More SMB Love Needed

CloudCamp Federal @ FOSE

By G C Network | February 9, 2009

Sign up now CloudCamp Federal @ FOSE, March 10,2009, 3pm – 8:30pm at the Walter E. Washington Convention Center, 801 Mount Vernon Place NW , Washington, DC. As a follow-up…

Thank You NVTC “Cool Tech” and TechBISNOW !!

By G C Network | February 6, 2009

Thank you to Dede Haas, Chris D’Errico and the Northern Virginia Technology Council for the opportunity to speak at yesterday’s NVTC “Cool Tech” Committee meeting! The Agilex facilities were awesome…

A Significant Event in Cloud Interoperability

By G C Network | February 6, 2009

On Jan 20th, GoGrid released it’s API specification under a Creative Commons license. “The Creative Commons Attribution Share Alike 3.0 license, under which the GoGrid cloudcenter API now falls, allows…

Booz|Allen|Hamilton & Dataline Sponsor 2nd Government Cloud Computing Survey

By G C Network | February 4, 2009

Dataline, Booz|Allen|Hamilton and the Government Cloud Computing Community have teamed together to sponsor the 2nd Government Cloud Computing Survey. Cloud Computing has come a long way since the first survey six months…

Gartner Lays Out 7-year Plan for Cloud Computing

By G C Network | February 3, 2009

According to Gartner’s new report, cloud computing will go through three phases over seven years before it will mature as an industry; – Phase 1: 2007 to 2011 — Pioneers…

Cloud Interoperability Magazine Launches

By G C Network | February 3, 2009

My congratulations goes out today to Reuven Cohen on the launch of Cloud Interoperability Magazine. The site will focus on Cloud Computing, standardization efforts, emerging technologies, and infrastructure API’s. As the new…

Why Can’t We Eliminate the “Technology Refresh” RFP?

By G C Network | February 2, 2009

In order to maintain life cycle and technology, the Navy is upgrading server farms at fifteen (15) sites and any future sites throughout the Far East, Europe and Middle East…

Cloud & the Government Session at Cloud Computing Expo

By G C Network | January 29, 2009

Earlier this week I announced that I will be presenting at SYS-CON’s 2nd International Cloud Computing Conference & Expo in New York City this coming March 30-April 1, 2009. During…

CSC and Terremark target US Government with Cloud Computing

By G C Network | January 27, 2009

Today’s announcement by CSC reinforced the strong wave of cloud computing towards the Federal space. Ranked by Washington Technology Magazine as 9th largest (by contract dollar value) government contractor, this…

Should my agency consider using cloud computing?

By G C Network | January 26, 2009

This is clearly the question on the minds and lips of every government IT decsionmaker in town. Why should a government agency even consider cloud computing?  In reality, the decision…

 

 

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.)

 

 

Cloud Musings

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