SM: The example that I was giving you earlier along the same lines has exactly the same argument because these corporate rewards and recognition merchandise vendors find an efficient channel to sell through, and with repeat purchase patterns and that’s very attractive to them.
SS: That’s exactly right.
SM: What do you see in terms of gaps and opportunities for early stage entrepreneurs to look at, based on all the things that we have discussed? >>>
SM: Right. Where you are sitting, the specific value proposition that you deliver, just by virtue of doing that for many years now for your clients, you have already accumulated a lot of this data. My question was do you have the technologies to be able to analyze that data and draw these personalization inferences.
SS: We do. Where I was going is you will see that actually being integrated deeply into our products. For example, all of our data sets are in Hadoop now. So, we’re able to use this information not just for the purposes of being able to analyze trends but then also feeding it back into the application set. For example, when you log on and say, “hey, I’d like to book a hotel,” the reality is that as you use our product, you always had the option to say, “give me more choices,” but when you use our product, the hotel choices that you get will be constrained by two variables. One is what is your corporate policy? And two is what are your preferences within that? >>>
SM: A personalized commerce opportunity, yes.
SS: Completely personalized. It’s personalized down to the individual level. It’s not a company level. It’s down to the individual person. It says I know about you. I know how to meet your needs, and I know how to make your trip a better experience. So, what we see happening is we see all these applications companies, and they will take all this rich data and deliver it back to the customer and to the end user and to the supplier in a way that makes it a more efficient supply chain for the supplier and frankly, a better experience for the traveler. >>>
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Sramana Mitra: Hi Steve. We talked some time back, and of course, the cloud industry — when we talked — was still kind of hitting its stride. Now, the momentum is in full force. Give me an overview of what you see around you to kick this off, and then we’ll double click down on major things that you see. >>>
SM: Last question, when you look around, what are some of the interesting entrepreneurial opportunities that are opening up because of the wide adoption of platform-as-a-service as it unfolds?
PR: If you’re an entrepreneur today, your startup cost is incrementally low. If you have a good idea, to execute on an idea, you can leverage a public infrastructure of Microsoft Azure or Amazon and build something out in record time, in three months, and ship something out. Three people in a garage can get amazing things done with what I see today with some of the cloud infrastructure that’s out there. So, it’s a question now of what do startups put their energy into? >>>
SM: Let me get another piece of clarification here. So, Microsoft is playing this game both at an isolated platform-as-a-service level as well as an integrated platform-as-a-service plus infrastructure-as-a-service, is that correct?
PR: That’s correct.
SM: Whereas Amazon is just playing infrastructure-as-a-service, Rackspace is playing the infrastructure-as-a-service game, Microsoft Azure, I presume, can be lowered on top of any of those infrastructure-as-a-service platforms, yes? >>>
SM: Yes. Your point is well taken that there are definitely some gaps in Google’s offering in Google Apps, but there is also a substantial amount of business going to Google, from what I gather, because of the incredible cost structure that they have created.
PR: It’s free, yes, it is free … for the most part.
SM: And there are solutions to the gaps. We have a company in One Million by One Million that actually works with Google Apps to plug some of the gaps of Google Apps to do exactly, you know, plug gaps that come up in the Lotus Notes migration process. >>>
SM: From what I’m seeing, the CRM and related systems, for instance, is one of the areas where an enterprise buys largely public cloud solutions. Of course, there are other big silos which people are procuring largely from public cloud solutions, talent management and various other management areas, and then there’s a long-tail application development that’s going on that’s using platform-as-a-service to enhance some of these core applications that are being dropped in as public cloud solutions. Is that consistent with what you’re seeing? >>>