PFH Office of the CTO Newsletter - Issue 2 - October 2024

Here is issue two of the PFH Office of The CTO Newsletter. This month, we spotlight a looming deadline for Irish businesses: the October 17th NIS2 Directive. While Ireland may miss this deadline, it’s important for IT managers and company directors to prepare now for new cybersecurity responsibilities. I also cover my recent trip to the Dell Solution Centre in Limerick. It was a trip where I saw a use for on-premises Gen AI that actually transcends the hype.

Additionally, I’ll pass on some thoughts from my colleague Ian O’Callaghan on his trip to the Ricoh Digital Operations Centre (DOC) in Poland.

Finally, I will summarise and provide a link to a recent webinar where Cormac Long, Alan McNamee, and I discussed Microsoft’s Azure Virtual Desktop solution and related technologies.

October 17th Deadline NIS2 Looms

The NIS2 Directive deadline is 17 October 2024. By that date, the requirements of NIS2 must be implemented into law by each EU member state. However, Ireland is expected to miss this deadline, but this should not be seen as a “stay of execution” for IT managers and company directors who will ultimately be held accountable for cybersecurity breaches under the new regulations.

NIS2, aimed at boosting cybersecurity across Europe, holds company leaders responsible for incidents, pushing businesses to improve their security measures. Despite the deadline, the Irish government has not implemented the legislation, and at this stage of the year, the law may not pass until 2025.

The National Cyber Security Bill 2024, which will transpose NIS2 into Irish law, is still in its early stages, with its progress through the Oireachtas dependent on further legal scrutiny. The Department of Communications is responsible for implementing the directive, with the National Cyber Security Centre designated as the lead authority to coordinate compliance across sectors, ensuring they are fully prepared for audits.

Although the legislative delay may provide some breathing room, Irish businesses are urged to take action now to ensure they meet NIS2 requirements when the law is eventually enacted.

Dell Digital Assistant - Bridging Gen AI Hype and Business Reality

I recently made a trip to the expanded Dell Solution Centre in Limerick . While there, I saw a demonstration of Generative AI (Gen AI) that might be the first one that moves the technology from hype into something tangible.?

I don’t know if you have been keeping up with the reports, news stories, and analyst chatter about Gen AI and Large Language Model (LLM) projects. We’re now almost two years on from ChatGPT bursting onto the scene, and in the interim, there have been lots of tests and pilot projects to see if organisations can use LLM technologies to solve business problems. Either directly via tools such as ChatGPT, Claude, or Gemini or by adding LLM-based Gen AI capabilities into other tools - such as those done by Microsoft with some of their CoPilot solutions and Grammarly with their generative AI Assistant.

Gartner predicts that at least 30% of Gen AI projects will be abandoned after proof of concept by the end of 2025 due to poor data quality, inadequate risk controls, escalating costs or unclear business value. Goldman Sachs released a deeply sceptical report in the summer on the cost-benefit of Gen AI. Basically, they say that the eye-watering investments in infrastructure to support Gen AI, approximately $1 trillion (€900 billion), is so high that Gen AI needs to solve highly complex business problems to justify the costs. But they say that it’s not designed to do that.?

Investors are starting to question the sums being spent, with the Futurism news site reporting that Investors Are Suddenly Getting Very Concerned That AI Isn’t Making Any Serious Money . The same site also reported on research that showed consumers were turned off by mentions of AI when considering using services or products. ?

That last point about people being wary of AI-based solutions when interacting with companies is especially relevant to what I saw in Limerick at Dell. Using Dell AI Factory with NVIDIA technologies, Dell built a customised chatbot that handled complex customer interactions in under an hour. They built this chatbot via Dell’s Digital Assistant solution , using private data stores that remain on the Dell AI Factory with NVIDIA hardware in your data centre. This ability to build Gen AI-based solutions without storing company data in third-party systems is a significant differentiating factor for the Dell AI Factory with NVIDIA product family.

During the demonstration session, the Dell team created a fully customised chatbot that had a deep knowledge of the organisation it was representing. The data used was collected by scraping publicly available information from the company websites. In total, the system that created the chatbot collected about 8 GB of data. This data was then processed by the LLM models included in the Dell AI Factory with NVIDIA software stack to create a knowledgeable and responsive digital assistant.

This might sound like any other run-of-the-mill chatbot that we’ve all had to use (with various levels of frustration). But what elevated the chatbot that Dell built and demonstrated to me that day was its ability to provide highly accurate and context-aware responses to complex questions that typical chatbots wouldn’t be able to handle. The Dell chatbot successfully fielded complex queries about the organisation’s services and locations, even adapting to requests for information in different languages, including Ukrainian and French. To emphasise again, it did this while using a private data store located on the Dell AI Factory with NVIDIA infrastructure.

The Dell Digital Assistant solution tackles various issues that have hindered the adoption of AI in enterprises. It presents a clear use case with immediate business value, requires minimal technical expertise to implement, and offers robust control over data sources and chatbot behaviour. For businesses interested in exploring Gen AI implementation, it provides a low-risk, high-reward opportunity that shows that with the right tools and approach, Gen AI can be accessible and immediately beneficial to organisations of all sizes.

I could go on and wax lyrically about how different this demonstration felt from other Gen AI uses and suggested use cases that haven’t come to fruition yet. For the first time in about 18 months of reading and thinking about Gen AI for business purposes, that day in Limerick felt like seeing the fog clearing to reveal a use case that was straightforward, achievable for businesses of all sizes, and at costs that are comparable to other IT investments in a company.

