Tuesday, April 5, 2011

SMB's finally moving to Cloud? Microsoft sees it that way!

It was only a matter of time.  The Global 2000 organizations got the message loud and clear years ago about the Economic Benefits of Cloud Computing.  Will the SMB market finally wake up from its nap?  Check out this article posted by CMSWIRE on April 1, 2011. (Thanks for the tip from our friends at Element R Partners http://www.rurelevant.com)

Some gems in the article that caught my attention:
  • The value of the cloud market in the SMB space is close to US$ 21 billion.
  • Nearly one in three SMBs use cloud services, with cloud usage among SMBs expected to rise to 42%.
  • One in three SMBs plan to change the way data is stored, moving more data to the cloud, with many planning to reduce their use of local system hard drives and direct-attached storage.
  • Microsoft’s SMB Cloud Adoption Study 2011 seems to suggest a gradual, rather than abrupt, change over a period of three years.
  • "Cloud adoption will be gradual, and SMBs will continue to operate in a hybrid model with an increasing blend between off-premises and traditional on-premises infrastructure, for the foreseeable future,” said Marco Limena, vice president, Business Channels, Worldwide Communications Sector at Microsoft.
Full article available at: http://www.cmswire.com/cms/enterprise-cms/microsoft-sees-smbs-moving-to-the-cloud-010730.php


  1. Is the cloud really a place for capture? I find it interesting that a few companies have gone down this path. Transferring 10,000 pages per day over a T1 during business hours for processing is not optimal.

  2. I have to disagree. As a reseller of CAPSYS, we use it in our service bureau (over 10K per day) in the cloud and haven't seen any performance problems. Also, one of our larger volume customers scans over 35,000 pages per day in the SaaS model and they have seen no deterioration in performance from the on-premise system we replaced. Granted they have a larger pipe then a T1, but during busy times on the network, I would bet their usable throughput is less then a T1 and still no issues.

  3. If we look at the challenges of document capture like we have for the last 20 years, we can all very easily rationalize why capture must always be thought of in an on-premise environment and discount the promise of the cloud. Or, conversely, we can look at the IT challenges in terms of where the future of IT computing is going and has been trending for the last 3 years or so, and we'll find alternative strategies that work.

    Obviously, the Cloud may not be for everyone however, should the document capture industry be the lone step child in the IT industry that can't play in the sandbox with the rest of the Cloud providers?

    IMO, we shouldn't dictate - and we are if we don't offer alternatives to traditional on-premise software delivery models - to the consumer. After all, if consumer chooses to embrace the Cloud over on-premise, as ISV's we should ideally be in a position to offer the alternatives, otherwise we will be forced to walk from the opportunity to on-board a client.

    Lastly, economics are driving a large portion of why customers are choosing Cloud vs. on-premise based solutions. Who wants to try and fight that white elephant in the room? We all would be rather foolish to think the issue of economic buying decisions are going away anytime soon. Utility computing is the future.

    Thanks for your post!


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