[Case Study] OVH main challenges and key differentiators

[Case study] OVH main challenges and key differentiators

Houria TAIR- [email protected]

Sales, Marketing & Strategic adviser for digital business transformations

Company description

• Created in 1999 , OVH is the world's third biggest web hoster and is evolving into an IaaS cloud provider.

• OVH offers its customer a self services access to consume industrialized IT resources

• OVH main businesses are to acquire and operate infrastructure.

Business activities

• Infrastructure-as-a-service cloud (OpenStack-based)

• Reselling Vmware, Microsoft Exchange and Office 365

• Managing virtual private servers and offering Web Hosting

Markets

• OVH will run 27 data centers ( 12 in France) in 19 countries by the end of 2017

• OVH has 32 points-of-presence globally with expansion plan into Australia, Singapore, Poland, Germany, the UK, and the US ( with Vmware acquisition mainly)

Key figures

• €320m in 2016

• 22 data centers, 1.2 million of customers, 260 000 physical servers

• 2,000 employees (nearly 300 in the U.S.) , 1m customers worldwide

Company OverviewOVH is positioning as a global hyperscale cloud provider with a strong presence in French market

Houria TAIR-CHAUVIN - [email protected]

1999 2004 2017201620132010

OVH foundation

In a nutshellOVH started in 1999 and never stop growing to become of the largest hosting providers worldwide.

1st equity fundraising €250m raised from KKR and TowerBrook.

The biggest data center in Europe

Aquisition of Vcloud air

First European subsidiaries

First VM and « dedicated

Cloud »


Business model canvasOVH is building its own way to hyperscale market in Europe and more recently in US

z

Key partners Key activities Value proposition Customer relationship Customer segment

Cost structure Revenue stream

Assets ( Servers, Data centers)

Key Resource

Storage

DB transactions

Infrastructure (vRack project )

Data center ( design

Orchestrating, Fulfillment

Optimization

Self services,

Web-based,

direct-to-customer

Industrialization

and

automation

partner

channel

Hardware vendors

Data center buildings

Open Source

Channel

Customer conference ( OVH summit…)

Social platform

Social network

Partners

Developers

IT Professional

direct sales via the website and the API

Self servicesOpenStack

Software developers

Start-up/scale-up

5,150 partners referenced on partners.ovh.com, all trades included. 3,950 are located in France.

Assets ( Servers, Data centers)DB transactionsSupports & people

Others costs ( any additional cost related to deployment…)

VMware

Capital Partners (KR ,TowerBrook…)

OVH stakes and challengesTo compete in Hyperscale market OVH is taking advantage of the rapidly expanding market for cloud and internet infrastructure services, while also broadening its customer base and services in new geographies.

• A technology-centric strategy combined with a strong engineering culture

• OVH’s vCloud Air acquisition and its ongoing partnership with VMware

• Strong and visible presence in Europe • Pricing model

S W

O T

• The mass-adoption phase of the cloud is not finalized and a lot of enterprises with great value can be reached with a services led approach.

• Multi-cloud cloud environments continue to gain traction in corporate IT

• OVH competes with “big bullies “ players which have already referenced several high valuable customers

• Channel sales development must evolve in parallel with data center expansion.

• High level of CAPEX spending to Building hyperscale infrastructure.

• AWS’s partner network development extension• Growth of start-ups proposing similar services

(e.g Jaguar telecom…)• Google’s plan to get more footprint into

enterprises


Multi-cloud cloud environments continue to gain traction in corporate IT.

“Big bullies” such as AWS, Microsoft and IBM are all competing for the same customer segment than OVH.

Pricing Pressure on SaaS and IaaS from the hyperscale is heavy.

Cognitive computing solutions are driving improvements in all industries.

Market Outlook… OVH is competing with strong players and is becoming quickly one of the biggest cloud providers in the world


Thank you



Sales, Marketing & Strategic adviser for digital business transformations

Internet

[Case Study] OVH main challenges and key differentiators