Wednesday 13 January 2016

The Cloud Complexity Challenge

Growing acceptance of cloud computing quickly is becoming a double-edged sword for the leading players in the SaaS, PaaS and IaaS marketplaces. As a broader set of customers adopts cloud-first strategies, even the biggest cloud players are being challenged to scale their operations to keep pace with escalating customer demands without becoming too complex for customers to easily utilize their solutions.

The good news is that every market research survey clearly indicates that corporate executives have become comfortable with the idea of moving various parts of their business operations to the cloud. In fact, many increasingly are becoming convinced that utilizing cloud resources is not only a better alternative than investing in traditional data centers and on-premises software, it's an essential ingredient to meeting their customer expectations and remaining competitive.

However, as more organizations move more of their operations to the cloud, they are putting more pressure on their cloud providers to fulfill the promise that the migration process will be relatively painless and the business benefits will be easy to measure.

Although it is relatively easy to meet these expectations initially, it becomes increasingly challenging as the use cases become more complicated and involve a wider array of applications, systems and data sources, especially in an era when time to market (i.e., speed) is a primary measure of success.

Salesforce's Rapid Growth

The clearest example of a cloud company facing these issues head-on is Salesforce.com. It's hard to suggest the company is suffering from its own success as it continues to defy the law of big numbers by posting impressive quarterly results a regular basis.

The company announced in its most recent quarterly financial results 24 percent year-over-year revenue growth and deferred revenue up 28 percent YoY. As a result, Salesforce raised its FY16 revenue guidance to $6.65 billion and its FY17 revenue guidance to $8.1 billion.

Read More: http://www.ecommercetimes.com/story/82964.html

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