Category Archives: Lens360

IBM’s Bernie Meyerson Set to Keynote 2015 Cloud Business Summit NYC

We’re pleased to announce that Bernie Meyerson, VP and Chief Innovation Officer at IBM will deliver the opening keynote at Saugatuck Technnology’s upcoming 2015 Cloud Business Summit, taking place on November 4th at the Yale Club of NYC.

In a presentation entitled “Information Technology: A Tectonic Shift,” Meyerson will explore what’s next after Moore’s Law – as the advent of new forms of parallelism become a leading framework defining IT over the planning horizon.

Since the invention of the first solid-state computers, IT has relished in consistent, predictable advances in performance that were quite easy to assimilate – as the number of transistors on a circuit chip would doBernard Meyerson Picuble approximately every two years. Fortunately for the IT industry, increasing circuit density yielded increasing performance while reducing costs ranging from device manufacturing to electrical power consumption. Such performance increases were easy to exploit . . . and addictive. Unfortunately, as circuits have now approached the dimensions of only a few atoms, the end of increasing circuit density is near. In essence, Moore’s Law has been repealed. Meanwhile, technology advances such as predictive analytics, big data, and mobility (among others) have only continued to drive the need for IT capacity at an accelerating pace.

The consequence is that designers of IT application and infrastructure architectures will have to turn in a new, more challenging direction. As Meyerson will share, one likely scenario is Continue reading IBM’s Bernie Meyerson Set to Keynote 2015 Cloud Business Summit NYC

CenturyLink: Setting Sights on Tomorrow’s Cloud

As Cloud adoption continues to broaden (across enterprises) and deepen (within enterprises), enterprises are not only gaining keener understanding of Cloud offerings – they are preparing for, and moving to, more types of hybridized IT environments that leverage Cloud-based infrastructure in more ways (1613STR, Beyond Agile, Beyond Hybrid – The Malleable Infrastructure, 24July2015). Enterprise IT organizations especially are maturing with regard to Cloud, from an initial focus on infrastructure cost reduction to a more sophisticated – and more broad – emphasis on establishing an IT infrastructure that will support and enable the transformation of their company to digital business capabilities and profitability (1553SSR, 2015 Infrastructure Survey: Next-Gen IT – Cloud on the March 01Apr2015).

We believe that all Cloud infrastructure and managed services providers understand this shift, but some are better at bringing it to market than others. One that is making substantial progress toward enabling and delivering more hybridized and digital-business-friendly enterprise IT infrastructure is CenturyLink, which updated Saugatuck in a private briefing on August 18. CenturyLink laid out a well-articulated strategy for continuing its evolution from a traditional hosting provider to being a provider of Cloud-first, hybridized, enterprise-grade IT and business offerings, ranging from infrastructure to professional services. They’ve demonstrated this through a fairly straightforward combination of organic and acquisition-based growth, including data center expansions in six markets – Boston, London, Minneapolis-St. Paul, Phoenix, Seattle, and Washington D.C. – in the first half of 2015, along with the following recent acquisitions:

  • April, 2015 – acquired Orchestrate, a provider of managed database services for rapid application development;
  • December, 2014 – acquired Cognilytics, a provider of predictive analytics and big data solutions; and
  • December, 2014 – acquired DataGardens, a Disaster Recovery-as-a-Service (DRaaS) provider.

Continue reading CenturyLink: Setting Sights on Tomorrow’s Cloud

A New Era Begins for Saugatuck and Our Clients

Today marks the beginning of the next, exciting chapter in the long-running story of Saugatuck Technology. Since we began in 2003, we’ve worked tirelessly to build ourselves into one of the most trusted and reliable sources of research, analysis, and guidance on emergent and disruptive business IT. Our clients include the largest and most influential IT vendors and services providers and some of the most disruptive, game-changing Cloud and Digital Business providers, along with Global 2000 enterprises in financial services, media, and other markets who need to understand and be able to take advantage of this disruption.

