Blog Archives

Gartner’s cloud IaaS assessments, 2016 edition

We’re pleased to announce that the 2016 Magic Quadrant for Cloud Infrastructure, Worldwide has been published. (Link requires a Gartner subscription. If you’re not a Gartner client, there are free reprints available through vendors, and various press articles, such as the Tech Republic analysis. Note that press articles do not always accurately reflect our opinions, though.)

Producing the Magic Quadrant is a huge team effort that involves many people across Gartner, including many analysts who aren’t credited as co-authors, administrative support staff, and people in our primary-research and benchmarking groups. The team effort also reflects the way that we produce an entire body of IaaS research as an integrated effort across Gartner’s research divisions. (The approach described below is specific to our IaaS research and may not apply to Gartner’s assessments in other markets.)

Whether you already have a cloud IaaS provider and are just looking for a competitive check-up, you’re thinking of adding one or more additional providers, or you’re just getting started with cloud IaaS, our work can help you find the providers that are right for you.

The TL;DR list of assessments:

(Note that not all of these might be available as part of your current Gartner client subscription.)

Gartner has produced a Magic Quadrant for Cloud IaaS since 2011. The MQ is our overall perspective on the market, looking at the provider solutions from both a technical and business angle. Gartner clients can use the interactive MQ tool to change the weightings of the criteria to suit their own evaluation priorities (if you read the detailed criteria descriptions, there’s an explanation of how each criterion maps to buyer priorities). The interactive MQ can also be used to get a multi-year historical perspective.

The MQ covers public, hosted private, and industrialized outsourced private cloud IaaS; it’s not just a public cloud MQ. We look at multi-tenant and single-tenant, located in either provider or customer premises, cloud IaaS offerings. We also look at the full range of compute options (VMs, bare-metal servers, containers) that are delivered in a cloud model (API-provisionable via automation, and metered by the hour or less), not just VMs. In addition, we consider some integrated PaaS-layer services (we call these cloud software infrastructure services, which include things like database as a service), but we have a separate enterprise application PaaS MQ for pure aPaaS. While we consider the provider’s overall value proposition in the context of cloud IaaS (including their ability to deliver managed services, network services, etc.), this isn’t a general cloud computing or outsourcing MQ.

2016 marks our sixth iteration of a pure cloud IaaS MQ. Previously, in 2009 and 2010, we included cloud IaaS in our hosting MQ, but by 2010, it was already clear that the hosting and cloud IaaS buyer wants and needs were distinctly different. Since 2011, we’ve produced a global cloud IaaS MQ, along with three regional hosting MQs (suitable for customers looking for dedicated servers or managed hosting on a monthly or annual basis), and three regional data center outsourcing MQs (which include customized private cloud services as part of a broader portfolio of infrastructure outsourcing capabiities). Not every infrastructure need can or should be met with cloud IaaS.

The core foundation of our assessment is our Evaluation Criteria for Cloud IaaS. Over the years, we’ve converged the technical-detail questionnaire that we ask providers to fill out during the Magic Quadrant research process, with the Gartner for Technical Professionals (GTP) document that we produce to guide buyers on evaluating providers. This has resulted in nearly 250 service traits that the Evaluation Criteria document categorizes as Required (almost all Gartner clients are likely to want these things and these have the potential to be showstoppers if missing), Preferred (many will want these things), and Optional (use-case-specific needs). This gives us a consistent set of formal definitions for service features — things you can put a clear yes/no to. As a buyer, you can use the Evaluation Criteria to score any cloud IaaS provider — and even score your own IT department’s private cloud.

In the course of doing this particular Magic Quadrant, providers fill out very detailed questionnaires that list these service features and capabilities (broken down even more granularly than in the Evaluation Criteria), indicating whether their service has those traits, and they’re also asked to provide evidence, like documentation. We also ask them to provide other information like the location of their data centers, languages supported across various aspects of service delivery (like portal localization and tech-support languages spoken), a copy of their standard contract and SLAs, and so forth. We score those questionnaires (and check service features against documentation, and with hands-on testing if need be). We also score things like the buyer-friendliness of contracts, based on the presence/absence of particular clauses. Those component scores are used in many different individual scoring categories within the Magic Quadrant.

