Bushel, a SaaS-based mobile device management (MDM) solution for Apple  devices, on Wednesday launched an affiliate program that represents the first  stage of a channel push.
Bushel grew out of Minneapolis-based JAMF Software LLC, maker of an  on-premises Apple device management platform. While Bushel's primary market is  Apple ecosystem partners, Bushel Product Manager Charles Edge told RCP that the  product makes sense for Microsoft partners and managed service providers (MSPs) looking to manage the Apple devices that crop up around the edges of their  customers' networks. 
"It's very similar to what Microsoft has done releasing Intune for  Windows," Edge said of Microsoft's SaaS solution for system management. "What  we're after is policy-based management for small business. We're taking out  complexity and the things you need lots of experience to do."
Bushel can be used to manage Macs, iPads, iPhones and iPods.  Capabilities of the product include device inventory, app distribution, e-mail  configuration, Wi-Fi setting distribution and device protection.
  
     [Click on image for larger view.]	
		The Bushel interface.
    
	
		[Click on image for larger view.]	
		The Bushel interface.
	
Under the small business-focused pricing model, the first three devices  managed by Bushel are free, with supplemental devices costing $2 per month. The  affiliate program, which Edge likens to consumer affiliate programs, involves a  partner providing a specific sign-up link for customers that returns a  percentage of the monthly payment to the partner.
Partners are able to manage devices on behalf of customers only with  the customer's individual login, Edge said. So, for example, managing five  customers would require five separate logins.
Other elements will be coming to the channel program. "Within a  couple weeks we'll have marketing materials, PDFs and leave-behinds,  customizable assets so the partners can put their brand on it, and YouTube  channels with videos on how to set things up and manage them," Edge said.
Bushel is in a fast-growth stage, climbing from about 500 customers at  the formal launch in mid-January to 3,300 organizations now. Anticipating  similar uptake with partners, Edge said the company will wait for feedback from  the channel on what resources and features to add.
One item that's on the radar but not formally on a roadmap is potential  integration with  Intune and other management platforms for  single-pane-of-glass management. "We're looking at ways to partner with  and do integrations with other platforms," he said. "But at the  four-month mark, we're still gaining lots and lots of marketshare on the Apple  side."
 
	Posted by Scott Bekker on May 27, 20150 comments
          
	
 
            
                
                
 
    
    
	
    Here at Redmond Channel Partner, we aim to provide an independent  magazine and Web site (RCPmag.com) that serve the needs of the Microsoft partner  community. As part of our editorial mission, we regularly check up with our  readers on how well Microsoft is meeting your needs. Hence, this "RCP Microsoft Partner Satisfaction Survey."
The information you provide will only be used in aggregate and any verbatim  quotes we use in articles based on these results will not include your name or  company affiliation. None of your personally identifiable data will be shared  with Microsoft or any other vendors. 
What's the point? Let's face it -- when you give feedback directly to  Microsoft through official channels, you've often got to flatter it because  you're simultaneously lobbying for resources that it controls. This survey is  your chance to help get real, unvarnished feedback to Microsoft that will help  it get you products that better meet your customers' needs and get you the  programmatic resources that you need to grow your business.
Take the survey here.  It's only 10 questions and will only take a few minutes. As an additional thank  you for participating, we'll include your name in drawings for three Amazon.com  gift cards worth $50 each. So sound off!
 
	Posted by Scott Bekker on May 27, 20150 comments
          
	
 
            
                
                
 
    
    
	
    In an era in which Microsoft is preaching intellectual property  development to its partner choir, the technology giant has named Cireson to the  Microsoft National Solution Provider (NSP) program.
San Diego-based Cireson bills itself as a company that enhances  Microsoft Azure and Microsoft System Center with its own service and asset  management offerings, including the recently unveiled Cireson Platform. 
As for the NSP designation, it applies to a  group of about 30 partners in the United States that get an extra layer of  partner management from Microsoft. The program evolved from the older National  Systems Integrator (NSI) designation, which typically covered systems integrators  who spanned multiple U.S. regions and had either broad expertise or high-end  specialty expertise.
Other NSPs include such well-known Microsoft partners as Perficient  Inc., Tallan Inc., SADA Systems, Project Leadership Associates and Nimbo.
 
