Category: News

Channel needs greater diversity

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The IT channel needs to do more to attract women and ethnic minorities.

Industry group CompTIA has been a strong advocate of increasing diversity in the IT industry, having identified a ‘confidence gap’ that has prevented some people from entering the industry and is determined to overcome those problems.

CompTIA CEO Todd Thibodeaux said: “There are lots of people who don’t realise they can work in the industry because they think they need to have a college degree or be maths and science whizzes but it is a different job to the one they think it is. We have to get them over this confidence gap.”

People need to realise that anybody can be trained and acquire the skills to work in the industry but they need to believe they can do it.

He said everyone wanted to speed up the movement towards greater diversity but it was “not something that can be fixed overnight”.

“It will be interesting to see every year from now because that is when we are supposed to see the mass retirement of the early baby boomers that are going to come out of the industry. That is where there will be lots of opportunity”, he said.

Research showed that more diverse companies developed better products faster, service customers better and had happier employees, Thibodeaux said.

As well as getting a more diverse workforce the other lesson that the industry can learn is around being open minded about what fresh talent can bring to the business.

“We are making people conform to the norms in a company when they come in and not allow them to be comfortable and be themselves and bring what they bring to the culture. We are forcing people to come and are forcing them to assimilate to the existing culture, rather than making them feel they can add to the culture.” He added that the drop-out rate can be high.

Progress becomes a hamburger

photo4Security outfit Progress has launched a company in Germany, kickstarted with a Hamburg office and a new German country manager.

Progress was launched last year by John Quinn and is now taking heading into central Europe.

Progress has taken on a dedicated Spanish region manager, based in Madrid, as the firm looks to build its presence in Iberia.

The company said that its European arms will largely be built up of vendors that have a relationship with Progress in the UK, which are looking to move quickly into other European territories.

The normal process for Vendors is to start in the UK, move to the Nordics and the central Europe but Progress is going straight to Central Europe from the UK .

This was mostly because most of the company’s vendors wanted to be in central Europe and a couple of them were already there.

After establishing the Hamburg office Progress will head into Munich, as well as into neighbouring Austria and Switzerland.

As-a-service sourcing contracts grow

Forwarders-set-to-see-growthThe value of as-a-service sourcing contracts have reached an all-time high in EMEA, but a drop in traditional sourcing resulted in a weak quarter overall.

Beancounters at Information Services Group (ISG) have added up some numbers and decided that the 3Q17 EMEA ISG Index shows commercial sector outsourcing contracts with an annual contract value (ACV) of £3.5 million.

The index shows that the as-a-service sector continued its upward trajectory, soaring 48 percent, to £892 million as companies continue to seek cloud and digital solutions to improve operating efficiency and develop new growth opportunities.

This boost countered the significant shortfall in traditional sourcing, which slumped 43 per cent, to £1.1 billion which is its lowest point in a decade.

The falloff in traditional sourcing, upon which EMEA depends more than other regions, caused combined ACV to drop 23 percent, to £2 billion due in part to a lack of large contracts in the quarter.

Barry Matthews, partner at ISG, said that despite a disappointing third quarter, the EMEA market year to date is showing modest growth, with record as-a-service contracting not quite able to counter the drop in traditional sourcing activity.

“Macroeconomic events in EMEA – the recent German election and continued uncertainty surrounding Brexit – continue to slow buying decisions. As-a-service spending will continue to grow significantly through next year, as the imperative on businesses to find agile solutions to boost productivity and reduce costs continues,” he said.

The UK, despite a weak third quarter, posted its strongest year-to-date performance in five years. UK ACV, at£2.2 billion was up 15 percent year over year, while the number of contracts rose 13 percent for the same period.

IBM calls in Watson for the IoT

Sherlock-Holmes-and-WatsonThe ever shrinking Biggish Blue wants to use advanced analytics  and its Watson platform to help partners and customers stand out in the crowded Internet of Things market.

Talking to the assembled throngs at IoTConnex, IBM’s business development leader IoT for Manufacturing and Industrial Products Raghbir Kern said that analytics and cognitive computing capabilities will be an essential part of IoT as industrial companies continue to connect their manufacturing floors.

“You may have heard of Industries 4.0 … this is a concept that focuses on the digitization of the modern manufacturing plant, which means you are connecting all your equipment, data, sensors. … We are taking that and adding on one more layer, cognitive computing, and really delivering on a vision of cognitive manufacturing that our customers have,” said Kern.

Customers were collecting data from multiple sources and are making that data transparent so they can see patterns and trends in the data and deliver better insight.

