Vendor’s on-demand portfolio comes with multiple consumption-based pay models
Dell Technologies is rolling out a series of consumption-based and as-a-service offerings, including new infrastructure, that are designed to bring cloud-like capabilities and greater flexibility and agility to enterprises’ on-premises data centers.
The Lowdown: The new Dell Technologies on Demand portfolio will be available not only through the vendor but also via channel partners.
The Details: The goal of the on-demand and consumption-based offerings is to give enterprises that are increasingly adopting multicloud and hybrid cloud strategies a more consistent infrastructure experience from the cloud back to the data center, including by transitioning infrastructure spending from capital to operational expenses. The initiative includes compute, networking, storage, and virtualization technologies and offers software-defined and hybrid cloud solutions through Dell Technologies Cloud – announced earlier this year – and VMware.
Components of the strategy include:
> Extension of flexible consumption portfolio for PowerEdge servers and the new Dell EMC PowerOne autonomous infrastructure system.
> Integration of full-stack solutions from Dell Technologies Cloud and Dell Technologies Unified Workspace for engineered workload solutions.
> Consumption-based spending options that include Pay As You Grow, Flex on Demand, and Data Center Utility that lend greater scalability and cost transparency of infrastructure.
> Flex on Demand for PowerEdge servers to avoid over-provisioning of data center systems.
> Bundling of ProDeploy, ProSupport, and Managed Services that can be used with consumption-based financing models.
> Expansion of Platform-as-a-Service (PaaS) to small businesses, offering a predictable per-seat, per-month price for buying PCs and acquiring lifecycle management of hardware, software, and services.
The Impact: Dell is among a number of high-profile OEMs that are offering on-demand and consumption-based IT infrastructure capabilities to enterprises. Hewlett Packard Enterprise last year unveiled its GreenLake as-a-service hybrid cloud platform. Most recently, HPE enhanced its partner program to make it easier for the channel to sell it to their customers. It also fueled HPE’s decision to make its entire portfolio available as a service by 2022.
Background: Gartner analysts are predicting that by 2022, 15% of on-premises computing deployed will include pay-per-use pricing, compared with less than 1% this year.
The Buzz: “The multi-cloud world is here and will only grow, which means customers need on-demand and consistent infrastructure that yield predictable outcomes across all of their clouds, data centers, and edge locations,” said Jeff Clarke, vice chairman of Dell Technologies. “Dell Technologies On Demand makes it possible for organizations to plan, deploy, and manage their entire IT footprint.They can choose how they consume and pay for IT solutions that meet their needs with the freedom and flexibility to evolve as their needs change over time.”
“By providing flexible consumption options on essential infrastructure through Dell Technologies On Demand, we can help customers make quicker decisions and realize a faster return on investment with our offerings,” said S.S. Lim, managing director at PTC, a Dell Technologies Titanium partner. “We needed to help our customers adopt a pay-per-use model, so they don’t have to secure a budget for capital expenses. By working with Dell Technologies, we can do this by spreading out their payments over time, enabling them to start using technology more quickly to help achieve their business goals.”
“The media and entertainment industry has unique technology needs, and for years, we have partnered with Dell Technologies to provide enterprise-grade, scalable technology that our customers know they can count on,” said Kris Kostiuk, director of business development for media and entertainment at Scalar, a CDW company. “With Dell Technologies on Demand, our customers benefit from push-button elastic capacity, and only pay for the technology they use, so they can concentrate their focus on creating amazing work.”
“As companies look to digitally transform their businesses, one of the challenges is accelerating this transformation when hindered with limited budgets and legacy infrastructure,” said Susan G. Middleton, director of flexible consumption and financing strategies for IT infrastructure at IDC. “A solution to these roadblocks is new consumption delivery models like flexible consumption and as-a-service. IDC research shows that customers want models that offer flexible capacity, simplified management, transparent pricing, and robust services. Dell’s addressing these needs with its expanded portfolio of consumption offerings. A program like Dell Technologies on Demand that gives customers the choice of how they want to add capacity, fully stacked solutions, a robust services portfolio, and coverage from edge [to] data center to cloud, will be indispensable for customers as they embark on this transformation.”