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IBM hardware portfolio syncs with hybrid cloud strategy: Paulo Carvao, IBM

Yogesh Gupta | June 28, 2016
The change in buying behavior and consumption models of organizations have made us tweak our hardware portfolio and it’s been a good move, says Paulo Carvao of IBM Systems Hardware.

That's why we always talk of being a cognitive solutions company leveraging cloud as a platform to deliver value to the client. The concept of industry value is aligned to the LOB buyer and hence the role of CIO in this environment changes. CIOs can stick to traditional SLAs and cost. They can also branch out and become true service providers for their company and orchestrate other investments across business as enterprise-wide IT strategy leveraging all sorts of digital assets - cloud or on premise solutions. 

Would hardware appliances shipments decline over time?  Or some appliances will shift locations from company's on premise to a third party datacenter or cloud? 

It's a bit of both. All of a sudden we see large IaaS providers - be it IBM SoftLayer, Microsoft Azure, Google, Amazon have all turned into massive consumers of hardware technology for both compute and storage (including  software defined storage ).  

There is a definite shift where volumes are migrating to other consumers ---to the off-premise which happens to be on-premise for them. Customers want to virtualize, rationalize and optimize their on premise infra with the hybrid capability to other demands in off premise environments. We have power and storage offerings for access to these other consumers in hyper scale environment. 

Do you see the channel ecosystem also change from pure hardware sellers into solution providers or solution integrators? 

The changed technology landscape has a huge impact on the entire supply chain. I don't foresee a long term future for a traditional reseller (box pusher) with a minimal value add in today's market. That is a very low margin business and a business with high risk of disintermediation at any point of time.

My advice to the resellers and the partner ecosystem is that they should diversify their IT business to become more solutions-centric. Traditional hardware resellers need to have a richer mix of hardware, software and services. They should identify the areas of clear value add (their sweet spots) than just play the fulfillment role. And we see many of these channels exploring and some moving to MSP models which is the future of IT.

Source: Computerworld India 


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