Kern said that companies will come to rely on tools like analytics. “In order to get to these later stages of cognitive manufacturing … you really have to take advantage of advanced analytics and cognitive technologies,” she said.

Partners have access to advanced analytics through IBM’s Watson Internet of Things platform, which incorporates both rule-based analytics, enabling customers to see what happens when one event occurs, or model-based analytics, which allows customers to predict future events.

With these tools, IBM Watson delivers three core cognitive manufacturing applications: using IoT to sense and diagnose issues so companies can optimise the performance of intelligent assets and equipment; using cognitive processes to bring more certainty to businesses through analysing a variety of information from workflows; and using insight to optimise resources.

HP is making inroads into 3D printing

o-OFFICE-3D-PRINTER-facebookA while back HP promised that it would take the lead in 3D printing and it is starting to look like it is making good on that promise.

Vendor snuck into fifth place in industrial 3D printer market in Q2, four years after Meg Whitman declared that HP intended to lead the market. To be fair though HP has only had products in the 3D printer market for a year and to get to the top five from no-where is some feat.

With its Jet Fusion line up, HP sold $13.5 million of industrial 3D printer hardware in the second quarter of 2017.

According to beancounters at Context HP took a four percent share of the industrial segment of the market in Q2, behind names that will be less familiar to the channel, namely market leader Stratasys, EOS, GE Additive and 3D Systems.

HP began “pushing strongly” into the channel in the first half of the year, “setting itself up for further growth later this year and beyond”, Context said.

The industrial sub-segment Jet Fusion plays in has experienced mixed fortunes since then, with unit shipments declining in both 2015 and 2016.

Context predicts that the industrial sector will return to growth in 2017, partly thanks to the fresh blood that has entered the market.

Polymer machines continued to dominate the market in Q2, accounting for 90 per cent of the unit volume sales and 61 percent of the printer revenues, Context said.

While HP’s machines are initially focused on polymers, GE Additive – which is another new entrant to the top five – focuses on metal 3D printing.

Context vice president of global analysis Chris Connery said that there was a four per cent decline in the number of industrial/professional 3D printers shipped in the second quarter of this year compared to the earlier year, but the average selling price of these machines continued to climb.

“It now seems that both these trends will change in the second half of 2017. Average selling prices are set to drop with the shipment of new category of lower priced metal-printing machines helping to promote new growth.

“For polymer 3D printing, growth is expected from select technologies as this side of the market continues to penetrate into the manufacturing market and away from just prototyping.”

 

 

Softcat makes £800 million

cat-at-laptop-275Even while it hunts for a new CEO Softcat is making piles of dosh.

Softcat’s shares were up in early trading this morning as it announced that sales were up by nearly a quarter in its first full year of trading as a public company.

Revenues for the 12 months ended 31 July 2017 rose by 24 percent to £832.5 million, which the Marlow-based reseller thanks to winning 800 new customers and selling more to

Adjusted operating profit grew by 10.1 percent to hit £51.5 million.

Softcat CEO Martin Hellawell announced this summer that he is to step back into the non-executive chairman role, and in this morning’s stock exchange announcement, the firm said its hunt for a new CEO “is progressing”.

Chess aims to take another acquisition piece

315801_a5e44c0e6f53654feec6d94e671b9cf8_largeVAR outfit Chess is take another cybersecurity piece after acquiring Foursys a few months ago.

Foursys, which will become Chess Cybersecurity, put Chess into the cybersecurity game – most of its acquisitions have been outside that area such as Lanway, Parachute IT and Compwise Systems.

Now the word on the street is that Chess is looking to make another acquisition in the security space. Most of this was due to the Foursys deal paying off so well.

It is not clear who Chess is looking at, or when the deal will be announced, but the plan seems to be to broaden Chess’ cybersecurity space offering.

Apparently there are plenty of companies for sale and because of the increased  interest in cybersecurity there have been a number coming to the market.

Chess, COO Steve Cox is leaving the VAR to take on the role of VP of customer success at insurance software firm Vertafore, a switch which will see him move to Denver. Cox joined Chess last year and was instrumental in setting up the firms ICT division.

 

NetSuite wants more ISVs

photoNetSuite has said that it wants to work with more ISVs and is continuing to recruit more UK partners.

The Oracle-owned outfit is a more attractive prospect for channel players looking to sell more business intelligence tools and services.

NetSuite is recruiting resellers across EMEA as well as bringing on board a larger number of ISVs.

It will be expanding its SuiteCloud Developer Network (SDN) programme to extend the programme across more countries in EMEA  before becoming a global initiative.

