- [Blaine] When looking at terms and conditions for cloud computing, you will notice some fundamental differences in what is in the vocabulary. The biggest difference is cloud service providers talk about hardware completely different than on premises contractors. When purchasing for your own physical data center, you'll be shopping for servers. And that will have a set amount of memory, compute power, storage, networking capabilities, and such. Your team will then have to install the virtualization software, dividing the server up into virtual machines. Assuming you are running multiple VMs on a single server, and all of this before you can even begin to look at installing the operating system and application installs that you'll need, with a CSP, you start at the VM level. You simply identify the compute power, memory, storage, network options that you want, and a VM will be available immediately for your use. The additional key difference here is you're not tied to that decision. If it turns out you need more, you just change the options and use a larger size. Or if you need less, you can just ask for a smaller size, and immediately get a smaller VM and a smaller price. This is the difference between going to a store and buying a jacket for someone hoping that it fits, and being able to have all the jackets available all the time in your closet right now. Only you're not paying for them unless you actually put them on. Oh, and by the way, magically new jackets show up for you to try on all the time that are better, stronger, cheaper, cooler. More importantly, being able to choose a jacket that is right for the occasion. For example, are you going out to the game, going fishing, or heading out on the town? Think about your virtual machines and what they're being used for. Compute-heavy workloads, memory-intensive applications or dense, machine learning clusters? Well, AWS offers VMs with entirely different configurations for your different workloads. Not sure which is the best design? Just try them on. Let the metrics tell you the perfect fit rather than guessing. This is what flexibility means. Remember this core difference when mentally comparing cloud and on-premises purchases. If this was an on-premises infrastructure or coat closet, I wouldn't even have a tuxedo or, a machine-learning-optimized virtual machine, to try on. Much less, one that looks this good. Also, to stretch the jacket metaphor even farther, you wouldn't ask your tailor to button your jacket for you every time you put it on. Well, this is the self-service model for cloud procurement. You get to button your jacket up yourself, but if you want someone to make sure you're dressed properly, there's nothing wrong with working with a partner to ensure a perfect drape every time. Thank you, Alfred. Wow, when using physical metaphors to think about cloud, it really shows you have to think different when looking at terms and conditions. It's not just a case of crossing out the word hardware. So here's some tips when it comes to navigating terms and conditions. Engage CSPs early. This will help you get the best fit and resolve differences. It's often much easier if you consider cloud-friendly terms and conditions early in your process. Use the CSP's terms. Incorporate their language and terminology to the fullest extent to avoid misalignment. That way, you're not losing things in translation. The CSP's terms will reflect the shared responsibility model, help you take advantage of unique cloud benefits, and ease the overall contracting process. Avoid traditional IT contract terms. Avoid using terms like managed service as the basis for your cloud contract. These traditional contracts are not designed for cloud. And in many cases, work against the shared responsibility model. Remember, in the shared responsibility model, you become 100 percent responsible for some aspects of your environment. Don't mistakenly put the responsibility on the CSP when examining terms and conditions for areas that are your responsibility. Know the differences. Recognize the differences between CSPs, cloud managed service providers, and resellers. Each type of entity has different terms and conditions that reflect their respective models. If you recognize the different models, you're more likely to understand the terms and conditions of a CSP.