Why the channel is the bottleneck to the cloud revolution

Grazed from ComputerDealerNews.  Author: Jeff Jedras.

The solution provider may be the biggest impediment to the cloud computing revolution fully taking hold, and much of the channel doesn’t have the resources or the structure to make the transition to doing business in the world of the cloud.

Those were among the takeaways on Wednesday as Bruce Stuart, channel financing model expert and president of channel consultancy Channelcorp, spoke to attendees at a seminar on channel economics as part of CDN’s 2013 Channel Elite Awards.  Cloud computing is going to have a significant impact on the channel, said Stuart. And the change isn’t in the technology; it’s in the business model…

“The most major structural change I’ve seen in 25 years is the move from transactional revenue to recurring revenue with the move to the cloud and managed services,” said Stuart. “The real issue here isn’t so much the technological change; we have experience with that. The most challenging issue is this change is going to have an irrevocable change on income sheets and partner cash flow.”…

Read more from the source @ http://www.computerdealernews.com/news/why-the-channel-is-the-bottleneck-to-the-cloud-revolution/29261