Monday Morning Impact – August 15

Published On: August 14, 2022Categories: Buzz, Uncategorized

Canalys: Global Cloud Services Spend Up 33%

Cloud infrastructure services continued to be in high demand in Q2 2022, according to a recent report by Canalys. The multi-national market researcher reports that worldwide spending increased 33% year on year to US$62.3 billion, driven by a range of factors, including demand for data analytics and machine learning, data center consolidation, application migration, cloud-native development and service delivery. The growing use of industry-specific cloud applications also contributed to the broader horizontal use cases seen across IT transformation.

The latest Canalys data shows expenditure was over US$6 billion more than in the previous quarter and US$15 billion more than in Q2 2021. The top three vendors in Q2 2022, namely Amazon Web Services (AWS), Microsoft Azure and Google Cloud, together accounted for 63% of global spending in Q2 2022 and collectively grew 42%.

In a global economy rife with inflation, rising interest rates and recession, demand for cloud services remains strong, according to the report. AWS accounted for 31% of total cloud infrastructure services spend in Q2 2022, making it the leading cloud service provider. It grew 33% on an annual basis. Azure was the second largest cloud service provider in Q2, with a 24% market share after growing 40% annually. Google Cloud grew 45% in the latest quarter and accounted for an 8% market share.

“Cloud remains the strong growth segment in tech,” said Canalys VP Alex Smith. “While opportunities abound for providers large and small, the interesting battle remains right at the top between AWS and Microsoft. The race to invest in infrastructure to keep pace with demand will be intense and test the nerves of the companies’ CFOs as both inflation and rising interest rates create cost headwinds.”

“Most companies have gone beyond the initial step of moving a portion of their workloads to the cloud and are looking at migrating key services,” said Canalys Research Analyst Yi Zhang. “The top cloud vendors are accelerating their partnerships with a variety of software companies to demonstrate a differentiated value proposition.”

Canalys defines cloud infrastructure services as those that provide infrastructure-as-a-service and platform-as-a-service, either on dedicated hosted private infrastructure or shared public infrastructure. This excludes software-as-a-service expenditure directly, but includes revenue generated from the infrastructure services being consumed to host and operate them.

Channel Impact®
Software capabilities and partnerships will be vital to meeting customers’ cloud demands, especially when considering the compute needs of highly specialized services across different verticals. The channel can play a key role in assisting customers who are sorting through the options.

Extreme Networks Expands Partner Training, Certifications, Incentives

Extreme Networks introduced a series of partner program enhancements at its recent partner conference.

The San Jose-based cloud networking company has developed three new badges to provide partners with deeper knowledge, expertise and commitment to key issues.

Partners earning the State and Local Government Partners Badge will be designated as preferred partners in their region for this market segment and will also be granted access to specialized collateral including webinars and, in applicable cases, access to market development funds. The Sports and Entertainment Delivery Partner Badge is designed for preferred partners in sports and entertainment customer solution delivery, opening the door to various sponsorship opportunities. Similarly, partners who earn the Diversity, Equity and Inclusion Partners badge will have the opportunity to align and partner with Extreme on community-based initiatives and will have support to better identify, quantify, and enable DEI efforts within their organizations.

Partners also have access to new training material, including technical training on Extreme Fabric Connect, bonus sales content and a product-focused livestream series. Later in 2022, Extreme plans to launch the Extreme Certified Professional Program, an expanded and modular curriculum for technical training supported by a new video portal. Partners that currently have an Extreme Certified Specialist badge will be able to up-level their training through new courses to qualify for Extreme Certified Professional status.

Extreme is extending its Customer Success programs with an eye toward accelerated activation and onboarding, documented success plans and quicker implementations.

The company will also offer grant writing services, enabling partners to help eligible customers take advantage of the millions of dollars of grant funds that are available each year for funding projects that require networking solutions.

“These new program enhancements will help our partners deepen their technical knowledge, strengthen their market position and fill skills gaps within their organizations,” said Scott Peterson, Extreme’s SVP of global channels. “Our program offers a balance of technical expertise, successful selling motions and value-added services that differentiate the performance of our products in market.”

Channel Impact®
The improvements are intended to increase partner ability to deliver better customer outcomes leveraging increased knowledge of Extreme’s technology to maximize ROI.

TD Synnex Launches New SaaS Initiative

TD Synnex has rolled out a new program designed to help independent software vendors accelerate Software-as-a-Service (SaaS) opportunities in the channel by further leveraging the distributor’s partner ecosystem to automate complex processes and deploy new functionalities.

“With the explosive growth in the multi-hybrid cloud solutions space, we have implemented a streamlined ISV experience framework that ensures we curate the channel’s best ISV solutions marketplace,” said Francisco Criado, vice president, Cloud, Data, and IoT. “By leveraging our strong vendor relationships, combined with unparalleled solutions aggregation and support capabilities, we are committed to helping ISVs accelerate business growth.”

Features include automated billing, provisioning, and management; multi-cloud billing with support for consumption and subscription-based pricing models through a single platform; access to the TD Synnex solutions provider ecosystem; access to professional services; on-demand marketing programs and services; and access to the distributor’s technical and support teams.

Channel Impact®
The initiative is intended to drive sales, boost go-to-market practices, and deliver successful business outcomes for all types of ISVs, from startups to mature, growth stage companies.

Stay in the Know

Keep tabs on what’s happening in the channel and the impact it will have on the partner community by subscribing to Channel Impact communications.

Recent News

Search Buzz

Buzz Categories