Welcome!

Cloud Expo Authors: Pat Romanski, Liz McMillan, Elizabeth White, Carmen Gonzalez, JP Morgenthal

Related Topics: Cloud Expo

Cloud Expo: Article

SMBs Are Looking to Cloud Service Providers for Bundled Cloud Services

Parallels Publishes New Industry Reports to SMB Cloud Insights Series

“We are pleased with the responses we are receiving from our service provider partners and will continue making a substantial investment in our expertise and knowledge initiatives,” said Birger Steen, CEO of Parallels, on the occasion of the publication of the latest report in the Parallels SMB Cloud Insights series.

Now entering its third year of annual publication, the research results continue to confirm that SMBs remain the fastest growing segment for cloud services and the optimal target market for service providers of all sizes, with the global market for SMB cloud services expanding at a 28 percent CAGR to $95 billion by 2015.

“Parallels SMB Cloud Insights research is core to our commitment to help service providers make both strategic and tactical decisions about the rapidly growing market for SMB cloud services,” Steen said.

In addition to offering the complimentary research reports, this year Parallels is furthering its investment in industry knowledge by enhancing its interpretations and conclusions of the data by leveraging a Kano analysis and conjoint analysis to provide guidance for optimizing cloud bundles and pricing strategies. Preliminary results from these deeper analytic efforts are being previewed at Parallels Summit 2013, and in-depth reports will be released later this year.

Some of this year’s Parallels SMB Cloud Insights research findings include:

  • Storage is a strong upsell opportunity for Infrastructure-as-a-Service providers, and 50 percent of SMBs are willing to pay more for increased storage.
  • Website building tools are a key way to differentiate service providers’ offerings. Currently, 22 percent of U.S. SMBs are building and managing their websites with such tools, and 30 percent report they plan to adopt website building tools by 2015.

The latest research reports include worldwide market sizing, forecast and penetration rates of SMB cloud services, along with country-level breakouts for the United States, Brazil and Mexico. Findings are being shared first with the attendees of Parallels Summit 2013 in Las Vegas, an annual event that attracts a global audience comprised of hosting partners, independent software vendors, systems integrators, industry analysts and press from across the world.

Additional Parallels SMB Cloud Insights research findings include:

  • Globally, the 2012 cloud services market has grown to $45 billion USD as at least 6 million SMBs entered the cloud market for the first time last year. The global market will continue to grow at 28 percent CAGR through 2015 to a forecasted $95 billion USD.
  • In the United States, the SMB cloud market is now $18.9 billion USD and is forecast to grow at a 19 percent CAGR through 2015. This growth is driven by SaaS applications, which saw 60 percent growth in 2012. Additionally, 68 percent of SMBs indicated they would prefer to buy their cloud services as part of a discounted bundle.
  • In Brazil, Parallels predicts the SMB market will grow by 33 percent year-over-year for the next three years, reaching $2.6 billion USD by the end of 2015.
  • In Mexico, the SMB cloud services market grew 30 percent last year and will continue to grow at 45 percent over the next three years, making it one of the world’s fastest growing SMB markets.

Parallels SMB Cloud Insights reports outline the cloud services that have the most current and future appeal for SMBs across four key categories: Infrastructure-as-a-Service (IaaS), Web Presence and Web Applications, Hosted Communication and Collaboration, and Business Applications (also known as Software-as-a-Service). The new Global, U.S., Brazil and Mexico reports mark the third year of ongoing research in the Parallels SMB Cloud Insights series, which now includes unique reports for 14 countries, including the United Kingdom, France, Spain, Germany, the Netherlands, Poland, China, India, Japan, Australia and Russia. Regional roll-ups are also available for Europe and Asia Pacific.

More Stories By Liz McMillan

News Desk compiles and publishes breaking news stories, press releases and latest news articles as they happen.

Comments (0)

Share your thoughts on this story.

