The Threat of Disruptive Technology and Business Models to Traditional IT

SOURCE: TBR

New technologies and business models from innovative, fledgling cloud vendors will have a staggering impact on the IT industry as these vendors compete against established vendors using a maverick approach to business operations. Large traditional IT vendors are suffering from stagnant revenues and experiencing further disruption as new tech offerings from smaller cloud companies change the consumption of IT. This shift in business models requires traditional vendors to re-evaluate their portfolios and go-to-market strategies, as hesitating to address these startups will result in displacement of position. Reacting quickly to the business shift will benefit companies, much like Amazon Web Services’ (AWS) and Salesforce.com’s disruption in the CRM and data center markets led to them becoming billion-dollar enterprises and leaders in the field.

Niche companies in the IT market still have the opportunity to make a significant impact among large IT vendors by offering new, innovative technology to disrupt the IT market. Big-name players in the IT market will need to be aware of the underdogs to decide if they should partner, acquire, copy or destroy their competition to stay on top. Technology Business Research Inc. (TBR) is launching a new subscription of reports outlining the business models and strategies of cloud-based innovators and disruptors from a technology and business-model point of view. To achieve growth in today’s IT landscape, traditional vendors must begin to make choices on how they will interact with these innovators and disruptors in the industry.

“It took years for AWS to gain traction in the enterprise and begin disrupting server vendors and for Salesforce.com to take real share in the CRM market; but they did, and are now leaders in not only the cloud world but the overall IT world,” said Senior Analyst Jillian Mirandi. “With barriers so low to enter the IT market, disruption and innovation are happening faster than ever. Today, there are many innovators and disruptors out there that are taking and making markets: Mulesoft, RightScale, Docker, Box, AccelOps, Hortonworks, Anypresence, 3scale, Apigee; these vendors are changing the IT landscape. TBR investigates these vendors and their impact on the broader landscape every day and constantly gets questions about which vendors our clients should care about and which vendors are hype. We now want to share those deep-rooted opinions with our clients in a more formalized way.”

The Innovator and Disruptor Series reports will highlight vendors with the ability to drastically impact the IT market. Each of the six- to eight-page briefs will detail how the technology and business models of these vendors will challenge large IT vendors and offer insight to large IT vendors on how they can protect themselves against these shifts by providing an overview of emerging threats, potential partners and acquisition targets. TBR’s focus on analyzing business models enables the TBR team to review these innovative strategies and provide analysis on company strengths, weaknesses and opportunities based on traditional IT models and vendor goals.

For more information about the Innovators and Disruptors Series reports or to purchase a subscription to the reports, please contact Alison Crawford, senior marketing manager, at 603.758.1838 or alison.crawford@tbri.com or James McIlroy, vice president of sales, at 603.758.1813 or mcilroy@tbri.com.

ABOUT TBR

Technology Business Research, Inc. is a leading independent technology market research and consulting firm specializing in the business and financial analyses of hardware, software, professional services, telecom and enterprise network vendors, and operators. Serving a global clientele, TBR provides timely and actionable market research and business intelligence in a format that is uniquely tailored to clients’ needs. Our analysts are available to further address client-specific issues or information needs on an inquiry or proprietary consulting basis.

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