End-customer focus is on availability, not channel - VMware

- Thursday, September 1, 2011

End-customer focus is on availability, not channel - VMware

Businesses and end customers in Latin America are more concerned about IT service availability than with how the service is delivered, Patricia Montanelli, systems engineer for the South of Latin America region at California-based virtualization software firm VMware (NYSE: VMW), told BNamericas.

End customers "won't care what the underlying structure is, but rather [will care about] having available what they need, when they need it," she said. "When considering the different types of cloud - private, public and hybrid - this applies to all of them."

With respect to the public cloud, "today all service providers are offering or thinking of offering public cloud services of different flavors," added Montanelli, who highlighted that the solution provides companies access to IT resources that are not stored in their data center.

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But there are some applications that have regulatory and/or security requirements that do not allow data to be taken off premises, in which case a private cloud could be called for.

Virtualization is the corner stone for providing flexible, dynamic cloud services that can be adjusted to the client's needs, Montanelli said. And in the region, "in general terms companies have a high percentage of their [IT infrastructure] virtualized and are running mission-critical applications over it. They're going down the road to private cloud" development.

At the same time, there is a threat to the cloud in companies refusing to change their stance on IT management, she warned. If the companies are unable to change their point of view on this issue, "then cloud computing could be seen as threatening and difficult to implement. The provision and delivery of cloud services is different, as is the service management, security, the cost of resources, the degree of automation and the meeting of pertinent regulations."

But for years companies have been using cloud-type services such as SaaS, email and CRM, and they trust in these services, the executive added.

VMware reported a global net profit of US$220mn during 2Q11, surging 195% year-over-year. Total revenues for the quarter were US$921mn, growing 36.7% compared to the same period last year.