SaaS Market Is Growing Faster Than On-Premise: Marc Olesen, McAfee

By Varun Aggarwal

What portion of your revenue comes from SaaS offerings? How do you expect it to grow?
Globally, our SaaS business constitutes 5-10 percent of our revenue. We expect this to grow to 10-15 percent in the next couple of years. IDC has predicted a growth of 27 percent in the Security-as-a-Service (SaaS) market over the next five years, so we also expect similar growth in our SaaS revenue. The on-premise market is growing at roughly 10 percent. Thus, the SaaS market is growing three times faster than on-premise, offering opportunity for our partners and us.

How are you taking SaaS to the market? How do partners benefit from this offering?
A recent report released by Zinnov Consultancy states that cloud services in India will be worth $1 billion by 2015, while an IDC survey reveals that 87.5 percent of users surveyed cited security concerns as the primary issue in adopting cloud-based services. McAfee plans to leverage its comprehensive SaaS portfolio of cloud-based security services along with its global threat intelligence network to help make the broader cloud computing ecosystem more safe and secure. As in the case of our other products, we will be using channel routes to bring this product to the market, and will therefore look at adding a few channel partners in the near future. Partners will be entitled to similar margins and benefits from McAfee.

What are the challenges of security in the cloud?
The concern is largely around the integrity of data. Customers could be storing business-sensitive data in the cloud. What we must do is build customer confidence. If we are able to prove that the technology which cloud providers are using is vulnerability-free, and that the technology can’t be penetrated, we’re driving up the customer’s confidence.

Today we have a solution which automates the validation. From a cloud we can identify vulnerabilities in the cloud provider’s cloud and help him understand what these vulnerabilities are and also help to remediate them. Security certifications such as ISO27001 happen just once or at the most twice in a year, whereas we update our security assessment for a cloud provider on a daily basis.

You have appliances, on-premise tools and cloud-based security, so which tools are meant for which requirement?
We want to be delivery-agnostic. Our customers could opt for an appliance, a cloud-based service or on-premise software. We want to be able to meet their needs. We are seeing customers of all sizes use appliances. UTMs are growing significantly in India, especially in the SMB sector because they get all the technologies they want in just one box. A larger organization won’t look for an appliance that combines all features and functions because to scale to say 1,00,000 users would push the architectural boundaries of appliance technology.

While we have a firewall only as an appliance, other solutions such as e-mail and Web filtering are available as an appliance as well as over the cloud. We are seeing a gradual shift in e-mail and Web filtering toward the cloud. Over 50 percent of SaaS is e-mail security—that’s moving fastest to the cloud. However, we feel that firewalls and intrusion detection will continue to be in the appliance form.

The key would be to be able to manage a large number of gateway appliances from the cloud using a management console. The console should be able to manage all the types of security solutions that you have.

What were your channel activities in the last 6-8 months?
We recently held the McAfee Partner Advisory Council which was an interactive platform for us to share with our partners our technology, product roadmaps and info about the various channel programs being rolled out.

We also launched our Star Trac training series for our Elite and Premier Partners. By the end of the training partners were able to articulate McAfee’s value, key differentiators, and successfully sell our solutions.

What are you doing to enable your partners in newer technologies such as MOVE?
The McAfee Management for Optimized Virtual Environments (MOVE) is a platform which addresses emerging threats to the modern business. MOVE technology provides a platform through which we and our partners will be able to use our research and expertise in virtualized environments as a leverage to provide specifically-designed security for our customers.

We have already briefed our partners and have made prices available to them for the Indian market. We will work with our partners to generate leads and support them in closing new business in this emerging area.

Story credit to: CRN

Follow Us!

CloudTweaks

Established in 2009, CloudTweaks.com is recognized as one of the leading authorities in cloud computing information. Most of the excellent CloudTweaks articles are provided by our own paid writers, with a small percentage provided by guest authors from around the globe, including CEOs, CIOs, Technology bloggers and Cloud enthusiasts. Our goal is to continue to build a growing community offering the best in-depth articles, interviews, event listings, whitepapers, infographics and much more...
Follow Us!

11 Responses to SaaS Market Is Growing Faster Than On-Premise: Marc Olesen, McAfee

Comics

At CloudTweaks, we're plugged into the cloud, the internet of things and all that the web has to offer. From wearable technology, to mobile computing, cloud computing and big data, CloudTweaks is your source for updates and news on the most innovative technology.

Popular

Top Viral Impact

Five Signs The Internet of Things Is About To Explode

Five Signs The Internet of Things Is About To Explode

The Internet of Things Is About To Explode By 2020, Gartner estimates that the Internet of Things (IoT) will generate incremental revenue exceeding $300 billion worldwide. It’s an astoundingly large figure given that the sector barely existed three years ago. We are now rapidly evolving toward a world in which just about everything will become…

Cloud Infographic: The Education Of Tomorrow

Cloud Infographic: The Education Of Tomorrow

Cloud Infographic: The Education Of Tomorrow  Online Education is a very exciting topic for many as it opens up many new doors and opportunities. We’ve touched on areas such as Massive Open Online Sources (MOOC) which provides tremendous levels of cloud based interconnectivity. We’ve taken a look into higher education,  the increased demand for online courses as well as…

Cloud Infographic: Disaster Recovery

Cloud Infographic: Disaster Recovery

Cloud Infographic: Disaster Recovery  Business downtime can be detrimental without a proper disaster recovery plan in place. Only 6% of businesses that experience downtime without a plan will survive long term. Less than half of all businesses that experience a disaster are likely to reopen their doors. There are many causes of data loss and…

The Industries That The Cloud Will Change The Most

The Industries That The Cloud Will Change The Most

The Industries That The Cloud Will Change The Most Cloud computing is rapidly revolutionizing the way we do business. Instead of being a blurry buzzword, it has become a facet of everyday life. Most people may not quite understand how the cloud works, but electricity is quite difficult to fathom as well. Anyway, regardless of…

Featured Sponsors

The Internet of Everything Opens Up The World

The Internet of Everything Opens Up The World

Shaping The World With New Technologies As a connected collection of intelligent objects, the Internet of Everything promises to open up those areas of the world hardest hit by economic, political and agricultural blights. Relatively inexpensive devices, paired with revolutionary energy sources and unprecedented access to information offer great promise to farmers and workers in…

Sponsors

Cloud ERP Starter’s Guide: When QuickBooks Is Not Enough

Cloud ERP Starter’s Guide: When QuickBooks Is Not Enough

Cloud ERP Starter’s Guide: When QuickBooks Is Not Enough You’ve been running your small business on QuickBooks, or a product like it, to automate your accounting function and produce basic financial reports. So, what’s wrong? Things just don’t seem to be working well. It takes too long to get a “picture” of how your business…

Placement Opportunities - Find Out!

Established in 2009, CloudTweaks is recognized as one of the leading influencers in cloud computing, big data and internet of things (IoT) information. Our goal is to continue to build our growing information portal, by providing the best in-depth articles, interviews, event listings, whitepapers, infographics and much more.

You can help continue to support our community by social sharing, sponsoring, partnering or contributing to this great educational resource.

Contact

CloudTweaks Media
Phone: 1 (212) 763-0021

Join Our Newsletter