Click here to close now.


@CloudExpo Authors: Liz McMillan, Pat Romanski, Elizabeth White, Jayaram Krishnaswamy, Gregor Petri

Related Topics: @CloudExpo, Java IoT, Microsoft Cloud, Containers Expo Blog, Agile Computing, Cloud Security, @BigDataExpo, SDN Journal

@CloudExpo: Article

Cloud Business Models of the (Near) Future

Evolving Cloud Broker Models

The cloud is often touted as the answer to all our problems. It offers countless possibilities, from increased agility and reduced costs for enterprises, to a revenue lifeline for service providers as they take their first steps toward becoming a cloud broker. The cloud broker model can give service providers the chance to avoid commoditization by repackaging their own offerings together with cloud services and selling these to customers.

But cloud brokers beware. There's a risk of being a jack of all trades and master of none. It's crucial to ensure that a cloud offering is designed to meet the needs of a specific market. For example, enterprises and small/medium sized businesses (SMBs) will hardly subscribe to all cloud services from a single provider. So which approach is best for which target market?

Serving the needs of SMBs
For telcos with access to a large number of customers in the SMB space, the Software-as-a-Service (SaaS) broker is the best way to go. This allows telcos to leverage their broad customer access and sell SaaS applications to SMBs in addition to their carrier portfolio. SMBs will not only expect consolidated provisioning and billing but also an aggregation of services and federation of data across multiple SaaS applications provided by the broker.

CloudItalia, a company combining telecommunication and cloud computing services specifically dedicated to small and medium enterprises in Italy, as an example, is offering a core set of services that are vertically focused and aimed specifically at the SMB customer segment. This approach is all about providing pre-packaged services that, as much as possible, are a `no brainer' for SMBs to work with. MashApp tools are critical here. They provide the capability to build services by creating mash-ups of the business applications SMBs are most likely to require such as Together with orchestration tools this allows users to build the exact services they require. Because the cloud service provision component is based on the company's existing telecom business with its own network, this gives CloudItalia's customers particular benefits.

Forrester's Forrsights survey data showed that at the end 2012, on average nine different SaaS applications were used at the same time in a single business. This will increase to 13 by the end of 2013. This requires a higher automation of billing and integration among all SaaS applications used, including a flexible subscription approach for individual employees. All of these challenges are potential value propositions for future SaaS brokers.

The enterprise approach
Enterprises seriously moving to cloud infrastructure require a mixture of multiple cloud infrastructure services, very likely from multiple providers. Systems integrators (SIs) and dedicated cloud infrastructure providers will get the most out of becoming Infrastructure-as-a-Service (IaaS) brokers. Providing dynamic sourcing across public, virtual private and private clouds, this broker model leverages temporary spare capacity on-premise and combines it with spot price offerings of virtual private or public cloud providers. Cloud infrastructure offerings vary by reliability, price, local presence of data centers, legal compliance, performance and many other characteristics. SIs can retain or establish customer relationship with these enterprise buyers by offering the full portfolio of their own cloud services and reselling public cloud IaaS from others. Infrastructure broker services add a unique value and make the multi-provider portfolio consumable.

According to Forrester's Forrsights Hardware Survey, nine percent of all enterprises today use a hybrid cloud infrastructure, mixing a private cloud with an external cloud provider. This number is expected to increase to 26 percent by 2015, and Forrsights data indicates that half of that group will be using sophisticated cloud management such as policy-driven provisioning. This group will drive the adoption of infrastructure broker services in the future.

A unified future
It is possible that a single company might deliver multiple cloud broker models, as a ‘unified cloud broker.' A sophisticated business process-driven provisioning framework, which supports the dynamic sourcing of both infrastructure and SaaS applications, would obviously provide a huge synergy for providers looking forward to a unified cloud broker. Technology vendors and their ecosystem of partners are getting ready to deliver this spectrum. However, it takes a cloud provider at least a year to merge discrete broker services into a unified cloud broker business model and technology stack. This is one reason that we are yet to see any unified cloud broker offerings on the market. But watch this space, it won't be long. At that time, the cloud's countless possibilities will be much more of a reality.

