Cloud Architectures Overview

Cloud Architectures

• Hybrid cloud combines public and private cloud
• Public cloud resources are shared among multiple users, logically isolated for each
• Private cloud resources are dedicated to a single organization
• Hybrid cloud combines private and public cloud, sharing data and applications

Public Cloud

• Definition: Cloud computing model where third-party providers manage resources (servers, applications, etc.) and provide these resources over the internet to multiple customers. Shared among users with logical isolation for each.
• Also known as hyperscalers (e.g., AWS, Azure, GCP)
• Key characteristics:
  • Shared infrastructure (multi-tenancy) with isolated data and applications
  • Scalable and elastic resources
  • Pay-as-you-go pricing based on actual usage
  • Managed by a provider, handles maintenance, updates, and security
  • Global reach with data centers in multiple regions for low latency and disaster recovery
  • Diverse service offerings (IaaS, PaaS, SaaS)
  • Easy to use without requiring extensive technical experience

Public Cloud - Common Use Cases

• Startups and small businesses with limited budgets and IT expertise can quickly access infrastructure
• Application development and testing environments
• Data analytics and machine learning, handling large datasets
• Web hosting, e-commerce platforms, and e-commerce sites
• Disaster recovery and backup solutions
• Global collaboration and remote work, tools like Google Workspace, Microsoft 365
• Temporary or seasonal workloads (e.g., online retail during holidays)

Public Cloud - Limitations and Pitfalls

• Security concerns due to shared infrastructure and data privacy/compliance
• Limited control over infrastructure
• Network dependency, relying on consistent and high-speed internet
• Compliance challenges in specific industries (due to data sovereignty laws)

Private Cloud

• Definition: Cloud computing environment dedicated to a single organization.
• Exclusive access to computing resources, hosted on-premises or a third-party data center

Private Cloud - Key Characteristics

• Exclusive access, ensuring data privacy and control
• Customizable to meet specific organizational requirements (hardware, software, and security policies)
• Enhanced security, ideal for industries with strict compliance
• Scalability can be limited compared to public clouds due to physical hardware constraints
• Requires a higher upfront investment but can lead to cost savings for predictable workloads
• Control and ownership of infrastructure, software, and data
• Location flexibility, can be on-premises or hosted by a third-party provider

Private Cloud - Common Use Cases

• Industries with regulatory compliance requirements (healthcare, finance, government; HIPAA, PCI DSS)
• Data sovereignty and control (specific geographic regions)
• Custom application hosting needing specific setup/configurations not available in public clouds
• Enhanced security needs, minimizing multi-tenancy issues
• Workloads with stable demand (where scaling benefits are less critical)

Private Cloud - Limitations and Pitfalls

• Higher upfront costs if deployed on-premises
• Complex infrastructure management requiring in-house expertise
• Scalability limitations due to physical hardware

Hybrid Cloud

• Definition: Cloud computing model combining private and public cloud environments. Allows data and applications to share between them, enabling scalability, cost efficiency, and control.
• Companies leverage the strengths of both private and public clouds

Hybrid Cloud - Key Characteristics

• Integrated environments, seamlessly connecting private and public clouds for unified infrastructure
• Flexibility in moving workloads based on performance, cost, or compliance needs
• Scalability leveraging public cloud's dynamic scaling while keeping sensitive data in private cloud
• Security and compliance: sensitive tasks in private cloud, non-critical tasks in public cloud
• Cost optimization: offloads specific workloads to public cloud avoiding over-investment in private infrastructure
• Centralized management tools for managing resources across both environments
• Disaster recovery/redundancy by distributing resources across multiple environments for better option
• Interoperability enabling smooth data and application transfer between private and public cloud resources

Hybrid Cloud - Common Use Cases

• Dynamic or seasonal workloads to handle traffic spikes, retail during holidays
• Regulatory compliance, storing sensitive data privately while running cloud tasks in public
• Application development/testing: developers using the public cloud then deploying to private (production)
• Disaster recovery: public cloud as cost-effective disaster recovery sites
• Big data analytics: utilizing public cloud scalability (on less sensitive data)

Hybrid Cloud - Limitations and Pitfalls

• Complexity integrating different environments can be challenging
• Interoperability issues in ensuring compatibility
• Security challenges in data transfer between clouds, needing specialized security solutions
• Higher costs if cloud resources aren't managed appropriately

Software as a Service (SaaS)

• Software distribution where applications are hosted by a service provider, accessible via web browser.
• Subscription based instead of outright purchase (and installation)
• Examples include Google Apps (Maps, Gmail, Drive)

Infrastructure as a Code (IaC)

• Managing and provisioning infrastructure via machine-readable configuration files instead of physical hardware setup/configuration tools
• Provides many benefits, wide applicability

Security in Cloud Computing

• Shared responsibility model: cloud providers handle infrastructure, customers manage data and applications/access
• Shift from perimeter security to zero-trust: treat no user, device, or application implicitly trusting
• Implement identity-centric security: verifying users, devices, and applications before access to resources
• Encrypt data everywhere (at rest, in transit, in use)
• Leverage cloud-native security tools (by cloud providers) for security
• Automate security with DevSecOps tools (Infrastructure as Code, etc.)
• Continuously monitor and detect threats, including misconfigurations, unauthorized access
• Ensure compliance with regulations (ensure compliance standards like GDPR, HIPAA, PCI DSS)
• Protect against emerging threats in cloud computing (like misconfigurations, permissive roles, insecure APIs)

FinOps

• Definition: Cultural and operational practice to bring finance, IT, and business teams together to efficiently manage cloud costs. Emphasizes teamwork, transparency, and accountability.

FinOps - Benefits

• Cost efficiency: reduce unnecessary spending and enhance resource utilization
• Business agility: enable faster decision-making aligning spending with business priorities
• Enhanced collaboration between technical and financial teams
• Accountability: empowers teams for owning their spending
• Scalability: supports rapid scaling while keeping cloud cost in control
• Visibility and control: gives granular insights into cloud spending for better oversight

FinOps - Core Principles

• Collaboration: cross-functional cooperation to align cloud spending priorities, involves Finance, IT, and Business teams
• Accountability: teams responsible for their cloud resource consumption, encouraging efficient use
• Real-time Insights: continuous visibility into spending data enabling timely decisions
• Optimization and Value Delivery: balancing cost control with business outcomes
• Decentralized Execution with Centralized Governance: teams independently manage costs following guidelines
• Continuous Improvement: iterative processes to analyze, refine, and improve cost management

FinOps - Key Practices

• Cloud Cost Transparency: track and visualize cloud spending across services, teams, and projects
• Budgeting and forecasting: create realistic budget and future predictions
• Cost Allocation: allocate expenses to correct teams and departments fostering accountability
• Rightsizing Resources: Optimize utilization of cloud resources