The vendor makes SuiteApps which are add-ons for developers to target verticals or compliance requirements in individual countries.

ISVs themselves can also contribute their own apps to help support expansion into specific market areas.

Alongside that initiative the firm has also reported that it is continuing to add new partners in the UK to help service customer demand for ERP solutions.

Ernst & Young fined £1.8 million for Tech Data cock-up

watchdogErnst & Young has been fined £1.8 million by the Financial Reporting Council (FRC)  watch dog after admitting to misconduct surrounding the Tech Data reports.

In 2013 Tech Data was forced to restate numbers for its 2011, 2012, and 2013 fiscal years in the UK after finding accounting “improprieties”.

A 10-month investigation led to the distributor slashing $27 million from its previously reported net profits and triggered a management reshuffle.

The outfit’s auditors Ernst & Young has now been fined by the FRC after its conduct “fell significantly short of the standards” expected of it.

EY’s senior statutory auditor Julian Gray was also fined £59,000.

In a statement the FRC said: “The admitted acts of misconduct related to three audit areas, and included failures to obtain reasonable assurance about whether the financial statements as a whole were free from material misstatement, failures to obtain sufficient appropriate audit evidence and failures to exercise sufficient professional scepticism.”

Ernst & Young was initially fined £2.75 million, but saw a reduction for agreeing to a settlement. Gray’s fine was initially £90,000, but was reduced for the same reason.

EY also paid £225,000 in legal fees.

Kenna Security wants Crompton to spruce up its channel

trevorcromptonCybersecurity outfit Kenna Security has hired Trevor Crompton to build it a shiny new channel of UK sales partners.

Crompton has history with Symantec and RiskIQ.  In RiskIQ he managed to keep 60 resellers, 20 consultants and 10 systems integrators across EMEA happy. Crompton used Obscure Technologies in Africa and Ignition Technologies in the UK.

Crompton has promised the Kenna channel will be 100 percent channel across EMEA. At RiskIQ Crompton he redirected all direct business through resellers.

Market analyst Gartner expects security spending to grow from $28.7 billion across EMEA now to $36.9 billion by 2021. The EU General Data Protection Regulation (GDPR) will drive 65 percent of those buying decisions as companies desperately try to plug data leaks.

Right now, most security bosses don’t know where to start to defend their businesses and Kenna’s partners can solve this problem by managing the risk. Its system reads vulnerability data, compares it to exploit data and calculates the risk score before create a fix priority list.

 

Cloud will see double digit growth this year – claim

grandpa_simpson_yelling_at_cloudThe crack team of divination experts at Gartner Group are predicting that cloud services will see double digit growth this year thanks to strong SaaS and IaaS sales.

By the end of the year, cloud services revenue is predicted to reach $260 billion which is an 18.5 percent year-on-year increase.

The highest growth will come from IaaS offerings, which are projected to grow 36.6 percent in 2017 to reach $34.7 billion and SaaS revenue will grow 21 percent in 2017, to hit $58.6 billion.

Research director at Gartner Sid Nag said that the acceleration in SaaS adoption can be explained by providers delivering nearly all strains of application functional extensions and add-ons as a service. Pretty thrilling, eh?

“This appeals to users because SaaS solutions are engineered to be more purpose-built and are delivering better business outcomes than traditional software. SaaS is also growing faster in 2017 than previously forecast, leading to a significant uplift in the entire public cloud revenue forecast”, he said.

He added that strategic adoption of PaaS offerings are also outperforming previous expectations, as large enterprises are becoming confident that PaaS will be their primary form of application development platform in the future.

“This accounts for the remainder of the increase in this iteration of Gartner’s public cloud services revenue forecast.”

Gartner predicts that the total market will be worth $411.4 billion by 2020. That’s a lotta dosh and very thrilling!

 

It is not all about the cloud, claims NEC

56f884651f7b35416b9b4ca955d350b3--pom-pom-mobile-cloud-mobileNiman’s resellers were told that the world still needed hardware and to stop obessing about the cloud.

NEC sales director Andrew Cooper told the assembled throngs at an NEC communications platform launch gig that while digital transformation was underway the world still needs lots of gray boxes with flashing lights.

Copper said: “A digital transformation is under way but we should all take our head out of the cloud and keep our feet firmly on the ground. Profit is still the most important driver in business.”

He was showing off the SL2100 system, but found the hardware versus cloud debate was getting out of hand

“Without [profit] you don’t exist. It’s about what tangible business benefits can be delivered rather than the method of delivery. The way we consume technology is changing and NEC remains at the forefront,” the Cooper told the assembled throng.

