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BoB Conference: Cloud Computing Wreaking Havoc On Old IT Models

By Steven Burke
October 17, 2012    3:59 PM ET

Page 2 of 2

Cloud integrators on the panel said they are benefiting from the increased pace of businesses adopting cloud computing models.

Ira Bell, the COO of Nimbo, a New York cloud integrator, said businesses are embracing the cloud to find new ways to reach their customers." The talk about infrastructure puts me to sleep," said Bell. "I don't know of any CIO bragging about the fact that they keep email up and running. What they care about is new applications or something that helps them reach their customers in new ways."

Rafi Moskowitz, a partner with Network Doctor, a New York solution provider advising small business customers with 20 to 100 employees, said he is winning by advising small businesses on the risk and rewards of moving to the cloud. "We are in the boardroom with senior management getting involved from the beginning on building out a cloud strategy," he said.

Dave Rice, the CTO of TrueCloud, a NetSuite ERP software-as-a-service (SaaS) partner, said he is seeing big cloud sales adoption from small and midsized business that are looking to upgrade from on-premise applications like Peachtree or Intuit accounting software. "A lot of these customers have been underserved," said Rice. He said those customers are embracing the ability to get a robust enterprise-class cloud ERP solution on a per-user subscription model.

New Signature, a Washington D.C. cloud integrator, is driving big cloud sales growth by doing the intense, no-nonsense economic analysis on which applications to move to the cloud, said Christopher Hertz, the founder and CEO of New Signature.

"CIOs sometimes look at the lowest hanging fruit, which is a red herring," said Hertz. "The easiest [application] to move [to the cloud] might be email, but the highest value may be CRM or ERP. CIOs are distracted by low hanging fruit and instead should be focused on where they can get the highest value by moving to the cloud."

Solution providers that have not shifted their business model in the last several years to embrace the cloud are "getting crushed right now," said Hertz.

"Anyone in this marketplace not growing at double digits has a problem because right now the entire business world is transforming their infrastructure to move to the cloud," he said. "How could you not have double digit growth? This is the biggest wave of cash hitting our industry in the last two decades."

PUBLISHED OCT. 17, 2012

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