Cloud Highlights Dell EMC World
Oct19

Cloud Highlights Dell EMC World

Austin, Texas: A number of announcements were made at the inaugural Dell EMC World event (as well as VMWorld Europe), including a several cloud-related items. While not necessarily more significant or relevant than the other news, I decided to focus on the cloud items because cloud seemed to offer more perspective about Dell’s future, than its present. Dell’s Elastic Cloud Storage (formerly Project Nile), acquired with EMC, is a software-defined, cloud-based distributed file and object storage platform that manages data as objects. While it’s market segment represents an attractive solution for soaring data growth, it is not seeing corresponding growth, according to a study released at the start of the year. The ‘object storage market gains remained lackluster,’ although that should change: the ‘increased pressure on the storage infrastructure to scale bigger, protect longer, and keep more data active in more locations will likely continue to drive IT organizations to seek to deploy an architecture that can cost-effectively solve not only the scale challenges of today, but also those of the next decade or two in the future. For many organizations that architecture is object storage.’ Fast forward 9 months and following “good momentum”, Dell is making five ECS announcements, including software and enterprise enhancements, an appliance, and a single-tenant version due out later this year. While the announcements will appeal to existing customers, the intent is to grow the customer base, said Varun Chhabra, Director of Product Marketing for Dell EMC Emerging Tech Team. We’re “growing really fast,” he told IT Trends & Analysis. While the news should appeal to both existing and new customers, the “focus still remains on continuing to penetrate new accounts.” Given its position, Dell would seem to have nowhere to go but up. Chhabra said their goal is to equip customers on their journey to the cloud, wherever they may be. “We have to continue to innovate to provide customers that value.” It’s all about enabling choice for customers, and continuing to innovate, he added. Earlier this month VMware and Amazon Web Services announced a strategic partnership under which VMware’s software-defined data center (SDDC) offering will run on the AWS public cloud in mid-2017. With VMware Cloud on AWS (the new platform), customers will be able to run applications across VMware vSphere-based private, public and hybrid cloud environments using their existing VMware software and tools for a full range of storage, database, analytics and other services. “We see that we could bring together the best of both worlds,” said VMware CEO Pat Gelsinger. “The best of public cloud and the best of private cloud are coming together.” Earlier this year the company unveiled...

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Dell EMC Eases the Way to Windows Server 2016 and Azure…

Two weeks ago, in the September 21st issue of the Pund-IT Review, I wrote about the new Validated System for Virtualization that Dell EMC announced at VMworld 2016. As I noted then, the value of that offering rests in its ability “to be flexibly scaled and adjusted to meet individual customers’ discrete requirements.” But the new Dell EMC Validated Systems for Microsoft Exchange and Microsoft SQL, along with new Microsoft Azure Cloud Services show another dimension of the Dell EMC strategy that’s worth close consideration. To read the complete article, CLICK HERE NOTE: This column was originally published in the Pund-IT...

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BMC & Random Acts of Insight

LAS VEGAS: I got to speak to a number of people at last week’s BMC Engage 2016 Global User Conference, including a number of BMC Software execs who made a number of interesting comments that haven’t appeared in any of my stories yet. Here are a few colorful quotes in my Random Acts of Insight: BMC Paul Appleby Executive Vice President, Worldwide Sales and Marketing, BMC: “The past couple of years we’ve doubled the number of new products we’re bringing to market.” Bill Berutti, President, Performance & Analytics and Cloud Management/Data center Automation, BMC: “The timeliness of us going private was fortunate… the digital revolution is happening in every company… disrupt or be disrupted… At the same time IT budgets are not going up. And by the way, the world is changing really, really fast.” “We’re now getting more relevant to the business.” Jason Andrew, GP and VP, BMC:  “We’ve added 900 new customers in the last 12 months.” “If you want growth you want new customers and don’t lose existing customers… we’re winning marketshare… and we’re changing what the addressable market is.” Sean Hinton, Area Director, Canada, BMC:  “It’s all about business outcomes and trying to engage with our customers that way.” “Engagement, user experience… that’s what it’s all about.” Big Iron (aka Mainframe) BMC Chairman and CEO Bob Beauchamp: “I think it is a competitive advantage that 25% of our business is mainframe.” John McKenny, VP Marketing and Customer Support of ZSolutions, BMC: “We’ve added amost a hundred customers… for MLC.” “IBM has very complex pricing… and most folks really stlruggle with what makes up that bill every month.” Security Robin Purohit Group President, Enterprise Solutions Organization, BMC:  “Security is the number one thing thing that can disrupt digital transformation.” DevOps Beauchamp: “By the way you’re all software companies. Congratulations!” Purohit: “The developer is king as you go digital.” Digitalization Beauchamp: “Go digital or go extinct…” “98% of digital data was created in the last two years. That will be true again next year.” DISCLAIMER: BMC looked after airfare and hotel....

