New cloud business models bring challenges for IT suppliers

04/25/2012 | ComputerWeekly.com (U.K.)

Technology suppliers are being forced to change their business models in light of the changing demands of the cloud computing market -- and many are finding they are not "strategically or operationally" prepared to make the shift, an Accenture survey finds. According to the poll of 30 IT executives, the transition from a product-based model to a service-based one is challenging tech companies to cope with new pricing and delivery mechanisms crafted around new on-demand and pay-per-use services. "As a result, high-tech companies need a coherent blueprint to make a successful shift to a services-centric business and to compete more nimbly with new cloud competitors," said Accenture's Mitch Cline.

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