Cloud computing will not change the reseller model overnight, but the channel needs to gradually adopt it now in order to prepare for the inevitable changes that are to come in the future, according to Mark Seemann, Product Strategy & Development Director at Outsourcery.

The cloud computing revolution is still being debated in the channel with no clear conclusion about what resellers can expect in the coming year. Hosted IT often raises questions about changing models, control and security.

But the reality is that it is the future of computing and the way in which businesses will consume pooled resources of software and hardware. On-premise software will never totally go away, but SMEs in particular will need to embrace cloud computing as it will make them more efficient and more productive while enriching their working relationships. Businesses already using cloud computing quickly ask themselves how their competitors can cope without enjoying the many benefits that this new technology brings.

It is not a technology that is ‘on the way' or in ‘beta testing'. Cloud computing uses tried and tested software that is delivered in a new way. It is already empowering thousands of SMEs in the UK while saving them money, increasing productivity and allowing them to get on with running their business instead of their IT. Resellers need to recognise that although cloud computing may remove up front payments from SMEs, it will actually generate more customers because it can be offered at lower prices which will appeal to businesses that are trying to cope in difficult economic conditions. The cheaper prices of these services will ultimately mean that resellers can sell more.
Outsourcery has two purpose built data centres, complete with security, 24/7 monitoring, expert staff, redundancy and real time back-up of systems and data across two sites that even most large corporations could not afford. If one of our data centres was catastrophically destroyed, our customers would probably not even notice.

Throughout my career I have always been involved in start-ups and SMEs where looking after technology was a constant burden, involving the purchase of expensive servers and software and maintenance support. The same expensive start-up costs were always needed, whether the office had a team of five or 25 people. But this has all changed. State-of-the art IT without any infrastructure or maintenance costs is already a solution that businesses of any size can benefit from.

These businesses pay for the service on a per person, per monthly basis. This is all done without the business needing its own server, telephone system or maintenance contract. Whether the business is a two-man band or a company with 200 employees in different offices, the technology can be rapidly deployed.

Data back up solutions, PABX phone systems and the installation of ISDN lines which were all part of the expensive communications and IT mix can now be sold as integrated solutions, and the resellers who can offer these multiple solutions will be the ones that grow and prosper rapidly over the coming year. We do this by providing a holistic solution which links an employee's work PC, laptop, landline telephone and mobile together. This is what we call ‘unified communications', the seamless blend of real time communication (mobile, voice, video and instant messaging) with non-real time communications (e-mail and voicemail). This is then seamlessly integrated with mobile devices, document collaboration and customer relationship management (CRM) solutions.

While the case for this type of cloud computing solution is compelling, IT managers of large and small companies still have fears about the risks involved in switching business critical IT functions to an external supplier. For example, a YouGov survey, commissioned by IT assurance specialist NCC Group, found that 20 percent of IT managers working in large businesses believe that their outsourced systems and processes have less IT security than those based in-house. But the reality is that outages where sensitive personal or business data is lost are extremely rare in the business sector. However, resellers will need to be able to reassure businesses of this.