	Posted by Scott Bekker on May 20, 20150 comments
          
	
 
            
                
                
 
    
    
	
    The venerable IT services and solutions  provider Computer Sciences Corp. (CSC) is splitting in two.
The Falls Church, Va.-based company,  which was founded in 1959, is walling off its U.S. public sector business from  the rest of its operations in a move approved by its board of directors and  unveiled this week. CSC is a major Microsoft partner, listing Microsoft among  its 15 global technology alliances. 
The main business will be called  CSC-Global Commercial, with customers drawn from Fortune 1,000 companies and  non-U.S. government clients. That side of the business accounts for $8.1  billion in fiscal year 2015 revenue, more than 1,000 customers, 51,000  employees and 34 delivery centers globally, CSC said.
The other business will be called CSC-U.S.  Public Sector and will serve U.S. federal, state and defense agencies. With  $4.1 billion in FY 15 revenues, the public sector business employs 14,000  people, CSC said.
In a statement, CSC CEO Mike Lawrie  noted diverging "growth profiles and cash flow dynamics" for the two  sides of the business. "Our analysis shows significant benefits of going  with a pure-play strategy. We expect this change to enable both businesses to  enhance innovation and improve delivery, in ways that are consistent with the  rate and pace of the markets they serve," Lawrie said.
The separation is expected to be  completed by the end of October. At that point, CSC shareholders will own shares of both companies. CSC announced  plans to pay a special cash dividend to shareholders of $10.50 per share when  the separation is closed.
 
	Posted by Scott Bekker on May 20, 20150 comments
          
	
 
            
                
                
 
    
    
	
    For years, Microsoft has used the phrase "better together" as  shorthand for all the benefits and special features you get if you run an  exclusively Microsoft stack.
At a Microsoft Build Tour event on Monday in New  York, one of the customers in a testimonial video used the same phrase. But  here's the thing: He was talking about the benefits inside his organization of  new interoperability between Microsoft and Salesforce.com. The products that were  better together were parts of the Microsoft stack and Salesforce.com's cloud CRM -- not, say, Windows Server, SharePoint and SQL Server with Office. 
Even if it was originally an unwitting comment by the customer, the  fact that an inversion of a standing Microsoft catchphrase made it into a  heavily edited Microsoft promotional video is telling. More telling, the rest  of the video included developers talking about how much more open Microsoft is  now and, literally, how it's no longer thought of as the "Death Star."
Having sat through Microsoft's presentations for nearly 17 years, it  struck me again and again on Monday how many times Microsoft made reference to  interoperating with the non-Microsoft world. Yes, the company has said things like that  over the years, but the references now are more mature, more matter of fact. In  the past, Microsoft presenters might make reference to a necessary competitor,  but they'd often do so with a wink or a snide comment. The subtext was often, "Clearly  it would be better if you used a completely Microsoft stack, but if you're  foolish enough to use this inferior product, we'll deign to work with it."
Nothing felt snide or superior on Monday.
"What we've done over the last two years is really transform the  platform,"  Neil Hutson, a Microsoft technology evangelist speaking on the  Build Tour,  said of Office in one typical comment. He was talking about how  Office is now running on Android and iOS, and he went on to describe all the  non-Microsoft languages you can use to develop for Office now. Then he invited  developers to take things further. Describing Office Graph, Hutson said, "We  have completely opened up the back end."
Other references were to the Windows Universal Application bridges for  Android and iOS, frequent references to GitHub and recurring references to  Salesforce.com. There was an Apple Mac on stage. One demo showed an Android phone  emulator in Visual Studio. Microsoft regularly plugged the new Visual Studio  Code, a development environment for Mac and Linux. One of the evangelists used  the word "Google" as a synonym for search.
The themes carry over from the main Build show in late April when Azure CTO Mark  Russinovich appeared on stage wearing a Docker T-shirt and giving a talk on interoperability  between Microsoft and Docker's container technologies.
Clearly, Microsoft still prefers customers to go all-in with Microsoft. "Native  is better," Kevin Gallo, partner director for developer ecosystem and  platform, said of Windows Universal Apps in a keynote on Monday as he explained  the Android and iOS bridges.
But the feel on this Build Tour is that Microsoft is clearly  recalibrating its approach to the market. The new Microsoft seems to be opening  up to match the speed of open source, mobile and cloud competitors. Microsoft  is no longer pretending to itself or to its customers that it can do  everything well for everybody -- or that everyone should, or will, wait while  it tries.
 
