Last week we submitted an award entry on the problem our technology solves. I thought it was an interesting question as sometimes companies forget the simple explanation of what they solve. As such, today’s blog post shows how we answered this question.
What Problem Does Your Technology Solve?
No enterprise is predicting internal IT growth, instead enterprises are turning to service providers to provide private, hybrid and public cloud based IT. With a $30 billion market opportunity, and exponential growth predicted, we firmly believe this is the decade of the cloud service provider as enterprises turn to them to provide their cloud infrastructure.
The challenge here is that many service providers have not yet created their cloud business. Instead, many have dressed up their existing infrastructure to appear as cloud. Our software helps these service providers to build their cloud services business by providing on-demand, fully automated provisioning. But it does more than that; it helps organisations seize the business opportunity by providing a path to adapt and capture the market opportunity, offers competitive differentiated services, provides new revenue streams, achieve productivity gains and to move to higher margin offers.
Over the last few weeks, we’ve posted about some of our forthcoming speaking slots at Cloud Expo Europe.
Our last session as the premier sponsors of the event is ‘Don’t Federate – Differentiate’ on Tuesday, 29 January 2013, 15.35 – 16.00 in the Service Provider – Business Theatre.
Over the last few years we’ve been through it all; a recession, an economic recovery, a double-dip recession, etc. Business has been good and bad, but hopefully you’ve made it through. For the cloud service provider, the opportunity was clear even amidst the recession. Back in December 2011, Chris Mellor, storage editor at the Register wrote an article ‘Recession could spell the triumph of the cloud service provider.’ In it he argues:
“…that the coming economic difficulties could be the trigger for the migration of IT services away from in-house IT departments to the cloud service provider because the reduced costs of doing so will be compelling.”
Fast-forward to today and we have a mixed bag approach where private, public and hybrid cloud solutions are being implemented across the globe. Some will argue that private cloud is the way forward, others that public or hybrid cloud will be the solution of choice. You can read our thoughts on that here.
Last week I posted my first blog in a series “8 Compelling Reasons why you need Cloud Orchestration” to highlight why anyone building a commercial cloud services business needs a fit for purpose, service provider ready, cloud orchestration solution.
Today, I’m going into more details around the third compelling reason – to differentiate products and service and build defensible positions.
Historically, many service providers simply provided the traditional hardware or perhaps the virtualised solution for their customers. However ‘the times they are a changing’ and with the predicted increase in demand and a competitive market, service providers wanting to offer cloud services need to provide cloud in a way that is compelling and differentiated. This is particularly important if you want your revenue streams to have any longevity and remain defensible. After all, why would you want to build a business on a commoditised offer where the dominant strategy is to compete based on the lowest price?
This week I was reading some blog posts in InfoWorld, Cloud Computing Blog by David Linthicum. David is a frequent blogger offering advice on both the private and public cloud.
One recent blog post is of particular interest – ‘Shadow IT’ can be the cloud’s best friend – the blog focuses on how employees within an organisation, responsible for profit centres will acquire and manage IT resources outside the control of corporate IT. David comments:
… IT needs to face reality: For the past three decades or so, corporate IT has been slow on the uptake around the use of productive new technologies.