Gartner Blog Network


Doing Business with Microsoft – Inspire Announcements Part 2

by Stephen White  |  July 17, 2018  |  Comments Off on Doing Business with Microsoft – Inspire Announcements Part 2

Microsoft Inspire kicked off yesterday with the typical musical introduction and energy that accompanies the annual day 1 keynote. What followed though was relatively quiet, reinforcing messaging from 2017. Microsoft’s lead messages of ‘Digital transformation’ and ‘Empowering all individuals and organizations to do more’ were intertwined with empathy – effectively consolidating the ‘Hit Refresh’ message.

iStock_000002096856_Medium

My own notes from day 1 of WPC 2015 included the ‘notable absence of digital transformation messaging’. By Inspire 2017 that had changed dramatically, with Digital Transformation front and center, 2018 business strategy messaging follows suit.

Microsoft speaks to digital transformation quite generically. Carlsberg were leveraged as a case study to bring the message to life and in effect demonstrate how Microsoft’s digital transformation message reflects two facets, Digital Workplace (a combination of Modern Workplace and Business Applications as Microsoft names their solution areas), and Digital Business Transformation which is a product of Intelligent Cloud (Microsoft solution areas ‘Applications and Infrastructure’ and ‘Data & AI’).

Jutson Althoff emphasized Microsoft’s role in digital transformation is dependent upon the differentiation and capabilities built by partners on the Microsoft platform. A statement that will surprise few given the on site audience of partners. That statement should be judged as more than an attempt to charm the audience, but actually genuine recognition of the extent to which Microsoft’s success in affecting transformation is dependent upon partners.

Business structure remains largely unchanged for the coming year. Enhancing focus and investment in vertical industries and solutions, going deeper in priority domains for ‘Enterprise’ clients, whilst ‘SMC’ clients saw reduced account management were the principals of the 2017 sales reorganization. Some customers will be relived given the upheaval in the past year, where many clients experienced gaps in their Microsoft relationship, and a number will be seeking a stronger direct relationship with what represents their most significant technology partner. On this note, perhaps the day 1 keynote missed an opportunity, to provide clarity on future relationship expectations for those whose business relationship has been disrupted, rather than strengthened.

Microsoft president Brad Smith’s annual piece on Trust and Privacy was brought forward from day 3 to day 1. The need for Microsoft to take action rather than just talk to the issues of Security, privacy and ethics of AI were the focus topics, whilst the theme of responsibility extending beyond private enterprise to governments resonated throughout. WannaCry was used as an example of the scale of the challenge which may continue to apply, the message clearly included a tone of managing out threats by maintaining an up to date secured environment, whilst also acting as the platform for Microsoft’s pledge to the Cybersecurity Tech Accord,

Smith then transitioned to position Microsoft’s empathy message as he drew a parallel between ethics of AI and diversity, the need to represent the needs of all in various forms and the degree to which each warrant focus. The digital divide and access to broadband were also called out as targets for Microsoft initiatives.

Not for profits and the needs of developing nations were notable focus points of the empathy messaging using Microsoft Philanthropies. Two figures were offered in respect to nonprofit organizations, where 4 million organizations are eligible for donations from Microsoft, employing 20 million people, whilst those are very significant numbers they point to the nature in which larger nonprofits require volume licensing.

Microsoft’s philanthropies may be a topic again on Wednesday when Satya Nadella takes the stage, Smith closed however with a few words addressing the role of AI for Accessibility, underscoring the empathy message.

In summary, day one of Inspire 2018 reiterated extensively existing messaging from 2017, perhaps laying the foundation for content addressing how Microsoft will address it’s client engagement through day two and three.

To be continued ….

 

Additional Resources

Winning in the Turns: A CIO Action Guide

Turns can be economic, geopolitical, environmental social or competitive, to name a few. Winning in the turns demands contrary measures around cost, strategy and talent.

Read Free Gartner Research

Category: cloud  it-cost-optimization  licensing  reseller  

Tags: azure  digital-transformation  microsoft  microsoft-inspire  office-365  partner  saas  software  

Stephen White
Research Director
4 years at Gartner
16 years IT Industry

Stephen White is a Research Director in Gartner's IT Asset Management, Vendor Management and Procurement team, focusing on strategic licensing and negotiation strategies, asset management, and reseller engagement. Mr. White leverages his experience in software sales and consulting to assist IT leaders through his coverage of best practices in license life cycle strategy and trends, license metric and pricing practices, contract negotiations, optimizing terms and conditions, sourcing, and relationship management. Read Full Bio




Comments are closed

Comments or opinions expressed on this blog are those of the individual contributors only, and do not necessarily represent the views of Gartner, Inc. or its management. Readers may copy and redistribute blog postings on other blogs, or otherwise for private, non-commercial or journalistic purposes, with attribution to Gartner. This content may not be used for any other purposes in any other formats or media. The content on this blog is provided on an "as-is" basis. Gartner shall not be liable for any damages whatsoever arising out of the content or use of this blog.