	Posted by Scott Bekker on May 18, 20150 comments
          
	
 
            
                
                
 
    
    
	
    It's been a wild ride for new Carbonite President and CEO Mohamad Ali.  Named to the post on Dec. 4, Ali took charge of a cloud and hybrid backup and  recovery solutions company that had received a buyout offer from J2 Global Inc.  just two days earlier.
In the crucible of the back-and-forth between J2 and Carbonite, which quickly  devolved from a friendly offer into a hostile bid, Ali and the Carbonite board  of directors appear to have reaffirmed a vision for Carbonite's future  that's different from what many investors see. As it happens, that vision is focused  on SMB and is completely reliant on a channel strategy, as opposed to riding  out the consumer legacy of the brand. 
Ali is well-prepared for such high-profile stress. His last position  was chief strategy officer at Hewlett-Packard, where he reported directly to  CEO Meg Whitman on the company's restructuring. RCP caught up with Ali in a  recent telephone interview to talk about his vision for Carbonite and his view  of the channel.
"The investment community is still valuing the company as a lower  growth consumer business," Ali said. "One of the things I saw in  Carbonite was a really amazing SMB business that was buried in this consumer  business."
By annual run rate, Ali argues that Carbonite's consumer business  brings in $90 million at a 2 percent growth rate. The SMB business, by contrast,  is a $50 million business with 42 percent growth in bookings in the last  quarter.
"If you look at the hot cloud companies out there, not too many of  them have revenues of $50 million and are growing at over 40 percent," Ali  said. He wouldn't speculate on when the SMB business might outpace consumer,  but he offered a sort of verbal wink: "You can do the math and figure out  where you're going to have the crossover."
 "One of the things I saw in Carbonite was a really amazing SMB business that was buried in this consumer business."
"One of the things I saw in Carbonite was a really amazing SMB business that was buried in this consumer business."
Mohamad Ali, President and CEO, Carbonite 
 
