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Report: IBM Named #1 Preferred Provider of IaaS Cloud by Enterprises 2014.05.11

Armonk, N.Y., USA - May 09, 2014 - IBM (NYSE: IBM) today announced businesses across the US have ranked IBM the #1 cloud computing provider, according to an IDC survey of US market preferences for infrastructure-as-a-service (IaaS). Enterprises ranked Amazon 7th, behind Google (5th) and Microsoft (6th). The rankings are based on responses from more than 400 US-based companies with more than 1,000 employees. Cloud providers were also rated on their quality of service for availability, speed of provisioning, simplicity and overall cost. IBM's IaaS platforms include SoftLayer, an IBM Company, acquired in July 2013 and IBM Cloud Managed Services. In addition to overall top ranking, IBM was also rated the leader in six of eight major industries covered in the study including Financial Services, Manufacturing, Healthcare, Professional Services, Wholesale and Retail and Public Sector (government).

IBM Launches Cloud marketplace for the enterprise with business partners.
IBM Cloud Platform General Manager Steve Robinson
(right) tours the IBM Cloud marketplace online with Jim Franklin, CEO, SendGrid (left) on various computers and mobile devices.
Courtesy of IBM
 

Armonk, N.Y., USA - May 09, 2014

IBM (NYSE: IBM) today announced businesses across the US have ranked IBM the #1 cloud computing provider, according to an IDC survey of US market preferences for infrastructure-as-a-service (IaaS).

Enterprises ranked Amazon 7th, behind Google (5th) and Microsoft (6th).

The rankings are based on responses from more than 400 US-based companies with more than 1,000 employees.

Cloud providers were also rated on their quality of service for availability, speed of provisioning, simplicity and overall cost.

U.S. Top IaaS Provider Preferences; IBM ranks #1
Source: IDC's U.S Outsourced Cloud Services Survey, 4Q13 / IBM
 
IBM's IaaS platforms include SoftLayer, an IBM Company, acquired in July 2013 and IBM Cloud Managed Services.

According to the study, "IDC: U.S. Buyers Rank IBM, Cisco, HP, AT&T, and Google as Likely Most Effective Top 5 Providers in Delivering IaaS, Doc # 248127 May 2014," buyers selected IBM as their top overall preference among providers they believe can most effectively provide IaaS, whether private or public.

IBM was the leading cloud vendor with 35 percent of first place votes.
By comparison, Amazon carried 13 percent, Microsoft and Google came in around 16 percent.


Photo courtesy CeBIT 2014
 
"We believe this new IDC report, based on actual client preferences, underscores IBM's overall leadership in cloud computing,"
said Jim Comfort, General Manager Cloud Services, GTS.
"IBM is investing billions in cloud to serve clients with the most comprehensive portfolio in the industry across infrastructure, platform and software-as-a-service. We are expanding our global datacenter footprint, opening our software to the cloud for developers and making cloud services easily accessible through an online cloud marketplace. Enterprises trust IBM to manage their business transformation, operations and processes as they move into the future - hybrid cloud era."

Photo courtesy CeBIT 2014
 
In addition to overall top ranking, IBM was also rated the leader in six of eight major industries covered in the study including Financial Services, Manufacturing, Healthcare, Professional Services, Wholesale and Retail and Public Sector (government).

IBM also finished in the top three in Transportation and Telecommunications, the only vendor to lead in as many industries and rank no lower than third in any industry.

IBM has deep industry expertise helping client tackle industry-specific issues as they move to the cloud era. In fact, IBM has more than 40,000 industry experts dedicated to this effort.

Gary D. Burnette, VP of Sales Transformation, IBM Corporation.
Photo courtesy CeBIT 2014
 
The majority of respondents (52 percent) indicated a strong preference for full-service providers such as IBM for their broad capabilities - professional services, consulting systems integration, custom software development and testing - needed to support buyers moving to cloud services.

