Build a Cloud Day San Francisco - Crash Course in Open Source Cloud Computing
Cloud Computing Crash Course
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Transcript of Cloud Computing Crash Course
September 20-22, 2010Gaylord National Resort & Convention CenterWashington, DC
Join the Twitter conversation! Add #CPexpo to all your show-related tweetsJoin the Twitter conversation! Add #CPexpo to all your show-related tweets
Track One:Cloud Computing Crash Course
Moderator:Clark Atwood, Vice President, Concierge Communications ([email protected])
Panelists:Jason Baker, CTO ReliaCloud ([email protected])
William Hiatt, CTO, RapidScale ([email protected])
Brandon Peccoralo, Sourcing Consultant, COLOTRAQ ([email protected])
Andrew Pryfogle, President & CEO, Terrapin Solutions, LLC ([email protected])
Hannah Smitterberg, CEO, Cost Effective Technologies ([email protected])
September 20, 2010
Cloud Computing Crash Course
Agenda
• Please silence your phones• Review the opportunity
10 minutes• Hear from experts on making money and best
practices in Cloud Computing10 questions4 minutes per answer
• Review a case study from an agent• Please make notes• Hold questions until the end
What is Cloud Computing?
• Quality questions and answers are harder to come by than a crisp $2 bill
• Different views– Communications view
• Network centric
– IT Solution Provider view• Client technology centric
Cloud Computing is ______.
Tiffany BovaResearch VP for Gartner
“How tech is delivered”“How tech is acquired”
xChange Americas – August 2010
“The Cloud”
Private Networks
ServersOperating Systems
Applications
CoS/QoS
Connectivity
End User Devices
Single/Multiple Locations
Internet
Connectivity
Security
Premises Infrastructure
Others
LegacyPSTN
Hosting
Public Network
Security
Equipment
What is Driving Cloud Computing?Re
duce
Lab
or
SW/
HW
Upd
ates
Com
plia
nce
Cost
Red
uctio
n
Legi
slati
on
Exte
nsib
ility
Scal
abili
ty
Mob
ility
Cons
umpti
on
Customers
Cloud ComputingCloud Computing
Cloud Opportunity
Eric MartoranoDirector, Channel Strategy, Incentives and Partner
Marketing at Microsoft
“Cloud services opportunities are six
times that of hardware.”xChange Americas – August 2010
Who Supplies Cloud Computing?
• Communication Providers• IT Support Companies• Hardware Manufacturers• Online Retail Companies• Etc……..
“Ultimately it is technical sales people that supply Cloud Computing.”
Clark AtwoodChannel Partner Expo – Sept 2010
Cloud Computing
Cloud Computing
MicrosoftAzureStorageWindowsBPOSForeFrontInTuneBingMore…
AmazonEC2S3 & EBS??SQS & SNS??CloudWatch??More…
IBMIBM CloudIBM SBS??Lotus??IBM SBD??More…
Google??StorageChromeAppsPostini??GoogleMore…
Dell Oracle Cisco HP
The fight is on!
Panel of Experts
1. Educating Prospects2. Industries to Capture3. Desktop as a Service4. Security5. Mobility
6. Disaster Recovery7. What’s Next8. Sales Barriers9. Commission Example10. Program Overview
Education is always a challenge to the sales process of any product. Your company looks at five different ways to help companies learn about Cloud Computing. Which one of this is best in a particular sales situation?
Client Learning
13
»Tailor pitch to your audience
»Business: Webinars, Use Cases, TCO
»Technical: Let them play with it
Best ways to sell cloud
You have an impressive client list posted on your Web site by industry. What are the top three
industries that embrace Cloud Computing and what is the secret to penetrating them?
Industry Targets
Hot Industries for CloudDon’t think vertical, think application
Rate of adoption
Cyclical
Resource
Utilization
EnvironmentalLifecycle
Potential Scale
How do you transition businesses into a monthly fee for Desktop as a Service (Daas) instead of paying once for a computer and software and keeping it for five plus years?
Monthly Fees
• Some customers already used to paying for part of desktops as a fee• EX: Microsoft Enterprise Licensing
Agreement • Position it by the numbers• Look at desktop costs
• Procurement (Buy vs. Lease)• Deployment • Sustainment
Many security solutions are being embedded into product offerings or utilizing existing security options like SSL.
Where is Cloud Security headed and how does that affect the indirect channel?
Security
Standardization & reputation Size of organization Tradeoffs Type of data
SIM
PLE
| S
MAR
T |
SEC
URE
Public, Private, Hybrid?
Company A
Company B
Company DCompany C
Company E
Company A
Company B
Company D
Company C
Company E
Hybrid
Public
Private
How does mobility play in the Cloud space and how do agents make money combining mobility and Cloud Computing?
Mobility
“40 Million Americans occasionally “Tele-work” every month.” – workingfromanywhere.org
Cloud Computing is a Huge Driver for Mobility
Wi-Fi-connected Laptops are not sufficient when “Always On” is the requirement
3G & 4G Connectivity is Critical
Big Up-front & Recurring dollars being paid out.- AT&T, Verizon, Sprint
Disaster Recovery as a Service (DRaaS) is needed by any business that wants to survive a disaster. You list some common
threats on your Web site. How do you position this service, which the client hopes they will never use, and still help the
customer feel they are paying for something valuable?
Reasons for Disaster Recovery• Hackers • Major power failures • Terrorist attacks • System administration errors • Natural Disasters and • Computer Viruses• Other
Disaster Recovery
• Size of business• Locations• Employees• Revenue
• Cost of downtime• Lost Productivity• Lost Billings
• Challenge vs. opportunity• Outsourcing vs. doing it themselves
E-mail and CRM have enjoyed some rapid growthin the Cloud Computing space. What is the next wave of Software as a Service that we should be preparing
to see take market share from its premises-based sibling?