We also produce a set of In-Depth Assessments for the providers that our clients are most interested in evaluating. The In-Depth Assessments are detailed documents that score an individual provider against the Evaluation Criteria; for every criteria, we explain how the provider does and doesn’t meet it, and we provide links to the corresponding documentation or other evidence. The results of our hands-on testing are noted, as well. For many buyers, this minimizes the need to conduct an RFP that dives into the technical solution; here we’ve done a very detailed fact-based analysis for you, and the provider has verified the accuracy of the information. (Buyer beware, though: Providers sometimes produce something that looks like one of these assessments, even quoting the Gartner definitions, but with their own more generous self-assessment rather than the stringent Gartner-produced assessment!)

Then, we produce Critical Capabilities for Public Cloud IaaS (2016 update still in progress). This technical assessment looks at a single public cloud IaaS offering from each of the providers included in the Magic Quadrant. The same technical traits used in the other assessments are used here, but they are divided into categories of capabilities, and those capabilities are weighted in a set of common use cases. You can also customize your own set of weightings. In addition to providing quantitative scores, we summarize, in a fair amount of detail, the technical capabilities of each evaluated provider. This allows you to get a sense of what providers are likely to be right for your needs, without having to go through the full deep-dive of reading the In-Depth Assessments. (Critical Capabilities are also available to all Gartner clients and reprints may be offered by providers on their websites, whereas the In-Depth Assessments are only available to GTP clients.)

Performance, and price-performance, is important to many buyers. Gartner provides hardware benchmarking via a SaaS offering called Tech Planner. We offer a Cloud Module within Tech Planner that uses technology that we derived from our acquisition of CloudHarmony. We conduct continuous automated testing on many cloud IaaS providers, including all providers in the Magic Quadrant. We benchmark compute performance for the full range of VMs and bare-metal cloud servers offered by the provider, along with storage performance and network performance; we use this to calculate price-performance metrics. We monitor the availability of their services across the globe. We track provisioning times. All this data is used as objective components to the scores within the Magic Quadrant. Much of this data is directly available to Tech Planner customers, who can use these tools to calculate performance-equivalencies as well as determine where workloads will be most cost-effective.

Finally, we collect end-user reviews of cloud IaaS providers, called Peer Insights. IT leaders (who do not need to be Gartner clients) can submit reviews of their providers; we verify that reviews are legitimate, and it’s one of the very few places where you’ll see enter senior IT executives and architects writing detailed reviews of their providers. We use this data, along with vendor-provided customer references, and the many thousands of clients conversations we have each year with cloud IaaS buyers, as part of the fact base for our Magic Quadrant scoring.

More than a dozen analysts are directly involved in all of these assessments, and many more analysts provide peer-review input into those assessments. It’s an enormous effort, involving a great deal of teamwork, to produce this body of interlinked research. We’re always trying to improve its quality, so we welcome your feedback!

You can DM me on Twitter at @cloudpundit or send email to lydia dot leong at gartner.com.

Open invitation to MSP partners of hyperscale cloud providers

Back in January, I announced the creation of a new Gartner Magic Quadrant for Public Cloud Infrastructure Managed Service Providers. This MQ will evaluate MSPs that deliver managed services on top of Amazon Web Services, Microsoft Azure, or Google Cloud Platform.

We are currently putting together a contact list of providers to survey. We expect to begin this process in late July. We encourage MSPs who are interested in participation to add their names to the contact list.

MSPs should fill out THIS FORM.

My 2016 research agenda

At the beginning of February, as part of a little bit of organizational deck-chair shuffling here at Gartner, some analysts were transferred to teams that better reflect their current research focus. I am one of those people; I’ve been transferred from our Technology and Service Provider (T&SP) division to our IT Leaders division’s Infrastructure Strategies team, reflecting the fact that I’ve mostly been serving the IT Leaders constituency for several years now.

My planned research agenda for 2016 remains the same, and I’ll continue to work with the exact same people and clients, but I now have a new team manager (Rakesh Kumar — and hopefully a better alignment between the things that I’m actually doing and the way Gartner sets goals and incentives for analysts.

I will continue to write research for both our end-user (IT Leaders) clients, as well as for our T&SP (Business Leaders) clients. Vendor clients should note that my transfer does not change access privileges to my documents targeted at vendors, or inquiry access. You will still need to hold a Business Leaders seat to read T&SP content that I author, or to ask inquiry questions related to that content.

My research agenda for 2016 centers on five major themes:

  • The managed and professional services ecosystem for cloud providers
  • Large-scale migration to the cloud
  • Excellence in governance
  • The convergence of IaaS and PaaS
  • The adoption of containers

I’ll talk briefly about my interests in each of these spaces.

Managed and professional services

The MSP ecosystem, especially around AWS and Azure, is a vital part of driving successful cloud adoption, especially with late-majority adopters. This is my primary research focus this year, as I build out both research for end-users (IT Leaders clients) as well as service providers and technology vendors. This is largely a run-up to a new Magic Quadrant slated for Q4 2016 publication.

Large-scale migration to the cloud

Customers have begun migrate existing workloads to cloud IaaS at scale (i.e., migrating entire data centers or substantial portions of their existing infrastructure estate). This is no longer just early pioneers, but mainstream, non-tech-centric companies, often in the mid-market, usually with the assistance of third parties. These customers typically articulate needs that have been more commonly associated with outsourcing in the past — cost-optimization, better management of infrastructure and apps, staff reduction, keeping pace with technology evolution, and the like.

This is my next greatest priority in terms of writing this year. I’m building research aimed at clients who are evaluating migrations, as well as those who are in the process of migrating. I’m also writing research that is aimed at the vendor/provider side, since this new wave of customers has different requirements, necessitating both a different go-to-market approach as well as different sets of priorities in service features.

Excellence in governance

As organizations grow their use of the cloud, the need for governance is vital. Governance is not control, per se, and IT organizations need assistance in understanding the emerging best practices around governance. The vendor ecosystem also needs to build appropriate products and services that help IT organizations implement good cloud governance — which differs in some vital ways from traditional models of IT governance.

The convergence of IaaS and PaaS

As the IaaS and PaaS markets move ever closer together, customers need guidance as to how to best adopt integrated offerings. Moreover, this has implications for providers on both sides of the spectrum (and their ecosystems), as well as vendors who sell technology to build private clouds.

Containers

Last year, I spent just about as much time talking to clients about containers as I did about cloud IaaS — that’s how much of a hot topic it was. This year, as container coverage is dispersed across a lot more analysts, it’s become less of a focus for me, but I remain deeply interested in the evolution of the ecosystem, not just in the cloud, but also within traditional data centers.

Other Work

While these topics are some key broad themes, I’ll certainly be thinking about and writing about a great deal more. I tend to be a more spontaneous writer, and so I might sit down in an afternoon and rapidly write a note about something that’s been on my mind lately, even if it’s not part of my planned research. Indeed, I tend not to plan research except to the minimum extent that Gartner requires (generally “big rock” items like Magic Quadrants and so forth), so if you have feedback on what you’d like to see me produce, please feel free to let me know.

Introducing the new Hyperscale Cloud MSP Magic Quadrant

As has been noted in Doug Toombs’s blog post (“Important Updates for Gartner’s Hosting Magic Quadrants in 2016“), I will be leading the introduction of a new Gartner Magic Quadrant this year for managed service providers (MSPs) that deliver services on hyperscale cloud providers (specifically, Amazon Web Services, Microsoft Azure, or Google Cloud Platform).

This new global Magic Quadrant will be titled the “Magic Quadrant for Public Cloud Infrastructure Managed Service Providers”, and it is slated for early Q4 2016 publication (watch the editorial calendar for an official date). It will have accompanying Critical Capabilities that will be specific to each hyperscale cloud provider. In 2016, this will be a “Critical Capabilities for Managed Service Providers for Amazon Web Services”; in the future, as their ecosystems mature, we expect there will be a CC each for MSPs for Microsoft Azure and Google Cloud Platform as well.