As of today, we will be in an even better position to advise, guide, and assist our clients as we become part of Information Services Group (ISG), a leading, publicly-traded technology insights, market intelligence and advisory services company. You can read the official announcement made by ISG earlier today here, as well as find out more in an ISG blog here.

ISG’s acquisition of Saugatuck secures robust, credible, and trusted research, analysis, and guidance that expands both firms’ abilities to develop and deliver fact-based insights, expert opinion, and leading-edge guidance on emerging and innovative uses of business IT and services, along with associated opportunities and market changes. And the resources brought to the table by ISG will certainly add value to Saugatuck and, more importantly, to our clients and partners.

As with any such transaction, there will be some transitions to work through, but nothing will disrupt our work with and for our clients. Our research programs continue as they were; our client-specific work continues without interruption; and our Nov. 4th annual Cloud Business Summit at the Yale Club in New York City carries on as the premier, C-level peer event for discussion and education regarding Cloud IT and Digital Business opportunity and transformation. Even our name continues – we now become Saugatuck Technology, an ISG business.

Please feel free to call me or email me directly with any questions at all about this new, exciting chapter in the Saugatuck story. And stay tuned to our Lens360 blog for more information on our transformation and transition, especially as we develop and launch more ways to develop and deliver value.

Thanks for your business, your insight, and your assistance through the first Saugatuck era; we look forward to working with you all through the next era and beyond!

Catching Up With Alteryx

Earlier this week, Saugatuck had the opportunity to talk to analytics provider Alteryx. Alteryx provides a tool that combines both ETL and Advanced Analytics into a single tool, which helps their primary customers – LOB analysts – get their analysis done faster.

Over the last 2 years, Alteryx has gained significant traction with a “land and expand” go-to-market strategy that targets LOB users initially and then expands internally, often with the support of IT. This strategy has helped them grow from 150 customers two years ago to just over 1,000 today (including EMC, Home Depot, Verizon, and Cardinal Health – see Saugatuck Lens360 blog post Alteryx Inspire – The Importance of Analytic Context, published 01July 2014). They have also been succeeding in deploying their Alteryx Server solution – which enables end users to schedule the analytics jobs, publish results and provide reports, on the public or private cloud, rather than just on a local machine.

Alteryx came at the advanced analytics market just at the time that companies were first considering Big Data solutions like Hadoop and MapReduce, but took a different tack. Initially their product aimed to Continue reading Catching Up With Alteryx

IBM Buys Compose to Attract More Nimble Developers and Customers

Developers! Developers! Developers!

No, it’s not the infamous Steve Ballmer sweaty-shirt rant & dance this time – it’s IBM’s strategy to increase its presence, relevance, and role(s) in the increasingly Cloudy+Mobile world of software development.

IBM has announced its acquisition of (relatively) tiny, Mountain View-based Compose Inc., which offers a handful of open-source, Cloud-based, database offerings. Terms of the purchase were not disclosed; Compose is privately held, and has raised $6.4 million dollars since its founding in 2011.

Why buy Compose? The company attracts developers working on Cloud, web, and Mobile-oriented apps, APIs, and more – mostly net-new developers as regards IBM, because these developers are working with and on a agile, lightweight, small-client DBMSs like CouchDB, MongoDB, PostgreSQL, Rethink and other databases. IBM purchased CouchDB-oriented, distributed-DB firm Cloudant in 2014, so the company is not bereft of Cloud/web/mobile DB presence by any means. But Compose adds to and extends IBM’s attractiveness to the generation of developers focused on the most disruptive and forward-thinking business software, apps, UIs, and methodologies.