More Stories By Matt Davies

Matt Davies is senior director of product marketing at Cordys, the enterprise cloud platform. He is involved in all areas of product messaging, technical positioning, communication both internal and external regarding Cordys products, and helping shape where the Cordys strategy goes next. He is on Twitter @mattdavies_uk.

@CloudExpo Stories
SYS-CON Events announced today that G2G3 will exhibit at SYS-CON's @DevOpsSummit Silicon Valley, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Based on a collective appreciation for user experience, design, and technology, G2G3 is uniquely qualified and motivated to redefine how organizations and people engage in an increasingly digital world.
Apps and devices shouldn't stop working when there's limited or no network connectivity. Learn how to bring data stored in a cloud database to the edge of the network (and back again) whenever an Internet connection is available. In his session at 17th Cloud Expo, Bradley Holt, Developer Advocate at IBM Cloud Data Services, will demonstrate techniques for replicating cloud databases with devices in order to build offline-first mobile or Internet of Things (IoT) apps that can provide a better, ...
As the world moves towards more DevOps and microservices, application deployment to the cloud ought to become a lot simpler. The microservices architecture, which is the basis of many new age distributed systems such as OpenStack, NetFlix and so on, is at the heart of Cloud Foundry - a complete developer-oriented Platform as a Service (PaaS) that is IaaS agnostic and supports vCloud, OpenStack and AWS. In his session at 17th Cloud Expo, Raghavan "Rags" Srinivas, an Architect/Developer Evangeli...
SYS-CON Events announced today that Secure Infrastructure & Services will exhibit at SYS-CON's 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Secure Infrastructure & Services (SIAS) is a managed services provider of cloud computing solutions for the IBM Power Systems market. The company helps mid-market firms built on IBM hardware platforms to deploy new levels of reliable and cost-effective computing and hig...
SYS-CON Events announced today that Harbinger Systems will exhibit at SYS-CON's 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Harbinger Systems is a global company providing software technology services. Since 1990, Harbinger has developed a strong customer base worldwide. Its customers include software product companies ranging from hi-tech start-ups in Silicon Valley to leading product companies in the US a...
As more and more data is generated from a variety of connected devices, the need to get insights from this data and predict future behavior and trends is increasingly essential for businesses. Real-time stream processing is needed in a variety of different industries such as Manufacturing, Oil and Gas, Automobile, Finance, Online Retail, Smart Grids, and Healthcare. Azure Stream Analytics is a fully managed distributed stream computation service that provides low latency, scalable processing of ...
In his session at @ThingsExpo, Tony Shan, Chief Architect at CTS, will explore the synergy of Big Data and IoT. First he will take a closer look at the Internet of Things and Big Data individually, in terms of what, which, why, where, when, who, how and how much. Then he will explore the relationship between IoT and Big Data. Specifically, he will drill down to how the 4Vs aspects intersect with IoT: Volume, Variety, Velocity and Value. In turn, Tony will analyze how the key components of IoT ...
When it comes to IoT in the enterprise, namely the commercial building and hospitality markets, a benefit not getting the attention it deserves is energy efficiency, and IoT’s direct impact on a cleaner, greener environment when installed in smart buildings. Until now clean technology was offered piecemeal and led with point solutions that require significant systems integration to orchestrate and deploy. There didn't exist a 'top down' approach that can manage and monitor the way a Smart Buildi...
Cloud Foundry open Platform as a Service makes it easy to operate, scale and deploy application for your dedicated cloud environments. It enables developers and operators to be significantly more agile, writing great applications and deliver them in days instead of months. Cloud Foundry takes care of all the infrastructure and network plumbing that you need to build, run and operate your applications and can do this while patching and updating systems and services without any downtime.