That confidence in the future of the SMB side helps explain why  Carbonite turned down a $415 million offer from J2, which had also tried  unsuccessfully to acquire Carbonite in 2012. In a Carbonite statement on Jan. 9  titled, "Carbonite's Board of Directors Unanimously Rejects Unsolicited  Tender Offer from J2 Global," the company said it believed the 27.6  percent premium that J2's $15-per-share offer represented over the unaffected market  price on Dec. 2 "substantially undervalues the company." The  statement also expressed the board's support for Ali and his channel strategy.
"The new President and Chief Executive Officer has strategies with  respect to improved operating and margin performance, scalability of the  business and other areas of operational and strategic focus, including  expanding the market for the Company's products through broader distribution  capabilities, as well as enhanced features and functionality in the product portfolio,"  the statement read.
In the short term, at least, the stance has been costly. A look at a  stock chart covering the December-to-mid-April period looks like steep cliffs  on either side of a plateau. One cliff, heading upward, reflected J2's offer  when the NASDAQ-traded CARB jumped from an $11.76 close on Dec. 2 to a $14.44  close on Dec. 3. The plateau for most of the December-through-March period  fluctuated with the twists and turns in the buyout drama, peaking at a  $15.30-per-share close on March 2. The other cliff, heading down, reflected J2's  change in strategy to approaching Carbonite about buying only its endpoint  business and withdrawing the candidates it had planned to offer for election to  Carbonite's board. That cliff goes from a $14.23 close on April 1 down to an  $11.59 close on April 6.
 Carbonite Inc.'s performance on the NASDAQ since December resembles a mesa, with sharp walls marking the introduction and withdrawal of a $15-per-share buyout offer from J2 Global Inc. (Image source: Google Finance.)
  Carbonite Inc.'s performance on the NASDAQ since December resembles a mesa, with sharp walls marking the introduction and withdrawal of a $15-per-share buyout offer from J2 Global Inc. (Image source: Google Finance.) 
The stock value continued to fall to a nadir of $10.03 earlier this  month. The announcement Thursday of a $20 million stock buyback program through  2018 by Carbonite briefly brought the price up 7 percent in midday trading  before settling down to a little less than a 4 percent gain ($10.62) by close  of trading.
Against that tumultuous backdrop, Carbonite has continued to invest in an  SMB- and channel-focused future. Its partner recruitment efforts are "on  fire," Ali said. "We had 5,400 resellers when I got here. Today we're  up to 6,000. Where I'm heavily focused is with the seven big distributors and  direct market resellers. From HP, I know some of these executives and CEOs  personally. They love what we've done with the 6,000 VARs and are huge  believers."
Carbonite also spent a reported $20 million in mid-December to acquire  MailStore, a vendor of e-mail archiving solutions for SMBs. "In addition to  offering email archiving to businesses worldwide with MailStore's existing  solutions, Carbonite will integrate MailStore's robust full-text search and  indexing capabilities into our product portfolio to help our business customers  better manage, understand and leverage their data," Ali said in a statement  at the time. Aside from the obvious SMB appeal of the product, MailStore also  already had a Service Provider Edition for channel partners. Incidentally, the  MailStore acquisition was a point of contention in a Dec. 23 letter to  Carbonite from J2, which contended that the acquisition reduced Carbonite's  value by $0.50 per share.
As part of its channel push, Carbonite also commissioned research from  IDC showing, among other things, how much small businesses were willing to  spend on backup and recovery. The study found SMBs are willing to pay $2,800 a  year on average to protect their data, an amount less than some of Carbonite's  competition but well in the range of the company's three-server, $799 solution,  Ali said.
"That study is underscoring the approach we're taking, which is  super-simple products. And since we came from the consumer world, we're able to  create these super-simple products [that are also] price disruptive," Ali  said. "CSB [Carbonite Server Backup] is six steps to install, compared to  20 to 30 for other products. That product is what's driving 40 percent growth.  There's a huge whitespace opportunity in SMB."
Most recently, Carbonite went on a senior executive hiring spree announced May 6 that Ali characterized as channel-oriented. As Ali explains the  hires, Chief Marketing Officer Nina McIntyre has experience marketing to the  channel; Paddy Sreenivasan, vice president of server engineering, will stitch  the products together with the ecosystem; Irwin Weiss, vice president of IT,  will work on integrating Carbonite's internal systems with the channel; and  Christopher Wey, vice president of corporate development, will bring his long  channel and M&A experience to Carbonite.
A month ago, Carbonite declared it was shutting down a process to  explore a potential sale of the company -- a process that was originally spun  up in response to the J2 offer. In working to fend off a takeover and steadily  investing in channel efforts, the company's board and executives seem to be  putting real money behind the message that Carbonite's best potential lies in  developing the channel and chasing the SMB opportunity.
 
	Posted by Scott Bekker on May 14, 20150 comments
          
	
 
            
                
                
 
    
    
	
    Taking its public cloud infrastructure buildout beneath the sea, Microsoft this week unveiled investments in three trans-oceanic  cable projects to improve the connections among its international datacenters.
"As we expand our cloud services and global infrastructure, we  need a strong subsea strategy to ensure our customers experience high  availability access to their data," David Crowley, managing director of  network enablement for Microsoft, blogged earlier this week. "Over the past nine months, Microsoft has been  significantly investing in subsea and terrestrial dark fiber capacity by  engaging in fiber partnerships that span multiple oceans and continents. And  today, our connections across the Atlantic and Pacific just got stronger." 
At first blush, satellite connections for intercontinental  communication might seem more in line with the concept of cloud. Both clouds  and low earth orbit are "up" from here on the ground. But in the real  world of hardware, wiring and electricity where the "cloud" actually exists,  it's undersea cables that do the work of moving data between continents. Some  estimates put the amount of intercontinental data moving through subsea cables  at 99 percent. When it comes to international data, the "cloud" in a  lot of those marketing diagrams might be more accurately represented by a fish  tank.
Microsoft's global cloud efforts have always depended on such cabling,  but now Microsoft is investing in fiber partnerships that will guarantee it  higher priority and the latest bandwidth capability by helping to add three  cables to the 230-plus cables already criss-crossing the ocean floor. "These  cables will help deliver data at higher speeds, with higher capacity and lower  latency for our customers across the globe," Crowley said.
   [Click on image for larger view.] A map of planned and active submarine cable systems. (Source: TeleGeography/Submarine Cable Map.)
 
