1. The changing cloud opportunity for the channel Alastair Edwards, Principal Analyst Insight. Innovation. Impact. Presentation download www.canalys.com/download/barcelona Username: spain Password: emea Available until: 30 April 2015 Presentation download www.canalys.com/download/barcelona Username: spain Password: emea Available until: 30 April 2015

2. Insight. Innovation. Impact. 2014 ended strongly for the IT industry Canalys IT Titans Index Revenue growth by region Canalys IT Titans Index Revenue growth by region Europe, Middle East & Africa Americas Asia Pacific Source: Latest reported financial results for Apple, Cisco, EMC, Google, HP, IBM, Intel, Juniper Networks, Lenovo, Microsoft, Oracle, Salesforce.com, Samsung and SAP

3. Insight. Innovation. Impact. But competing forces are at play in EMEA Growth inhibitors Growth drivers Rising product prices Greek debt crisis Russia Skills shortage Currency volatility Security Data center transformation Data center transformation Windows Server 2003 migration Low oil price Shifting vendor landscape Channel performance

4. Insight. Innovation. Impact. regulationlocal open source The reality of cloud has changed

5. Insight. Innovation. Impact. Every customer’s IT mix will be different Public clouds Hosted Managed On-premises At work At home On the move Security becomes a top priority

6. Insight. Innovation. Impact. The channel becomes the main route for cloud Standards-based Integration Data sovereignty Professional services Professional services Compliance and regulatory expertise Compliance and regulatory expertise In-country, trusted advisor In-country, trusted advisor Security The channel plays a unique role in the delivery and management of hybrid cloud environments

7. Insight. Innovation. Impact. ITaaS to represent 37% of revenue by 2017 ITaaS revenue share What proportion of your revenue comes from IT delivered as a service (managed, hosted and cloud services)? Source: Canalys survey, 352 IT channel respondents, September 2014

8. Insight. Innovation. Impact. Direct cloud remains greatest channel fear Significant challenges faced by partners when selling IT-as-a-service Percentage of respondents Source: Canalys survey, 352 IT channel respondents, September 2014

9. Insight. Innovation. Impact. Choose your roles carefully Managed services (managing customer- owed assets) Cloud services from own data center Cloud services from third-party data center Reselling third- party cloud services Different channel business models are emerging Changing sales culture Changing sales culture New profitability drivers New profitability drivers Portfolio mix – new vendors and services Shift to annuity revenue streams Shift to annuity revenue streams Manage multiple business models Manage multiple business models New competitors New competitors

10. Insight. Innovation. Impact. Developing the right cloud portfolio is key What cloud-based services do you feel represent the most significant opportunities for the channel today? Percentage of respondents Source: Canalys survey, 352 IT channel respondents, September 2014

11. Insight. Innovation. Impact. Channel partner Sphere of influence – key to unlocking budget User CMO CPO CIO CFO COO CEO Marketing HR Finance Operations IT procurement Partners must also widen sphere of influence

12. Insight. Innovation. Impact. Expect IoT to drive a new compute paradigm Evolution of computing architectures Mobile Computing for anywhere Cloud Computing for demand Big iron Computing for criticality Distributed Computing for everyone Redistribution of computing workloads based on need Internet of Things Computing for anything

13. Insight. Innovation. Impact. Distributors must support this transformation Very important Not at all important How important will the role of IT distributors be as ‘cloud aggregators’ ? 68% of partners believe distributors will play an important role as ‘cloud aggregators’ Source: Canalys survey, 352 IT channel respondents, September 2014

14. Insight. Innovation. Impact. Changing customer priorities Drive the prominence of YOUR brand Expand your sphere of INFLUENCE DISRUPT established thinking within customers CHOOSE the right partners for your future strategy Deliver BUSINESS advantage, not just technology Remain committed to your CORE VALUES! Drive the prominence of YOUR brand Expand your sphere of INFLUENCE DISRUPT established thinking within customers CHOOSE the right partners for your future strategy Deliver BUSINESS advantage, not just technology Remain committed to your CORE VALUES! Rethink your value proposition New economic models Software-led, not hardware-led Analytics Business outcomes Speed, flexibility and agility Evolving value proposition for the channel

15. The changing cloud opportunity for the channel Alastair Edwards, Principal Analyst Insight. Innovation. Impact. Presentation download www.canalys.com/download/barcelona Username: spain Password: emea Available until: 30 April 2015 Presentation download www.canalys.com/download/barcelona Username: spain Password: emea Available until: 30 April 2015

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