Light Reading
Panelists at BTE agree that telecom service providers are the strongest purveyors of enterprise cloud services, as long as they attend to issues of customer experience and security.

Is the Cloud Eating the World?

Jason Meyers
6/18/2014
50%
50%

CHICAGO -- Light Reading's Big Telecom Event 2014 -- Heavy Reading senior analyst Caroline Chappell kicked off a panel on enterprise cloud services here at BTE by invoking a popular Marc Andreessen quip: "Software is eating the world."

"Even physical products have been designed and manufactured with the help of software, and now the most-used products on the planet are based on software," Chappell said. "That's driving this massive need for an agile infrastructure -- an infrastructure that's managed by software.”

That sentiment set the stage for a spirited discussion about the importance of cloud services -- in particular whether telecom network operators are best equipped to provide those services to enterprises.

The general consensus of the panelists was that the combination of network ownership, service delivery capability and customer familiarity do make telecom service providers the best cloud providers.

"There’s no doubt in my mind that telcos that have access to both network and cloud resources really have a leg up," said Nirav Modi, director of software innovations for Cyan Inc. "Customers are worried about their experience when they stream the movie or send a large file. Telcos can control that experience."

The panelist representing the voice of the cloud provider concurred that when it comes to the cloud, network ownership and the ability to manage cloud services is what gives service providers that edge over the Amazons of the world.

"Being a pure-play hosting provider is becoming less and less viable," says Chris Nicolini, senior vice president of data center operators for Windstream Communications Inc. (NYSE: WIN) "If you buy cloud services from Amazon you still have to manage them. We'll meet the customers wherever they want to be met."

Panelist Shauli Rozen, director of product strategy for Amdocs Ltd. (NYSE: DOX), supported the notion that network operators have the best insight into customers' cloud needs, adding that one of the things enterprises often want from their cloud providers is to hand off the hassle -- which is, after all, the idea behind the concept of managed services.

"CIOs want control over experience, but they don't want to know every nitty-gritty detail about the service," he said. "They want to have the carrier manage it for them."

Lane Patterson, vice president of cloud platform engineering for Symantec Corp. (Nasdaq: SYMC), was, not surprisingly, very focused on the security aspects of enterprise cloud services. "The key to the maturity of the cloud," he said, "is about earning trust -- about getting the trust of the CIO, and in some cases a broader compliance community."

Despite the agreement among panelists that service providers are in a good position to serve the enterprise with cloud services, Rozen of Amdocs said many of them still have to prove to the CIOs of the world their business focus.

"Most carriers still make their money from consumers -- selling voice and data to consumers," he said. "Making the shift to enterprise -- and being able to operate the cloud for enterprises -- is a huge challenge.

— Jason Meyers, Contributing Editor, Light Reading

(1)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View
Infostack
50%
50%
Infostack,
User Rank: Light Beer
6/20/2014 | 6:43:27 AM
The Emperor's New Clothes
Reading the articles from BTE and other recent industry symposiums reminds me of the parable of the Emperor's New Clothes.  

Everyday vendors and trade consultants trot the Emperor out and assure him how beautiful his new outfit will look.  And everyone else goes along for fear of rubbing his highness the wrong way.

The reality is that cloud economics from the core at every layer are eating the balkanized edge access providers; aka ISPs, MNOs and MSOs.  The current trend is network densification out to the edge to support rapidly developing 4K VoD, 2-way HD video collaboration, seamless mobile BB, and the internet of things markets.

The horizontal, digital, packetized train left the station 30 years ago and few have woken up to the fact.  Edge access providers need to restructure rapidly and imbue a culture that wakes up everyday and asks, "how do we provide more for less to more people across more contexts?" 

Because that's what the core application and content providers (OTT) are doing.  And they have the benefit of a complete and holistic view of demand ex ante.  That's like pitting a mobile army with cannon and telescopes up against a fortified castle; in other words sitting ducks and ultimately indefensible.
Educational Resources
sponsor supplied content
Educational Resources Archive
Flash Poll
LRTV Custom TV
VeEX – Live from the Show

8|21|14   |   5:58   |   (0) comments


An overview of VeEX Test and Measurement solutions including TX300S multi-service test set with VeExpress cloud-based management system, UX400 universal modular platform supporting 100G testing, and the redesigned RXT modular platform.
LRTV Custom TV
Transitioning CE 2.0 Networks Into the SDN & NFV Era With Telco Systems

8|19|14   |   5:19   |   (0) comments


Telco Systems' Ariel Efrati (CEO) and Moshe Shimon (VP of Product Management) discuss virtualization and how the company's new Open Metro Edge solution utilizes the SDN and NFV concepts to accelerate and orchestrate service delivery through its innovative product portfolio and software applications.
LRTV Custom TV
NFV Myths: Is NFV Still Several Years Away?

