BT Global Services and IBM talked up an apparently new partnership that will see the telco resell IBM cloud services to its multinational customers as part of its Cloud of Clouds portfolio.

  • BT building its image as a one-stop shop for extensive third-party services, to back up its core connectivity base and cybersecurity top notes.
  • IBM promoting its participation in Cloud of Clouds as it consolidates its cloud offerings to better target major enterprise.

BT is promising direct access to the IBM Cloud through its network with a new offering called BT Cloud Connect for IBM. This solution is initially only available through links to IBM Cloud data centres in the UK, but is expected to eventually become available in Asia, Australia, mainland Europe, and the USA.

While BT highlighted the security and reliability of its own network products in showcasing the new offering, links to IBM Cloud travel over IBM Cloud Direct Link, IBM’s global private network. This is said to remove the need for data to pass over the public internet.

Services provided by IBM Cloud that are to be made available to BT’s customers include core offerings such as compute and storage capabilities, while also covering areas of growing corporate interest such as artificial intelligence, blockchain, data analytics, and the Internet of Things.

The telco is emphasising the point that it is able to offer customers access to IBM services over their existing network infrastructure, thus reducing the need to change or redesign connectivity arrangements, or accommodate new demands to current operational approach. BT will provide a managed service desk for customers using the Cloud Connect Direct for IBM service.

IBM has been linked to involvement with BT’s Cloud of Clouds strategy since soon after its 2015 launch, when the vendor’s services were offered through its SoftLayer subsidiary (BTwatch, #272). The latest announcement of the partnership may tie in to the anticipated IBM expansion of its own cloud capabilities to better address multinational corporation needs, and the consolidation of its internal units addressing private, public, and hybrid cloud services into a single entity.

  • According to IBM, BT is currently a partner accessing the London data centre using Direct Link, with expectation that it will connect to the equivalent IBM centre in Frankfurt, Germany in the near future. No details are currently available for when future links will be enabled elsewhere.
  • IBM joins cloud service partners including Amazon Web Services, Cisco, HPE, Microsoft, and Oracle as part of the portfolio of private cloud services BT is now able to resell within its customer base. The Global Services division is pivoting more rapidly towards a greater emphasis on reselling third-party services with a wrap of BT added value or consultancy services, as it attempts to develop a viable strategy that plays to its connectivity strengths, but is not as dependent on ‘mega-deals’ for managed IT services.
  • Notable omissions amongst headline enterprise cloud partners include Alphabet (Google), Salesforce, SAP and VMware.

Image: bfishadow / Flickr CC BY 2.0.

Table of Contents

EXECUTIVE BRIEF

BT GROUP

Digital Britain

BT meets 95% fibre coverage deadline in Scotland… 100% superfast next [p6]

  • Hancock takes the DCMS tiller

Pension

Changes afoot at BT Pension Scheme [p7]

  • Asset sale may also be on the cards

BT plans for pension inflation cap dealt a blow [p8]

  • Table 1: People movement highlights

CONSUMER/EE

5G

Positive news for BT as 5G takes “huge” step forward [p12]

  • Progress on standards opens way to 2019 deployments…
  • …while UK government outlines next steps on 5G
  • Key points of the UK 5G strategy update
  • Stay of execution for Airwave workers highlights ESN delays
  • Table 2: Premier League live broadcast rights packages, 2019-22

BT Sport

Amazon lurks as Premier League auction kicks off [p16]

  • Mobile switching by text due in 2019
  • Premier League woos new entrants, creating BT partnering opportunity

Products and services

G.fast out of the blocks (at a price) [p18]

  • Pricey products, but may appeal to core customers
  • Table 3: BT ultrafast products, and Virgin Media comparators
  • Ofcom considers future fixed-wireless needs
  • G.fast SmartHub foreshadows Future Voice launch

Spectrum

Ofcom pushes on with auction despite Three appeal [p21]

  • H3G knocked back again; returns for another round

Suppliers

BT Sport switches digital ad contract from Google to Channel 4 [p22]

  • Media empires strike back
  • DoubleClick minimised
  • Channel 4 already has history with BT
  • BT’s digital advertising ambitions get a boost

BUSINESS AND PUBLIC SECTOR

Products and services

BT taps Resilient to bring call recording to Inbound Contact [p25]

GLOBAL SERVICES

Cloud services

IBM latest recruit to BT cloud bandwagon [p29]

  • Patterson among execs pushing BT in USA

OPENREACH

Network

Openreach rows back on G.fast pilot scale [p32]

  • Mixed signals as fibre talks continue
  • Retailers waiting in the wings

Operations

Separation progress reaches Openreach IT [p33]

  • New approach to planning at Openreach
  • Open reach-out

Regulatory

Peer pressure prompts Ofcom to cap FTTC pricing freedom [p35]

  • Higher prices: the cost of preventing Openreach discrimination?
  • CityFibre fears challenges to creating demand for FTTP
  • Openreach takes the high road

Ofcom calls on Openreach to play fair on narrowband [p37]

