More SMB Love Needed

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Review: Executive’s Guide to Cloud Computing by Eric Marks and Bob Lozano

By G C Network | January 26, 2010

Recently, I had the privilege of reviewing an advance copy of Executive’s Guide to Cloud Computing by Eric Marks and Bob Lozano. Available now for pre-order on Amazon, this guide is a…

DoD Cloud Computing Session at 5th International Cloud Expo

By G C Network | January 22, 2010

I’m happy to announce that I will be presenting on DoD Cloud Computing Advances at the 5th International Cloud Expo, April 19-21, 2010 at the Javits Convention Center in New…

InformationWeek Prediction: Cloud Computing for Classified Software

By G C Network | January 20, 2010

Yes, I know you’re sick of all the predictions, but I just can’t resist pointing you to Nick Hoover’s “5 Predictions For Government IT in 2010“. In summary: 1. Cybersecurity…

“Shaping Government Clouds” Just Released

By G C Network | January 12, 2010

As part of the On The Frontlines series, Trezza Media Group has just released it latest on-line electronic magazine. “Shaping Government Clouds” includes: Pete Tseronis, Chairman of the Federal Cloud…

Fed Tech Bisnow: If Nostradamus Did RFPs?

By G C Network | January 6, 2010

Nostradamus may no longer be with us, but check out the “beltway” predictions from Tech Bisnow! “Two hot trends almost all mentioned: early uptick on M&A and cloud computing ubiquity”…

Navy CANES and Cloud Computing

By G C Network | January 4, 2010

During the first quarter of 2010, the Navy is expected to make the first selection for the Consolidated Afloat Network Enterprise System (CANES). CANES is just one component of the…

GovCloud, “Cloud Musings” rated “Influential” by Topsy

By G C Network | January 3, 2010

Log in with Twitter A search engine powered by tweets My sincere appreciation and thanks goes out to Topsy for rating my tweets as “Influential”! Topsy is a new kind…

Jill Tummler Singer Appointed NRO CIO

By G C Network | January 1, 2010

Effective January 1, 2010, Jill Tummler Singer will take the reigns as CIO for the National Reconnaissance Office (NRO). As the CIA Deputy CIO, Ms Tummler has been a proponent…

Most Influential Cloud Bloggers for 2009

By G C Network | January 1, 2010

Thank you Ulitzer and SYS-CON Media for naming me to your list of the most influential cloud computing bloggers for 2009. My hearty congratulations go out to the other bloggers…

2009: The Government Discovers Cloud Computing

By G C Network | December 23, 2009

2009 was truly a watershed year for Federal information technology professionals. After inaugurating the first Cyber-President we saw the appointment of our first Federal CIO and the rapid adoption of…

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In a recent post, titled “10 Surprising Facts About Cloud Computing and What It Really Is”, Zac Johnson highlighted some interesting facts about cloud computing in the SMB marketplace:

Cloud Computing is up to 40 times more cost-effective for an SMB, compared to running its own IT system.
94% of SMBs have experienced security benefits in the cloud that they didn’t have with their on-premises service
Recovery times for SMB are four times faster for businesses using cloud computing when compared to those not utilizing cloud services.
For SMB, energy use and carbon emissions could be cut by 90% by using cloud computing, saving the environment and energy costs.

These advantages show a strong indication that SMB information technology should be dominated by the adoption of cloud computing services. Although one of the most prominent of these cloud services is Microsoft’s Office 365 (O365), a recent survey cited by CIO.com suggests that 83% of U.S. small and medium businesses (SMBs) have yet to use any form of O365. If cloud services can deliver such remarkable improvements, why are SMBs holding back?

According to the survey, part of the reason is that SMBs often lack the required internal resources needed to analyze the cloud migration opportunity. This type of analysis often requires the testing of multiple cloud-based business and productivity services as well as more focused attention on data protection capabilities. Many SMB executives see cloud computing as nothing but marketing hype and are more focused on running their businesses. Cloud services may also be perceived as being very confusing, technically overwhelming, and even frightening. Another key technical challenge is dealing with a more sophisticated networking environment that may require virtual private network (VPN) management and remote infrastructure access.

The networking challenge is further exacerbated by the requirement to support a distributed mobile workforce with secure mobile device access to company network resources. NETGEAR is making an impressive bid to address this challenge by their recent release of a new line of small business switches, access points, and NAS devices equipped for native cloud management via a new mobile application. The app, called Insight, is designed to let administrators or unskilled end users discover and configure multiple wired and wireless network devices. The users can then monitor and manage these network resources remotely through an intuitive touchscreen interface. Insight is designed to fill a critical gap in the networking market for simple SMB solutions that provide robust functionality.

Switching from software or CPU license-based pricing to the subscription-based utilization models offered by cloud service providers can also require an SMB to conduct a careful economic analysis of the change. This change can potentially divert finance and IT staff from their core jobs. The reality is that most cloud services aren’t designed for SMB consumption. Small businesses are therefore likely postponing cloud migration because they don’t know where to start or don’t possess the internal resources to manage through the transition.

This small business industry challenge is bound to become harder. According to International Data Corporation (IDC), the small and medium business spending on IT hardware, software, and services, including business services, is expected to increase at a compound annual growth rate (CAGR) of 4.2%, reaching $668 billion in 2020.

As SMB cloud adoption grows, the need for more cloud transition support for the SMB marketplace will also continue to grow. As a historically underserved market, more SMB tailored cloud services and cloud adoption support are desperately needed. Unfortunately, the SMB market is typically seen as an afterthought by enterprise vendors, and small business solutions are designed as dumbed down versions of the enterprise solutions, let’s hope that more companies like NETGEAR will wake up and serve this clear and growing SMB marketplace need.

( This content is being syndicated through multiple channels. The opinions expressed are solely those of the author and do not represent the views of GovCloud Network, GovCloud Network Partners or any other corporation or organization.)

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