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November 20, 2014

CSPs look to Cloud-based enterprise apps for revenue

Report finds CSPs leverage experience of cloud apps like Microsoft Office 365 and Lync.

By CBR Staff Writer

Cloud service providers are responding to CIO requirements and creating software-as-a-service applications that deal with business concerns about security and performance, according to research.

The CloudTrends report for the second half of 2014 by broadband specialist Allot Communications suggests many providers now offer cloud-based enterprise applications

The most innovative providers address enterprise CIO concerns around security and performance through cloud-based visibility, control and quality of service techniques.

Almost half (45 per cent) of communication service providers offer public applications for enterprises, ranging from basic email and storage to unified communications, CRM and ERP systems.

Microsoft Office 365 is the most prevalent office suite, with a third of cloud service providers offering the platform. Office 365 represents 90 per cent of virtualised office-type services, while Google Apps accounts for just 8 per cent.

Cloud service providers are much more likely to offer quality management for critical enterprise applications, such as unified communications (32 per cent), Microsoft Office (48 per cent) and Microsoft Lync (50 per cent).

Yaniv Sulkes, AVP of marketing at Allot Communications, said CIOs are re-evaluating their network and infrastructure operations in response to changing workforce requirements, and technology suppliers are responding.

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"Cloud service providers around the globe are increasingly delivering value-added digital services that can help enterprises overcome their toughest adoption challenges and achieve the cost and efficiency benefits promised by the cloud," he said.

The report is based on data collected during the second half of 2014 from more than 100 communication service providers globally.

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