the channel 6 2017 - eurolan research€¦ · strategic partnership with aws, google, vmware and...
TRANSCRIPT
Contents 1. SLA – Senior Level Advisory – Claranet
2. Key Announcement implications – Business Security: Always a Journey…
3. In Depth Focus – McAfee Labs 2018 Threats Predictions Report
4. Financial Rou nd up – Avaya, Brocade, Ciena, Cisco, D-Link, Mitel, Nutanix
and Symantec
This Service has been designed specifically for Senior level Channel executives. It provides guidance
and highly strategic advice on the channels focussing on the issues of which Senior Channel Executives
should be aware. It will guide the management team on the impact of competitor announcements,
insights into the market, brief focus on services sub-segments, value stack, vertical focus and Key
Director Messages.
THE CHANNEL
| Channel Issues and Advice |
Dec 2017
1 SLA – Senior Level Advisory
Charles Nasser
Founder and CEO
Nigel Fairhurst, CFO
Andy Wilton
CIO
Claranet
Charles Nassar moved to England from Paris when he was 17 and used
his own money as well as funding from friends and family to start
Claranet in 1996. The original mission was to offer easy access to the
internet. It now employs over 1,800 staff with operations in 8 countries
Financials
Source: Company Financial Results Year end: 30 June
Geographical Footprint
Claranet provides
network, hosting and
managed application
services in the UK,
France, Germany, The
Netherlands, Portugal,
Spain, Italy and
Brazil. Claranet has
grown its business
through a number of
acquisitions, including
Netscalibur in 2003,
via net.works uk in
2004, Amen Group, in
2005, Star Technology
in 2012 and Oxalide in
France in 2017
£125.9 M£133.3 M
£152.5 M
£216.5 M
£23.0 M £24.0 M
£29.4 M
£38.7 M
€0.00 M
€50.00 M
€100.00 M
2014 2015 2016 2017
£0.0 M
£50.0 M
£100.0 M
£150.0 M
£200.0 M
£250.0 M
Ad
j E
BIT
DA
in
£M
Re
ve
nu
e i
n £
M
Revenue and Adj EBITDA
Michel Roberts
MD Claranet UK
Key Capabilities
and Customers
Cloud Premier Partner
status with Amazon
Web Services, Google,
Microsoft and
VMWare
ITV, Missguided,
Channel 5’s Big
Brother
Hosting
Peugeot, Unicef, WPA
Networks MPLS
Pets at Home, Harvey
Nichols, River Island
Communications UC includes MS 365
Penlon, Robinsons
Relocation and Vol
Security
Penetration and
Vulnerability Testing,
Web and Email
Security, and IT
Security Training
Santander, Sky Bet
and Kier
Acquisitions
Partnerships
For partners Claranet offers a collaborative partnership (a blended
offering), a referral partnership (paying commission at the rate of 5 per
cent of the annual contract amount) and a wholesale partnership
(reseller/dealer agreement). Claranet is one of a few MSPs which hold a
strategic partnership with AWS, Google, VMware and Microsoft
Conclusion
By encompassing Public Cloud, DevOps, Security and Big Data Claranet is
helping customers in Digital Transformation and facilitating partners to
guide their customers through the journey.
Claranet is diversifying from Managed Services via recent acquisitions. It
added DevOps and cloud specialist Oxalide in France and, in the UK,
security and penetration testing via Sec-1. Sec-1 is one of two
WatchGuard Platinum Partners in the UK and is also a Juniper partner.
Claranet SOHO is aimed at smaller businesses and euroLAN have been
customers since it acquired World Wide Web Services via VIA Networks.
NEXT > 2) Key Announcement Implications
2 Key Announcement Implication
Business Security: Always a Journey, Never a Destination
Executive Summary
Businesses face an unprecedented set of information security risks in
2017. Not only are companies suffering a growing number of data
breaches, but also the compliance risks are mounting. Organizations must
address cybersecurity and privacy, not just because they face financial
and reputational fallout if they don’t, but also because regulators can
penalize them for inadequate protection.
Against this backdrop, NTT Security interviewed 1,350 decision makers in
businesses across the globe to find out how they viewed information
security risk, and what they were doing to mitigate it. We asked questions
ranging from their awareness of compliance issues to how securely they
stored their data. This year’s NTT Security report featured questions in
several key areas, including where data was physically stored, the impact
of new compliance requirements, and how well businesses communicated
information security policies to staff. It broadens an already
comprehensive picture of global cybersecurity preparedness.
The results from the research are mixed. On the one hand, companies are
making headway in the fight to secure their data. They are showing
improvements in key areas, such as storing data securely, investing in
cybersecurity measures and cyber insurance. On the other hand, there
are several gaping holes in other aspects of cybersecurity preparedness.
Companies are unaware of how or even whether security-related
regulations affect them, and are still behind in the creation and com-
munication of information security policies. As the stakes rise for
businesses in Europe and beyond, with the impending General Data
Protection Regulation (GDPR) they must bite the bullet and invest
in cybersecurity. This isn’t simply a financial exercise. It also takes an
inspired and engaged workforce to create a cultural shift within the
organization. Cybersecurity is a journey, not a destination.