Add your comment
You must be signed in to add a comment. Sign-in | Register

In accordance with our Comment Policy, we encourage comments that are on topic, relevant and to-the-point. We will remove comments that include profanity, personal attacks, racial slurs, threats of violence, or other inappropriate material that violates our Terms and Conditions, and will block users who make repeated violations. We ask all readers to expect diversity of opinion and to treat one another with dignity and respect.


@CloudExpo Stories
How do APIs and IoT relate? The answer is not as simple as merely adding an API on top of a dumb device, but rather about understanding the architectural patterns for implementing an IoT fabric. There are typically two or three trends: Exposing the device to a management framework Exposing that management framework to a business centric logic • Exposing that business layer and data to end users. This last trend is the IoT stack, which involves a new shift in the separation of what stuff hap...
SYS-CON Events announced today that Utimaco will exhibit at SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Utimaco is a leading manufacturer of hardware based security solutions that provide the root of trust to keep cryptographic keys safe, secure critical digital infrastructures and protect high value data assets. Only Utimaco delivers a general-purpose hardware security module (HSM) as a customiz...
SYS-CON Events announced today that SOA Software, an API management leader, will exhibit at SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. SOA Software is a leading provider of API Management and SOA Governance products that equip business to deliver APIs and SOA together to drive their company to meet its business strategy quickly and effectively. SOA Software’s technology helps businesses to accel...
Almost everyone sees the potential of Internet of Things but how can businesses truly unlock that potential. The key will be in the ability to discover business insight in the midst of an ocean of Big Data generated from billions of embedded devices via Systems of Discover. Businesses will also need to ensure that they can sustain that insight by leveraging the cloud for global reach, scale and elasticity.
SYS-CON Events announced today that ElasticBox is holding a Hackathon at DevOps Summit, November 6 from 12 pm -4 pm at the Santa Clara Convention Center in Santa Clara, CA. You can enter as an individual or team of up to 10 developers. A New Star Is Born Every Month! All completed ElasticBoxes will then be sent to a judging panel - 12 winners will be featured on the ElasticBox website in 2015. All entrants will receive five full enterprise licenses for one year + ElasticBox headphones + Elasti...
Once the decision has been made to move part or all of a workload to the cloud, a methodology for selecting that workload needs to be established. How do you move to the cloud? What does the discovery, assessment and planning look like? What workloads make sense? Which cloud model makes sense for each workload? What are the considerations for how to select the right cloud model? And how does that fit in with the overall IT tranformation? In his session at 15th Cloud Expo, John Hatem, head of V...
Cloud services are the newest tool in the arsenal of IT products in the market today. These cloud services integrate process and tools. In order to use these products effectively, organizations must have a good understanding of themselves and their business requirements. In his session at 15th Cloud Expo, Brian Lewis, Principal Architect at Verizon Cloud, will outline key areas of organizational focus, and how to formalize an actionable plan when migrating applications and internal services to...
SAP is delivering break-through innovation combined with fantastic user experience powered by the market-leading in-memory technology, SAP HANA. In his General Session at 15th Cloud Expo, Thorsten Leiduck, VP ISVs & Digital Commerce, SAP, will discuss how SAP and partners provide cloud and hybrid cloud solutions as well as real-time Big Data offerings that help companies of all sizes and industries run better. SAP launched an application challenge to award the most innovative SAP HANA and SAP ...
Ixia develops amazing products so its customers can connect the world. Ixia helps its customers provide an always-on user experience through fast, secure delivery of dynamic connected technologies and services. Through actionable insights that accelerate and secure application and service delivery, Ixia's customers benefit from faster time to market, optimized application performance and higher-quality deployments.
SYS-CON Events announced today that Calm.io has been named “Bronze Sponsor” of DevOps Summit Silicon Valley, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Calm.io is a cloud orchestration platform for AWS, vCenter, OpenStack, or bare metal, that runs your CL tools puppet, Chef, shell, git, Jenkins, nagios, and will soon support New Relic and Docker. It can run hosted, or on premise and provides VM automation / expiry, self-service portals,...