  • Fixed voice still popular, but significance wanes

Suppliers

Openreach sheltered from Carillion fallout [p38]

  • “Don’t panic!” message relayed by all parties

FURTHER READING

INDEX

Index

Symbols

21st Century Fox 7
Sky
Sky Sports 16

A

Accenture 7
AD2ONE 23
Alphabet
Google
DoubleClick 22, 23
– – YouTube 17, 22
Amazon 16, 17, 26, 30
Amazon Prime 17
– Amazon Web Services 26, 30

B

BlackBerry
Good Technology 26
Broadband Delivery UK (BDUK) 6
BT Group 5, 7, 9, 12, 21, 23, 30, 33, 34, 35, 37, 38
BT Business & Public Sector 25
BT smartnumbers 25
BT Consumer 18, 19, 23, 32, 33
BT Cloud 29
– – bt.com 23
– – BT Infinity 18
– – BT Mobile 23
– – BT Openzone 9
– – BT Scotland 6
– – BT Sport Europe 23
– – BT TV 17
– – BT Wi-Fi 9, 23
BT Global Services 9, 28, 29, 30
BT Americas 30
– – BT Health 9
– – BT Security 30
BT Pension Fund 7
Hermes Pension Management 8
BT Pension Scheme 7
– BT Technology, Service and Operations 33, 34
21CN 38
– – Adastral Park 13
BT Wholesale & Ventures 9
Tikit 9, 26
EE 11, 12, 13, 15, 21, 26
Emergency Services Network 15
Executives
Ainley, Katherine 9
– – Artley, Jennifer 30
– – Dick, Brendan 6
– – Hill, Simon 9
– – Hughes, Mark 30
– – Joshi, Jayesh 9
– – Khanna, Sandy 9
– – Lowth, Simon 7
– – McRae, Neil 12
– – Patterson, Gavin 30
Perkins, Jason 9
– – Petter, Ed 30
– – Pilcher, Malcolm 25
– – Rolph, Scott 9
– – Rosenberg, Jeremy 22
Openreach 9, 18, 19, 26, 31, 32, 33, 34, 35, 36, 37, 38, 39
– Products and services
Family SIM 23

C

Carillion 38, 39
Carillion telent 38
Centrica 9
Channel 4 22, 23
Cisco Systems, Inc. 13, 14, 26, 30
CityFibre 35, 36
CK Hutchison 21
3 Group 21
– Three Group
Three UK 21
Communications Workers Union 15
Cricket Australia 15

D

Department for Digital, Culture, Media and Sport (DCMS, UK)
Broadband Delivery UK (BDUK) 6, 38
– Hancock, Matt 7, 13
Digital Britain 6, 7
Digital Economy Act (UK) 14

E

Electronic Communications Code 14
Emirates Airline 22

F

Facebook 17, 22
Financial Services Authority 26
Football Association 22
Premier League 16, 17, 22

G

G-Cloud 26
Gigaclear 38, 39
Goldman Sachs 26
Google 17, 22, 23

H

Hewlett Packard Enterprise 30
High Court 21
Home Office (UK) 15
HP Inc 30
HSBC 26
Huawei Technologies 12, 13, 19

I

IBM 9, 29, 30

J

JPMorgan Chase 26

L

Liberty Global
Virgin Media 9, 18
LinkedIn 9
Lloyds Banking Group 26

M

Marconi 38
Mediaset 22
Microsoft 30
Ministry of Defence (MoD) 26
Morgan Stanley 26
Motorola 15
Motorola Solutions
Airwave 15

N

National Health Service (NHS, UK) 26
Network Rail 14
Nomura 26
North Supply 26

O

Ofcom 12, 14, 17, 19, 21, 35, 36, 37
Oracle 30
Orange 26

P

PricewaterhouseCoopers 8

Q

Qualcomm 13

R

Resilient plc 25, 26
smartnumbers 25, 26
Rubicon Project 23

S

Samsung 13
SWIFT 14

T

TalkTalk Telecom Group 18, 33
Technology
2.5G 13
– Blockchain 29
– Broadband 6, 7, 18, 19, 26, 32, 33, 35, 36, 37
– Fibre 6, 18, 32, 33, 34, 35, 36, 38
Fibre-to-the-cabinet (FTTC) 18, 35
Fibre-to-the-premises (FTTP) 18, 32, 33, 34, 36
– G.fast 18, 19, 32, 33, 35, 36, 38
– Internet of Things 29
– IP 19, 37
– ISDN 26, 37
– LTE 12, 13
– OTT 22, 23
– PSTN 19, 37
– R&D 13
– SaaS 25, 26
– SIP 26
– TDM 15
– VoIP 19
– Wi-Fi 14
Telent 38, 39
Carillion telent 38
Thruvision 9
TM Forum 14

U

UEFA 17, 22, 23
Champions League 22, 23

V

VMware 26
Vodafone 9, 13, 15, 26, 35
UK 35

W

Walt Disney Company, The
ESPN 23
WPP
Maxus 23

About

About BTwatch

Report: #292
Published: January 2018
Next report: February 2018
For more information visit: BTwatch