Cloud Service Providers in 2017: The Rise of the Cloud Integrator
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1 Cloud Service Providers in 2017: The Rise of the Cloud Integrator Kevin Linsell Head of Service Development February 2014
2 02 Agenda Cloud Service Providers in 2017: The Rise of the Cloud Integrator The Market Today Market Challenges: The Cloud Service Provider View Future Options Cloud Integrator Explored Our View of the Future
3 The Market Today
4 04 Market Positioning Small scale: Startups etc > Bespoke & custom options > Shared cloud services Mid size: > Agility & ability to innovate Provider Revenue/ Size/ Scale Large: > Flexible commercial options Adapt CC, IBM, SCC Logicalis > UKMid-sized Enterprise base Savvis, Sungard Control Circle Rackspace > Financial security & stability > Personal service relationship > Proven track record Hyperscalers: Amazon Google Microsoft Agile & responsive Crowded market Longevity risk Established providers Personalised/ custom Compete with large Target big customers Well established Less personal/ custom Impersonal, inflexible Low cost, high perf. Broad appeal
5 05 Hot off the Press According to a VERY recent survey of 102 UK businesses: 53% 48% 75% do not believe that a single cloud provider is capable of meeting all of their requirements are planning to make big changes to their cloud(s) to accommodate their planned direction and growth in just the next 12 months do not feel that their cloud provider really understands their business
6 Market Challenges: A Cloud Service Provider View
7 07 Customer Requirements Price > Headline > Total cost > Complexity of comparing Security Availability Performance Service Quality Flexibility Multi Provider > Regulatory vs. best practice > Proactive vs. reactive > Responsibilities > Understanding impact on business > Affordability to business > Service vs Infrastructure > Measuring > Justifying > Assuring > Past experience > References > Business impact > Understanding > Partnership > One size does not fit all > Incumbents > Commercial flex > Avoid lock-in
8 Future Options
9 09 Future Paths for Cloud Service Providers Today s model Drive a lower price > Build & offer services > Differentiation becoming increasingly hard > Larger providers decreasing price, increasing features > Business acceptance of public cloud increases = commoditisation > Compete on price against larger providers/ public cloud > Also need to compete on features > Decreasing scenarios of differentiation: EU sovereignty etc Broker/ aggregator > Broker a range of providers (like an insurance broker) > Become a shop window > Relies on advisory services for repeat custom > What is the long term customer relationship/ affinity? Cloud integrator > Blended model > Focus on end customer service, take accountability > Operate & manage across a multi-cloud environment > Comparison tools and advisory services
10 Cloud Integrator Explored
11 011 Cloud Integrator Capabilities Provide services from multiple providers Service management accountability Portability Service selection > Hyperscalers > Reporting > Initial service placement > Requirements capture > Incumbent &/ or 3 rd party providers > Own cloud services > On & off customer premise capability > Monitoring & management > Configuration management > Requests > In-life service movement > Dynamic service movement > Comparison tools > Cloud advisor > Dedicated environments > Capacity & performance > Legacy infrastructure > Billing > Change Control
12 012 Capability Overview Customer Service Management Accountability Hyperscalers Incumbent/ 3rd Party Providers Service Provider Cloud On Premise Services Dedicated Services Legacy Infrastructure Portability
13 013 Benefits #1 Improved Price Transparency #2 Right Placement of Services #3 Ongoing Advisory Services #4 Service Accountability #5 Flexibility > Ability to compare > Broad options of providers > Confidence in solution > One hand to shake > Will service legacy solutions > Understanding how requirements impact price > Security, performance, availability & DR criteria assessed > Granular selection; not one service fits all > Avoid lock-in > Justification through assessment transparency > Partner rather than supplier > Understanding of business > Can expand to include incumbent/ 3 rd party providers > Commercially flexible, able to blend all services &/ or transformations
14 014 Challenges Ability to keep up with market Service management Portability/ mobility Service selection & comparison > Capabilities & prices changing frequently > Pick which providers & solutions to offer? > Technology diversity > Technicalities of monitoring multiple platforms > Reporting / billing integration is challenging > Commercial relationship not always possible > Different hypervisor technology (NetApp Project Shift, Abiquo, Cisco InterCloud etc.) > Storage replication (Amazon Direct Connect) > Needs to be valued & trusted > Very difficult to compare apples with apples > Ideally should be an industry-wide approach > Adapt is working on an approach to be released to the open community for contribution & collaboration
15 015 Cloud Compare Framework Two elements: o o Capturing requirements Rating a cloud offering Do both and you can match a requirement to a solution Requirements: Keep it simple with 4 criteria: 1. Performance 2. Availability 3. Disaster Recovery 4. Security Rating: Similar to the European ECO labels o ABC1, BAE3, etc
16 016 Cloud Compare Framework: Next Steps Will be releasing as a draft over the next 4-6 weeks Looking for contributors Intention to make this an open forum All feedback welcome Meet the Adapt Stand 619!
17 2017: Our View of the Future > Expect the unexpected; be prepared to change direction > What you sell today may be commoditised, superseded or niche > There is more than one route; no single route will be the right one > Explore future options with your customers; what do they want?
18 What will the role of IT in your business look like in 2017? Take part in our poll at Stand 619 and enter the draw to win an ipad Air What s your view? #CEE14
19 Thanks for Listening Any questions? e:
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