   [Click on image for larger view.] A map of planned and active submarine cable systems. (Source: TeleGeography/Submarine Cable Map.) 
Microsoft's specific moves involve two transatlantic cables and one  transpacific cable:
  - Hibernia Networks sent out three ships this week to start laying a  transatlantic cable for its Hibernia Express project, which will connect  Halifax, Canada, with Ballinspittle near Cork, Ireland, and pass on to Brean,  which is near Bristol in the U.K. Hibernia Networks says the cable, which is  supposed to begin service in September of this year, will be the first new  transatlantic cable in 12 years. "Hibernia Networks is proud to have been  selected by Microsoft to provide a key piece to their existing backbone network  on our transatlantic cable system," said Hibernia's CEO Bjarni Thorvardarson   in a statement.
 
 
-  Aqua Comms Ltd. also announced that Microsoft would be its first "foundation  customer" on the America Europe Connect (AEConnect) subsea cable system.  That cable, being built by TE SubCom, which is involved in all three of the  Microsoft-related projects, is supposed to go into service in December 2015 and  stretch from Shirley, N.Y., to Killala, Ireland. Asked in an e-mail interview  why Microsoft was supporting two new transatlantic cables, Crowley said, "We  optimized for two cables to ensure physical diversity, availability and uptime  for customers."
 
 
- Microsoft is one of a number of players in the new transpacific cable  announced this week. TE SubCom began construction on the New Cross Pacific  (NCP) Cable Network, which will run from Hillsboro, Ore., to the Chinese  mainland in three places at Chongming, Nanhui and Lingang. It will also connect to  Busan, South Korea; Toucheng, Taiwan; and Maruyama, Japan. Other members of the  NCP consortium include Chunghwa Telecom Co. Ltd., China Mobile, China Telecom,  China Unicom, KT Corp. and SoftBank Mobile Corp. The 13,000-kilometer network is  planned for service launch in late 2017.
 [Click on image for larger view.] A map of Microsoft's planned subsea cables to connect its Hillsboro, Ore., landing station to areas in the Asia-Pacific region. (Source:  Chunghwa Telecom.)
 
   [Click on image for larger view.] A map of Microsoft's planned subsea cables to connect its Hillsboro, Ore., landing station to areas in the Asia-Pacific region. (Source:  Chunghwa Telecom.) 
Investing in undersea cable is not completely new for Microsoft. Last  September, Microsoft and Seaborn Networks agreed to work together on a U.S.-Brazil  subsea cable, which is called Seabras-1 and is planned to go live in 2016. The  difference is in the scale of the announcements this week -- there were three at  once and they covered a much broader geographical area. While Crowley declined  to say how much Microsoft is investing or what percentage of the available  bandwidth its participation is securing, such projects typically cost hundreds  of millions of dollars.
Whatever the specific amount, it's a significant addition to the billions Microsoft has already poured into that global cloud buildout. Dollar by dollar,  Microsoft continues to press its financial and scale advantages to ensure that  it remains in a very small class of megavendors for public cloud services.
 
