Resellers key to helping cloud providers expand

The channel is set to play a crucial role in helping public cloud providers reach their growth targets with the relationship between reseller and hosted specialist mirroring the traditional one of vendor and dealer. Resellers will play a crucial role in helping the public cloud providers gain a deg

The channel is set to play a crucial role in helping public cloud providers reach their growth targets with the relationship between reseller and hosted specialist mirroring the traditional one of vendor and dealer.

Resellers will play a crucial role in helping the public cloud providers gain a degree of flexibility required to remain competitive, according to IDC.

With 85% of those cloud players quizzed by the analyst house expecting growth this year, with the majority of that coming from local markets the channel's role could be crucial.

"[Cloud providers'] business models are very similar to traditional IT vendors; the majority of providers we surveyed have relatively little flexibility in their pricing and service offer. To continue to be competitive in a market where customers are requiring more flexibility, and starting to get it from some suppliers, they will need to examine new business models," said Chris Ingle, associate vice president, consulting, at IDC. The research is mounting up around the way the cloud will expand this year with research coming from Forrester predicting greater adoption from mid-size companies over the rest of the year.

IDC discovbered that smaller European cloud providers were approaching the market slightly differently from their global rivals running an infrastructure like a traditional enterprise which resulted in a greater use of open source.

The analyst house also set out to find what cloud customers were looking for with reliability winning over price and energy efficiency.

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