8|11|14   |   1:13   |   (0) comments


Some say that NFV (network functions virtualization) is still several years away from being implemented on mobile operator networks. This isn't the case. Operators can get started on their paths to NFV now, as this short video from Skyfire shows.
LRTV Custom TV
A New Security Paradigm in SDN/NFV

7|28|14   |   02:54   |   (0) comments


Paul Shaneck, Global Director Network Solutions for Symantec, discusses the evolving virtualized network, explaining how Symantec is leading the security discussion as it relates to SDN and NFV, and helping to ensure the network is protected and compliant.
LRTV Documentaries
Sprint's Network Evolution

7|24|14   |   14:59   |   (0) comments


Sprint's Jay Bluhm gives a keynote speech at the Big Telecom Event (BTE) about Sprint's network and services evolution strategy, including Spark.
LRTV Documentaries
BTE Keynote: The Software-Defined Operator

7|24|14   |   18:43   |   (1) comment


Deutsche Telekom's Axel Clauberg explains the concept of the software-defined operator to the Big Telecom Event (BTE) crowd.
Light Reedy
Numbers Are In: LR's 2014 Salary Survey

7|24|14   |   1:25   |   (7) comments


Our fourth annual Salary Survey paints a picture of who's hiring, firing, earning, and yearning for a change in the telecom industry.
LRTV Custom TV
Driving the Network Transformation

7|23|14   |   4:29   |   (0) comments


Intel's Sandra Rivera discusses network transformation and how Intel technologies, programs, and standards body efforts have helped the industry migration to SDN and NFV.
LRTV Custom TV
Distributed NFV-Based Business Services by RAD

7|18|14   |   5:38   |   (0) comments


With the ETSI-approved Distributed NFV PoC running in the background, RAD's CEO, Dror Bin, talks about why D-NFV makes compelling sense for service providers, and about the dollars and cents RAD is putting behind D-NFV.
LRTV Custom TV
MRV – Accelerating Packet Optical Convergence

7|15|14   |   6:06   |   (0) comments


Giving you network insight to make your network smarter.
LRTV Custom TV
NFV-Enabled Ethernet for Generating New Revenues

7|15|14   |   5:49   |   (0) comments


Cyan's Planet Orchestrate allows service providers and their end-customers to activate software-based capabilities such as firewalls and encryption on top of existing Ethernet services in just minutes.
LRTV Custom TV
Symkloud NVF-Ready Video Transcoding, Big Data

7|9|14   |   3:41   |   (0) comments


Kontron and ISV partner Vantrix demonstrate high-performance video transcoding and data analytic solutions on same 2U standard platform that is ready for SDN and NFV deployments made by mobile, cable and cloud operators.
Upcoming Live Events!!
September 16, 2014, Santa Clara, CA
September 16, 2014, Santa Clara, CA
September 23, 2014, Denver, CO
October 29, 2014, New York City
November 6, 2014, Santa Clara
November 11, 2014, Atlanta, GA
December 9-10, 2014, Reykjavik, Iceland
June 9-10, 2015, Chicago, IL
Infographics
Today's Cartoon
Hot Topics
Level 3 Does Big Data Differently
Carol Wilson, Editor-at-large, 8/21/2014
IoT Alert: Samsung Snaps Up SmartThings
Mari Silbey, Independent Technology Editor, 8/15/2014
Comcast Streams Back to School
Mari Silbey, Independent Technology Editor, 8/21/2014
Line-Powered Phone Lines: A Hot Topic Again
Carol Wilson, Editor-at-large, 8/20/2014
Analyst: Ericsson, Oracle Top Shrinking SDP World
Carol Wilson, Editor-at-large, 8/19/2014
Like Us on Facebook
Twitter Feed