How Cloud Computing Service Management is Evolving
Grazed from SocialMediaToday. Author: David H. Deans.
Cloud service management is going to become yet one more segment of the legacy enterprise software sector that’s being affected by the ongoing adoption of open-source software subscription models. The shift in end-user IT consumption preference to cloud services will trigger disruption and pressures old-school Infrastructure Management (IM) software vendors on two fronts, according to the latest market study by Technology Business Research (TBR).
Cloud consumption models rely on subscription revenue. The revenue recognition patterns for subscriptions are in stark contrast to the expensive software vendor license models that include ongoing maintenance support agreements, generally purchased after the first year of deployment. The shift to subscription models negatively impact margins as traditional IM software vendors shift go-to-market and delivery strategies to align with end-user consumption preferences — and the growing demand for a lower-cost IT operations model…
Read more from the source @ http://www.socialmediatoday.com/technology-data/2015-03-01/how-cloud-computing-service-management-evolving



Silicon Valley’s cloudy outlook for software Relevant Products/Services grew stronger in 2014, as Salesforce and Workday sales continued to pile up, and investors bet Wednesday that the growth will continue in 2015 and beyond.