More SMB Love Needed

Why the Cloud? Processing, Exploitation and Dissemination

By G C Network | October 23, 2008

So why is the intelligence community so interested in cloud computing? Three letters: PED (Processing, Exploitation, Dissemination). Take these two real life examples from the publishing industry. Jim Staten of…

World Summit of Cloud Computing: “Enterprise Cloud Computing” work group

By G C Network | October 22, 2008

To leverage attendees of the World Summit of Cloud Computing, a kick-off meeting of the “Enterprise Cloud Computing” work group will be held near Tel Aviv, Israel on December 3,…

Cloud Package Management

By G C Network | October 21, 2008

In his post “Missing in the Cloud: package management“, Dave Rosenberg highlights a critical issue in the adoption of cloud computing by government agencies. “I dare say that a standard…

PlugIntoTheCloud.com

By G C Network | October 20, 2008

Information Week has just launched PlugIntoTheCloud.com as their cloud computing destination. In his Non Linear Thinking blog, Bill Martin calls it a movement aimed at “providing a source and forum…

Is the cloud computing hype bad?

By G C Network | October 17, 2008

From Gartner “Why a little cloud hype might be useful“: “It’s too simplistic to say cloud hype is bad . If we are technically expert is might irritate us with…

Stop the FUD (Fear, Uncertainty and Doubt) !!

By G C Network | October 16, 2008

Dan Morrill! Count me in !! In his excellent article, “Cloud Computing is Scary – But the FUD Has to Stop“,  Dan makes some excellent points: It is time to…

IBM, Microsoft and Google

By G C Network | October 15, 2008

On October 6th, IBM launched their cloud services initiative. This is a:  “[C]ompany-wide initiative that extends its traditional software delivery model toward a mix of on-premise and cloud computing applications…

Government in the Cloud

By G C Network | October 13, 2008

Back in mid-September, there was quite a thread in the Google Cloud Computing Group on the use of cloud computing by the federal government.  Some of the interesting comments were:…

CloudCamp Partners With SOA-R !!

By G C Network | October 10, 2008

I’m proud to announce that the final SOA-R Cloud Computing Education Event will be held in collaboration with CloudCamp. Now dubbed CloudCamp:Federal, the event will be held as an “unconference” to help…

Federal Cloud Computing Wiki

By G C Network | October 9, 2008

With the fast growing interest in cloud computing, the Federal Government community has established a Federal Cloud Computing Wiki. This wiki is managed by Dr. Brand Niemann, Senior Enterprise Architect…

 

 

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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