Meanwhile, Compose and its ecosystem(s) gain massive resources and opportunity – and are likely to thrive given that Compose will be part of IBM’s Cloud Continue reading IBM Buys Compose to Attract More Nimble Developers and Customers

Set Your Digital Business Agenda at the 2015 Cloud Business Summit NYC

We’re pleased to announce the date for the 2015 Cloud Business Summit, which will be held on Wednesday, November 4, at The Yale Club of New York City. This CxO event brings together marketing, finance, innovation and IT executives for a content- and concept-packed day that will help you set the Digital Business agenda for your enterprise in 2016.

Now in its fifth year, the Cloud Business Summit will feature presentations, panels and fireside chats with the most Cloud- and Digital-experienced senior business and finance executives, marketing strategists and technology leaders and evangelists. These world-class experts will reveal how enterprises can, and are, realizing the most from the Cloud in all of its forms.

This one-of-a-kind event offers peer networking, one-on-one chats with top vendor evangelists and executive leadership and a conference track designed to stretch your mind and bring Cloud technologies and Digital Business strategies down to earth. This year we have our most practical and actionable agenda ever – a reflection of the mainstreaming of Cloud technologies, and the emergence of Digital Business as a top-tier boardroom priority.

Please join us!

REGISTER NOW

What You’ll Learn at the 2015 Cloud Business Summit

Our agenda is taking shape and new speakers are being added each week as Continue reading Set Your Digital Business Agenda at the 2015 Cloud Business Summit NYC

Internet of Things, Threats, Traffic, and Togetherness

A new McKinsey Global Institute (MGI) report estimates the potential economic value of the IoT (see The Internet of Things: Mapping the value beyond the hype) at $3.9 trillion to $11.1 trillion per year by 2025. B2B will create two-thirds of the value. Factories optimizing their equipment and operations will be the source of about one-third of the value created. Cities will generate about 15 percent of the total value with the IoT applied to applications such as transportation and public health.

But McKinsey cautions that interoperability is critical. MGI estimates 40-60 percent of the real economic value of the IoT will come from interoperability – connecting devices to each other and external systems. Also, most IoT data remains unused, perhaps less than one percent of what’s collected.

And then there’s the incessant problem of security and privacy. In an interview with USA Today, anti-virus company founder Eugene Kaspersky said that Continue reading Internet of Things, Threats, Traffic, and Togetherness

Oracle Financials – Tougher Than You Think

Oracle Corp. (ORCL) issued its quarterly and fiscal year-end financial report this week, and the blogosphere is abuzz with quotes, assertions, and counter-arguments regarding the company’s future and viability. On the one side, we have company leadership asserting that all is well, and that the notable decline in traditional software, hardware, and services business will be more than offset by the continued increase in Cloud-based business. On the other side, we have pundits proclaiming the beginning of the end for Oracle.

Here’s what Saugatuck sees: A very traditional, old-style IT Master Brand in the throes of re-inventing itself, and suffering financially as a result (just like all other traditional IT Master Brands). That doesn’t mean that Oracle is failing, or will fail, just that it, like HP, IBM, and other traditional old-line MBs, is suffering as their businesses and traditional customers and partners turn, almost groaningly slowly, toward Cloud-first approaches.

A radar-style chart helps to show not only how slowly this is happening, but how tough it is to accomplish. Figure 1 uses data aggregated from Oracle’s SEC filings in 2013 and 2015 to illustrate. I combined Oracle’s reported “New Software License” revenue and its “Software License Updates and Product Support” revenue into the “Traditional Software Business” category in Figure 1. Oracle’s reported “Cloud Software as a Service and Platform as a Service” is combined with its “Cloud Infrastructure as a Service” revenues to create “Cloud-based business” in Figure 1. “Traditional Hardware Business” includes the company’s reported “Hardware Systems products” and “Hardware Systems Support” revenues. “Traditional Services Business” in Figure 1 is simply Oracle’s reported “Services Revenues.”

