sponsored by Amadeus 1 © 2012 Amadeus IT Group SA By Professor Jim Norton Freng, 2 Open for Business: About the Author Professor Jim Norton His past roles include Chief Executive of the UK Radiocommunications Agency and Chairman of Deutsche Telekom Ltd. He is a respected adviser to governments, an independent director and has served on several notable enquires and commissions. He led the team that authored the report on ecommerce for the British Prime Minister and was a member of the IPPR’s Commission on National Security in the 21st Century. 2 © 2012 Amadeus IT Group SA FREng Beng Cdir CITP Ceng Deng LLD FloD FRSA is immediate Past President of the BCS – the Chartered Institute for IT, a board member of the parliamentary office of Science and Technology, Chief External Examiner for the Institute of Director’s Certificate in Company Direction and a trustee of the Foundation for information Policy Research. 3 Open for Business: About Amadeus Amadeus IT Group is a leading transaction processor and provider of advanced technology solutions for the global travel and tourism industry. First investor in R&D for the computer services and travel and tourism sectors (€340m in 2011) Currently using Open Source in key projects like Altéa Reservations, Inventory, Departure Control System, among others. We have sponsored this new white paper that urges the travel industry to embrace the benefits of open source software (OSS). 3 © 2012 Amadeus IT Group SA Committed both to Open Source and to thought leadership. 4 Open for Business: What is Open Source Software? 4 1.Open 2.Available 3.Unrestricted The standard must not withhold any detail necessary for the exchange and use of information. The standard must be freely and publicly available under royalty free terms at a reasonable cost. All patents essential to implementation of the standard must be licensed under royalty free terms for unrestricted use. © 2012 Amadeus IT Group SA In computing, open systems refers to systems built using OSS standards. They offer a good level of portability and independence from the hardware platforms on which they operate. The three characteristics of OSS are openness, availability, and no restrictions. 5 Open for Business: From closed to open systems The concept of open systems started around the late 1960s, where the first steps were taken to link different computer systems together across communications networks. Following this, attention turned to the attached computer systems. Most practical implementations lie somewhere on the spectrum between open and closed systems. 1. From virtualisation to cloud computing 2. Open systems success Almost all of the successful “Web” businesses launched in the last ten years have drawn on this base of Virtualised open systems, familiar names such as Google, Amazon, YouTube, Facebook and Twitter all operate in this way. 5 © 2012 Amadeus IT Group SA "Virtualisation" means a single mainframe computer can run separate instances of the same operating system at the same time; the creation of "Cloud Computing" from virtualisation came through the development of "orchestration", allowing many virtual machines to be managed across a range of physical hardware. 6 Open for Business: Cloud computing The combination of virtualised open systems plus sophisticated orchestration leads to the concept of purchasing computing capability as a utility: cloud computing. 1. Infrastructure Basic virtual machines, virtualised storage and network access are made available to users. 4. Business Process Complete suite of applications to perform a major business function. 2. Platform 3. Software Responsibility for the application software is transferred to the cloud service provider 6 5. Growth of the cloud Cloud Computing is the fastest growing service type in the outsourcing market (+48% growth last year, with total spending of $5bn). © 2012 Amadeus IT Group SA This adds a pre-configured operating system and middleware. 7 Open for Business: How does Amadeus use open systems? Altéa Customer Management System At the operating system level, Amadeus is successfully transitioning from proprietary systems to Linux to run its leading Altéa Customer Management System for airlines. Amadeus leading online innovations Leading innovations online, including e-Retail, Dynamic Website Manager and Extreme Search have been built with extensive use of open source components in ways that would not be possible using legacy components. Amadeus ARIA™ Templates – the framework upon which Amadeus IT Group’s web solutions are based – has recently been made open source, allowing third party developers to use it without charge. 7 © 2012 Amadeus IT Group SA Amadeus open source framework 8 Open for Business: Advantages for the business customer Faster responses to changing requirements Access to greater innovation Multi-system support Business organisations use a wide variety of current legacy systems all at different stages of their lifecycle. The ability, through open systems, to draw on an extensive range of standards and interfaces shared and developed over 20 years can be a key differentiator. © 2012 Amadeus IT Group SA The combination of open source software, open systems interoperability and open standards has created a community of shared research and development and a pooling of creative ideas. Those that show promise in testing and development are implemented and adopted more quickly Customer engagement and involvement and the influence of social networks place further demands on immediacy of process. Access to a range of cost effective development tools, ability to scale rapidly and access to a global knowledge base, all favour the use of the "open" approach. 8 9 Open for Business: Advantages for the provider Access to skilled, motivated and innovative staff: A whole generation has grown up with access to both the Internet and open source. They want to work freely with these systems and tools. Rapid adoption of new technology developments: New developments in hardware, network based storage and software are a regular occurrence. It is important to have timely access to these innovations which the open source community offers. Drawing on the global community: The open source community now numbers in the millions, and includes software architects, analysts, designers, programmers and key universities. There are extensive opportunities for collaboration. Avoidance of dependencies: Open Source limits restricted dependencies on single sources and therefore limits the pricing power. order to compare costs we have to consider the total cost of ownership (TCO) over the lifetime of use of the software. Industry lore is that a TCO saving of around 20% is achievable. Full visibility and confidence on the source code: Extensive public review and correction of the code can minimise the avenues for attack and offer a more rapid response and defense against attacks. 9 © 2012 Amadeus IT Group SA Lower total cost of ownership: Open Source is generally free to obtain, but in 10 Open for Business: Advantages for the traveller Greater choice and depth of services Open source both enables greater (as well as faster) innovation and additionally makes it possible to deliver services that would not be financially viable under the economic model of proprietary software. Functionality that would otherwise only be viable to provide on a limited scale or at a high price point – as it would be supported either by proprietary software or by manual activity – can be offered widely when supported by open source software. 10 © 2012 Amadeus IT Group SA Democratisation of services 11 Open for Business: Key findings OSS is now applicable in the most demanding real-time processing environments. Benefits for the business customer: o Greater innovation o Faster response to change o Ability to support heterogeneous systems. o Access to motivated and skilled development and support staff o Reduced cost of ownership and independency from Monopily suppliers Benefits for business providers: o Faster exploitation of new technology developments o Higher visibility and trust in the source code o Greater choice and depth of services o Democratisation of services The transition from closed to open systems represents a major integrity and fitness. Where key functions can move between countries or continents on demand, new approaches and working relationships are required. OSS and cloud computing will have a great impact in computing and informatics 11 © 2012 Amadeus IT Group SA Benefits for travellers: 12 Open for Business: For your information Find out more about Open Source Systems (OSS) on our corporate Blog, where you'll find a series of posts from different authors on this topic. Click on each icon to access the links 12 © 2012 Amadeus IT Group SA You can also follow Amadeus on: