AT&T (NYSE:T) has pledged to invest $1 billion in cloud services and mobility, among other things, this year as more traditional telcos and carriers show they're serious about cloud computing.
AT&T recently said it is focusing its plans to deploy global network-based cloud, mobility and networking sourcing solutions to companies of various sizes across multiple industries. The Dallas-based mega-carrier said the nearly $1 billion investment this year will focus on deploying next generation services like mobile applications, as-a-service cloud-based solutions and network sourcing.
"We continue to invest significantly in cloud-based, mobility and network sourcing solutions because customers are increasingly recognizing that transformative services like these increase productivity, improve operational effectiveness and lower costs," said John Stankey, president and CEO of AT&T Business Solutions, in a statement.
AT&T said the proliferation of high-speed wired and wireless networks, along with the massive influx of mobile devices and applications has made a cloud and mobile strategy an important component of the carrier's roadmap.
Along with pushing money into enterprise mobility apps and cloud and as-a-service upgrades, AT&T said it will also roll out platforms, systems and capabilities that enable automation, and enhance and simplify how business customers receive support.
The investment will be targeted at companies, government agencies and institutions in various industries like manufacturing, retail, hospitality, healthcare and automotive.
AT&T has already started investing in cloud-based and emerging services. So far this year the carrier has embedded cloud capabilities directly into its network so the company can manage and deliver services and applications to any device. The cloud services also give customers flexibility and shared economics in their compute and storage needs, the company said.
Another key area of investment, mobility solutions and connected devices, is also already receiving the fruits of AT&T's $1 billion bet. The company said that in the first quarter of 2011 it added 1.6 million emerging devices like tablets, netbooks and laptops pushing its total number of emerging devices connected to its network to 12 million. Additionally, AT&T has seen the use of mobile applications triple since 2009.
Other major investment areas include global enterprise networking, small business services and services for the healthcare industry.
AT&T's $1 billion blockbuster comes as carriers, cable companies and traditional telecoms look to corner the cloud computing market through strategic investments and acquisitions.
Last year, Verizon said a large portion of its roughly $17 billion growth investment would be flagged for cloud computing endeavors as the company spends to build, operate and integrate its networking and computing platforms. And earlier this year, Verizon bought cloud computing provider Terremark for a whopping $1.4 billion.
In the weeks that followed Verizon (NYSE:VZ)'s Terremark acquisition, Time Warner Cable said it would purchase cloud hosting provider NaviSite for $220 million.
Then, in April, CenturyLink Inc. revealed plans to acquire cloud provider and hosting operator Savvis Inc. for a $2.5 billion cash and stock purse. As part of the deal, CenturyLink also agreed assume or refinance Savvis' $700 million in debt, pushing the total deal to $3.2 billion.
AT&T is also no stranger to big time investment. While it is putting $1 billion toward cloud and mobility efforts, AT&T also revealed plans to acquire wireless rival T-Mobile for a whopping $39 billion.
May 26, 2011
5 questions to ask before buying Microsoft licenses
Also, you don't have to make the upgrade during the three years of your Software Assurance contract. "For example, if you have a Desktop Platform EA ending in 2011 you will have rights to Windows 7, Office 2010, and CALs [Client Access Licenses] for Windows Server 2008 R2 even if you don't renew it. You can upgrade at any time in the future," Forrester notes.
Corporations often take several years to consider, plan and implement a companywide software upgrade, so the ability to upgrade after SA coverage expires is important.
"Few companies upgrade every three years as Microsoft releases new versions, but an EA removes one obstacle: the challenge of securing budget to buy a complete set of new licenses," Forrester notes.
3. How does your company budget for and fund IT investment?
The process of securing approval for a major software upgrade can vary depending on whether a company handles all technology budgeting centrally, or spreads the decision-making process across many autonomous business units.
"Financially empowered group sourcing executives" can make decisions without worrying about politics, but companies without a centralized purchasing system may struggle to bring disparate business units to agreement on budgeting.
"One public sector procurement director told Forrester, "'I'll never be able to persuade the departments to put SA back in their budgets if I ever let them take it out,'" the analyst report states.
4. How much are favorable licensing rules worth to you?
Microsoft periodically adds benefits to Software Assurance (or, restricts benefits to Software Assurance, you might say) to convince customers to upgrade.
The questions is, are you willing to pay a premium for what Microsoft offers? Besides upgrade rights, Software Assurance provides access to Windows 7 Enterprise edition, the right to extend licenses to virtual desktops and application streaming instances, and enhanced ability to deploy a standard desktop image across a company's user base.
Unfortunately, the rules regarding virtual desktop licensing are unclear, so customers need to do some legwork to get the right information, Forrester says.
While an Enterprise Agreement might "be the cheapest way to support large VDI or streamed environments, ... there is a major potential gotcha, which is that employee-owned devices that employees use regularly for business purposes might count as qualifying desktops," Forrester writes. "Microsoft might insist that you include, for example, the home PC of someone who frequently uses it to work from home. Unfortunately some Forrester clients have received erroneous advice on this point from Microsoft reps and LARs [large account resellers], so you need to be careful."
