FD Insights Issue 4 | Page 42

2013 The 2013 Microsoft Hosting Summit The Microsoft Hosting Summit is an annual event held in Seattle, USA which provides an opportunity for leaders across the industry to connect and share ideas on how to expand and build new services, drive innovation, and create new business opportunities within the hosting industry. We take a look at some of the major points which emerged from this conference. T he theme for this year’s event was Changing the Game which in this instance refers to leveraging the massive scale of the cloud and the ability to meet unique customer requirements. Keynotes and breakout sessions from the event focussed on identifying both the immediate and future opportunities for hosting partners to accelerate their growth. The goal was to ensure that Microsoft’s hosting partners were bringing innovative thinking to the services they provide, and areas of focus included: Building platforms that provide the ability to scale - and automate the provisioning of the resources required to move existing applications, in addition to developing next-generation applications designed for the cloud. - Gaining new customers by leveraging Microsoft and partners’ combined ability to deliver the cloud’s benefits across the variety of models. Eugene Saburi, General Manager of Server & Tools Hosting for Microsoft mentioned that a disruptive technology shift such as cloud computing typically causes a lot of churn in the marketplace, and that there are great economic benefits for customers and plenty of opportunities for vendors who are agile enough to embrace the transition in a thoughtful way. He added that at Microsoft, this transition sets the underpinnings for their Cloud OS initiative, where customers have the flexibility to deploy their infrastructure and applications in the location that best suits their needs – be it their own datacentre, Windows Azure or in a hosted datacentre – and simply have it all work together. Eugene also added that with over 20 000 partners and a business growing four times faster than their on-premises business, the hosting business, and more specifically the partners who deliver those solutions, are an indispensable part of Microsoft’s strategy in the Server & Tools group. ©2013 Microsoft Corporation. All rights reserved. 40 | www.firstdistribution.co.za Microsoft also recently commissioned research titled The New Era of Hosted Services. The study highlights big opportunities for hosting partners in the next two years in the areas of customers, cloud, and applications. Key findings include: Cloud: The new cloud opportunity for hosting service providers is to help customers leverage the cloud to grow their business. This is a change from previous years, when cloud was largely seen as a cost-cutting measure. According to the survey, more than 52 percent of organisations identify the cloud as beneficial for either growing their business or realigning their organisation to a new company strategy. Customers: The next two years will represent the era of hybrid cloud – defined as the interoperability of private and public cloud – as customers look to this consumption model to facilitate growth. Research indicates that 68 percent of customers plan to adopt hybrid cloud models in the next two years; up from 49 percent today. Applications: Software is sticky, and brand is important. The survey revealed that two-thirds of software-as-a-service customers use software online that they had previously installed on-premises. This highlights a significant opportunity for hosting service provider partners to offer customers Microsoft software that they trust in a cloud environment. Judging from the positive statistics quoted throughout the event and the enthusiasm with which strategic managers wholeheartedly endorsed it, Microsoft clearly believes that placing the cloud at the centre of business IT is changing the opportunities for Microsoft hosting partners to provide cloud services and solutions.