This document summarizes challenges facing cloud service providers as customers increasingly demand "need-based" solutions that shift operating risks to providers. It discusses how disappearing upfront fees, shrinking top lines, and shorter purchase cycles force providers to bear more capital and operating expenses. It recommends that providers diversify their business, manage geo-distribution of infrastructure, avoid long-term support commitments, and strive to create longer-term contracts to maintain profitability in this changing landscape.
ISVs in the Cloud, considerations for a successful transitionSwyx
ISVs transitioning to a SaaS business model should have three key considerations: 1) to avoid infrastructure, 2) which platform and 3) how to fund working capital.
Decision Matrix: Selecting a Multichannel Cloud Contact Center VendorLiveops
This report explores the marketplace for hosted contact centers services in the US, with particular emphasis on the ability of service providers to handle multichannel customer interactions. It compares vendors based on the strength and currency of their technology platform, the views of their customers, and the impact that each company has in the marketplace.
ISVs in the Cloud, considerations for a successful transitionSwyx
ISVs transitioning to a SaaS business model should have three key considerations: 1) to avoid infrastructure, 2) which platform and 3) how to fund working capital.
Decision Matrix: Selecting a Multichannel Cloud Contact Center VendorLiveops
This report explores the marketplace for hosted contact centers services in the US, with particular emphasis on the ability of service providers to handle multichannel customer interactions. It compares vendors based on the strength and currency of their technology platform, the views of their customers, and the impact that each company has in the marketplace.
Whitepaper channel cloud computing paper 1Ian Moyse ☁
In this first paper we shall cover
Why the cloud is i • mportant to you as a reseller
• The evolution of cloud computing
• How cloud solutions will change the channel landscape
Building the Business Case for Migrating to AWS - AWS Summit SydneyAmazon Web Services
While cloud has become the new normal for organisations of all sizes, many IT executives and budget owners continue to struggle to articulate the business value of moving to the cloud in terms that resonate with the board and c-suite. In this session, we will walk through the impact of cloud computing on the overall IT cost base. We will also cover what the typical non-cost benefits are, and how they can be measured and communicated. Finally, we will provide an overview of the tools and support to help you on the journey.
Zuora case study covers research conducted around Zuora's Growth and use of cloud to become pioneer in Enterprice SaaS Applications. Zuora’s applications are designed to automate billing, commerce, and finance operations.
#SaaS is proving to be a game-changer with its cost-saving advantages for businesses of all sizes. But that's not it. Watch on to explore the possibilities.
Mr Omkar Malage, Senior Industry Analyst, Frost & Sullivan, tells us how #SaaS is shaping businesses by making technology more affordable, accessible, secure, and adaptable.
Tata Tele Business Services has a wide range of SaaS. Be technology ready with our state-of-the-art solutions:
1. Hosted IVR - https://bit.ly/2ZqjQI5
2. Hosted OBD - https://bit.ly/2YmTCKb
3. Digital Survey - https://bit.ly/2YEBJG4
4. Live Chat - https://bit.ly/2SZlvlL
5. Document Management System - https://bit.ly/2HmVCbP
Visit our website to know more about our Connectivity, Collaboration, Security, Cloud-and-SaaS, IoT and Marketing Solutions: https://www.tatateleservices.com/
Like. Comment. Share.
Place your business enquiries here: http://bit.do/eN9Tj
Follow us on social media:
Facebook: http://bit.do/eHacx
LinkedIn: http://bit.do/eHacN
Twitter: http://bit.do/eHacP
Instagram: http://bit.do/eHacT
YouTube: https://bit.ly/31nHxS9
In this decl from the 2014 HPC User Forum in Seattle, Charlie Gonzales from IBM presents: The IBM Platform Cloud Service.
Watch the video presentation: http://wp.me/p3RLHQ-d9j
The CLOUD. For techies - it is as real as an ashtray - to the non technical - it is invisible - can't be held in your hand or described - find out what all the chatter is about!
Babson College CIM Software-as-a-Service PresentationJeffrey Kaplan
Presentation given to a CIO group at Babson College November 21, 2008, examining the rapid growth of the SaaS market and the IT/business implications of the on-demand services market.
Cloud services brokerages evaluating the business caseSteve Crawford
Jamcracker presentation discusses the Cloud Services Brokerage model, and key factors to consider in evaluating the opportunity. Use-cases include communications and IT providers / distributors as well as enterprise IT organizations.
If CSPs want to live in "the best of times" after automating and virtualizing their network, they will turn their attention to virtualized value-add services distribution and their supporting managed services as new streams of revenue.