One possible solution: Don't buy the Enterprise Agreement, and get Software Assurance only for PCs whose primary users need access to virtual desktops.
5. Do other Software Assurance benefits sway a close decision?
If your decision is still unclear after weighing the previous four questions, there may be some less well-known Software Assurance services that might make the extra cost worth it.
Corporations often take several years to consider, plan and implement a companywide software upgrade, so the ability to upgrade after SA coverage expires is important.
"Few companies upgrade every three years as Microsoft releases new versions, but an EA removes one obstacle: the challenge of securing budget to buy a complete set of new licenses," Forrester notes.
3. How does your company budget for and fund IT investment?
The process of securing approval for a major software upgrade can vary depending on whether a company handles all technology budgeting centrally, or spreads the decision-making process across many autonomous business units.
"Financially empowered group sourcing executives" can make decisions without worrying about politics, but companies without a centralized purchasing system may struggle to bring disparate business units to agreement on budgeting.
"One public sector procurement director told Forrester, "'I'll never be able to persuade the departments to put SA back in their budgets if I ever let them take it out,'" the analyst report states.
4. How much are favorable licensing rules worth to you?
Microsoft periodically adds benefits to Software Assurance (or, restricts benefits to Software Assurance, you might say) to convince customers to upgrade.
The questions is, are you willing to pay a premium for what Microsoft offers? Besides upgrade rights, Software Assurance provides access to Windows 7 Enterprise edition, the right to extend licenses to virtual desktops and application streaming instances, and enhanced ability to deploy a standard desktop image across a company's user base.
Unfortunately, the rules regarding virtual desktop licensing are unclear, so customers need to do some legwork to get the right information, Forrester says.
While an Enterprise Agreement might "be the cheapest way to support large VDI or streamed environments, ... there is a major potential gotcha, which is that employee-owned devices that employees use regularly for business purposes might count as qualifying desktops," Forrester writes. "Microsoft might insist that you include, for example, the home PC of someone who frequently uses it to work from home. Unfortunately some Forrester clients have received erroneous advice on this point from Microsoft reps and LARs [large account resellers], so you need to be careful."
One possible solution: Don't buy the Enterprise Agreement, and get Software Assurance only for PCs whose primary users need access to virtual desktops.
5. Do other Software Assurance benefits sway a close decision?
If your decision is still unclear after weighing the previous four questions, there may be some less well-known Software Assurance services that might make the extra cost worth it.
May 25, 2011
Microsoft releases Silverlight 5 Beta
On a busy day for Microsoft, the company has launched a public Beta version of Silverlight 5, its updated web app creation tool.
Silverlight 5, which operates as a browser plug-in to offer video, apps, tools and games in much the same way that Adobe Flash does, boasts a host of new features for developers to sink their teeth into.
Microsoft says it "adds significant new features and capabilities, and enables developers to create premium media experiences and deliver rich applications across browsers, desktops and devices".
Among over 40 new features, there'll be support for 64-bit operating systems, 3D graphics support, improved text clarity and out-of-browser functionality.
Media improvements
There's also a host of improvements to the media playing capabilities (anyone who has used Sky Player has used the Silverlight plug-in). Users will no be able to use remote controls and screensavers won't kick in when you're watching video.
You'll also be able to alter the pace of video content, speeding up or slowing down, while improvements in video decoding mean that even your humble netbook will be able to handle full 1080p video.
On Tuesday, chip designer Nvidia announced a new Silverlight-based plug-in that will allow 3D video streaming on websites.
There's also a huge array of jargon-heavy improvements for developers to help them create better applications, explained here by Microsoft's Silverlight guru Scott Guthrie.
Is this enough for Silverlight to best HTML 5 as the future web standard? We'll have to wait and see what developers come up with with this new Beta in the coming weeks and months.
Silverlight 5, which operates as a browser plug-in to offer video, apps, tools and games in much the same way that Adobe Flash does, boasts a host of new features for developers to sink their teeth into.
Microsoft says it "adds significant new features and capabilities, and enables developers to create premium media experiences and deliver rich applications across browsers, desktops and devices".
Among over 40 new features, there'll be support for 64-bit operating systems, 3D graphics support, improved text clarity and out-of-browser functionality.
Media improvements
There's also a host of improvements to the media playing capabilities (anyone who has used Sky Player has used the Silverlight plug-in). Users will no be able to use remote controls and screensavers won't kick in when you're watching video.
You'll also be able to alter the pace of video content, speeding up or slowing down, while improvements in video decoding mean that even your humble netbook will be able to handle full 1080p video.
On Tuesday, chip designer Nvidia announced a new Silverlight-based plug-in that will allow 3D video streaming on websites.
There's also a huge array of jargon-heavy improvements for developers to help them create better applications, explained here by Microsoft's Silverlight guru Scott Guthrie.
Is this enough for Silverlight to best HTML 5 as the future web standard? We'll have to wait and see what developers come up with with this new Beta in the coming weeks and months.
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