NComputing, a major player in the desktop virtualization market (DVI or desktop virtualization infrastructure) – 50,000 customers, 4 million seats and 20 million users – is looking to significantly expand this market with a number of new offerings and enhancements. It is announcing additions to its vSpace Desktop and Application Virtualization Platform – vSpace Server version 7, vSpace Management Center for vSpace and vSpace premium support and services – which it says will make this technology more accessible to more organizations by reducing typical costs while simplifying both the initial deployment and ongoing management.
With 20 million users, albeit primarily in smaller organizations and outside the US, NComputing has proven it reduces complexity, reduces cost, and delivers fantastic performance, said Mike Pagani, Senior Director of Product Marketing. “I think VDI has struggled, but desktop virtualization has been more or less quietly successful for a number of years.”
According to IDC, the company is already the third-largest vendor in the enterprise client devices (ECD) hardware market, which includes thin clients and terminal clients, and was worth $1.49 billion last year. NComputing had 16.1% share, behind Wyse (25.4%), now owned by Dell, and HP (26.2%). IDC has forecast unit shipments to grow at over 17% CAGR for the next five years, but the virtual client computing market will grow from $2.3 billion in 2011 to over $3 billion by 2015, with nearly a third of that coming from the centralized virtual desktop market (also called VDI).
In November NComputing was recognized as a “Major Player” in the IDC MarketScape, “Worldwide Client Virtualization 2012 Vendor Analysis,” (doc #237753), largely due to the company’s ability to provide a powerful yet simplified end-to-end virtual desktop solution at a low cost. According to IDC, “Client virtualization has graduated from an optional solution to now becoming essential for IT,” said Brett Waldman, Research Manager, Client Virtualization Software, IDC. “Vendors that can most effectively deliver simplified end-to-end virtualization solutions at a low cost while offering customers the option of getting extra mileage out of legacy hardware through modernizing technology will have the greatest market opportunity.”
There were 10 other vendors included in the analysis: Microsoft, VMware, Citrix, Quest Software, Oracle, Red Hat, MokaFive, Virtual Bridges, Desktone, and Unidesk. All the companies either needed to be producing at least $10 million in revenue or demonstrate enough momentum in the marketplace that IDC expects the company to make near $10 million by 2013.
IDC cautions that despite the healthy growth in the market, there are plenty of obstacles to overcome when deploying a successful implementation, not the least of which include high initial capital expenditures and overall performance. While a CDW study found that 90% of businesses are considering or implementing client virtualization projects, it also reported that companies were finding that client virtualization is more complex to implement than they realized, that ROI is difficult to calculate, and that training end users can be a challenge.
Pagani believes the new announcements, coupled with the company’s recent enterprise focus should help make desktop virtualization more palatable with large organizations. As a company, we have the philosophy of accelerating adoption of desktop virtualization, and removing two key barriers, cost and complexity, but delivering performance as good or better than a PC. “We’ve seen thin-client struggle in the enterprise because what its being asked to do is so different; in the enterprise it’s all about rich media.”
One of the keys to NComputing’s approach is its use of system on a chip (SoC) technology for improved power, heat, performance, size and cost benefits, said Pagani. General-pupose chips like the x86 and previous generations can’t get the job done, he added. Only purspose-built chips can handle it.
NComputing’s N400, N500, and N500w N-series devices are built around its third-generation Numo 3 SoC. It said these HDX Ready devices, built to support all Citrix Desktop Virtualization technologies, deliver all the HDX experience at up to 66% lower costs than existing HDX-capable endpoint offerings. Each of these devices has built-in management agents for use by the vSpace Management Center that can manage thousands of remote devices.
The vSpace platform features: new vSpace Server version 7 for Windows, providing up to 100 users simultaneous access to a single Windows or Linux operating system instance; new vSpace Management Center, providing a scalable, flexible and easy-to-use single point of enterprise-class management with a Web-based console to manage all client devices from anywhere, anytime; and vSpace Premium Support and Services, providing customers access to regular software updates and upgrades, online Web resources and direct access to dedicated vSpace support engineers.