Stay tuned for more. In the meantime, I’ve begun building a body of related research (sorry, links are behind client-only paywall):

How to Choose a Managed Service Provider for a Hyperscale Cloud Provider. Hyperscale integrated IaaS and PaaS providers are not mere purveyors of rented virtualization. MSPs need to have a very specific skillset to manage them well. This is the fundamental “what makes a good hyperscale cloud MSP” note.

Best Practices for Planning a Cloud IaaS Strategy: Bimodal IT, Not Hybrid Infrastructure. We advise customers to think differently about cloud IaaS based on their priorities — safety and efficiency-driven IT, vs. speed and agility-driven IT. This tends to lead to different styles of operations, which in turn drive different managed and professional services needs.

Three Journeys Define Migrating a Data Center to Cloud Infrastructure as a Service. An increasing number of customers are migrating existing applications and even entire data centers into cloud IaaS. This sets out those journeys, and explores the managed and professional services that are useful for those journeys.

Use Managed and Professional Services to Improve Cloud Operations for Digital Business. Mode 2 and digital business applications are often architected and operated in ways that are not broadly familiar to many IT organizations. We explore different styles of adopting managed and professional services for these needs.

Market Guide for Managed Service Providers on Amazon Web Services. Our introduction to the AWS MSP market explores use cases, classifies MSPs into categories, and profiles a handful of representative MSPs.

Market Trends: Channel Sales Strategies for Cloud IaaS Should Focus on Developer Ecosystems. We provide advice to cloud IaaS providers who are trying to build ecosystems and channel sales strategies — but MSPs will find this note valuable when trying to understand what their value is to their partner cluod provider.

I’ll soon be publishing a set of notes directed at MSPs who are currently in this market, or intended to enter this market, as well. And I’ll be doing a series of blog posts about what’s ahead.

Recommended reading for 2016 Cloud IaaS Magic Quadrant

I am beginning the process of refreshing Gartner’s global Magic Quadrant for Cloud IaaS. Research will be conducted during Q1 and is currently targeted for publication in May, continuing our annual refresh cycle. See the status page for the current timeline.

Every year, I highlight Gartner research that myself and others have published that’s important in the context of these MQs. These notes lay out how we see the market, and consequently, the lens that we’re going to be evaluating the service providers through.

Service providers do not need to agree with our perspective in order to rate well, but they do need to be able to clearly articulate their vision of an alternative future, back it up with data that supports their world-view, and demonstrate how their unique perspective results in true differentiation, customer wins, and happy customers.

This updates the 2015 MQ list of foundational research. Please note that those older notes still remain relevant, and you are encouraged to read them.

If you are a service provider, these are the 2015 Gartner research notes that it might be helpful to be familiar with (sorry, links are behind client-only paywall):

Magic Quadrant for Cloud IaaS, Worldwide, 2015. Last year’s Magic Quadrant is full of deep-dive information about the market and the providers. Also check out the Critical Capabilities for Public Cloud IaaS, Worldwide, 2015 for a deeper dive into specific public cloud IaaS offerings (Critical Capabilities is almost solely focused on feature set for particular use cases, whereas a Magic Quadrant positions a vendor in a market as a whole). Free reprints are available for both the MQ and the CC.

Technology Overview for Cloud Infrastructure as a Service. This foundational note provides Gartner’s market definitions and fundamental research positions for cloud IaaS.

Evaluation Criteria for Cloud IaaS Providers. Our Technical Professionals research provides extremely detailed criteria for large enterprises that are evaluating providers. While the relative importance of these requirements are somewhat different in other segments, like the mid-market, these criteria should give you an extremely strong idea of the kinds of things that we think are important to customers. The technical criteria in this evaluation closely parallel the technical criteria used in the Magic Quadrant and Critical Capabilities.

Best Practices for Planning a Cloud IaaS Strategy: Bimodal IT, Not Hybrid Infrastructure. We advise customers to think differently about cloud IaaS based on their priorities — safety and efficiency-driven IT, vs. agile IT. We evaluate cloud IaaS providers on their ability to serve each of these modes.

Three Journeys Define Migrating a Data Center to Cloud Infrastructure as a Service. An increasing number of customers are migrating existing data centers into cloud IaaS. This note is useful for understanding how we structure our thinking about those journeys in a Mode 1 bimodal context.