	Posted by Scott Bekker on May 13, 20150 comments
          
	
 
            
                
                
 
    
    
	
    
After 20 years in the tech industry spotlight, John Chambers will ease  into the shadows this summer.
Chambers will trade in his current titles of Cisco chairman and CEO for  the role of executive chairman on July 26. His replacement as CEO is Chuck  Robbins, a 17-year veteran at Cisco who is currently senior vice president of  worldwide operations. 
Chambers joined Cisco as head of sales in 1991 when Cisco was a  7-year-old company. Under his leadership, Cisco has grown from $1.2 billion  to $48 billion a year in revenues and seen more than a 3,000 percent increase  in non-GAAP earnings per share, according to the company.
"We've selected a very strong leader at a time when Cisco is in a  very strong position," Chambers said of Robbins, going on in a statement  to describe the next CEO's strengths as an insider. "Chuck knows every  Cisco segment, technology area and geography and will move the company forward  with the speed required to capitalize on the opportunities in front of us. He  is a champion of the Cisco culture and has an incredible ability to inspire,  energize and connect with employees, partners, customers and global  leaders."
In the official announcement, Cisco emphasized Robbins' channel  credentials. It noted that in his current role he leads the global sales and  partner team that drives $47 billion in business for the company. In that role,  Cisco credited Robbins with helping "lead and execute" the build-out  of the partner program that is "now worth more than $40B in revenue to the  company each year." Robbins was also a sponsor for the Sourcefire and  Meraki acquisitions.
Robbins was elected to the Cisco Board of Directors effective May 1.  For Chambers, the title change will probably mean fewer public speaking  engagements as the voice of Cisco, which, because of Cisco's influence, doubled  as a voice of the tech industry overall.
Chambers' new role will involve advising and supporting Robbins and  engaging with business and government customers.
 
	Posted by Scott Bekker on May 04, 20150 comments
          
	
 
            
                
                
 
    
    
	
    There are few better ways to guarantee a system will be breached,  compromised and exploited than failing to keep up with vendors' patches. Yet millions of public-facing systems run unpatched.
In an effort to document which previously reported security  vulnerabilities are most popular with attackers, government public computer  security awareness agencies from five countries on Wednesday released a Top 30  list of targeted high-risk vulnerabilities. 
"This Alert provides information on the 30 most commonly exploited  vulnerabilities used in these attacks, along with prevention and mitigation  recommendations," read an alert from the U.S.  Department of Homeland Security's National Cybersecurity and Communications  Integration Center and the U.S. Computer Emergency Readiness Team.
An analysis by the Canadian Cyber Incident Response Centre provides the  foundation for the list, which was jointly developed by government computer  security organizations in  Australia, Canada, New Zealand, the United  Kingdom and the United States.
The vulnerabilities are not listed by severity. Instead, they are  grouped by the vendor or project whose software is affected. Microsoft accounts  for 16 of the vulnerabilities, Adobe for 11, Oracle for 2 and OpenSSL for 1.
What's both interesting and depressing about the list is how old some  of the vulnerabilities are. For example, in the Microsoft list, some of the 30  most commonly exploited vulnerabilities date to 2009 and 2008, as well as an  Internet Explorer malware issue, which first emerged almost nine years ago.
On Microsoft platforms, the attackers' favorite flaws come from the  following bulletins: 
  - MS08-042
- MS09-067
- MS09-072
- MS10-018
- MS10-087
- MS11-021
- MS12-027
- MS12-060
- MS13-008
- MS13-022
- MS13-038
- MS14-012
- MS14-017
- MS14-021
- MS14-060
The malware issue with Internet Explorer is CVE-2006-3227.
The U.S. version of the Top 30 bulletin is available here.
 
	Posted by Scott Bekker on April 29, 20150 comments
          
	
 
            
                
                
 
    
    
