High degree of optimism on business prospects, but many firms still face significant challenges
Information technology (IT) channel companies have expanded their involvement with cloud computing solutions, according to the latest study on the cloud market published by CompTIA, the IT industry association.
More than nine in 10 channel firms surveyed for CompTIA's Fifth Annual Trends in Cloud Computing report describe their cloud solutions as mature or somewhat mature. In 2010, just one in 10 channel firms reported any involvement with selling or using cloud solutions.
"The channel's thinking has clearly evolved from viewing the cloud as something to fear to embracing it as a catalyst for business transformation and new opportunities," said Carolyn April, senior director, industry analysis, CompTIA.
"This is a positive development, but there's is much more work to be done," April continued. "While cloud computing may be the the overarching driver of business transformation among IT channel firms, it is not a single, isolated offering. It requires big structural change."
Regardless of the pace of change they've experienced, all channel firms have had to make strategic and tactical decisions about which cloud business model or models to pursue. A number of factors can impact this choice: the company's current business model; specific capabilities and staffing; and focus areas in the market, for example.
Nearly six in 10 channel firms (59 percent) cite the need to determine the correct business model as a challenge to launching their cloud business. That's up from 45 percent in the 2013 CompTIA study.
"This suggests a degree of trial and error is going on, with companies casting about for the right fit," April remarked. "It's not an easy exercise. In fact, it appears to be getting more difficult."
Even with these challenges nearly two-thirds of firms (63 percent) describe the impact of cloud computing on the channel as "extremely positive." Another 30 percent deem it "positive."
Approximately half of channel companies see faster revenue growth and larger profits from cloud offerings than from traditional offerings. Four in 10 firms expect their cloud-based revenue to grow 15 percent or more in the coming year, compared with 26 percent who felt that way in 2013.
www.comptia.com