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BMC: Go Digital or Go Extinct

LAS VEGAS: My primary objective for attending management software vendor BMC Software’s third annual customer/partner event, BMC Engage 2016 Global User Conference — other than its Sin City venue — was to try and understand how a 36-year-old ISV that got its start in the mainframe business (and which still accounts for 25% of its revenue, although packaged as a separate business) can reposition itself as a leader in digital transformation (DX). Even with more than 10,000 customers, including 82% of the Fortune 500, and around $2 billion in annual revenues (estimated, since it’s been private since 2013) that’s a seemingly outrageous claim to make, the old proverbial tail wagging the dog. If a quarter of BMC’s revenues are still based on Big Iron, the other 75% represents a broader set of tools for the rest of the market, including another 25% of its revenues coming from ITSM, or ITSSM as Gartner calls it, and who just crowned BMC (21.3% market share), along with ServiceNow (34.4%), as the two leaders in this segment, valued at $2.2 billion in 2015, in its Magic Quadrant for IT Service Support Management Tools. An interesting sidenote to this is that a few months ago ServiceNow announced that it had entered into a covenant not to sue for patent infringement with BMC for a term and took aggregate charges of $270 million for litigation settlement expenses related to its litigation associated with BMC and Hewlett Packard Enterprise. ServiceNow had been accused by BMC of infringing on eleven of the patents in its portfolio, and BMC has also filed similar additional suits against ServiceNow in the U.S. and Germany. Fast forward, and BMC Engage had the (mis)fortune of taking place while a number of mega-deals were transforming the IT industry’s biggest players: Dell completed its EMC acquisition in the industry’s biggest merger; HPE spun off another piece to become a $28B entity, a mere shadow of its glory days of a few years ago when bigger was best, revenues over $100B annually, not bust (although it still owns sizeable shares of both its services and software spin/mergers); and Intel finally accepted that trying to successfully run  a security business was anything but complementary to its chip core. BMC’s message has been that businesses must digitize to survive, and it can help them do so. While that might sound strange, given its history and current size, the company has been thriving, in a more modest way than its much bigger newsmakers. The message that the world is changing and business must change with it is hardly new or profound, but the underlying reality is that the...

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BMC: Doing the Right Things

“Management is doing things right; leadership is doing the right things.”  Peter Drucker LAS VEGAS: IT is moving from the back office to the boardroom, from making businesses more efficient to making them more effective, and to paraphrase Peter Drucker, all aspects of information technology, including the current darlings — cloud, mobility, analytics, IoT and social — will have to enable businesses to do the right things, at the right places and at the right times, or the businesses will fail. That’s part of the challenge confronting Houston-based BMC Software, a management software vendor that started in the mainframe business back in 1980, broadened its portfolio to IT operations management (ITOM) solutions for on-premise and cloud environments, and went private in 2013. This week the company, with more than 10,000 customers, including 82% of the Fortune 500, is hosting 2,300 attendees at BMC Engage 2016 Global User Conference. The theme — and the company’s focus of late, at least from a marketing perspective, is digitization and what it calls Digital Enterprise Management (DEM), unveiled at last year’s event. “With Digital Enterprise Management, BMC is providing a clear path to successfully manage this digital transformation,” said BMC CEO Bob Beauchamp, last September. “From the mainframe to mobile to the cloud, our solutions allow companies to improve the speed and lower the cost of digital service development, deployment, operation and maintenance.” Digital transformation is not just a technology trend, it is at the center of business strategies across all industry segments and markets, stated IDC. PwC calls the digital enterprise ‘Industry 4.0’, and according to its recent survey of over 2,000 senior executives from nine major industrial sectors and 26 countries, the implications are incredible. Respondents expect to increase annual revenues by an average of 2.9% and reduce costs by an average of 3.6% p.a. These results pale in comparison with the “first movers” who combine high investment levels with advanced digitisation: “they’re already gaining a nearly insurmountable advantage over competitors’. Representing just 4% of the respondents (71 companies), first movers ‘are far more likely to be forecasting both revenue gains of more than 30% and cost reduction of more than 30% at the same time.’ The numbers for the ITOM or IT operations and service management (ITOSM) market vary, but it is a significant and growing market populated by such vendors as Microsoft, BMC Software, Oracle, IBM, HPE, CA Technology and Dell. Last year it was worth $17.44 billion, with a compound annual growth rate of 6.5% between 2016 and 2024 ($30.96 billion), growing nearly twice as fast as the overall IT market worth nearly $2.4 trillion in 2016, and...

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