Technologies

Benefiting

From

Public Cloud

ArchitectureThomas DelVecchioFounder, Director of ResearchEnterprise Technology Research

DATAOVEREVERYTHING

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2,042 high-level enterprise IT end users globally have participated in our spending intentions survey series in the past 8 years

ETR has collected and analyzed

3 Million+ unique spending intention

data points on over 300 private and public technology vendors

> = >● Analyst and opinion

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● Qualitative research

● Backwards looking research

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● No bias - ETR does not work with or

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The State of the Enterprise Technology Landscape

Public Cloud Timeline

2008Early Cloud Adopters

2015 Cloud > Alternatives

2017 and OnShift from Large Legacy Applications

Towards Microservices Due to Widespread Cloud Adoption

PresentPublic Cloud Usage Growing Exponentially -

Microsoft and Amazon AWS Leading the Way

Shifts in IT Architecture Amongst Forward Thinking CIOs

Public Cloud : Top Enterprise Priority in 2016

Managed Hosting / Cloud Computing(Amazon AWS, Microsoft Azure)

Analytics / B.I. / Big Data

ECM

Hosted Software

Internet Marketing / Social Media

Infrastructure Software

Information Security

Data Warehousing

Productivity Apps

Enterprise Apps

Video Conferencing

IP Telephony

Mobile Device Management

Server

Virtualization

Storage

Networking

Market Share Growth Y/Y

Ne

t S

co

re G

row

th Y

/Y

Adoption / Increase in Spend

Replacing / Decrease in Spend

Micro

Service

Tech

>Monolithic

Platforms

“Go small to get big”

- Matt Miller, Partner at Sequoia, on the Microservices Ecosystem

TheQuestions

1. Which Technologies Are Benefiting From Cloud Adoption?

2. Which Are Becoming ObsoleteDue to Cloud Pervasion?

Let’s Take A DataOriented Approach

Quantitative > Qualitative

ETR surveyed 866 CIOs in October 2016 about their

spending intentions in the enterprise

ETR quantitatively determined which vendors are positively and negatively correlated to public cloud spend using proprietary data mining techniques

Enterprise Size RegionIndustry Vertical

438 Enterprises Indicated in Our Most Recent SurveyThat They’re Adopting or Increasing with

Amazon AWS, Microsoft Azure and / or Google Cloud Platform

These CIOs areindicating a Shift

StorageOctober 2016

Spending Intentions

Vendors Aligned with CloudNimble StorageNutanixRed Hat GlusterVMware vSAN

Vendors Not Aligned with CloudBrocade

CACiscoCommVault

DellEMC

Fusion I-OHP

IBMIron Mountain

NetAppQLogic

QuantumVeeamVeritas

Western Digital

“We believe that once core systems, such as Active Directory, are routinely deployed by companies willing to take the risk, the move to cloud storage and core infrastructure will be widely adopted.” - CEO at IT/TelCo Firm

Storage Cloud Storage Will be Widely Adopted

“We have abandoned tape backups in favour of object store backups on cloud infrastructure.”

- IT Director at Consulting Firm

Storage Cloud Storage Preferred Over In-House Storage

Storage Hyper-Converged and Converged Infrastructure Benefitting From Cloud Adoption

“We have also built a hybrid cloud using

SimpliVity infrastructure but leveraging AWS

and Azure whenever it fits."

- Director of IT Infrastructure at Health Care Firm

Information Security October 2016Spending Intentions

Vendors Aligned with CloudCylanceFortinetImpervaOktaSplunkVeracode

Vendors Not Aligned with CloudBlue Coat

CAEMC

HPIBM

NovellPalo Alto Networks

Rapid7SonicWALL

Sourcefire

“By the end of this year we will be 100% Cloud

based SaaS. ... I will have no data center (not

even co-lo) and the only local services will be

firewall and authentication appliances.”

- VP Infrastructure and Shared Services at IT Firm

Information Security Firewall and Authenticationwill Still Be Needed

Analytics / B.I. / Big Data October 2016Spending Intentions

Vendors Aligned with CloudAmazonAppDynamicsElasticMicrosoftSplunkSumo LogicVaronis Systems

Vendors Not Aligned with CloudIBM

InformaticaNew Relic

QlikTableau

“[Power BI offers] direct integration with existing Microsoft BI ecosystem, including usage of Power Query, SSAS, and SSRS on premise publishing.”

- Information Delivery Architect at Manufacturing Firm

Analytics / B.I. / Big DataEnterprises are Choosing Analytics Tools

Native to their Cloud Vendor

Infrastructure SoftwareOctober 2016

Spending Intentions

Vendors Aligned with CloudDockerMicrosoftNiciraRed Hat

Vendors Not Aligned with CloudBMC

CACompuware

Double-TakeNovell

OracleRiverbed & OPNET

TIBCO

Networking October 2016Spending Intentions

Vendors Aligned with CloudAruba NetworksSilver Peak

Vendors Not Aligned with CloudBlue Coat

Brocade FoundryCitrix NetScaler

GigamonInfobloxJuniper

Cisco MerakiNetGear

NiciraRiverbed

“The next revolution is Network as more and more things become geographically Cloud disbursed.”

- IT Director of Strategy and Planning at Energy Firm

NetworkingNetworking Will Take

Priority Due to Cloud Adoption

Data Warehousing October 2016Spending Intentions

Vendors Aligned with CloudAmazon RedShiftMicrosoftMongoDB

Vendors Not Aligned with CloudEMC

HortonworksIBM

Data Warehousing

“As to open source, [Legacy Vendor] is losing a

lot to open source DB systems and tools.”

