With EMC – the world’s biggest backup vendor — saying backup is broken, and 77% of decision makers are not confident they could fully recover, Asigra is prescribing an innovative fix that should at least help lessen some of the pain, if not uncertainty. The cloud backup, recovery and restore (BURR) software provider’s new Recovery License Model (RLM) decouples backup and recovery, and offers savings of 40% immediately and 60% over time, said Asigra EVP Eran Farajun. The company also announced cloud-to-cloud backup support for Google Apps.
The current pricing model, invented back in 1992, has run its course and is on its last legs, said Farajun. “We keep backing up more and more data every year because data growth keeps going up, and costs keep going up.”
The problem, from a cost perspective, is an unfair and unsustainable pricing model based on the wrong metric, he said. “Customers pay for 100% of their data, but nobody recovers 100% of their data.”
Asigra has been exploring this move for close to 18 months, talking to 500 enterprise customers about their backup environments and requirements, said Farajun. During a typical year, the majority recover no more than 10% of their data, and for many, it’s less than 5%.
This could be a very disruptive move, according to a prepared statement from Steve Duplessie, Founding Analyst, Enterprise Strategy Group. “Business model revolutions have been proven to obliterate how buyers consume goods and services. A perfect example is Amazon’s Internet-based consumption model which turned retail on its head or iTunes which changed the way we shop for and purchase music. This ‘Amazon Effect’ is a business model shift that happens when a marketplace adopts a new approach to consumption. This is happening in IT and Asigra’s Recovery License Model is one such example that could cause an upheaval in the backup and recovery space.”
Another analyst, 451 Research’s Dave Simpson said the explosion in data growth has put increasing pressure on backup administrators to constrain costs, in another prepared statement. “Recovery-based pricing is a potential game-changer for the data protection industry, breaking the mold of traditional backup software pricing. While this may be disruptive for some vendors, it can be a serious win for organizations under assault by growing volumes of data and budget constraints.”
There is an old cliché in IT circles – people don’t care about backup, they care about recovery, stated Colm Keegan, Senior Analyst, Storage Switzerland. “The Recovery License Model is a more forward thinking approach as it directly ties the investment in data protection to recovery operations rather than the total amount of data backed up. Under this model, organizations only pay based on the frequency of recovery and what’s more, through automated tracking technology, insights may be gleaned to help organizations reduce the rate at which recovery operations are performed – resulting in still lower costs.”
According to last month’s Gartner Magic Quadrant for Enterprise Backup/Recovery Software, the enterprise distributed system backup/recovery software market was $4.4 billion in 2012, and it is projected to grow to $6.8 billion by 2017. Symantec currently owns 31.6% of the market, followed by EMC (17.3%) and IBM (17.2%). Asigra was rated as a niche player, with more than 600 managed service providers offering it as their own relabeled software as a service (SaaS) solution.
However, today almost half of its customers implement Asigra within their own data centers as a private cloud. Asigra claims that close to 1 million global sites are now protected with its backup solution.
Farajun said backup and recovery costs are a growing issue. Organizations are looking at the data growth and trying to determine what will be their pain points in the next few years. “If you think you’re paying a lot today, it’s only going to get worse in 3-5 years.”
RLM gives organizations the option of paying for how little they recover, but is capped at 25% of the user’s total capacity to provide predictable pricing. Fees are based on a Recovery Performance Score that is calculated over a 12-month period (but every 6 months in the first year). A waiver is provided for the single largest recovery event in any licensing term and only successful recoveries are included in the calculations.
Google Apps now joins other Tier One cloud applications and platforms, including Salesforce and IBM SmartCloud, supported by Asigra in its latest release of Cloud Backup (version 12.2). Google Apps is one of the fastest growing segments in the SaaS application arena and the current installed base includes a vast number of enterprises that will require a change in their backup architecture if they are to accommodate this data, said Asigra.
According to Gartner, there were 50 million business people provisioned in whole or part with office systems capabilities from the cloud at the start of 2013, which represents only 8% of the overall universe of office system users. “The number of cloud-provisioned users will grow 28.5% a year to 695 million users by 2022 (and constitute 60% of the larger user universe that will exist by then). We’re expecting cloud-provisioned users to constitute 33% of the enterprise universe in 2017,” said Tom Austin, Senior Analyst, Gartner, in a prepared statement.