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HP's Converged Cloud Covers Public, Private, Hybrid Services

By Jack McCarthy
April 10, 2012    12:01 AM ET

Page 2 of 2

One analyst said HP’s converged approach will offer an attractive package for businesses with varying needs.

“HP is in a great position to be a player in cloud services. HP supports private clouds of its clients and can host their systems on an out-sourcing basis,” said Al Hilwa, Program Director Applications Development Software for IDC. “Providing a public cloud service complements these competencies and has the potential to make them a one-stop-shop for enterprises.”

For partners, HP Cloud Services allows them to build private, public or hybrid systems for their clients, Singh said. “Our goal is to enable them to easily go to market with this,” he said. “We want to allow them to leverage our OpenStack, HP services and HP software, and all the other pieces. We’re giving our partners a lot of choices.

However, as the cloud services model promises to alter the nature of technology services, one partner says the revenue model also remains unclear.

Bob Venero, founder and CEO of VAR 500 solution provider Future Tech of Holbrook, N.Y., said specific rules for apportioning revenue and profit through cloud arrangements with HP, particularly for large firms like his, need to be better defined.

“HP Converged Cloud is going to give us more options to established players like Amazon and Google,” Venero said. “But for companies like Future Tech, which serve the large market, what is the competitive landscape when we sometimes compete with HP in larger accounts?”

Venero said he is reserving judgment while he is studies guidelines set out by HP. “We have to see what the engagement process looks like. There needs to be definitions around the program,” he said. “Will there be a negotiation process that helps partners wanting to bring opportunities to HP?”

Hilwa agreed that pricing will be key for partners. "This is good for partners as they will now have more options, though much depends on the pricing of the services,” he said.



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