Less than 5 percent of respondents preferred their vendor to be an online service provider such as Amazon or Google.

Survey respondents were evenly divided among companies in three size categories: 1,000-4,999 employees, 5,000-9,999 employees and 10,000+ employees.

IBM SoftLayer CEO Lance Crosby examines servers at the IBM SoftLayer data center in Dallas, Texas, on Friday, January 17, 2014.
IBM announced it is committing more than $1.2 billion to significantly expand its global network of cloud data centers.
Courtesy of IBM / Ron Jenkins
 
Interestingly, the report stated, companies under 5,000 employees showed the highest share of respondents ranking full-service providers such as IBM as their top selection of business model options from which to procure cloud services.

Overall, US buyers gave cloud service providers considerably strong ratings, according to the IDC study.

This applies to providing cloud services most cost-effectively and meeting quality of service expectations involving availability, speed of provisioning, and simplicity of service provisioning.

IBM Services Center: Baton Rouge to open in 2015.
Courtesy of IBM
 
Another key finding of the study is IDC's finding that to be successful in the future, cloud service providers must build to where the "puck will be."

Ultimately, the report states, players competing in the cloud services market will need to build to the end-state structure of a cloud service provider business model that resembles the automotive factory model of services delivery involving a robust ecosystem, localized app store, integrated digital services supply chain and a "cloud factory" consisting of PaaS, TaaS, IaaS and SaaS.

Infographic: IBM Invests $1B to deliver unique platform-as-a-service capabilities.
Courtesy of IBM
 
In the first four months of 2014, IBM has announced three major cloud initiatives:

• An investment of $1.2 billion to grow its global cloud footprint to 40 data centers in every major financial center.

• A $1 billion investment to open its enterprise software to the cloud to allow developers to create new applications for the hybrid cloud era on IBM's BlueMix platform-as-a-service.

• The launch of an IBM Cloud marketplace to provide easy access to IBM's cloud services for individuals across the enterprise from IT operations, line of business and application development.

Infographic: IBM commits $1.2B to expand global cloud footprint.
Courtesy of IBM
 
IBM reported record annual revenue of $4.4 billion for cloud computing in 2013 and most recently, a 50 percent growth rate for cloud in the first quarter of 2014.

Most telling of all, enterprises have rated IBM their top choice to provide cloud infrastructure services and guide them into a new era.


About IBM Cloud Computing

IBM has helped more than 30,000 clients around the world with 40,000 industry experts. Since its acquisition in 2013, IBM SoftLayer has served 4,500 new cloud clients.

Today, IBM has 100+ cloud SaaS solutions, thousands of experts with deep industry knowledge helping clients transform and a network of 40 data centers worldwide.

IBM Cloud Managed Services, previously known as SmartCloud Enterprise+, is a fully managed, highly secure IaaS cloud optimized for critical enterprise workloads.
IBM Cloud Managed Services offers unique instance-level VM uptime SLAs to 99.95% and many advantages of a private cloud - such as options for dedicated servers and storage - while providing flexible scaling and the benefits of cloud economics.
Ten data centers on five continents provide global reach with additional data centers coming on line in 2014
.
Courtesy of IBM
 
Since 2007, IBM has invested more than $7 billion in 17 acquisitions to accelerate its cloud initiatives and build a high value cloud portfolio.

IBM holds 1,560 cloud patents focused on driving innovation.

In fact, IBM for the 21st consecutive year topped the annual list of US patent leaders.

IBM processes more than 5.5M client transactions daily through IBM's public cloud.

For more information about cloud offerings from IBM, visit http://www.ibm.com/cloud  

Follow us on Twitter at @IBMcloud

and on our blog at http://www.thoughtsoncloud.com  

Join the conversation #ibmcloud.


Contact information

Mike Azzi
IBM Media Relations

1 (203) 313-2280
azzi@us.ibm.com  


Source: IBM

http://www-03.ibm.com/press/us/en/index.wss  



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