This presentation is on importance on Cloud Computing, Service Delivery Platforms in shaping the service delivery and consumption in a networked world, detailing how cloud and SDP solution providers should address the market requirements and how to sell such solutions to both to Operators and Enterprises, it is generic in nature but applies to specific issues in North America and Latin America.
This is about networked future, that applications ( services) to consumers what will be driving revenue for any business in the future. Connectivity will soon become a commodity, The future is in how one can address end users service demands in a cost efficient, dynamic, efficient and specialized way with evolving technology and requirements of speed and flexibility, and interoperability. On Anywhere, Anytime, Any device.
This Presentation was done to HP CMS Management in January 2013
Cloud technology is no longer a new player in the market,
but it’s a mature and integral part of the IT landscape and a
key parameter in driving business growth. It is an
indispensable topic among CXOs. A research by Fraedon has
found that almost half of the banks find their legacy
systems to be the biggest hindrance in their growth.
Whitepaper channel cloud computing paper 1Ian Moyse ☁
In this first paper we shall cover
Why the cloud is i • mportant to you as a reseller
• The evolution of cloud computing
• How cloud solutions will change the channel landscape
Building the Business Case for Migrating to AWS - AWS Summit SydneyAmazon Web Services
While cloud has become the new normal for organisations of all sizes, many IT executives and budget owners continue to struggle to articulate the business value of moving to the cloud in terms that resonate with the board and c-suite. In this session, we will walk through the impact of cloud computing on the overall IT cost base. We will also cover what the typical non-cost benefits are, and how they can be measured and communicated. Finally, we will provide an overview of the tools and support to help you on the journey.
Zuora case study covers research conducted around Zuora's Growth and use of cloud to become pioneer in Enterprice SaaS Applications. Zuora’s applications are designed to automate billing, commerce, and finance operations.
#SaaS is proving to be a game-changer with its cost-saving advantages for businesses of all sizes. But that's not it. Watch on to explore the possibilities.
Mr Omkar Malage, Senior Industry Analyst, Frost & Sullivan, tells us how #SaaS is shaping businesses by making technology more affordable, accessible, secure, and adaptable.
Tata Tele Business Services has a wide range of SaaS. Be technology ready with our state-of-the-art solutions:
1. Hosted IVR - https://bit.ly/2ZqjQI5
2. Hosted OBD - https://bit.ly/2YmTCKb
3. Digital Survey - https://bit.ly/2YEBJG4
4. Live Chat - https://bit.ly/2SZlvlL
5. Document Management System - https://bit.ly/2HmVCbP
Visit our website to know more about our Connectivity, Collaboration, Security, Cloud-and-SaaS, IoT and Marketing Solutions: https://www.tatateleservices.com/
Like. Comment. Share.
Place your business enquiries here: http://bit.do/eN9Tj
Follow us on social media:
Facebook: http://bit.do/eHacx
LinkedIn: http://bit.do/eHacN
Twitter: http://bit.do/eHacP
Instagram: http://bit.do/eHacT
YouTube: https://bit.ly/31nHxS9
In this decl from the 2014 HPC User Forum in Seattle, Charlie Gonzales from IBM presents: The IBM Platform Cloud Service.
Watch the video presentation: http://wp.me/p3RLHQ-d9j
The CLOUD. For techies - it is as real as an ashtray - to the non technical - it is invisible - can't be held in your hand or described - find out what all the chatter is about!
Babson College CIM Software-as-a-Service PresentationJeffrey Kaplan
Presentation given to a CIO group at Babson College November 21, 2008, examining the rapid growth of the SaaS market and the IT/business implications of the on-demand services market.
Cloud services brokerages evaluating the business caseSteve Crawford
Jamcracker presentation discusses the Cloud Services Brokerage model, and key factors to consider in evaluating the opportunity. Use-cases include communications and IT providers / distributors as well as enterprise IT organizations.
If CSPs want to live in "the best of times" after automating and virtualizing their network, they will turn their attention to virtualized value-add services distribution and their supporting managed services as new streams of revenue.
This presentation is on importance on Cloud Computing, Service Delivery Platforms in shaping the service delivery and consumption in a networked world, detailing how cloud and SDP solution providers should address the market requirements and how to sell such solutions to both to Operators and Enterprises, it is generic in nature but applies to specific issues in North America and Latin America.
This is about networked future, that applications ( services) to consumers what will be driving revenue for any business in the future. Connectivity will soon become a commodity, The future is in how one can address end users service demands in a cost efficient, dynamic, efficient and specialized way with evolving technology and requirements of speed and flexibility, and interoperability. On Anywhere, Anytime, Any device.