Rather than write more about the demo I saw, I’ll instead list the key features of the Dell Digital Assistant solution. This blog post is also a good read , and feel free to reach out to me to talk about the solution and opportunities. Arranging a day for a demo of the solution in Limerick would also be a good use of your time if you are investigating how Gen AI can help boost productivity in your business.?

Key Features:

• Rapid deployment - A functional chatbot can be created in as little as an hour.

• Data control - The solution uses only specified data sources, mitigating risks associated with pulling information from uncontrolled public forums.

• Customisable persona - The chatbot’s personality can be easily adjusted from empathetic to professional using simple slider controls.
• Multilingual capabilities - The assistant can seamlessly switch between languages as needed.
• Cost-effective implementation - The demonstrated setup required minimal hardware - just one server with a GPU and some storage.

Ian O’Callaghan Visits the Ricoh Digital Operation Centre in Warsaw

Ian O’Callaghan (Security Division Lead in PFH) writes: As you may have heard, PFH are now a member of the Ricoh group, and I recently had the pleasure of attending a group cybersecurity strategic workshop event at the Ricoh Digital Operations Centre (DOC) in Poland. This Ricoh event was attended by staff from many Ricoh locations and focused on Ricoh’s recent capability development efforts in the cybersecurity business area. There are lots of exciting announcements coming in the final quarter of 2024!

At the DOC, I had a chance to see the current cybersecurity capabilities provided to customers by the centre, as well as get a look at some of the upcoming services, which we’re excited to share with you over the coming months. I also got to meet up with business and technical experts from across the Ricoh group of companies. Including from many of the recent additions to the group alongside PFH. Here we all are in the pleasant Warsaw sunshine.

?Everyone in attendance brought unique IT security insights from their respective territories, enabling a valuable exchange of global cybersecurity knowledge. It was fascinating to hear how different regions approach threat detection and response, with some emphasising stringent data privacy regulations while others focused on countering sophisticated ransomware attacks. Good ideas can come from anywhere, and it’ll be good to use this global pool of knowledgeable experts to provide enhanced security services to PFH customers.

?A recurring theme across all discussions was the rapid evolution of cyber threats and the growing need for cross-border collaboration to stay ahead of attackers. Together, we explored how leveraging regional expertise and sharing intelligence can strengthen Ricoh’s overall security framework, allowing for more proactive defences and tailored strategies to safeguard sensitive data globally.?

I’ll share more when the new services and solutions are made public over the next few months. But in the meantime, my takeaway message is that by being part of the Ricoh group, we’ll be able to deliver top-notch industry-leading cybersecurity services across Ireland.?

Azure Virtual Desktop - Why It Should Be an Option You Consider

We recently held a Q&A-focused webinar on Azure Virtual Desktop (AVD) and why it should be on your radar when considering virtual desktop and other remote application delivery solutions. During the event, which you can watch via this Zoom recording link , Cormac Long (PFH Digital Workspace Specialist), Alan McNamee (Lead Azure Specialist), and I talked about AVD.?

As we outlined during the discussion, AVD is a cloud-based desktop virtualisation solution that offers a new approach to application delivery and remote access. It simplifies management, reduces vendor dependencies, and integrates seamlessly with Microsoft Entra (formally known as Azure Active Directory). AVD’s architecture comprises a management layer, customer subscription, and integration with other Azure services.

Common use cases for AVD include remote access for corporate employees, hybrid workers, and third-party staff. It serves as a viable alternative to traditional VDI platforms by providing a more distributed solution with easier deployment compared to legacy VPN systems. AVD’s scalability also makes it suitable for handling seasonal workforce fluctuations.

Security is a key focus of AVD, with the integration of Azure services for multi-factor authentication, conditional access, and device posture checks. It also works in conjunction with other Azure security services to ensure comprehensive protection.

Deploying AVD in the cloud offers several benefits over on-premises solutions, including enhanced scalability, cost efficiency, improved security, and robust high availability and disaster recovery capabilities. Organisations can leverage multiple session host pools in different geographical locations for added resilience.

Licensing and pricing for AVD require careful consideration. There’s a misconception that AVD is free, but organisations need to understand the pricing structure and potential hidden costs. However, AVD offers advantages such as no upfront costs and the ability to pay only for deployed resources. Cost optimisation strategies for AVD include using Windows 11 multi-session, understanding user workloads for better user density, and implementing auto-scaling and scaling plans. Tools like Azure Monitor and third-party integrations can help monitor and reduce expenses. The PFH team is here to help you make the right choices.

For successful AVD deployment, organisations should focus on thorough planning and design, understanding user personas and workloads, and preparing for potential challenges such as spiralling costs. As AVD continues to evolve, organisations should stay informed about future developments to maximise their investment in this technology.

One question we see asked in relation to AVD is how it compares to Microsoft Windows 365, as both enable the delivery of end-user computing. I won’t dive into the details of how these two Microsoft solutions compare and contrast here, but we are working on an article that does that. We’ll post that soon and link to it from next month’s newsletter. Keep an eye on our LinkedIn feed to get notified when we publish that article.

Final Thoughts

We welcome your feedback on the topics in this newsletter and on our blogs, posts, and videos. Get in touch if you want to ask a question or provide feedback. I’ll be back in early November with our next newsletter.

| From the PFH Office of the CTO |