Cloud business models and sustainability: impacts for businesses and e-research

This paper reviews current cloud computing business models and presents proposals on how organisations can achieve sustainability by adopting appropriate models. Using the Jericho Forum’s Cloud Cube Model (CCM), we classify cloud computing business models into eight types: (1) Service Provider and Service Orientation; (2) Support and Services Contracts; (3) In-House Private Clouds; (4) All-In-One Enterprise Cloud; (5) One-Stop Resources and Services; (6) Government Funding; (7) Venture Capitals; and (8) Entertainment and Social Networking. In addition, we newly propose the Hexagon Model that includes six key elements for sustainability based on Sun Tzu’s Art of War and literature review, and the sixth factor is rated based on case studies and peer reviews. Areas occupied in the Hexagon can represent strengths and weaknesses of a cloud business, and several cases are presented with rationale explained. We present four cases with Hexagon models, which include Google, Amazon, Facebook, Apple and an anonymous UK NHS and an University. Apart from the qualitative approach, the quantitative approach we use is the Capital Asset Pricing (CAPM), which aim organisational sustainability and predicts how well firms perform. The OMII-UK data is used to demonstrate sustainability and study the impact on cloud businesses, and is presented by statistical computation, 3D visualisation and the Hexagon Model. This leads to development of Cloud Sustainability Framework (CSF), which measures cloud business performance. CSF is part of the Cloud Computing Business Framework (CCBF), which will be discussed in some extent. We believe that adopting an appropriate cloud computing business model will help organisations investing in this technology to stand firm at all times. R&D projects can benefit from applying the right business models and strategies.