization.

It’s not uncommon for bad actors to be run off by cloud providers in the past. Service providers have taken action to end their relationships with customers caught using their services to conduct criminal activities. The terms of services that govern most of the cloud providers offer an escape clause for the operator if the service is being used for anything illegal or if it has the potential to tarnish the service provider’s brand.

Now, I’m not a proponent of publicizing information deemed classified by the U.S. Government, especially when that information can be viewed as a threat to the national security. However, this seems to walk the line of censorship.

The actual legality of leaking these documents is tricky. I am by no means an expert on the legal aspects, but these documents were leaked by people and on servers located in countries where significant protection is in place for both media outlets and their sources. That means that Amazon could have effectively booted an organization off of their cloud infrastructure that hadn’t really committed a criminal activity.

If WikiLeaks did something to violate Amazon’s terms of service, they were well within their rights to terminate their relationship. But as a publishing outlet, it’s questionable that WikiLeaks was doing anything wrong. They simply created a platform designed to share and express information. Amazon probably found a loophole on “brand tarnishing” and used it to justify pulling the plug.

But why did they really do it? I think it was a desire to curry favor with the government that led them to pull the plug on WikiLeaks.

Just one day before booting WikiLeaks, Amazon made a major talent acquisition, bringing the person onboard who formerly led Microsoft’s federal business to help sell cloud and other services to the government. Amazon is competing for a handful of government contracts and is clearly looking to ramp up their business with the federal government.

Now if you’re looking to sell cloud services to the federal government, it’s probably not a good idea to be the cloud service provider for the online news organization that has repeatedly and recently angered this country’s leaders by releasing sensitive and classified information.

At the end of the day, what WikiLeaks has done for the sake of transparency in government was ill-advised and potentially harmful for America and homeland security. However, Amazon pulling the plug on WikiLeaks appears to be not an act of civil duty, but a financially-motivated and self-interested act of censorship.

Where we’re falling down: the administration’s plans to fix government IT

In my last post, I discussed a speech given by Jeffrey Zients, the deputy director of the Office of Management and Budget (OMB), to the Northern Virginia Technology Council (NVTC).

In the speech, Mr. Zients discussed the new programs being endorsed by the Obama Administration that would require agencies looking for new IT development to look at cloud solutions first before pursuing the in-house creation of new datacenters. In my post, I discussed how this could go a long way towards cutting down government spending in the face of a deepening federal budget deficit.

However, this wasn’t the only good point that Mr. Zients made about the state of IT in the federal government. I wanted to take some time to discuss the other points that he made, and places that he felt the government is falling down in the adoption, acquisition and implementation of new technologies.

One of the areas that the Obama Administration sees significant room for improvement is in the IT acquisition system. Currently, agencies are required to submit requests for IT projects two years in advance. After submitting requests and receiving budget approval, the process of acquiring and implementing the technologies can take over a year to accomplish.

That’s three years to get through budgeting and procurement. Everyone with an IT background realizes that it might as well be a lifetime. Any technology that the government was looking to acquire would most likely be archaic by the time the acquisition process was complete.

In an effort to cut down that ridiculously long three year timeframe, the Obama Administration, OMB and other organizations are looking to streamline the appropriations and procurement processes. They’ve already worked to create Apps.gov, the portal where IT buyers at government agencies can shop for approved cloud-based technologies, and are working to put other pilot programs in place that will help to cut through the bureaucracy surrounding IT acquisitions.

Other areas where Mr. Zients and the Obama Administration see room for improvement are the way federal IT buyers interact with industry and the way the government evaluates and monitors IT projects.

Currently, IT managers in the federal government are often hesitant to interact with experts from the private sector and technology vendors because they are unsure about the propriety of such interactions. In many cases, IT managers will often take a “better safe than sorry” approach and avoid these people all together.

To help combat this issue, the Administration is working to put together a “myth busting” campaign to ensure that federal IT managers know what kind of interaction is allowed, and to better align the federal government with private industry. By better educating IT managers, the Administration hopes to foster better collaboration between federal agencies and private industry.

In the area of oversight, the Administration is looking to streamline government accountability, first by overhauling the agency review board policy. Currently, the review boards meet once a month for two hours to review the entire agency IT portfolio, which isn’t nearly adequate. Instead, the Administration wants them to focus more on using data and analytics tools to review projects.

In fact, the Administration’s tech team has already set up an online dashboard to track the spending and progress of IT deployments across the government. These dashboards are designed to generate more detailed reporting data to help government officials identify underperforming projects and decide if they should be rehabilitated or terminated.

I agree completely with Jeffrey Zients and the Administration’s tech team. The budgeting, provisioning and acquisition of new IT technologies is crawling and keeping the government for implementing the tools that will help them operate more effectively and efficiently. These reforms will increase collaboration with the private sector, streamline the acquisition process and better manage government IT projects. In doing so, the Administration will make headway in fixing what is currently a lumbering system that is hurting our country.

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