Cloud Service Brokers Emerge as Cloud Computing Skyrockets

Cloud service brokers act as middlemen serving customers and cloud service providers.Cloud service brokers aggregate several cloud services, integrate them in a customizedfashion within your applications in order to meet your desired needs and requirements.This marks a new era of information technology service providers evolving to meet theever-changing needs of technology infused enterprises. According to Protograde Groupmarket research analyst Steven Barberi, cloud service brokers are set to create a marketthat should exceed $100 billion by 2015.

Micheal Cohn, SVP Marketing at Cloud Sherpas, recommends that cloud service brokersare a recent advancement of information technology, as resellers and systems integratorsfuse to provide more value to the customer. "The need for a channel has existed since thebeginning of IT," Cohn states. "The role we play is changing as IT moves from on-premise and data centers to the cloud. What you are seeing is the rise of the cloudsolutions providers—or the cloud service brokerage, if you want to use Gartner'sparlance."

The business model of a cloud service broker is indirect. For example, an enterprise isfunctional to protect the cloud, and provides a customized product per the customer’sneeds and specifications. Consequently, a cloud service broker integrates andincorporates several products to bolster a customers cloud protection. The value add of abroker is lower costs, quick deployment, and sector expertise.

Garrett Heath, research analyst at BDE Associates stated that, “Information technologyprofessionals and chief information officers are increasingly discovering that modernorganizations are employing a larger quantity of cloud based applications that are notspecifically authorized by their information technology teams. Therefore, cloud servicebrokers help explain many issues regarding cloud services management. Furthermore, therapid increase in cloud computing in general, will help cloud service brokers grow inadoption, as every cloud service, and user, requires cloud service brokerage. In thecustomer’s perspective, leveraging a middleman to gain intelligence for servicesdiscovery is a great value addition. Furthermore, the capability to ensure high servicelevels to increase channels and partnerships.

Furthermore, Daryl Plummer, Chief Gartner Fellow, believes that cloud servicebrokerage is "the single largest revenue growth opportunity in cloud computing, barnone." Plummer questions however, "We often talk about clouds, but how often do wetalk about stitching it all together? There's really only one public cloud.... But cloudservices certainly don't act like it. They act like a bunch of different providers. How doyou make them all work together?”

Jonathan Hutchinson, a cloud analyst at the consulting firm Signal Partners, states “Abroker has many parts to it beyond simple reselling. Brokers should also look intoservices such as software development, software architecture analysis, and support. Abroker must provide indispensible service, so that engineering teams find directdevelopment value in their services, which can then spur brand loyalty.”

In conclusion, cloud service brokers can prove to be very valuable to businessesworldwide. Cloud service broker provide a wealth of knowledge derived fromexperience, and help companies set up and implement cloud infrastructure andcustomized solutions efficiently.