The Next Wave
SIM
PLE
| S
MAR
T |
SEC
URE
XaaS – Everything as a ServiceCu
stom
er S
izeSm
all
M
id-S
ized
L
arge
XaaSA comprehensive solution that
combines IT Services with IaaS & SaaS in a platform that is designed specifically for
small & mid-sized organizations
CSC
MSI
Kaseya
BMC
ConnectWise
Etc.
Amazon EC2
Rackspace.com
VMWare
Citrix
Etc.
Google Apps
Salesforce.com
Zoho
Microsoft (Well,Sort Of!)
Etc.
Google App Engine
Force.com
MicrosoftAzure
I.T. ServiceProviders
Infrastructureas a Service
Softwareas a Service
DeveloperPlatforms
In the survey you did earlier this year, you identified eight potential barriers to adopting Cloud Computing. How do overcome these and other barriers in the sales process?
Sales Barriers
» Biggest Barrier: Giving up control
» Biggest Competitor: In-house IT
» Walk before you run» Identify first App to cloudify» Storage is the low-hanging fruit» Prove the business case first
Overcoming Barriers in the Sales Process
Agents are seeing their existing base of MRC crumble under price compression as most solutions move to a commodity. What products in Cloud Computing hold the greatest promise for commissions?
High Dollar Sales
The Key: Increase Share of Wallet
STOP thinking “Total Telecom Spend” START thinking “Total Technology Spend”
Cloud Computing Recurring Revenue Sources- Virtualized Servers - $250 - $400 per server- Cloud Storage - $200 - $500 per SAN- Desktop Virtualization - $125 - $250 per desktop
Commissions vary in Cloud Computing from small onetime payments to residual income streams. Can you
give us some examples of Cloud Computing Agent programs and what to expect in commissions?
Agent Programs
Commission StructureSTANDARD USAGE COMMITMENT BASED ONE-OFF NEGOTIATED
Provider pays according to the current contract in place for other services — typically 10–25% of MRR.
Provider pays commission based on a fixed monthly charge, no commissions paid on charges for exceeding committed monthly usage.
Commissions are negotiated for each individual deal.
04/10/2023 Terrapin Solutions Confidential 32
A Cloud Case StudyTexan Hyundai
Brought to you by Terrapin Solutions, your Cloud Services Master Agency
04/10/2023 Terrapin Solutions Confidential 33
Customer Intro
Owners bought a defunct auto dealership in Houston, TX
Inherited an 8-year old PBX and some old PCs and old network infrastructure
2 Driving Goals Keep cash investment on infrastructure to a minimum Open store in under 30 days
04/10/2023 Terrapin Solutions Confidential 34
The Initial Opportunity
Single PRI T1 DIA
Total Revenue Opportunity? < $1,000 MRR
04/10/2023 Terrapin Solutions Confidential 35
Just a Few Extra Questions
Can you tell me about your computing environment? Servers? Storage? Desktops? Mobile Workers?
The Answers we got Need to run ADP ADP required huge hardware investment in servers and desktpos Was about to spend over $75,000 on infrastructure Was about to sign a IT Support contract for $80,000 per year
04/10/2023 Terrapin Solutions Confidential 36
The Winning Solution
Virtual-Q Cloud Computing Virtualized Desktops New HP Thin Clients at <$300 per machine Cloud-based storage, processing, and auto-backups Fully Virtualized their ADP platform 7x24 Live Support
Appia Hosted VoIP Cisco IP Phones on Every Desk, No PBX or Voicemail Hardware Custom Auto Attendant
Appia MPLS QoS for Voice, CoS for Virtual-Q Traffic
Installed Entire State-of-the-Art Solution in <30 Days <$10,000 in CAPEX
04/10/2023 Terrapin Solutions Confidential 37
The Final Revenue Picture
Virtual-Q - $3,200 per month Appia Hosted VoIP - $1,850 per month Appia MPLS - $750 per month
Total Monthly Revenue: $5,800 per month
Almost 6x Greater than Original Opportunity
Note: Resulted in over $100,000 Reduction in TCO
04/10/2023 Terrapin Solutions Confidential 38
Summary
If Cloud Services is Not part of your portfolio, you’re LEAVING MONEY ON THE TABLE
Add “Just a Few More Questions” to your Selling Process
You don’t have to be expert in the Cloud to start – Rely on Experts
Texan Hyundai Ownership Group is now doing this again at up to 7 more locations in the next 6 months. Will have turned a $1,000 opportunity into a $40,000+ opportunity
04/10/2023 Terrapin Solutions Confidential 39
Time to Grow Revenue with The Cloud
Thank you
September 20-22, 2010Gaylord National Resort & Convention CenterWashington, DC
Join the Twitter conversation! Add #CPexpo to all your show-related tweetsJoin the Twitter conversation! Add #CPexpo to all your show-related tweets
Track One:Cloud Computing Crash CourseAudience Questions & Answers
Moderator:Clark Atwood, Vice President, Concierge Communications ([email protected])
Panelists:Jason Baker, CTO ReliaCloud ([email protected])
William Hiatt, CTO, RapidScale ([email protected])
Brandon Peccoralo, Sourcing Consultant, COLOTRAQ ([email protected])
Andrew Pryfogle, President & CEO, Terrapin Solutions, LLC ([email protected])
Hannah Smitterberg, CEO, Cost Effective Technologies ([email protected])
September 20-22, 2010Gaylord National Resort & Convention CenterWashington, DC
Join the Twitter conversation! Add #CPexpo to all your show-related tweetsJoin the Twitter conversation! Add #CPexpo to all your show-related tweets
Thank you!