The Channel Cloud Opportunity

Tony FranciscoVAR Dynamics

Jay McBainChannelEyes

Dan ShaperoClikCloud

Just the Facts

Where are we now?

Just the Facts

Where are we now?

$45.9B opportunity in 2012

growing to $207B by 2016

Cloud is not coming …it is here

93% of companies report Using some form of cloud solution

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The Channel Shift is Happening NOW…

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are generating over half their revenue

42% expect cloud-related revenue to

For those Channel Partners offering Cloud Services:

51% grow significantly in 2012

Why the Cloud Makes Sense to Customers…

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50% of companies want to reduce costs

43% want to shift to op-ex

44% think it is a better solution

Just the Facts

Where are we now?

Cloud Computing will generate 13.8M new jobs by 2015.

Will Managed Services grow to be “Managed Cloud” and capture the majority of these jobs?

Wait a minute, isn’t the low margin cloud going to kill the Channel?

“12,000 new cloud jobs in April 2012”Source:

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But Customers are going Direct…or are they?

Channel Partnerspredicting growth in next 12 months 96% 21% of customers have contracted with a third party for cloud transition

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SHOW ME THE MONEY60% of Channel Partners said customer demand is driving them to cloud.

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55% report service attach opportunities

48% report consulting and network assessments driving large pre and post sales

Just the Facts

Where are we now?

Mobility and Ubiquitous Computing driving unprecedented Cloud Growth 600,000+ APPS

500,000+ APPS

60,000+ APPS

70,000+ APPS

What Happens in a World where there are more Vendors than Channel Partners?

Prediction: 100,000 Tech Vendors by 2016

PREDICTIONManaging security, compliance, data portability, fragmentation and device support drives:

CHANNEL GROWTH