GDPR’s requirements, far too numerous to list in their entirety,
include:
• Individuals’ rights to gain access to data stored about them, to transfer
it to a third party, and to have it deleted
• Individuals’ rights to complain about how their data is being processed,
and to restrict its use
• A requirement to report data breaches and a description of the
measures taken to regulatory authorities within member states, and in
some cases to the individuals affected
• Appointing a Data Protection Officer responsible for overseeing privacy
within the organization
• Adopting ‘privacy by design’ to show that businesses have adopted data
protection techniques within their information processing systems
A copy of the report,
with all the sections,
is available from
euroLAN
Flying Blind on Compliance Requirements
The research conducted by NTT Security suggests that many companies
are still unaware of how much emerging security-related regulations will
affect them. A common misconception of GDPR is that it only affects EU
companies. This is inaccurate. It affects any company that processes
data about EU citizens, and promises to have a profound effect on
organizations across the globe.
Small Gains in Secure Data Storage
Data management and storage is a particularly important issue under
GDPR. One key piece of advice from the UK Information Commissioner’s
Office (ICO) is for organizations to map their data assets so that they
know what they are dealing with
Investing in Security
This lack of visibility isn’t creating as much concern as onlookers might
expect. Companies aren’t acknowledging information security enough in
their risk assessments. In 2015, almost one in five decision maker
respondents (18 per cent) considered poor information security to be the
single biggest risk to their business. In 2017, that number fell to one in
eight (12 per cent) and took fifth place, behind losing market share to
increasing global competition, eroding profits and unskilled employees
Assessing the Risk
Respondents to the survey didn’t seem to feel safer. 57 per cent of them
believe a data breach is inevitable at some point. If and when it happens,
the impact will be two-fold: companies expect news of a breach to affect
their longer-term ability to do business, and also to have a more direct
short-term financial impact
Conclusion
Businesses are making some advances in cybersecurity. They are
investing more in securing their infrastructure, and more of them are
storing data securely than in the past. They believe that they can recover
more quickly from data breaches, and do so with a smaller impact
on their revenues. Nevertheless, there are some significant chasms to
cross. Companies are still not raising cybersecurity as a board-level issue
as much as they could, and they are failing to get employees on board by
creating and communicating information security policies properly. And
they understand that failure to patch and upgrade systems makes it
difficult for them to get financial protection in the event of a data breach.
Perhaps the biggest risk of all is regulatory. Until now, companies that left
gaps in their information security strategies could simply take the risk of
compromise, and then cope with the problem if it arose. From 25 May
2018, they face a burden of proof. Should regulators come calling,
businesses must show that they have taken adequate measures under the
GDPR rules to protect their data. If they haven’t, the penalties will be
swift, and severe. Now is the time to address these issues and comply.
NEXT > 3) In Depth Focus
3 In Depth Focus
ML Anti-virus against
ML inspired attacks
Total ransomware
grew 56 per cent in
the past four quarters
Recent Event
McAfee interviewed
the actors behind
ransomware
campaigns. One of the
interesting findings
was cybercriminals
seemed to have a
sense of absolute
safety when
conducting criminal
McAfee Labs 2018 Threats Predictions Report
Overview
In the McAfee Labs 2018 Threats Predictions Report finds us in a highly
volatile stage of cybersecurity, with new devices, new risks, and new
threats appearing every day. Having polled thought leaders from McAfee
Labs and the Office of the CTO it offers their views on a wide range of
threats, including machine learning, ransomware, serverless apps, and
privacy issues
The Adversarial Machine Learning Arms Race Revs Up
The rapid growth and damaging effects of new cyberthreats demand
defenses that can detect new threats at machine speeds, increasing the
emphasis on machine learning as a valuable security component.
Unfortunately, machines will work for anyone, fueling an arms race in
machine-supported actions from defenders and attackers. Human-machine
teaming has tremendous potential to swing the advantage back to the
defenders, and our job during the next few years is to make that happen.
To do that, we will have to protect machine detection and correction
models from disruption, while continuing to advance our defensive
capabilities faster than our adversaries can ramp up their attacks.
Ransomware Pivots to New Targets, New Objectives
The profitability of traditional ransomware campaigns will decline as vendor
defenses, user education, and industry strategies improve to counter them.
Attackers will target less traditional, more profitable ransomware targets,
including high net-worth individuals, connected devices, and businesses.
This pivot from the traditional will see ransomware technologies applied
beyond the objective of extorting individuals, to cyber sabotage and
disruption of organizations. The drive among adversaries for greater
damage, disruption, and the threat of greater financial impact will not only
spawn new variations of cybercrime “business models,” but also begin to
seriously drive the cyber insurance market.