	
    Put  Microsoft's latest quarterly  earnings on a business dashboard of some of the company's traditional key performance  indicators, and the screen would light up red.
  - Windows  OEM revenues down 22 percent!
- Office commercial products and services revenues down 2 percent!
- Earnings per share (EPS) off 10 percent!
So  why did Microsoft CEO Satya Nadella sound so sanguine in the earnings call  Thursday? "Overall, I'm pleased with our business performance,"  Nadella said, according to a Seeking Alpha  transcript. 
Could  it be that the words "I'm pleased" mean something different to  Nadella than they do the rest of us? After all, later in the call he said, "I'm  pleased with our renewed partnership with Yahoo!" That would be the deal that was widely  regarded as Yahoo CEO Marissa Mayer getting everything she wanted, including a new  back-out clause, in a renegotiation.
For  their part, investors seemed actually ecstatic with Microsoft's results.  Microsoft shares were up a whopping 10 percent to close at $47.87 on Friday.
From  the context of the rest of his remarks, it's pretty clear that Nadella was also  actually optimistic. Microsoft did manage to scratch out a 6 percent  year-over-year revenue increase, despite struggling in some of its historically  core businesses. And the EPS figure, while lower than the year-ago period, beat  analyst estimates.
Nadella  legitimately pointed to three headwinds in this last quarter: the negative  impact on Microsoft of the strong dollar, a bruising IT purchasing environment  in Microsoft's second-biggest market of Japan, and a tough comparable because of  Windows XP. The January-March period of 2014 was the absolute peak of the Windows  XP end-of-life migration. Windows client purchases fell from those highs back  to more normal levels in the most recently completed quarter. Normal would also  be the new normal of a contracting PC industry.
One  traditional metric, server software sales, was a bright spot. Microsoft CFO Amy Hood said  server products and services revenues were up 12 percent, and revenues for  premium offerings of SQL Server, System Center and Windows Server were up 25  percent.
It  was cloud and devices that Nadella directed investors' attention to. "Our  momentum in cloud is a highlight," he said. He fired off data points,  including a $6.3 billion annualized run rate for Microsoft's commercial cloud,  a seventh consecutive quarter of triple-digit commercial cloud revenue growth,  50 million Office 365 monthly active users, 5 million organizations in Azure  Active Directory, three-x growth year-over-year in storage transactions in  Azure, and a doubling of enterprise paid seats for Dynamics CRM Online  year-over-year.
On  the device side, Microsoft made some serious money in the quarter on Surface to  the tune of $713 million, and that's ahead of the Surface 3 availability.  Nadella pointed to the 64 percent usage of OneNote by Surface Pro 3 users as  evidence of the potential for Microsoft's better-together story and hinted that  the new Windows 10 upgrade strategy will provide opportunities to continue  monetizing customers for years after the initial system purchase.
Windows  Phone results were mixed. Still not making any real headway against Android  devices and iPhones, Microsoft at least seems to be getting some of the Nokia  acquisitional hiccups under control. Lumia sales volumes hit 8.6 million units  for the quarter, and Hood reported that Microsoft has reduced the operating  expense base in the phone business from an annualized rate of $4.5 billion at  acquisition to less than $2.5 billion.
As  a recurring theme during the call, Nadella encouraged investors not to think of  Microsoft's transition as a one-to-one shift from the old revenue sources of  on-prem Windows, Office and server software to the new revenue sources of cloud  services and, to a lesser extent, devices.
He  argued that, yes, Microsoft is getting the direct dollars -- the Office 365  subscription where there used to be a boxed suite of Office applications, the  Azure infrastructure where there used to be a server closet. But he made the  case that Microsoft is positioned for a lot of net-new workloads, such as Power  BI, Delve, e-discovery and mobility management.
"We  definitely are seeing one-for-one migration, but the opportunity in every one  of our offerings from Office 365 to Dynamics to Azure has a non-zero-sum  component to it," he said.
It's  a message that, for now, Wall Street seems to be buying.
 
	Posted by Scott Bekker on April 24, 20150 comments
          
	
 
            
                
                
 
    
    
