OpSource, VCE Target Service Provider Public Clouds Through Partnership

Together the two companies will sell a joint cloud offering that gives service providers like telecoms, cable companies and carriers a pay-as-you-go public cloud service built on the VCE infrastructure stack with orchestration, bulling, API and user controls from OpSource, the companies said.

VCE, or The Virtual Computing Environment, comprises VMware, Cisco and VCE, who contribute networking, storage, compute and virtualization components to create a cloud and virtualization stack called a VCE Vblock. The OpSource-VCE partnership takes a specially-made VCE Vblock and adds the OpSource stack, which addresses user controls, provisioning, management and administration tasks like sing-up, billing, control and reporting, said OpSource CEO Treb Ryan.

"The new Vblock is for the hardware, infrastructure and virtualization and OpSource is doing the orchestration layer, all of the things that turn that Vblock into a cloud," Ryan said.

The joint cloud play is targeted at telecoms and service providers, who will use the OpSource-VCE cloud and build their services on top of it. The two companies will launch a joint marketing campaign and joint selling is already underway, Ryan said.

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Jon Beck, OpSource senior vice president of worldwide channels and alliances, added that the OpSource-VCE play compliments OpSource's partner ecosystem and will be made available through distribution and integration partners like Forsythe, Ingram Micro and Dimension Data.

The goal, Ryan said, is to help service providers create a predictable cost model to serve customers and to enable them to lower operating expenses, plan better, make deployments faster, minimize risk and create accurate billing.

"In one integrated solution, VCE and OpSource offer telecom and other service providers the technologies, services and capabilities needed to quickly and easily customize and turn-up cloud services for SMBs and multinational companies alike," Ryan said. "Together, we provide the level of support required, whether it is involvement at all stages of development or bundling the service as part of a white label offering."

OpSource's and VCE's joint cloud play for service providers comes as once traditional telcos and carriers are making a strong push in the cloud realm.

Last year, Verizon said a large portion of its roughly $17 billion growth investment would be flagged for cloud computing endeavors as the company spends to build, operate and integrate its networking and computing platforms. And earlier this year, Verizon bought cloud computing provider Terremark for a whopping $1.4 billion.

In the weeks that followed Verizon's Terremark acquisition, Time Warner Cable said it would purchase cloud hosting provider NaviSite for $220 million.

Then, in April, CenturyLink revealed plans to acquire cloud provider and hosting operator Savvis for a $2.5 billion cash and stock purse. As part of the deal, CenturyLink also agreed assume or refinance Savvis' $700 million in debt, pushing the total deal to $3.2 billion.

Last month, AT&T pledged to invest $1 billion in next generation services with cloud and mobility at the forefront.

And customers are increasingly looking to service providers for their cloud solutions. A 2011 survey by research firm Ovum found that telecom providers were considered trusted partners and credible suppliers of cloud services for 49 percent of respondents, up from 37 percent in 2010.