Puppet momentum, ~$100m annual sales

Growth, in terms of customers and revenue, appears to be significant. About 34,000 companies use Puppet’s software to automate data center operations, with 6,000 added last year, Kanies said. The company is approaching $100 million in annual sales and is expanding its headquarters in Portland, Ore. In January, it secured $22 million in financing from Silicon Valley Bank to fuel further expansion.

And then a stray container momentum/penetration number from Forrester:

Stroud sees promise in Puppet’s container support, despite his observation that only about 8% of companies are using containers for production workloads. “It gives current Puppetized work the ability to be containerized,” he said.

From The Register’s PuppetConf report

IT/Business alignment: why it’s different this time

Re-reading Nick’s piece on “digital transformation,” I like how he explains what’s new and different from past waves of IT innovation (lik ERP and econmerce), e.g.:

“Going digital results in an explosion in the amount of data you have. New channels of engagement between customers and organizations have resulted in new sources of information coming into the organization at speeds not seen before. In the past, customer interaction was mostly one-way – from the organization to the customer. Now it is about customer-directed, on-demand two-way engagement anywhere on any device. Customers want to communicate on their terms in their preferred channels. That causes organizations to have to transform the way they handle such information, since having a large call center may not be enough – or even that relevant in the future, given that so much communication will come via social media, in messages or increasingly via video. Add to that the explosion in information from Internet of Things (IoT) devices, and it’s pretty clear that the days of management by gut-feel and hunch are over, and data-driven decision-making is the only way to go.

And also, some numbers:

  • “Less than 25% of organizations that participated in a recent 451 Research survey (451 Research VoCUL, April 2016) said they had a well-defined formal digital transformation strategy. So we’re in the early stages of digital transformation, and there’s lots of work to be done.”
  • “Erik Brynjolfsson, Lorin Hitt and Heekyung Hellen Kim from MIT and University of Pennsylvania found that companies with data-driven decision environments have 5% higher productivity, 6% higher profit and up to 50% higher market value than other businesses.”
  • “Our research shows about 65% of IT decision-makers using agile methods and about 40% adopting DevOps today (VotE Software-Defined Infrastructure Q4 2015).”

Source: Digital transformation: the what, the why and the how

Update on Dynatrace, around half a million in revenue

From Nancy Gohring:

In 2015, Dynatrace recorded $466.6m in revenue, including $30m from services and $60m from SIGOS, the mobile network-testing company that Keynote acquired in 2006. Dynatrace’s APM revenue was $376.6m, representing 15% growth over the previous year, and making it twice as large by revenue as two of its primary competitors – New Relic and AppDynamics.

She writes fine reports.

Source: Dynatrace tackles integration of Keynote and Ruxit

80 percent of India has 4G Internet coverage, currently free

More than 80 percent of India is reached by a new 4G mobile network called Jio — bankrolled by India’s richest man — which will be free to use until the end of the year. The price will jump to at least $2.25 per month next year, but the rock bottom price is a play to undercut competitors for the market.

Source: Significant Digits For Wednesday, Sept. 7, 2016

VMware’s portfolio mix

Per VMware, cloud management is now a $1 billion business. It claims 1,700 NSX and 5,000 vSAN customers. It end-user computing business also has $1 billion in sales to more than 63,000 customers, including 1,300 of the Global 2000. It further states that 20,000 customers use vRealize. According to the company, 8 out of 10 of its largest deals included both NSX and vSAN management. While the company reports strong growth from these products, adoption is among a fraction of VMware’s 500,000 total customers.

Source: VMworld 2016: embracing Amazon Web Services with Cloud Foundation

Lesson learned from India: Four common traits of a profound digital transformation

Agatha over at 451 visits Indian outsources, commenting on how they’re changing to do more cloud related work:

Aside from spending a great deal of effort on building a market-driven culture, the company has instituted a fundamental shift in workforce mindset by moving away from doing what they are told and on to identifying new opportunities to add value and delight customers.

Also:

Aside from spending a great deal of effort on building a market-driven culture, the company has instituted a fundamental shift in workforce mindset by moving away from doing what they are told and on to identifying new opportunities to add value and delight customers.

And:

Wipro reported that public cloud partners serve as a key building block of its hybrid cloud migration strategy. For public cloud deployments, it has teamed up with AWS, Microsoft Azure, SoftLayer, Oracle and vCloud Air to provide managed public cloud offerings. Meanwhile, public cloud partners increasingly represent an important sales and marketing channel for HCL Technologies, with a number of deals having significant public cloud roadmaps. There are a few providers that focus on building vendor-specific expertise and credibility, such as Infosys, which is the premier consulting partner for AWS, and CMI industry advisory group. CMI at TCS claims to have more than 120 certified AWS architects and over 800 trained associates.

Source: Lesson learned from India: Four common traits of a profound digital transformation

Wild Turkey update

Campari seems thrilled — if a bit startled — by the attention Mr. McConaughey has been lavishing on Wild Turkey, which the company bought for $575 million in 2009 and where it has since poured $100 million into operations upgrades.

Also, growth:

For the fiscal first quarter, which ended in March, domestic sales of Wild Turkey increased 7.6 percent from the same period a year earlier.

Source: McConaughey doing ads for Wild Turkey.

How Companies Like Dollar Shave Club Are Reshaping the Retail Landscape

“After two years in business, Casper is on track to book $200 million in sales over the next year, but its success isn’t ensured.”

Also, a new category phrase: “the digitally native vertical brand.”

Source: How Companies Like Dollar Shave Club Are Reshaping the Retail Landscape

ServiceNow getting momentum in new markets

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We’re replacing people staring at spreadsheets all day long.

For a long time ServiceNow has been angling to move beyond it’s initial IT service desk market into new markets that use workflow management at their core. By “workflow management” I mean business processes that have a multistep, often multi-person process of solving some “problem.” Solving IT problems like password resets and on-boarding new employees fits here, but you can also imagine how HR departments would use it on-board new employees for their needs (adding benefits, pay, etc. all with approvals from various staff through-out).

At the last ServiceNow conference, they used drivers license renewal as a good example: there’s a request (I want a new drivers license or to renew one) and a workflow associated with it (verify the requester’s identity, check that they have car insurance, sundry other additional updates and integrations to the government systems, finally, submit some request to another workflow to print and mail a new drivers license).

You get the idea: at the core, there’s pretty much the same software to enable workflows. To grow the TAM they operating in and also their revenue by selling into these new use cases, ServiceNow has aspired to move into these markets for many years (maybe since around 2011 or 2012?).

Momentum expanding out of IT Service Desk

Here’s some recent momentum numbers on that front collected by Stuart Lauchlan and from the earnings transcript:

  • “Emerging products defined as, everything except ITSM, represented 40% of our net new ACV, up from 24% in Q2 2015.”
  • Customer service management: 40 customers, 31% G2,000.
  • Security operations: 32 customers. They recently acquired BrightPoint here.
  • HR: no numbers, but they signed a “$1.4 million HR-led deal for a new public sector customer in Australia.” This was through a Capgemini partnership.

In the most recent quarter, the company reported $341m in revenue, predicting it’d reach “$4 billion in revenue by 2020, a big leap from its $1 billion in 2015 sales.”