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Cloud Computing

Agreements: 10    Resources/Tools: 6    Training: 1    All: 17

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What is Cloud Computing and How Does It Impact Software Licensing Practices?

March 05, 2018

"Cloud computing is a model for enabling convenient, on-demand network access to a shared pool of configurable computing resources (e.g., networks, servers, storage, applications, and services) that can be rapidly provisioned and released with minimal management effort or service provider interaction. This cloud model promotes availability and is composed of five essential characteristics, three delivery models, and four deployment models." (NIST Definition of Cloud Computing, Draft version 14)

The five Characteristics of cloud computing are:

  • On Demand Service
  • Ubiquitous Network Access
  • Location Independent Resource Pooling
  • Rapid Elasticity
  • Measured Service

The three Delivery Models of cloud computing are:

  • Software as a Service (SaaS)
  • Platform as a Service (PaaS)
  • Infrastructure as a Service (IaaS)

The four Deployment Models of cloud computing are:

  • Private Cloud - Operated solely for an organization.
  • Community Cloud - Shared by several organizations and supports a specific community that has shared needs and security concerns.
  • Public Cloud - Made available to the general public or a large industry group and is owned by an organization selling cloud services
  • Hybrid Cloud - Composition of two or more clouds (private, community, or public) that remain unique entities but are bound together by standardized or proprietary technology that enables data and application portability.

At DoD ESI, the initial focus will be placed on Software as a Service (SaaS), where a provider’s software applications run on a cloud infrastructure. SaaS is a software application delivery model where a software vendor develops a web-based software application and hosts and operates (either independently or through a third-party) the application for use by its customers over the Internet.

Examples of SaaS applications are:

  • Citizen Engagement (Wikis, Blogs,
  • Government Productivity (Cloud based tools)
  • Business Enablement (Customer Relationship Management)
  • Enterprise Applications (Core Mission & Business Services)

The most significant difference between traditional, perpetual software licensing models and SaaS licensing models is analogous to the difference between buying a car and leasing a car. The usage rights granted in a SaaS model are for a limited duration and are tied to payment of a fee (much like the lease payment for a car). The contractual structure for a SaaS offering centers on a service level agreement (SLA) that captures the services to be provided, metrics to be measured, and pricing to be paid for the level of service contracted. Adjustments in future fees are typically made where service levels are not met.

DoD ESI has drafted a Master Service Agreement (MSA) to be used to establish a DoD-wide relationship with SaaS providers and a sample SLA for use when DoD programs order services off the MSA. A sample MSA, SLA and relevant tools will be available in the SaaS toolkit to be released in FY10.

TAGS: Cloud

DFARS Subpart 239.76 - Cloud Computing

October 21, 2016

DFARS Subpart 239.76 prescribes policies and procedures for the acquisition of Cloud Computing services.

“Cloud computing” means a model for enabling ubiquitous, convenient, on-demand network access to a shared pool of configurable computing resources (e.g., networks, servers, storage, applications, and services) that can be rapidly provisioned and released with minimal management effort or service provider interaction. This includes other commercial terms, such as on-demand self-service, broad network access, resource pooling, rapid elasticity, and measured service. It also includes commercial offerings for software-as-a-service, infrastructure-as-a-service, and platform-as-a-service.

DFARS Subpart 239.76

TAGS: Cloud

Cloud / SaaS Policy Review Reference Guide

August 25, 2016

The Federal Government has established a number of policies and procedures regarding the acquisition and deployment of SaaS/Cloud solutions.  This Advisory Note serves as a reference guide for SaaS/Cloud decision making.

TAGS: Cloud

Financial Guide for Converting Perpetual Software Licenses to Software as a Service (SaaS)

March 02, 2016

This financial guide, complemented by its associated workbook, assists the reader in determining if it makes business sense to convert to Software as a Service (SaaS) or continue to operate under a Perpetual licensing arrangement. The workbook’s methodology provides ways of estimating and comparing the Total Cost of Ownership of future operations under the two scenarios. Additionally, the Toolkit offers approaches for situations where the Publisher/License Grantor has discontinued Perpetual Licensing and is now only offering SaaS/Cloud offerings.

Financial Guide for Converting Perpetual Software Licenses to SaaS

Perpetual to SaaS Cost Model Workbook

TAGS: ELA, Cloud, SaaS

Best Practices for Negotiating Cloud-Based Software Contracts - White Paper

February 26, 2015

This paper addresses the key contractual concepts to focus on when negotiating a public cloud, Software-as-a-Service (SaaS) delivery model versus a traditional on-premises software delivery model. Under both models, use rights are still granted, but there are variations of the software use terms and conditions, especially in areas such as licensing and costs.

TAGS: Cloud

Software as a Service (SaaS) Toolkit

December 16, 2014

Software as a Service (SaaS) is an emerging software delivery model in the commercial industry and government enterprises. In order to educate DoD personnel on the basics of SaaS, DoD ESI developed the SaaS web-based toolkit which contains educational material on the SaaS delivery model, pricing, contracts, and analytical tools for DoD programs, contracts specialists, and interested personnel.

Launch SaaS Toolkit

TAGS: Training, Cloud


Cloud Computing