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CRN Exclusive: HP Cloud GM On Helion's Public Cloud Exit, AWS, EMC-VMware's New Cloud Venture And Unlocking The Power Of Partners

HP Cloud Business Unit GM Bill Hilf speaks with CRN about the decision to shut down the HP Helion Public Cloud business early next year.

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What ability will partners have to drive sales and profits with HP Helion managed and virtual cloud vs. Amazon Web Services?

For most midsized and large enterprises, if you were to look at their 2016 IT budget, a large majority of that budget is basically behind the firewall. Although often the media gets excited by the public cloud growth, IT spend is still heavily on what I would call classic infrastructure: storage, VDI, networking, compute. A lot of that goes to more traditional systems. If you look at the spend, only a fraction of it goes to the public cloud in a typical IT portfolio. The shape of that could change over time.

The second thing to look at from a partner point of view is margin: where are they going to see the greatest margin, the greatest return on their cycles to work with the customer. And often the challenge with a lot of the big public cloud is their own margins are razor-thin and therefore the opportunity for a partner to make margin off of in many cases services that are already very, very cheap can be challenging to really build a business around that sort of model.

For us, when we talk to partners we want partners to help specialize in areas like security, compliance or regulatory issues.

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