The Channel logo

News

By | Paul Kunert 20th June 2011 14:37

IDC warns resellers of ticking cloud time bomb

Channel may be blown away as cloud migration speeds

IDC has warned resellers that migration to public and private clouds is happening more rapidly than expected, and they need to gear up for it or risk becoming irrelevant.

Figures out today show that early adopters forked out $560m (£345m) on cloud professional services worldwide last year, but by 2015 the number cruncher estimates the market will have ballooned to $8.2bn (£5bn).

"We don't expect everything to go to the cloud, but the early adopters are likely to move a majority of their IT to cloud within the next five years, and the vast majority will follow suit within a few years," said IDC research director Mette Ahorlu.

The resulting proliferation of hybrid IT delivery models will inflict management and integration pain on businesses, which will turn to relevant channel partners for help.

Around a quarter of these professional services will be deployed as part of outsourcing contracts and channel partners in most demand will straddle both camps - traditional on-premise and as-a-service providers.

"There is a huge migration and integration task ahead, which is good news for service providers, who can expect their traditional revenue to start falling because cloud services are so standardised," said Ahorlu.

The fallacy that cloud is "plug and play" will be swept away, she added, and resellers will need to gear up internally for a wave of questions from confused customers.

"Another important point is that service providers need to prepare for the rapidly growing request for cloud professional services and have the resources available," said Ahorlu.

"Right now, demand is mainly for business cases and roadmaps, requiring both business competence and architectural competence, but on a limited scale. But in a just slightly longer time frame, most if not all consultants need to understand cloud.

"Vendors have substantial investments ahead of them in creating the necessary capabilities to support this rapidly evolving market." ®

comment icon Read 11 comments on this article alert Send corrections

Opinion

Lightning

Jack Clark

Just as Jeff Bezos did to books and CDs, Amazon's rivals are now doing to it
Microsoft CEO Satya Nadella
ARA_LIbertad

Chris Mellor

Elliott Management sinks its teeth into retiring godhead

Features

Failure to crack next-gen semiconductors threatens to set back humanity
SMEs get lip service - what they need is dinner at the Club
SAP Match Insights
Vorsprung durch grossendatatechnik, as we like to say in Germany
Inside the Google Lab where surgeons prepare the human/dog experiment
Big Blue exec tells El Reg what to keep an eye on