This Presentation was done to HP CMS Management in January 2013
Cloud technology is no longer a new player in the market,
but it’s a mature and integral part of the IT landscape and a
key parameter in driving business growth. It is an
indispensable topic among CXOs. A research by Fraedon has
found that almost half of the banks find their legacy
systems to be the biggest hindrance in their growth.
Is cloud computing right for your businessTyrone Systems
The cloud, cloud computing, SaaS…like it or not, we hear these terms mentioned incessantly in the technology and business world. And for a good reason – the benefits of cloud computing are vast.
Businesses around the globe are facing fierce competition – no matter the country, industry, or customer. Digitalization, sophisticated consumers with increasing demands, and lower margins are causing organizations to adapt their businesses, products, and services in response.
These companies are looking high and low for new growth opportunities, better business models, cost-cutting options, and increased efficiency in ways that standardize and simply their businesses from one end to the other.
Major Disruption! (Report)
Cloud computing is disrupting more than our technological norms. It is also creating new business models and new ways of working together.
KEY MESSAGES
• Cloud computing is disrupting more than our technological norms. It is completely transforming the way businesses interact, people collaborate, and business models are designed.
• Both within and outside the IT sector, companies are capitalising on the changing landscape by using and offering cloud services. This allows them to meet customer expectations, operate in a more agile fashion,
and develop new revenue streams.
• As a result of these changes, companies are becoming both consumers and providers, sometimes simultaneously.
• New business models and changing customer expectations will lead to increased competition and declining revenue and profit opportunities
unless companies proactively change—and continue to change—their understanding of the market and their role in it.
• Survival—not to mention profitability and long-term viability—depends on a company's ability to transform its business models and go-to-market structures.
• Unfortunately, the majority of companies continue to pursue their traditional approaches, failing to satisfy customers and therefore missing out on revenue opportunities.
Maybe you can already recite the sales pitch for cloud computing in your sleep—how it’s faster, more flexible, and economical than amassing your own servers on site. But, as Joe Weinman argues in “Rethinking the Benefits of Cloud,” that’s just scratching the surface. In this exclusive white paper, Weinman, author of Cloudonomics: The Business Value of Cloud Computing, explores some of the overlooked—and more nuanced—business benefits of moving workloads to the cloud, such as faster innovation, global expansion, and customer satisfaction.
MSP Industry Brief - From Break / Fix to Recurring Revenue Madeline Titcomb
This industry brief highlights the industry and technology trends impacting MSPs now and in the future. It highlights ways for MSPs to take advantage of the cloud to create new revenue streams, address customer needs, and grow recurring
revenue for greater profitability and less volatility.
To prosper in this new environment insurance companies can look to the cloud, in conjunction with other technologies, to help drive reinvention of their business model to offer new services and create direct, multi-channel relationships with customers
Taking the Next Step in CTRM Cloud SolutionsCTRM Center
In the last decade, a quiet revolution has occurred within the E/CTRM (Energy/Commodity Trading and Risk Management) software category as vendors and users have increasingly adopted the cloud-computing model. This move has been driven by demand largely for more affordable E/CTRM software as reflected by a lower total cost of ownership. Increasing regulatory and shareholder scrutiny has meant that even smaller commodity traders need to abandon spreadsheets and similar unstructured and difficult to audit tools in favor of more robust solutions. However, even the smallest of commodity trading companies has pretty broad and complex requirements meaning that they actually still require a fully-fledged application to meet their needs, but one that fits within a budget that reflects the size of their business.
In recent years, consumer and business cloud-based applications have begun to catch on and that familiarity does seem to have benefited the E/CTRM in the cloud market as well, as customers are now much more familiar with the benefits than they were 5 years ago. It is important to note that it’s not just the smaller commodity traders that see the potential benefits of a cloud-based solution either. Recent ComTech research suggested that, in general, all buyers of E/CTRM software are increasingly open to considering alternatives to the traditional “on premises” implementation model. While a small, but committed, minority continue to resist anything but the traditional on-premises implementation approach, the overwhelming majority of respondents will consider cloud deployment for a variety of vertical application areas in and around commodity trading.
The purpose of this first edition of the Market Trends Report is to shed light on the way digital technologies reshape trade finance, a sector which often does not get as much publicity as B2C financial services.
Given that disruption often comes from adjacent sectors or from the application of an existing technology to a new field, we found it essential to begin with a broad analysis of the latest trends before zooming in progressively on financial services and on trade finance specifically.