Figure 1: Oracle Revenue Shifts (Almost Imperceptibly) Toward Cloud, 2013-2015

1595LENS_figure1

Source: Saugatuck Technology Inc.; figures are in millions of US $

See the little bit of pink/red to the left of center? That’s how much / how little Oracle’s Cloud-based revenue has grown in two years. Continue reading Oracle Financials – Tougher Than You Think

Genpact and the Re-invented Digital Business Value Focus

Traditional outsourcing / ”labor arbitrage” firms are quickly running out of room to grow as the “arbitrage” – call it what it is, cheaper labor – advantage declines ever more rapidly due to a still-growing influx of skilled technologists and Cloud-based automation. Meanwhile, the big-bang and large-scale / long-term projects that built the industry will always exist, but will also continue to dwindle in number. Smaller and more diverse projects will multiply but become ever smaller and less repeatable. Digital Business Word CloudAnd even the most advanced and complex work can be granularly parsed and crowdsourced by user enterprise IT and LOB managers. In short, the core business IT needs that built the industry are being resolved by combinations of Cloud-enabled scale, cost, availability, and collaboration.

Thus emerges an obvious, loud chorus of need for “differentiating,” and a not-so-loud whisper of need for re-thinking the business model and go-to-market strategies.

Participating in this week’s Genpact “Analyst and Advisor Forum” in Boston provided some insight as to how one of the more traditional (mostly Indian) firms has recognized the need and listened to the whispers, and how rethinking and re-inventing for a Digital Business future may be the best strategy.

Every Genpact leader save CEO “Tyger” Tyagarajan and Global Strategy head Sasha Sanyal were present and participating in person, baring plans, sharing numbers, and asking for ideas and insights. Tayagarajan and Sanyal presented their thoughts and insights via recorded video. Overall, the forum offered a frank presentation and discussion of Genpact’s own foundational shift toward reshaping its own business as the industry reshapes itself.

Genpact’s core strategy? Simplify down to a focus on manageable, core, high-growth business opportunities. Example: Two years ago the company served 23 verticals, offered 1500 point solutions, and “chased everything that moved” according to SVP and Global Head of Sales & Client Relationships Ahmed Mazhari. Now Genpact serves fewer than 1,000 clients across 9 verticals, and is honing a Finance-first focus on “intelligent operations” that enable (and are enabled) by Digital Business. The key to Genpact strategy and positioning: How can, do, and will, business Continue reading Genpact and the Re-invented Digital Business Value Focus

Salesforce Bringing the Cloud Down to Earth?

Last week, Saugatuck attended the Salesforce World Tour in Washington, DC. According to Salesforce.com representatives, attendance was higher than expected, with 5,000 registered for this regional event. It seems like yesterday when the company was only a fledgling upstart focused on Cloud CRM; today the company beileves it is the 6th largest software company in the world.

The Tour is travelling to large cities worldwide, touting not only CRM solutions but what Salesforce.com calls its “customer success platform.” The event reflected that Salesforce.com sees itself as a peer of the large tech players. Dozens of partners shared the exhibit hall. Big-name clients discussed their successes live and via video.

Key messages emphasized by Salesforce.com at the event:

  • Salesforce.com is offering more than management of sales on a cloud-based platform
  • A supporting development platform allows faster building, tighter integration, and improved reliability of applications
  • Mobile is the most important deployment platform
  • The partner ecosystem is strong
  • Government is transforming using technology to better engage citizens
  • Social responsibility is core to the company’s mission

As we have written for several years now, Salesforce.com has extended from its roots into a broad range of solutions related to service management, marketing, analytics, and community management. The Salesforce1 Platform technologies were central to its messaging, with Mobile First a key theme – with a variety of live demonstrations showing how “easy” it is to run a multibillion dollar operation from your smartphone. Vivek Kundra (former CIO of the U.S. Government) is now Salesforce’s EVP, Salesforce Industries, Public Sector. In his keynote Kundra mentioned Q1 highlights including the Salesforce.com solutions handling 3.4 B transactions daily. Continue reading Salesforce Bringing the Cloud Down to Earth?