Cisco’s Major Cloud Announcement
Notes from the CEO
I wanted to talk about an announcement that was made at the Cisco Partner Summit. As you may be aware, Cisco is Touchbase’s most important strategic partner from a technology perspective, and we find them to be an exceptional company to work with. The Summit re-enforced this with some major announcements which will have a significant and positive impact on our clients and us.
It will be no surprise to anyone that the underlying theme of the Summit this year was the quick shift in the consumption of IT from 'On Premise' to Cloud. Cisco’s go-to-market strategy around cloud has been to become the provider of cloud technology to those companies that want to become the providers of cloud services. Whilst very successful in enabling others to capitalize on this growing opportunity, this strategy obviously restricted Cisco’s ability to compete directly with other large brands in this space. Based on this, and a myriad of other factors, Cisco made the significant announcement that they were going to build out their own branded set of Cloud Services and invest in over $1 billion in this area. A major shift.
This decision clearly puts pressure on Cisco to be clear with their partners on what it means for the many of them that have invested in their technology to power their own cloud services. To combat this, Cisco announced the Intercloud which, in terms that I understand, is the bringing together of all of their partner cloud capability with Cisco’s own cloud capability to deliver something which has immense reach, many points of redundancy, complete global coverage and an almost infinite ability to scale. For clients this has to be good.
From a Touchbase perspective, we are ecstatic about this decision. We have, for some time, believed that the basic Build & Operate of the infrastructure required to deliver Cloud Services is a big brand game. Clients want to know that the ultimate ‘owner’ of the service, where they are placing business critical data and process, is of a significant enough size and scale to be able to provide continuing service regardless of what the world throws at them. In the same way that conventional technology eventually consolidates behind a handful of mega brands (historically Microsoft, Cisco, IBM etc), so will the build and operate piece of the Cloud Services world. The entry of Cisco into this space is both exciting and, we believe, essential for them to stay relevant and valuable to the market, their customers and partners.
With these significant changes around the way in which IT is procured and applied within organizations, the question I often get is; what is Touchbase’s plan?
We are quite clear on this. The value that Touchbase brings to its clients has always been in our ability to advise them, design solutions that meet their requirements, execute on the delivery of those solution across the world, and help them manage and optimize the solution on an ongoing basis. We believe strongly that, regardless of the way that the technology is delivered, these capabilities continue to be vital and valuable to making the right decisions. In fact it could be argued that as options for consumption and the complexity of managing hybrid on-premise/cloud environments increase, the need for an exceptional technology partner grows.
Ultimately our business is about delivering what is best for our clients. This announcement from Cisco is amazing for our clients and, we believe, amazing for Touchbase. Our job is to ensure that we can continue to provide value adding services around these new delivery and consumption methods for technology. It is positive for everyone that a company of Cisco’s scale, reputation and execution capability is coming to market so please watch this space and we will keep you updated.
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