In her General Session at 15th Cloud Expo, Anne Plese, Senior Consultant, Cloud Product Marketing, at Verizon Enterprise, will focus on finding the right mix of renting vs. buying Oracle capacity to scale to meet business demands, and offer validated Oracle database TCO models for Oracle development and testing environments. Anne Plese is a marketing and technology enthusiast/realist with over 19+ years in high tech. At Verizon Enterprise, she focuses on driving growth for the Verizon Cloud pla...
SYS-CON Events announced today that Aria Systems, the recurring revenue expert, has been named "Bronze Sponsor" of SYS-CON's 15th International Cloud Expo®, which will take place on November 4-6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Aria Systems helps leading businesses connect their customers with the products and services they love. Industry leaders like Pitney Bowes, Experian, AAA NCNU, VMware, HootSuite and many others choose Aria to power their recurring revenue bu...
The Internet of Things (IoT) is going to require a new way of thinking and of developing software for speed, security and innovation. This requires IT leaders to balance business as usual while anticipating for the next market and technology trends. Cloud provides the right IT asset portfolio to help today’s IT leaders manage the old and prepare for the new. Today the cloud conversation is evolving from private and public to hybrid. This session will provide use cases and insights to reinforce t...
As Platform as a Service (PaaS) matures as a category, developers should have the ability to use the programming language of their choice to build applications and have access to a wide array of services. Bluemix is IBM's open cloud development platform that enables users to easily build cloud-based, creative mobile and web applications without having to spend large amounts of time and resources on configuring infrastructure and multiple software licenses. In this track, you will learn about the...
Blue Box has closed a $10 million Series B financing. The round was led by a strategic investor and included participation from prior investors including Voyager Capital and Founders Collective, as well as the Blue Box executive team. This round follows a $4.3 million Series A closed in December of 2012 and led by Voyager Capital. In May of this year, the company announced general availability of its private cloud as a service offering, Blue Box Cloud. Since that release, the company has dem...
SYS-CON Events announced today that Verizon has been named "Gold Sponsor" of SYS-CON's 15th International Cloud Expo®, which will take place on November 4-6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Verizon Enterprise Solutions creates global connections that generate growth, drive business innovation and move society forward. With industry-specific solutions and a full range of global wholesale offerings provided over the company's secure mobility, cloud, strategic network...
SimpleECM is the only platform to offer a powerful combination of enterprise content management (ECM) services, capture solutions, and third-party business services providing simplified integrations and workflow development for solution providers. SimpleECM is opening the market to businesses of all sizes by reinventing the delivery of ECM services. Our APIs make the development of ECM services simple with the use of familiar technologies for a frictionless integration directly into web applicat...
The only place to be June 9-11 is Cloud Expo & @ThingsExpo 2015 East at the Javits Center in New York City. Join us there as delegates from all over the world come to listen to and engage with speakers & sponsors from the leading Cloud Computing, IoT & Big Data companies. Cloud Expo & @ThingsExpo are the leading events covering the booming market of Cloud Computing, IoT & Big Data for the enterprise. Speakers from all over the world will be hand-picked for their ability to explore the economic...
Cloudwick, the leading big data DevOps service and solution provider to the Fortune 1000, announced Big Loop, its multi-vendor operations platform. Cloudwick Big Loop creates greater collaboration between Fortune 1000 IT staff, developers and their database management systems as well as big data vendors. This allows customers to comprehensively manage and oversee their entire infrastructure, which leads to more successful production cluster operations, and scale-out. Cloudwick Big Loop supports ...
To manage complex web services with lots of calls to the cloud, many businesses have invested in Application Performance Management (APM) and Network Performance Management (NPM) tools. Together APM and NPM tools are essential aids in improving a business’s infrastructure required to support an effective web experience… but they are missing a critical component – Internet visibility. Internet connectivity has always played a role in customer access to web presence, but in the past few years use...