Cloud Solution Provider Paradox: Promise and Problems
April 30, 2016
Grazed from ChannelInsider. Author: Michael Vizard.
The cloud solution provider faces a complicated paradox: There is no shortage of opportunities—or obstacles—in this burgeoning field. This irony, though common in the business world, is particularly pronounced in the channel. The movement of workloads in the cloud challenges business models that many solution providers have relied on for decades. A key issue for companies in the channel, including cloud MSPs, is finding the spots where they can add value.
However, as cloud computing continues to mature, those spots are becoming more apparent. Although spending for "the greater cloud"—including software as a service (SaaS), platform as a service (PaaS) and MSP cloud solutions—is projected to exceed $500 billion by 2020, IDC reports that more than half of cloud service revenue is now generated indirectly via one channel or another…
Rather than merely reselling Microsoft Office 365 or infrastructure-as-a-service (IaaS) offerings from Amazon Web Services (AWS), cloud solution providers are becoming more sophisticated about where they can add value. In general, those places fall into two main categories. The first is to combine products and cloud services in a way that creates a unique solution. The other is to help customers integrate a broad array of services…
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