The report is structured around four chapters, starting from the general core techno trends, and converging towards the changes impacting the trade finance ecosystem:
1- Core techno trends, business model and social changes
2- Disrupted industries, changes in the way we live and work
3- FinTech disrupt (and partner with) banking and insurance
4- Conclusion: Trade Finance is also ripe for disruptive innovations
We really hope that you will like this Market Trends Report and that you will find it useful. When you read it, please keep in mind that it is still being refined. We welcome your feedbacks, insights and suggestions.
The retail industry in the past few years has been a witness to an exponential rise, a recessionary downfall and a subsequent comeback. The industry today is thriving and has been recording new heights and opening up new business avenues and channels. The growth of the industry however has been plagued by several challenges. This whitepaper attempts to clarify these challenges, predominantly the IT challenges, by offering an understanding of cloud computing, and the business benefits it can bring.
A model demonstrating why SaaS is the best option for banks when accessing technology. Credit Risk systems are key interface points for bankers and an ideal case study. Banks have long ago realised owning property is not a good use of capital, and the logic is more compelling for a fast depreciating asset like software.
Future of Work Enabler: Flexible Commercial ModelsCognizant
As companies adopt more flexible approaches to business process service delivery, they are also moving to new outcome-based payment models that support how businesses need to operate today. (An installment in our multipart series on the shifts necessary for future-proofing your company.)
Introduction to network quality arbitrageMartin Geddes
Many large operators have expressed a desire to undertake disruptive change, and we have often proposed an agenda for such change. What typically happens is that, after several rounds of engagement, we observe that there is little mainstream organisational appetite to engage in disruption. Why so?
The main reason is a perception gap between the current state of the art (which any leading operator delivers) and our understanding of the state of the possible (which most operators are very far from). This gap exaggerates the risks of engaging in disruption, and underestimates the potential rewards.
Another reason is that our industry as a whole implicitly believes that network service quality is a matter of detecting and rectifying ‘faults’. This framing inhibits the consideration of the alternative paradigm of networks as resource trading spaces. As a result, the significant ‘quality arbitrage’ that exists in all IP networks is not visible.
Operators face the risk that others will exploit the arbitrage opportunity, to their serious commercial disadvantage. This has happened before, e.g. with TDM and the rise of ISPs, and is happening now with SD-WAN. We propose that a larger multinational operators need to proactively initiate the disruption via a new business unit.
Dr. Carsten Lehmann, Managing Director at IMAP Germany shares valuable insights into the key factors affecting company valuations in M&A, using the IT & Software sector as an example.
3. 3
Abstract
Cloud service vendors are facing new
challenges in today’s IT landscape. As the
global economy struggles to emerge from
the financial crisis,customers are demanding
“need-based” solutions that shift operating
risks almost entirely to the service provider.
Vendors who can address such demands
without hampering their ROI are the ones
that will emerge ahead of competition.
Introduction
Cloud computing first emerged as time-sharing of large mainframe
computers in academia or businesses. Sharing of physical access and
CPU time gave a greater return on investment by reducing idle time.
Today, cloud can mean any of several different things -- ranging from
storage space, processing power, CRM systems to email managers.
A cloud service provider can be anyone who provides a service to
enterprise or individual clients.
As the global economy tries to wriggle out of the financial crisis, cloud
computing assumes a greater significance. Businesses are increasingly
opting for a need-based purchase model for their IT requirements.This
means that they no longer want to spend in advance for their future
technology needs.The implication of this for the service providers is that
they can no longer depend on large upfront fees for revenues. In fact, as
customer preferences change, they might opt out of the service before
the provider is able to realize adequate returns on the initial investment.
4. 4
ShrinkingTop Line and
Purchase Cycles
Businesses are facing risks to their revenue streams due to changes in
customer tastes, number of users, etc.These risks are further aggravated by the
fact that purchase cycles are getting shorter by the day. Three year sub-
scription periods are being replaced by annual or even monthly cycles,forcing
CSVs to bear nearly all capital (CAPEX) as well as operating expenses (OPEX).
Stay the Course
To alleviate challenges associated with today’s need-based consuming
patterns, cloud service providers can work on ways to mitigate risks.
Managing geo-distribution is another way to control risk.
Cloud vendors typically provide technology stacks in partnership with
other firms.They might have sub-contracts or rental agreements with
such partners. By making sure that they have access to resources
local to their clients, they can better manage the geo-distribution
of the overall infrastructure.This can make it easier to scale-up and
scale-down their business at each location.
For starters, they can diversify their business. Service
providers should try to reach out to as many customers as
possible and in as diverse markets as possible. Diversification can
be achieved by altering the product (or service) portfolio and also
by marketing existing products to new customers. Even the most
popular social networking app runs the risk of become obsolete
if it satisfies a very specific need. A better replacement can easily
encroach upon its user base.