	
    New Signature, the Washington, D.C.-based Microsoft national solutions  provider and 2014 Microsoft U.S. Partner of the Year, unveiled a $35  million initial investment from venture capital firm Columbia Capital on  Thursday.
The relatively rare VC investment in a pure-play solution provider is  intended to drive accelerated capacity, geographic growth and acquisitions at  New Signature, a 100-percent Microsoft-focused systems integration company with  a high-profile cloud practice and a focus in the business segment that Microsoft  calls SMS&P. 
Columbia Capital, based in Alexandria, Va., manages about $2.5 billion  in assets, according to the company's Web site, and companies in its portfolio  similar to New Signature include Cloud Sherpas and 2nd Watch.
Along with the investment come a new CEO, Jeff Tench, and a new  chairman, Neil Hobbs. Co-founders Christopher Hertz and David Geevaratne will  stay on, Hertz as president and Geevaratne as Chief Sales Officer.
"We are excited to be entering the next stage of our development  alongside Jeff and Neil and a respected capital partner," Hertz said in a  statement. "Jeff's experience building successful services organizations  enables our firm to take the reputation and credibility we have established to  new heights."
Tench's resume includes roles as CEO at Teliris and president of the  Business Markets Group at Level 3 Communications. He reiterated New Signature's  commitment to Microsoft solutions. "New Signature has full-stack Microsoft  expertise which enables us to evangelize Microsoft cloud services and  ultimately accelerate the purchase and consumption of these services. With a  clear focus on delivering actionable roadmaps to business and technical  decision makers, we will chart the course for solution optimization and  modernization through cloud technologies such as Azure, Office 365 and Dynamics  CRM Online," Tench said in a statement.
Patrick Hendy, a partner at Columbia Capital, meanwhile, positioned the  investment and plans for New Signature as a vote of confidence in Microsoft's  current direction.
"Under Satya Nadella's leadership, Microsoft has transformed into  a pivotal technology provider that is focused on empowering companies across  every vertical to achieve value rapidly by reinventing productivity and  business processes," Hendy said in a statement. "Microsoft is clearly  positioned to be a market leader in this transformation and we believe that New  Signature will be a key player in helping customers successfully navigate this  transformation."
 
	Posted by Scott Bekker on April 24, 20150 comments
          
	
 
            
                
                
 
    
    
	
    SharePoint-based workflow specialist Nintex this week revealed  significant advances in its solutions for Office 365.
Nintex rolled out a number of usability and mobility functions to its  Office 365-based workflow products and announced a partnership with Sharegate for migrating on-premise Nintex workflows between SharePoint versions and into  the Office 365 cloud. 
A one-time systems integrator, Nintex turned a specialty in SharePoint  workflows into a product that allows users, developers and IT to collaborate on  creating and updating business processes. The channel-centric company has more  than 1,100 partners worldwide, including more than 400 in the United States.
This week, Nintex added several capabilities to its Office 365-focused  product set of Nintex Workflow for Office 365, Nintex Forms for Office 365 and  Nintex Mobile.
"We're rolling out some key enhancements for things related to  approvals, content field data collection on our mobile forms, as well as some  other areas," said Josh Waldo, vice president of channel programs and  strategies at Nintex and a former senior partner executive at Microsoft,   in a telephone interview.
The most appealingly titled of the enhancements is "Lazy Approval,"  which allows natural language e-mail responses such as "yes/no" from  any device to be added to a business process. Lazy Approval does not require  the user to log in to move a process along, making it easy for stakeholders on  the go to stay involved in processes without becoming a bottleneck.
Other new features available to Nintex workflow designers are barcode  scanning, image annotation and a single button tool that allows an end user to  add geolocation information to a form. Also new are the ability to view  multiple outcomes for tasks to make it easier to create workflows based on  complex business logic and cascading lookups, which can do things like create  dependencies between fields, such as country and state.
Nintex, with its U.S. headquarters in Bellevue, Wash., is also  partnering with Montreal-based Sharegate for migrating customer workflows to  the Office 365 cloud in a way that maintains metadata, business logic and  security settings.
For Nintex, with the bulk of its customers using on-premise-based  solutions, Sharegate's expertise and the ability of its tools to maintain  connections between on-premises and cloud solutions in hybrid scenarios were  key, Waldo said.
"We've got a number of customers that have thousands and thousands  of workflows that are sitting on-premises, and they're looking to migrate a  number of those to Office 365 and manage those touch points," Waldo said.
The companies will be demoing their joint solutions next month at the  Microsoft Ignite conference in Chicago. Nintex will also be demonstrating its  new capabilities to partners at the Microsoft Worldwide Partner Conference (WPC) in  July in Orlando, Fla., where Nintex is one of the show's top three sponsors.
 
	Posted by Scott Bekker on April 23, 20150 comments