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Lack of Innovation Is Killing Us

Lack of Innovation Is Killing Us BLOG

Lack of Innovation Is Killing Us

Written by David Linthicum for Nelson Hilliard

I get e-mails daily from cloud providers who want to talk to me about some new service they are offering, services that look a lot like the old services their competitors offer…typically, Amazon Web Services.

You guys in the enterprise are trying to figure this out as well: Should you go with brands that you know, that are already in house?  Or, go with the brand that seems to be leading the pack?  For the most part, enterprises are picking the pack leaders.

The fact that Amazon leads the cloud computing pack drives a lot of the larger players nuts.  In response, they are pushing out release after release, offering new services and features.  However, these new services and features typically lack any sort of creativity and innovation.  So, don’t wonder why you continue to lose market share when, at the end of the day, there is no compelling reason to use your services over others. 

The response we typically get from providers is that they are planning a number of acquisitions to “shore up their cloud.”  Even when strategic acquisitions are made, they often fall short of gaining any value from the investment.  The innovative founders leave to start new innovative startups.  The acquiring cloud company is left holding a lot of code that they don’t know what to do with. 

The solution is rather simple.  Take some risks.  Don’t just follow your competition; build something interesting and innovative, something that’s game changing and has clear value to those who leverage cloud-based platforms.  If you don’t know what to build, then hire people who can drive the creative side for you. 

For those of you in enterprises that are trying to place the right cloud bets, I would start pushing your non-Amazon providers to stop following Amazon, and start thinking about leading.  If little or nothing changes, I would suggest that you move on. 

David S. Linthicum is a managing director and chief cloud strategy officer at Deloitte Consulting, and an internationally recognized industry expert and thought leader.

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