Story image

Limited number of vendors in hosted private cloud presents opportunity

27 Jul 2016

Software and systems integration vendors are competing for the top spots in the budding hosted private cloud market, according to new data from analyst firm Technology Business Research.

The limited number of vendors in the market further entrench the hosted private cloud market by moving up the stack, TBR says, as they post impressive year-to-year growth and bring to market more solutions available in dedicated instances throughout the cloud stack.

According to TBR’s 1Q16 Hosted Private Cloud Benchmark, in hosted private cloud, the IaaS layer remains the largest vendor opportunity, particularly in Europe where data sovereignty and compliance concerns favor hosted private cloud over public cloud.

Vendors move up the hosted private cloud stack, offering hybrid PaaS models where test and development can be done in private environments - either hosted or on-premises - and then burst out into public PaaS environments for production.

“Vendors offering customer choice in PaaS deployments, think IBM, Microsoft and Oracle, will attract many large enterprises with governance concerns and can make inroads in the less-mature European cloud market,” explains TBR senior analyst Cassandra Mooshian.

Mooshian says pure plays and multilines can benefit as hosted private cloud SaaS adoption grows to support secure workload functions. In human resources (HR) workloads, for instance, customers may look to private cloud solutions for tasks such as payroll and ERP-class workloads.

According to TBR research analyst Molly Gallaher Boddy, SaaS, as well as BPaaS, which requires a combination of business process outsourcing and SaaS capabilities, presents a growing opportunity to vendors as hybrid cloud customers choose to keep certain workload functions in private cloud environments.

“The opportunity in private cloud SaaS and BPaaS speaks to the importance of customer choice in cloud deals as hybrid cloud environments expand,” explains Gallaher.

“While having a secure infrastructure layer will always be important to private cloud customers, customers are looking for more holistic business functions that can be delivered in single-tenant, dedicated instances for added security,” she says.

TBR’s Hosted Private Cloud Benchmark highlights leaders and laggards in the space and overall trends in SaaS, PaaS, IaaS and BPaaS. The benchmark covers 28 of the top cloud vendors, providing insight into competitive strategies and overall market sizing in the private cloud space.

HPE launches 'right mix' hybrid cloud assessment tool
HPE has launched an ‘industry-first assessment software’ to help businesses work out the right mix of hybrid cloud for their needs.
IDC: Innovative wearable use cases drive double-digit growth
Wristbands are set to lose their dominance as hearables and industrial applications keep the wearables market moving forward.
Turtle Beach buys ROCCAT, bringing more 'victories to gamers'
Germany-based Roccat already has a significant presence in Europe and Asia, which means Turtle Beach will likely take advantage of that growth. Expect to see more Turtle Beach products on the shelves. 
NVIDIA introduces a new breed of high-performance workstations
“Data science is one of the fastest growing fields of computer science and impacts every industry."
Apple says its new iMacs are "pretty freaking powerful"
The company has chosen the tagline “Pretty. Freaking powerful” as the tagline – and it’s not too hard to see why.
NZ ISPs issue open letter to social media giants to discuss censorship
Content sharing platforms have a duty of care to proactively monitor for harmful content, act expeditiously to remove content which is flagged to them as illegal.
Polycom & Plantronics rebrand to Poly, a new UC powerhouse
The name change comes after last year’s Plantronics acquisition of Polycom, a deal that was worth US $2 billion.
Bitdefender invests in A/NZ with new offices and regional director
Bitdefender has opened its Partner Advantage Network (PAN) programme with the aim of recruiting and supporting its over 500 local resellers.