One of our new, excellent analysts Scott Ottaway and I wrote up a report on Citrix’s Workspace as a Service portfolio and strategy.
Clients can read the full report, but here’s the 451 take:
Citrix reported impressive double-digit revenue growth and total licenses from its cloud service provider channel. Citrix also launched multiple new technologies – XenApp, XenMobile, ShareFile – as well as announced a cloud-managed Workspace Services option that service providers or enterprises can leverage to optimize, automate and more easily manage WaaS infrastructure and users while still maintaining the end-user relationship. Unlike VMware, Amazon Web Services or Microsoft Azure, Citrix will not directly compete with its WaaS service provider channel by offering end-to-end WaaS.
While the WaaS market continues to grow rapidly and Citrix continues to offer multiple new technologies and services, service providers need to carefully evaluate the margin opportunity and operational costs versus end-user demand and willingness to pay for the new technologies such as mobile-optimized applications and cloud storage. With the entrance of global cloud providers into the WaaS market within the last six months and the potential for commodification of workspace pricing over time, 451 Research believes that service providers need to carefully evaluate the market and margin opportunity of new expanded WaaS capabilities and to not overprovision for low-opportunity use cases or to reduce margin opportunity by competing solely on price per workspace.
Earlier this week VMware announced it’s Desktop-as-Service (DaaS) offering, building on-top of the recently acquired Desktone asset. I have a 451 report for clients up.
Here’s the 451 Take:
VMware is launching a desktop-as-a-service (DaaS) offering at an appropriate time, both beating Amazon to the 1.0 punch and playing into key trends that seem to be giving virtual desktops a new breath of life. There’s been a steady increase in the bring-your-own-device (BYOD) trend, tightly coupled with the fragmentation of the PC market brought on by mobility: tablets, Apple and Android – not to mention the continued spread of the Web as a major ‘platform.’ Meanwhile, the profusion of Windows-based applications and other ‘legacy’ corporate IT services are not always ready to convert to the new platforms, opening up the need for virtual desktops. Finally, cloud infrastructure technologies and business models are making the managing of the back end for virtual desktop systems more cost-efficient. The confluence of these trends points toward companies tilting at the virtual desktop windmills again, but this time with a ‘SaaSy’ lance.
Arguably, there are still data on these devices, such as local copies of corporate email that might contain sensitive information. However, does the risk of unauthorized access to the average user’s email account and the loss of a $300 piece of hardware necessitate specialized technologies and a cadre of staff to implement and monitor them? Most security people would argue that there’s a far greater risk of an employee giving away passwords to an authoritative voice on the other end of a phone than a carefully orchestrated theft of a mobile device.
The VDI crew is hoping that containerized data access gets noticed as the cheaper way balm to the data paranoid.
“Remote desktop on phones is a relatively rare usage scenario,” a Microsoft spokesperson said in a statement. “That said, we are working on a version of the app for Windows Phone. We’ll be able to share timeframe at a later point in time.”
I’m kind of like “why” on this, but it actually will probably fine a fair amount of use in business that always seems to find an excuse to need Windows.