SYS-CON Events announced today that Interface Masters Technologies, provider of leading network visibility and monitoring solutions, will exhibit at the 17th International CloudExpo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Interface Masters Technologies is a leading provider of high speed networking solutions focused on Gigabit, 10 Gigabit, 40 Gigabit and 100 Gigabit Ethernet network access and connectivity products. For over 20 ye...
Redis is not only the fastest database, but it has become the most popular among the new wave of applications running in containers. Redis speeds up just about every data interaction between your users or operational systems. In his session at 17th Cloud Expo, Dave Nielsen, Developer Relations at Redis Labs, will share the functions and data structures used to solve everyday use cases that are driving Redis' popularity
For almost two decades, businesses have discovered great opportunities to engage with customers and even expand revenue through digital systems, including web and mobile applications. Yet, even now, the conversation between the business and the technologists that deliver these systems is strained, in large part due to misaligned objectives. In his session at DevOps Summit, James Urquhart, Senior Vice President of Performance Analytics at SOASTA, Inc., will discuss how measuring user outcomes –...
SYS-CON Events announced today that Machkey International Company will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Machkey provides advanced connectivity solutions for just about everyone. Businesses or individuals, Machkey is dedicated to provide high-quality and cost-effective products to meet all your needs.
SYS-CON Events announced today that HPM Networks will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. For 20 years, HPM Networks has been integrating technology solutions that solve complex business challenges. HPM Networks has designed solutions for both SMB and enterprise customers throughout the San Francisco Bay Area.
The enterprise is being consumerized, and the consumer is being enterprised. Moore's Law does not matter anymore, the future belongs to business virtualization powered by invisible service architecture, powered by hyperscale and hyperconvergence, and facilitated by vertical streaming and horizontal scaling and consolidation. Both buyers and sellers want instant results, and from paperwork to paperless to mindless is the ultimate goal for any seamless transaction. The sweetest sweet spot in innov...
SYS-CON Events announced today that DataClear Inc. will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. The DataClear ‘BlackBox’ is the only solution that moves your PC, browsing and data out of the United States and away from prying (and spying) eyes. Its solution automatically builds you a clean, on-demand, virus free, new virtual cloud based PC outside of the United States, and wipes it clean...
In recent years, at least 40% of companies using cloud applications have experienced data loss. One of the best prevention against cloud data loss is backing up your cloud data. In his General Session at 17th Cloud Expo, Bryan Forrester, Senior Vice President of Sales at eFolder, will present how organizations can use eFolder Cloudfinder to automate backups of cloud application data. He will also demonstrate how easy it is to search and restore cloud application data using Cloudfinder.
Data loss happens, even in the cloud. In fact, if your company has adopted a cloud application in the past three years, data loss has probably happened, whether you know it or not. In his session at 17th Cloud Expo, Bryan Forrester, Senior Vice President of Sales at eFolder, will present how common and costly cloud application data loss is and what measures you can take to protect your organization from data loss.
According to Forrester, public cloud platforms are evolving, blurring the lines between Software as a Service (SaaS), Infrastructure as a Service (IaaS), and Platform as a Service (PaaS) in order to satisfy the needs of enterprises and widen their appeal to developers. In The Forrester Wave™: Enterprise Public Cloud Platforms, Q4 2014, Forrester evaluates the 16 most significant Enterprise Public Cloud Platforms and details how each vendor fulfills the 19 evaluation criteria points.
The cloud has reached mainstream IT. Those 18.7 million data centers out there (server closets to corporate data centers to colocation deployments) are moving to the cloud. In his session at 17th Cloud Expo, Achim Weiss, CEO & co-founder of ProfitBricks, will share how two companies – one in the U.S. and one in Germany – are achieving their goals with cloud infrastructure. More than a case study, he will share the details of how they prioritized their cloud computing infrastructure deployments ...