Oracle Cloud - The CIO's Guide to Oracle Products and Solutions - page 152

a learning curve regarding the effective procurement of cloud-based
services.
Cloud computing presents a paradigm shift that is larger than IT, and
while there are technology changes with cloud services, the more substan-
tive issues that need to be addressed lie in the business and contracting
models applicable to cloud services. This new paradigm requires organi-
zations to rethink not only the way they acquire IT services in the con-
text of deployment, but also how the IT services they consume provide
mission and support functions on a shared basis. Organizations should
begin to design and/or select solutions that allow for purchasing based on
consumption in the shared model that cloud-based architectures provide.
Cloud computing allows consumers to buy IT in a new, consumption-
based model. Given the dynamic nature of end-user needs, the traditional
method of acquiring IT has become less effective in ensuring the orga-
nization effectively covers all of its requirements. By moving from pur-
chasing IT in a way that requires capital expenditures and overhead, and
instead purchasing IT on-demand as an organization consumes services,
unique requirements have arisen that organizations need to address when
contracting with cloud service providers (CSPs).
Selecting a Cloud Service
The primary driver behind purchasing any new IT service is to effectively
meet a commodity, support, or mission requirement that the organization
has. Part of the analysis of that need or problem is determining the appro-
priate solution. Choosing the cloud is only the first step in this analysis. It
is also critical for organizations to decide which cloud service and deploy-
ment model best meets their needs.
The National Institute of Standards and Technology (NIST) has defined
three cloud computing service models: Infrastructure as a Service,
Platform as a Service, and Software as a Service.
These service models can be summarized as:
1. Infrastructure : The provision of processing, storage, networking, and
other fundamental computing resources
2. Platform : The deployment of applications created using program-
ming languages, libraries, services, and tools supported by a cloud
provider