Use Managed and Professional Services to Improve Cloud Operations for Digital Business. Although this note is managed services-centric, it is useful for expanding your understanding of how we see Mode 2 needs in the cloud.

A Comprehensive List of Management Requirements for Organizations Using Public Cloud Services. We provide deep-dive advice to architects. Service providers should consider how they enable the functions detailed here.

Take a Risk-Based Approach to Public Cloud IaaS. The customer view of security, risk, and compliance and the cloud is evolving. Use this note to understand how we advise customers on these aspects and our view on how the market has changed.

If you are not a Gartner client, please note that many of these topics have been covered in my blog in the past, if at a higher level (and generally in a mode where I am still working out my thinking, as opposed to a polished research position).

Recommended reading for 2015 Cloud IaaS Magic Quadrants

We are beginning the process of refreshing Gartner’s global Magic Quadrant for Cloud IaaS, along with the regional Magic Quadrants for Cloud-Enabled Managed Hosting. We are also introducing a new Japanese-language Magic Quadrant for Cloud IaaS, Japan. The global cloud IaaS MQ will publish first, with research conducted during Q1 and published at the beginning of Q2; see the status page for the current timeline.

As I do every year, I am highlighting researching that myself and others have published that’s important in the context of these MQs. These notes lay out how we see the market, and consequently, the lens that we’re going to be evaluating the service providers through.

As always, I want to stress that service providers do not need to agree with our perspective in order to rate well. We admire those who march to their own particular beat, as long as it results in true differentiation and more importantly, customer wins and happy customers — a different perspective can allow a service provider to serve their particular segments of the market more effectively. However, such providers need to be able to clearly articulate that vision and to back it up with data that supports their world-view.

This updates last year’s list of foundational research. Please note that those older notes still remain relevant, and you are encouraged to read them.

If you are a service provider, these are the 2014 Gartner research notes that it might be helpful to be familiar with (sorry, links are behind client-only paywall):

Magic Quadrant for Cloud IaaS, 2014. Last year’s Magic Quadrant is full of deep-dive information about the market and the providers. Also check out the Critical Capabilities for Public Cloud IaaS, 2014 for a deeper dive into specific public cloud IaaS offerings (Critical Capabilities is almost solely focused on feature set for particular use cases, whereas a Magic Quadrant positions a vendor in a market as a whole). Free reprints are available for both the MQ and the CC.

Technology Overview for Cloud Infrastructure as a Service. This foundational note provides Gartner’s market definitions and fundamental research positions for cloud IaaS.

Evaluation Criteria for Cloud IaaS Providers. Our Technical Professionals research provides extremely detailed criteria for large enterprises that are evaluating providers. While the relative importance of these requirements are somewhat different in other segments, like the mid-market, these criteria should give you an extremely strong idea of the kinds of things that we think are important to customers. The technical criteria in this evaluation closely parallel the technical criteria used in the Magic Quadrant and Critical Capabilities.

Market Trends: How Customers Purchase Cloud Infrastructure as a Service, 2014. This note lays out Gartner’s perspective on customer desires and how this translates into marketing and sales cycle for cloud IaaS. This also explores the impact of bimodal IT on the market.

Market Trends: Cloud IaaS Providers Expand Into PaaS, 2014. The convergence between the IaaS and high-control PaaS markets is a crucial market trend that significantly impacts the way that Gartner views what is necessary to be a leading cloud IaaS provider.

Predicts 2015: Cloud Computing Goes Beyond IT Into Digital Business. This set of predictions for the future covers the blurring between public and private cloud IaaS, the delivery of managed services on top of third-party cloud IaaS platforms, and the growth in Docker and other container-related technologies.

Research Roundup: Cloud Computing Services in the Digital Industrial Economy. This is a relatively comprehensive round-up of recent Gartner cloud services research.

If you are not a Gartner client, please note that many of these topics have been covered in my blog in the past, if at a higher level (and generally in a mode where I am still working out my thinking, as opposed to a polished research position).