Disappearing Upfront Fees
Traditionally, service contracts involved an upfront commitment from
the client and continued service delivery from the cloud provider.
However, as services become increasingly more commoditized and
the market more competitive, a subtle change has come about. Clients
are becoming averse to paying large upfront fees for service contracts,
instead, opting for fee structures directly based on consumption or
usage. The spot pricing model recently introduced for Amazon Web
Services (AWS) is a typical example. Users only need to provide a
credit card number to start using the cloud computing platform that
includes exchange hubs and industry supply-chain services.
The problem gets compounded if companies want to court the individual
consumer with their service offering.This is because the consumer space
is typically characterised by demand seasonality or phases of peaks and
troughs. For instance, mobile phone carriers typically see a surge in app
downloads around the December holiday season, but demand drops
in the work months of January and February. Video game companies
generally see a jump in sales around sports events, creating a significant
degree of unpredictability in revenues through the year.
Similarly, as blockbuster style items hit the markets, infrastructure may
become overwhelmed momentarily. The last few iPhones were so
popular that Apple Store servers came crashing down at the time of
their release. Service providers must ensure that they have the capacity
to deal with such surges, but their infrastructure spending should not be
so high as to make a dent in return-on investment.
All this means that cloud service providers have to bear a greater risk
related to talent acquisition, capital expenditure, equipment purchases,
etc.They have to ensure that they can match the client demand pattern
as closely as possible. If they ramp-up their infrastructure too fast then
their profitability will be hampered. If they are too slow, they could
invite penalties for not meeting the requirements.
It is here that service partners can help offload some of the business
risks.In fact,if organizations are alert to the changing scenario,challenges
stemming from need-based consumerism can be transformed into
revenue generation opportunities. Indeed, there is a huge, yet largely
untapped, market for services that allow clients to “buy what is needed,
only when needed.”
5. 5
CSPs can avoid long-term support commitments to
keep risks at bay.In an environment where customers can come
and go as they please, vendors have little to gain from offering long-
term support commitments. Support, even if it is paid, generally
slows down innovation.To avoid this, most CSVs only maintain“one
version ahead” and “one version behind” its current production
platform, decommissioning any older software. Customers must
upgrade in order to continue using the platform.This is particularly
relevant to the high-tech computing space for which continuous
innovation is important.
Firms must strive to create longevity of revenue. As cost
of compute continues to reduce every year, vendors can enhance
profitability by making it attractive for customers to commit to
longer-term contracts. Margins might be low in the initial stages
because of incentives added to make the customer commit for a
longer period. However, as the vendor’s costs reduce over time,
profitability will rise. AWS is again a good example of this practice.
Start-ups will be attracted by the little upfront fees and sign up for,
say, a one-year contract.This would allow Amazon to net a healthy
profit over the course of the contract.
Changing Landscape
Today’s brand landscape is very different from the one 10 years ago.
Consumerization of IT means votes are cast with dollars spent. Properly
setting the course to deliver a value-platform can catapult a new brand
to the top of the pecking order.While a poorly thought out plan can push
them out of the market.The CSVs should adopt one or more strategies
to maintain a healthy level of profitability and risk even while keeping-up
with increasing customer demands.To shift the balance of investment and
returns, the opportunity realized in both revenue and risk avoidance will
need to be translated into hard balance sheet numbers for CSVs.
6. 6
About the Author
Robert Bates
SMAC Architecture Group Head,AdvancedTechnologies & Solutions
Robert Bates is the head of Wipro Technologies Global SMAC Architecture Team. As the principal technical advisor and lead to the Wipro Advanced
Technologies & Solutions organization, Robert is responsible for advising on all service design, delivery and technology programs. He and his team evaluate
and recommend co-investment customer research programs. Robert is a veteran technology leader, performance advisor and a business architect with a
deep background in process and technology stacks. His technical experience includes technology strategy, enterprise architecture, operations, information
management, solution/product development and process/technology selection.
7. 7
About Wipro Ltd.
Wipro Ltd. (NYSE:WIT) is a leading Information Technology, Consulting and Business Process Services company that delivers solutions to enable its
clients do business better.Wipro delivers winning business outcomes through its deep industry experience and a 360 degree view of “Business through
Technology” - helping clients create successful and adaptive businesses. A company recognized globally for its comprehensive portfolio of services, a
practitioner’s approach to delivering innovation, and an organization wide commitment to sustainability,Wipro has a workforce of over 140,000, serving
clients in 175+ cities across 6 continents.
For more information, please visit www.wipro.com