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The cloud computing twister is picking up speed, wreaking havoc on both businesses and solution providers that are not getting with the cloud program.
That was the big takeaway Wednesday from a cloud integrator forum panel at UBM Channel's Best of Breed (BoB) Conference aimed at helping solution providers retool for the cloud computing era.
"We see the rate of change accelerating," said Ron Dupler, the CEO of GreenPages, a Kittery, Maine-based national cloud integrator that has made big investments in a cloud management platform. "We see today very large corporations with internal mandates to get their SAP environments out into the cloud immediately. That is pretty important. That is their family jewels."
Dupler said he sees more intense pressure than ever before on solution providers and customers sticking with the old IT model. "If you are a CIO of an organization that isn't on the move and reacting and deploying these solutions today, you have got intense pressure on you," said Dupler. "To me, every force in the market is driving this. Whether you are VMware, HP, Cisco, a solution provider or a customer, the rate of change is putting pressure on everybody to adapt, and the organizations that do that well are going to win."
The pressure on old IT models was highlighted Tuesday with both Intel and IBM being hit by a hardware sales falloff. Intel Tuesday reported that third-quarter PC sales "grew approximately half of the seasonal norm." IBM, meanwhile, said its third-quarter hardware product sales from its Systems and Technology business were down 13 percent in the third quarter.
"We are now starting to see the shift we have been talking about for the past several years, where people stuck to old paradigm revenue models are going to feel increasing pressure," added Dupler. "Any company that is living off a product-centric revenue stream and dependent on that for their profitability and success better be on the move, or they are going to be gone."
Dupler said the pressure on those that have not made the move to embrace the cloud is only going to get more intense. "It is going to start as a pain in the leg, and all of a sudden they are going to have to amputate their leg," he said.