Bimodal IT, VMworld, and the future of VMware

In Gartner’s 2014 research for CIOs, we’ve increasingly been talking about “bimodal IT”. Bimodal IT is the idea that organizations need two speeds of IT — call them traditional IT and agile IT (Gartner just calls them mode-1 and mode-2). Traditional IT is focused on “doing IT right”, with a strong emphasis on efficiency and safety, approval-based governance and price-for-performance. Agile IT is focused on “doing IT fast”, supporting prototyping and iterative development, rapid delivery, continuous and process-based governance, and value to the business (being business-centric and close to the customer).

We’ve found that organizations are most successful when they have two modes of IT — with different people, processes, and tools supporting each. You can make traditional IT more agile — but you cannot simply add a little agility to it to get full-on agile IT. Rather, that requires fundamental transformation. At some point in time, the agile IT mode becomes strategic and begins to modernize and transform the rest of IT, but it’s actually good to allow the agile-mode team to discover transformative new approaches without being burdened by the existing legacy.

Furthermore, agile IT doesn’t just require new technologies and new skills — it requires a different set of skills from IT professionals. The IT-centric individual who is a cautious guardian and enjoys meticulously following well-defined processes is unlikely going to turn into a business-centric individual who is a risk-taking innovator and enjoys improvising in an uncertain environment.

That brings us to VMware (and many of the other traditional IT vendors who are trying to figure out what to do in an increasingly cloud-y world). Today’s keynote messages at VMworld have been heavily focused on cost reduction and offering more agility while maintaining safety (security, availability, reliability) and control. This is clearly a message that is targeted at traditional IT, and it’s really a story of incremental agility, using the software-defined data center to do IT better. There’s a heavy overtone of reassurance that the VMware faithful can continue to do business as usual, partaking of some cool new technologies in conjunction with the VMware infrastructure that they know and love — and control.

But a huge majority of the new agile-mode IT is cloud-native. It’s got different champions with different skills (especially development skills), and a different approach to development and operations that results in different processes and tooling. “Agility” doesn’t just mean “faster provisioning” (although to judge from the VMware keynote and customer speakers, IT Operations continue to believe this is the case). VMware needs to find ways to be relevant to the agile-IT mode, rather than just helping tradtional-IT VMware admins try to improve operations efficiency in a desperate grasp to retain control. (Unfortunately for VMware, the developer-relevant portions of the company were spun off into Pivotal.)

Bimodal IT also implies that hybrid IT is really simply the peaceful coexistence of non-cloud and cloud application components — not the idea that it’s one set of management tools that sit on top of all environments. VMware admins are obviously attracted to the ability to extend their existing tools and processes to the cloud (whether service provider IaaS or an internal private cloud), but that’s not necessarily the right thing to do. You might run traditional IT both in non-cloud and cloud modes and want hybrid tooling for both — but you should not do that for traditional-IT and agile-IT modes (regardless of whether it’s non-cloud or cloud), but instead use best-of-breed tooling for each mode.

If you’re considering the future of any IT vendor today, you have to ask yourself: What is their strategy to address each mode of IT? The mere recognition of the importance of applications and the business is insufficient.

(Gartner clients only: See Taming the Digital Dragon: The 2014 CIO Agenda and Bimodal IT: How to Be Digitally Agile Without Making a Mess for a lot more information about bimodal IT. See our 2013 and 2014 Professional Effective Planning Guides, Coming to Terms With the Nexus of Forces and Reshaping IT for the Digital Business for a guide to what IT professionals should do to advance their careers and organizations given these trends.)

The 2014 Cloud IaaS Magic Quadrant

Gartner’s Magic Quadrant for Cloud Infrastructure as a Service, 2014, has just been released (see the client-only interactive version, or the free reprint). If you’re a Gartner client, you can also view the related charts, which summarize the offerings, features, and data center locations in a convenient table format. (The charts are unfortunately less readable than they could be, as our publication system doesn’t allow comments in Excel spreadsheets. Sorry.)

We’re continuing to update this Magic Quadrant every nine months, since the market is moving so quickly. There have been significant changes in vendor positions since the August 2013 Magic Quadrant (the free reprint has expired, but the graphic is floating around, and Gartner clients can use the “History” tab in the online Magic Quadrant tool, which allows you to compare 2012, 2013, and 2014 interactively).