- Senior eGRC Consultant at IT/TelCo Firm

Open Source DB Vendors Taking Share from Legacy Providers, Benefiting from Cloud

Productivity Apps October 2016Spending Intentions

Vendors Aligned with CloudAtlassianDassault SystemsNuance Comm.Twilio

Vendors Not Aligned with CloudAutodesk

BoxDropbox

Enterprise Apps October 2016Spending Intentions

Vendors Not Aligned with CloudEpicorInfor

JDA SoftwareLawson Software

OracleSAP

Monoliths Are Being Disrupted By Holding Onto Branded Infrastructure

“My conversations with our applications providers is all around when and not if are you going to offer this as a Service. If no plans for when, then we are changing our buying decisions. Hurt are all these legacy providers that hold onto branded infrastructure.”

- IT Director of Strategy and Planning at Energy Firm

Enterprise Apps

ServerOctober 2016

Spending Intentions

Vendors Aligned with CloudCentOSDockerRed HatMicrosoft

Vendors Not Aligned with CloudAMDEMC

FujitsuIBM

Oracle

“We’re gradually shifting a lot of our software from VMs to containers and in some cases server-less platforms (Lambda) to further reduce the costs of infrastructure … We would never be able to do the required platform engineering ourselves – but we don’t have to. Amazon and MSFT do it all for us...”

- CEO of Entertainment Firm

Server Containers and Server-less Platforms Provide Lower Overhead Costs

Hosted Software October 2016Spending Intentions

Vendors Aligned with Cloud :AtlassianMuleSoftPaychex

ServiceNowWorkday

Vendors Not Aligned with Cloud :IBM Kenexa

Oracle Fusion & RightNowRally Software

SugarCRMVeeva Systems

Conclusions

Public cloud adoption is disrupting traditional architectures and stacks

Microsoft and Amazon are expanding into new business lines, hurting pure-play and legacy vendors

Public cloud adoption is benefitting the microservices ecosystem

In turn, monolithic vendors and applications are becoming less important as organizations shift to “small, loosely coupled and composable autonomous pieces” - Containers, developer tools, log analytics, open source, converged infrastructure, and API and data management will make up tomorrow's technology stack

Four Pivotal Insights

*Matt Miller, Partner at Sequoia, on the Microservices Ecosystem

Your Cheat Sheet

Analytics / B.I. / Big Data

Productivity Apps

Virtualization

Data Warehousing

Mobile Device Management

Hosted Software

Server

Cloud Computing / Managed Hosting

Data Center Colocation

Diversified Apps

Business Processes

IP Telephony

Information Security

Video Conferencing

Infrastructure Software

ECM

Enterprise Apps

Networking

Storage

Amazon, AppDynamics, Elastic, Microsoft, Splunk, Sumo Logic, Varonis Systems

Atlassian, Dassault Systems, Nuance Comm., Twilio

Nutanix

Amazon RedShift, Microsoft, MongoDB

Intel McAfee, Microsoft

Atlassian, MuleSoft, Paychex, ServiceNow, Workday

CentOS, Docker, Microsoft, Red Hat

AWS, Microsoft Azure, Google Cloud Platform, Salesforce.com, SAP Ariba, VMware vCHS

Equinix

Blackbaud

Microsoft

Cylance, Fortinet, Imperva, Okta, Splunk, Veracode

Microsoft Skype & Lync

Docker, Microsoft, Nicira, Red Hat

Microsoft

Aruba Networks, Silver Peak

Nimble Storage, Nutanix, Red Hat Gluster, VMware vSAN

Technologies Benefitting Due to Public Cloud Adoption

Your Cheat Sheet

IBM, Informatica, New Relic, Qlik, Tableau

Autodesk, Box, Dropbox

EMC, Hortonworks, IBM

Blackberry, IBM

IBM Kenexa, Oracle Fusion & RightNow, Rally Software, SugarCRM, Veeva Systems

AMD, EMC, Fujitsu, IBM, Oracle

AT&T, CenturyLink Savvis, HP, IBM SoftLayer

Atos, Digital Realty Trust

Blackboard, Nice

IBM

Avaya, Cisco, ShoreTel, Siemens

Blue Coat, CA, EMC, HP, IBM, Novell, Palo Alto Networks, Rapid7, SonicWALL, Sourcefire

Cisco, Citrix GoToMeeting, Logitech, LogMeIn, Zoom

BMC, CA, Compuware, Double-Take, Novell, Oracle, Riverbed, OPNET, TIBCO

Alfresco, EMC, HP Autonomy, Hyland Software, IBM, Open Text, Oracle

Epicor, Infor, JDA Software, Lawson Software, Oracle, SAP

Blue Coat, Brocade Foundry, Cisco Meraki, Citrix NetScaler, Gigamon, Infoblox, Juniper, NetGear, Nicira, Riverbed

Brocade, CA, Cisco, CommVault, Dell, EMC, Fusion I-O, HP, IBM, Iron Mountain, NetApp, QLogic,

Quantum, Veeam, Veritas, Western Digital

Technologies Becoming Obsolete Due to Public Cloud Adoption

Analytics / B.I. / Big Data

Productivity Apps

Virtualization

Data Warehousing

Mobile Device Management

Hosted Software

Server

Cloud Computing / Managed Hosting

Data Center Colocation

Diversified Apps

Business Processes

IP Telephony

Information Security

Video Conferencing

Infrastructure Software

ECM

Enterprise Apps

Networking

Storage

Technologies

Benefiting

From

Public Cloud

ArchitectureThomas DelVecchioFounder, Director of Research

get in touch : TD at ETR dot AI