Microsoft and MSC Malaysia to boost Cloud ecosystem for SMEs through the Azure Power Program

RM1.1 million injected to accelerate made-in-Malaysia software and services in the Cloud

Kuala Lumpur, 3 May 2012 – MDeC together with Microsoft Malaysia today announced their partnership in the MSC Malaysia Cloud On-Boarding Program to accelerate the development and production of made-in-Malaysia software and services in the Cloud, in response to the growing impetus to increase the competitiveness of Malaysian small-and-medium businesses (“SMEs”) through Cloud Computing adoption. The partnership, in the form of The Azure Power Program, will see an investment of RM1.1 million to boost the Cloud ecosystem for SMEs.

“As Malaysian companies prepare to engage and compete on a global level, they are also flocking to the Cloud for its advantages to scale on demand and achieve greater productivity. Research done by Forrester Consulting has found that 64 percent of Malaysian companies are either currently using or actively planning cloud initiatives. It is against this backdrop that MDeC welcomes Microsoft’s Azure Program as one of the key infrastructure partner into the MSC Malaysia Cloud Onboarding Program (COP). The core aim of the MSC Malaysia Cloud Onboarding Program is to prepare the Malaysian Cloud ecosystem by supporting the local software economy through enabling local independent software vendors (“ISVs”) with the skills, mindset and technology they need to provide world-class Cloud-powered software and services,” said Dato' Badlisham Ghazali, Chief Executive Officer of government ICT agency Multimedia Development Corporation (“MDeC”).Partnership for Azure Power Program - Datuk Badlisham Ghazali and Ananth Lazarus.

With this partnership, the Microsoft Azure Program will be a key industry partner in the MSC Malaysia Cloud Onboarding Program, designed to provide comprehensive end-to-end assistance for Malaysian ISVs to develop and produce Cloud-based software and services on Microsoft’s open and flexible Windows Azure platform. The Windows Azure platform allows developers to build applications using various programming languages that they are already familiar with, like Microsoft’s .Net and Visual Studio as well as Python, Ruby, Eclipse, Java, and PHP.

“Today, we take one more step forward in transforming Malaysia together. A thriving local software economy with flourishing Malaysian ISVs is another major component towards a technologically advanced, globally competitive, developed Malaysia by the year 2020. Microsoft is pleased to be able to contribute such best-in-class expertise, insight and technology to Malaysian ISVs and businesses to harness the power of the Cloud. In fact, only Microsoft has the experience, depth and breadth to assist Asian companies – from SMBs to large enterprises – in their journey to the Cloud,” declared Ananth Lazarus, Managing Director, Microsoft Malaysia.
Microsoft Azure Power Program ISVs.

The entire program comprises three steps. The first step of the program is known as the Cloud Onboarding Phase, which helps ISVs accelerate their transition to the Cloud-based business models along with comprehensive technical training and assistance.

“This first step is particularly important because most ISVs assume that providing Cloud services merely means putting applications and solutions on the web. However, there is more to that as ISVs need to undergo a fundamental paradigm shift towards a software-as-a-service (“SaaS”) business model, which has its own considerations for pricing, cost of ownership and value propositions. That is why this program goes beyond providing the technological infrastructure to also include business content training,” explained Ananth Lazarus.

Once ISVs have completed the first step, they move on to the next step called the SaaS Acceleration Phase, which is designed to reduce initial operation costs and risks. Here, ISVs can receive up to RM27,000 worth of subscription funding for Microsoft’s Windows Azure platform to develop their application and solution products. ISVs completing this second step will also receive product certification to help them establish credibility in preparation of going to market.

With products ready to market, ISVs will then be taken through the third step, called the Cloud to Market Phase, which seeks to assist ISVs in bringing their products to market. Here, ISVs will receive the necessary commercialization support to create visibility and to market their products on a local and global level.

Malaysian ISVs are quickly catching on to the business potential of Cloud-related services, which global market intelligence firm IDC estimates to be an RM138 billion (US$45 billion) industry by 2013. Gartner, another global industry analyst predicts that by 2012, 80% of Fortune 1000 enterprises will be using some Cloud Computing services while 20% of businesses will own no IT assets of their own.

Netster Consulting Group, a Malaysian ISV offering a Cloud-based Customer Relationship Management (CRM) Solution called Claritas CRM (www.claritascrm.com), concurs that the Azure Power Program will provide vital assistance towards preparing the local software economy for global competition. “When it comes to the Cloud, there are no real borders for competition – it’s the world wide web! The Azure Power Program will help provide the necessary business acumen and financial assistance that lowers the barriers of entry to the Cloud,” said Kelvin Leow its Executive Director.

The Azure Power Program is open to MSC Status companies all stages from start-ups to established ISVs. To participate, ISVs need to complete an application form with the necessary supporting documents to the Program Center at azurepower@crystaledge.net, call 03-6205 3389 or fax 03-6205 5513.

For more information on Windows Azure, please visit: www.microsoft.com/windowsazure/windowsazure.