Comments on: OnDemand Speed Links Jul 16 2008 http://www.ondemandbeat.com/2008/07/16/ondemand-speed-links-jul-16-2008/ OnDemand Computing and Enterprise 2.0 Startup & Tech News Sat, 19 Nov 2011 07:54:31 +0000 hourly 1 http://wordpress.org/?v=3.1.1 By: Ameed Taylorhttp://www.ondemandbeat.com/2008/07/16/ondemand-speed-links-jul-16-2008/comment-page-1/#comment-491 Ameed Taylor Wed, 16 Jul 2008 22:39:26 +0000 http://www.ondemandbeat.com/?p=303#comment-491 Bill, You are right. When I worked for an ASP during the dot com days, we were able to sign customers that our smaller startup competitors could not due to us being a joint venture between Qwest Communications and KPMG. If we had been a small startup ASP we would not have been anywhere as successful as we were signing Fortune 500 clients. Likewise today; especially in a recession, it will be very difficult for the generic startup cloud providers to gain entry into Fortune 2000 without other referenceable Fortune 200 clients. Mind you I think that SaaS vendors who focus on a particular vertical industry or have a niche offering will do fine as they are not asking companies to entrust ALL their mission critical data to a new Cloud Provider. Bill,

You are right. When I worked for an ASP during the dot com days, we were able to sign customers that our smaller startup competitors could not due to us being a joint venture between Qwest Communications and KPMG. If we had been a small startup ASP we would not have been anywhere as successful as we were signing Fortune 500 clients.

Likewise today; especially in a recession, it will be very difficult for the generic startup cloud providers to gain entry into Fortune 2000 without other referenceable Fortune 200 clients.

Mind you I think that SaaS vendors who focus on a particular vertical industry or have a niche offering will do fine as they are not asking companies to entrust ALL their mission critical data to a new Cloud Provider.

]]> By: Bill Knowleshttp://www.ondemandbeat.com/2008/07/16/ondemand-speed-links-jul-16-2008/comment-page-1/#comment-488 Bill Knowles Wed, 16 Jul 2008 22:21:22 +0000 http://www.ondemandbeat.com/?p=303#comment-488 Once you take away the hype that a lot of the startup Cloud Providers rely on it will in the end boil down to most managers will not be willing to trust their data to a startup. It is too big of a risk not only from bankruptcy, but also from SAS compliance, confidentiality of data et al. In the end, the large players like Oracle, IBM, HP and Microsoft will end up dominating the Cloud Computing arena becase companies will not be willing to roll the dice with dicey startups. Once you take away the hype that a lot of the startup Cloud Providers rely on it will in the end boil down to most managers will not be willing to trust their data to a startup.
It is too big of a risk not only from bankruptcy, but also from SAS compliance, confidentiality of data et al.
In the end, the large players like Oracle, IBM, HP and Microsoft will end up dominating the Cloud Computing arena becase companies will not be willing to roll the dice with dicey startups.

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