Cooper said according to industry analyst MZA, an estimated 88 percent of the UK’s sub-100 extensions are premises-based. He said that there was still plenty of life in traditional comms-based platforms. Its demise has been greatly exaggerated and it remains the dominant force. Maybe Andrew Cooper should talk to Amazon and develop a habit called ‘being thrilled’.

 

 

Amazon sets up distribution from Bolton

enhanced-buzz-6474-1379079420-13Online bookseller Amazon has decided to set up one of its flash new robotic warehouses and distribution points in the sunny and vibrant town of Bolton.

The move will create 1,200 new permanent jobs in the town and means that the total permanent jobs Amazon has created in the North West of England now amount to more than 3,500. The company says that Bolton, home of the village of Nob End, will be equipped with Amazon Robotics technology in order to help products be processed throughout.

“Our ability to expand in the North West of England is the result of two things: incredible customers and an outstanding workforce”, said Stefano Perego, the rather astounding Amazon’s Director of UK Customer ‘Fulfilment’. “We are thrilled to begin recruitment for 1,200 new permanent roles in Bolton with competitive wages and comprehensive benefits starting on day one.”  How thrilling!

This is the latest spate of job creation from the company in the UK. Amazon had reaffirmed its ‘commitment to the country’ in the wake of Brexit by stating that its workforce would be raised to over 24,000 in 2017 – adding 5,000 jobs. Throughout the year, the company has opened new ‘fulfilment’ centres in Daventry, Doncaster, Tilbury and Warrington, creating, between them, in excess of 2,300 jobs. In addition, Amazon also announced in August that it is to add over 1,000 jobs at its new Bristol fulfilment centre.

In spite of its positive efforts in job creation, the online retail giant has recently caught a lot of criticism for its tax payments. While it rectified the 2012 findings that it paid no corporation tax, Amazon only paid £7.4 million in tax, despite retail sales surpassing £7 billion. Thrilling!

Public cloud expands

cloudGartner  Group has been shuffling its tarot cards and reached the conclusion that worldwide public cloud services continue to rise, which will reach $260 billion for the year 2017.

The market research firm said that strong SaaS and IaaS performance is driving growth for the calendar year. The latest report projected the market to grow by 18.5 per cent year-on-year to total $260.2 billion, up from $219.6 billion last year.

Gartner research director Sid Nag said the final data for 2016 showed that software as a service (SaaS) revenue was far greater in 2016 than expected, reaching $48.2 billion.

“SaaS is also growing faster in 2017 than previously forecast, leading to a significant uplift in the entire public cloud revenue forecast.”

He said: “Strategic adoption of platform as a service (PaaS) offerings is also outperforming previous expectations, as enterprise-scale organizations are increasingly confident that PaaS will be their primary form of application development platform in the future. This accounts for the remainder of the increase in this iteration of Gartner’s public cloud services revenue forecast.”

SaaS revenue is expected to grow 21 percent in 2017 to reach $58.6 billion, as the acceleration in SaaS adoption can be explained by providers delivering nearly all application functional extensions and add-ons as a service.

The highest revenue growth will come from cloud system infrastructure services (infrastructure as a service [IaaS]), which is projected to grow 36.6 percent in 2017 to reach $34.7 billion.

Gartner still expects growth to even out from 2018 onwards, because it has obtained mainstream status and maturity. Gartner expects 70 percent of public cloud services revenue to be dominated by the top 10 public cloud providers through 2021.

HP wants to expand its Ripple Effect

raspberryrippleicecr_91970_16x9HP is to increase the number of its education vertical resellers involved in its ‘Ripple Effect’ grant scheme.

The scheme – which was launched earlier in the summer – gives resellers £20,000 to grant to schools who buy HP tech though them.

So far, Misco, Softcat, XMA and Academia have signed up with each reseller announced a winning school of their own separate competitions among school customers who had recently purchased HP hardware through them.

The four winners will receive a HP Learning Studio from their respective reseller. The £20,000 suite of HP tech includes a HP Sprout G2 – an immersive computing 3D PC – and a Dremel Idea Builder 3D40 – an education-focused 3D Printer.

The grant scheme will target all HP core education resellers in the UK&I  over the next three to five-years.

HP is targeting new education focussed resellers to help address a chronic challenge facing the vertical: the endemic STEM worker shortfall, currently estimated at 40,000 in the UK.

Most schools only have about £115 pounds per student per year to spend on technology.  HP said that some of its resellers have been screaming out for action and that is why it is investing.