We’ve observed, over the last nine months, a major shift in Gartner’s client base — the desire to make strategic bets on cloud IaaS providers. In general, this reduces the number of significant suppliers to an organization to just one or two (whereas many organizations had as many as four), with the overwhelming bulk of the workloads going to one provider. It also means that clients are interested in knowing not just who is winning right now, but who is going to be the winner in five or even ten years. That’s really the lens that this Magic Quadrant should be viewed through: Who has what it takes to convince the customer that they can serve both current needs and will sustain market leadership over the long term?

Our clients have, since September of 2013 (which seemed to mark a change in Microsoft’s go-to-market approach for Azure), consistently viewed this as an AWS vs. Microsoft battle, with AWS continuing to win the vast majority of business but Microsoft winning significant inroads, especially with later-adopter customers. In recent weeks since the big price drops, lots of clients have been asking about the future of Google, as well, and there are a lot of curiosity questions about IBM (SoftLayer) also, although the IBM questions tend to be more outsourcing and broader-strategy in orientation. Of course, prospects consider other vendors, especially their existing incumbent vendors, as well, but AWS and Microsoft are overwhelmingly the top contenders.

What’s interesting about this year’s Visionaries is that they all have new platforms — CenturyLink with the Tier 3 acquisition, CSC with the ServiceMesh acquisition coupled with the AWS partnership, Google with Google Compute Engine, IBM with the SoftLayer acquisition, and Verizon Terremark with the still-beta Verizon Cloud. (Arguably VMware falls into this bucket as well, despite being a Niche Player this year.) These providers are in the middle of reinventing themselves, most with the idea of battling it out for the #3 spot in the market.

This is not a market for the faint of heart. (I recently asked a large vendor if they intended to compete seriously in the IaaS space, and was told, “Only an idiot takes on Amazon, Microsoft, and Google simultaneously.”) For that matter, this is not a market for the shallow of pocket. You can’t spend your way to success here, but you need engineers, intellectual property, and to be a real #3, substantial capital investment in infrastructure.

There’s also a clear convergence with the PaaS market that’s taking place here. AWS has long offered an array of services that are PaaS elements, as well as many things that sit on the spectrum between pure IaaS and pure PaaS. Microsoft and Google started as PaaS providers and then launched IaaS offerings. The distintions will blur and increasingly become less relevant, as providers fight it out on features and capabilities.

Gartner continues to separate our evaluation of related managed and professional services from the core cloud IaaS platform, because we believe that clients are increasingly choosing a platform, and then choosing consultants and managed services providers (or alternatively, turning to a trusted integrator who helps them choose the right platforms for their needs). I’ll be writing on this more in the future, but keep an eye out for the upcoming regional Magic Quadrants for Cloud-Enabled Managed Hosting for a managed services-oriented view.

Recommended reading for 2014 Cloud IaaS and Managed Hosting Magic Quadrants

If you’re a service provider interested in participating in the research process for Gartner’s Magic Quadrant for Cloud IaaS (see the call for vendors), or the regional Magic Quadrants for Cloud-Enabled Managed Hosting (see that call for vendors), you will probably want to read some of my previous blog posts.

The Magic Quadrant Process Itself

AR contacts for a Magic Quadrant should read everything. An explanation of why it’s critical to read every word of every communication received during the MQ process.

The process of a Magic Quadrant. Understanding a little bit about how MQs get put together.

Vendors, Magic Quadrants, and client status. Appropriate use of communications channels during the MQ process.

General tips for Magic Quadrant briefings and Specific tips for Magic Quadrant briefings. Information on how to conduct an effective and concise Magic Quadrant briefing.

The art of the customer reference. Tips on how to choose reference customers.

Gartner’s Understanding of the Market

Foundational Gartner research notes on cloud IaaS and managed hosting, 2014. Recommended reading to understand our thinking on the markets.

Having cloud-enabled technology != Having a cloud. Critical for understanding what we do and don’t consider cloud IaaS to be.

Infrastructure resilience, fast VM restart, and Google Compute Engine. An explanation of why infrastructure resilience still matters in the cloud, and what we mean by the term.