Serverless Apps: New Opportunities for Friend and Foe
Serverless apps can save time and reduce costs, but they can also increase
the attack surface by introducing privilege escalation, application
dependencies, and the vulnerable transfer of data across networks.
Serverless apps enable greater granularity, such as faster billing for
services. But they are vulnerable to attacks exploiting privilege escalation
and application dependencies. They are also vulnerable to attacks on data
in transit across a network. Function development and deployment
processes must include the necessary security processes, and traffic that is
appropriately protected by VPNs or encryption.
operations.
Cybercrime is an area
of crime like no other,
perceived as low-risk
with high returns,
which contributes
greatly to its rapid
growth.
This month (Dec
2017), with the arrest
of individuals
suspected of infecting
computer systems by
spreading the CTB
Locker malware, a
clear message has
been sent—
involvement in
cybercrime is not
zero-risk.as one of
the top
CTB Locker, also
known as Critroni, is
known as one of the
largest ransomware
families—helping to
drive a new
ransomware surge of
165 percent in 2015
as one of the top three ransomware
families, and earning
a spot as No. 1 just a
year later. Operation
Tovar, in which law
enforcement agencies
took down the
infrastructure
responsible for
spreading Crypto-
Locker, created a
need for more
malware—CTB Locker
and CryptoWall
malware families
helped to fill the gap.
New ransomware families discovered in 2017. On average, 20%‒30% per month of new samples are based on Hidden Tear ransomware code. Source: McAfee Labs
When Your Home Becomes the Ultimate Storefront
As connected devices fill your house, companies will have powerful
incentives to observe what you are doing in your home, and probably learn
more than you want to share. In 2018 McAfee predicts more examples of
corporations exploring new ways to capture that data. They will consider
the fines of getting caught to be the cost of doing business and change the
Ts+Cs on products or services to cover their lapses and liabilities. It’s more
difficult to protect yourself from these issues, and the next year will see a
significant increase in breaches and discoveries of corporate malfeasance.
Inside Your Child’s Digital Backpack
Perhaps the most vulnerable in this changing world are our children.
Although they face an amazing future of gadgets, services, and
experiences, they also face tremendous risks to their privacy. We need to
teach them how to pack their digital backpacks so that they can make the
most of this future. The world is becoming very public, and though many of
us seem to be OK with that, the consequences of an ill-considered post or
thoughtless online activity can be life altering for years to come.
Conclusion
In the corporate world, McAfee predicts that the May 2018 implementation
of the European Union’s General Data Protection Regulation (GDPR) could
play an important role in setting ground rules on the handling of both
consumer data and user-generated content in the years to come. The new
regulatory regime impacts companies that either have a business presence
in EU countries, or process the personal data of EU residents, meaning that
companies from around the world will be compelled to adjust the way in
which they process, store, and protect customers’ personal data. Forward-
looking businesses can leverage this to set best practices that benefit
customers using consumer appliances, content-generating app platforms,
and the online cloud-based services behind them. NEXT >
4) Financial Roundup
4 Financial Roundup
Recently Released Financials
Avaya Q417 – Revenue down 7 per cent Y on Y but up 1 per cent
sequentially. EMEA was the only non-gaining geo
o North America 56 (52) per cent
o EMEA 24 (29) per cent
o AsiaPac 11 (10) per cent
o ROW 9 (9) per cent
Ciena Q417 – Ciena revenue was up 4 per cent Y on Y and up 2
per cent sequentially. The high profit was due to a reversal of a
deferred tax asset valuation allowance
o North America 59 (65) per cent
o EMEA 15 (16) per cent
o Car and LATAM 6 (6) per cent
o AsiaPac 20 (13) per cent
o Packet Optical Transfer 68 (68) per cent
o Packet Optical Switching 12 (10) per cent
o CESD 0 (1) per cent
o SW and Services 20 (21) per cent
Cisco Q118 – Cisco revenue was down 2 per cent Y on Y and flat
sequentially. Categories are new this quarter:
o Infrastructure Platforms 57 per cent
o Applications 10 per cent
o Security 5 per cent
o Other Products 2 per cent
o Services 25 per cent
D-Link Q317 – down 11 per cent Y on Y but up 5 per cent Q on Q
o EMEA 20 (50) per cent
o Americas 52 (46) per cent
o Asia 4 (4) per cent
Mitel Q317 – up 13 per cent Y on Y and up 23 per cent Q on Q
o EMEA 21 (20) per cent
o Americas 13 (14) per cent
o Asia 66 (66) per cent
Nutanix Q118 – Nutanix revenue was up 65 per cent Y on Y and
up 22 per cent sequentially. Software is 44 per cent and service
is 30 per cent
o EMEA 14 (15) per cent
o North America 68 (64) per cent
o AsiaPac 27 (16) per cent
o Car and LATAM 2 (8) per cent
Symantec Q217 Symantec revenue was down 17 per cent Y on Y
but up 6 per cent sequentially
For Further Information, Please Contact:
Keith Humphreys – Managing Consultant at euroLAN – [email protected]