No World of Two Clouds. Why we do not believe that there will be a separation of the cloud IaaS offerings that target the enterprise, from those that target cloud-native organizations.

Cloud IaaS market share and the developer-centric world. How developers, rather than IT operations admins, drive spend in the cloud IaaS market.

Foundational Gartner research notes for cloud IaaS and managed hosting, 2014

With the refresh of the Magic Quadrant for Cloud IaaS, and the evolution of the regional Magic Quadrants for Managed Hosting into Magic Quadrants for Cloud-Enabled Managed Hosting, I am following my annual tradition of highlighting researching that myself and others have published that’s important in the context of these MQs. These notes lay out how we see the market, and consequently, the lens that we’re going to be evaluating the service providers through.

As always, I want to stress that service providers do not need to agree with our perspective in order to rate well. We admire those who march to their own particular beat, as long as it results in true differentiation and more importantly, customer wins and happy customers — a different perspective can allow a service provider to serve their particular segments of the market more effectively. However, such providers need to be able to clearly articulate that vision and to back it up with data that supports their world-view.

This updates a previous list of foundational research. Please note that those older notes still remain relevant, and you are encouraged to read them. You might also be interested in a previous research round-up (clients only).

If you are a service provider, these are the research notes that it might be helpful to be familiar with (sorry, links are behind client-only paywall):

Magic Quadrant for Cloud IaaS, 2013. Last year’s Magic Quadrant is full of deep-dive information about the market and the providers. Also check out the Critical Capabilities for Public Cloud IaaS, 2013 for a deeper dive into specific public cloud IaaS offerings (Critical Capabilities is almost solely focused on feature set for particular use cases, whereas a Magic Quadrant positions a vendor in a market as a whole).

Magic Quadrant for Managed Hosting, North America and Magic Quadrant for European Managed Hosting. Last year’s managed hosting Magic Quadrants are likely the last MQs we’ll publish for traditional managed hosting. They still make interesting reading even though these MQs are evolving this year.

Pricing and Buyer’s Guide for Web Hosting and Cloud Infrastructure, 2013. Our market definitions are described here.

Evaluation Criteria for Public Cloud IaaS Providers. Our Technical Professionals research provides extremely detailed criteria for large enterprises that are evaluating providers. While the customer requirements are somewhat different in other segments, like the mid-market, these criteria should give you an extremely strong idea of the kinds of things that we think are important to customers. The cloud IaaS MQ evaluation criteria are not identical (because it is broader than just large-enterprise), but they are very similar — we do coordinate our research.

Technology Overview for Cloud-Enabled System Infrastructure. If you’re wondering what cloud-enabled system infrastructure (CESI) is, this will explain it to you. Cloud-enabled managed hosting is the combination of a CESI with managed services, so it’s important to understand.

Don’t Be Fooled By Offerings Falsely Masquerading as Cloud IaaS. This note was written for our end-user clients, to help them sort out an increasingly “cloudwashed” service provider landscape. It’s very important for understanding what constitutes a cloud service and why the technical and business benefits of “cloud” matter.

Service Providers Must Understand the Real Needs of Prospective Customers of Cloud IaaS. Customers are often confused about what they want to buy when they claim to want “cloud”. This provides structured guidance for figuring this out, and it’s important for understanding service provider value propositions.

How Customers Purchase Cloud IaaS, 2012. A lifecycle exploration of how customers adopt and expand their use of cloud IaaS. Important for understanding our perspective on sales and marketing. (It’s dated 2012, but it’s actually a 2013 note, and still fully current.)

Market Trends: Managed Cloud Infrastructure, 2013. Our view of the evolution of data center outsourcing, managed hosting, and cloud IaaS, and broadly, the “managed cloud”. Critical for understanding the future of cloud-enabled managed hosting.

Managed Services Providers Must Adapt to the Needs of DevOps-Oriented Customers. As DevOps increases in popularity, managed services increasingly want their infrastructure to be managed with a DevOps philosophy. This represents a radical change for service providers. This note explores the customer requirements and market implications.

If you are not a Gartner client, please note that many of these topics have been covered in my blog in the past, if at a higher level (and generally in a mode where I am still working out my thinking, as opposed to a polished research position).

%d bloggers like this: