Rackspace enters tipping-point year with newly minted sales chief

Veteran support Racker Cotten takes on global business role


Rackspace support manager Jeff Cotten was Tuesday named company president, halving the workload of the now single-jobbed chief executive Taylor Rhodes.

Newly private Rackspace has promised more professional services in support of public clouds and VMware as it enters a tipping point year.

Cotten, with Rackspace for eight years, will now lead global sales – taking over from president of global sales and marketing Alex Pinchev, who will retire. Cotten takes chage on Feb 1.

Cotten will also lead Rackspace’s international business and what Rackspace reckoned are its fast-growing AWS support and Managed Security businesses.

He joined Rackspace eight years ago as a front-line support manager and also ran international operations during a three-year period living in London and Zurich. Before he became president, Cotten ran the AWS support biz.

Pinchev, a former Red Hat sales, marketing and services chief, joined Rackspace in December 2015. He grew the Linux spinner’s revenue by more than $1bn.

Cotten vowed to continue the Pinchev plan of support for public clouds, but said he'd add more focus on people.

“I will be looking to shape the professional services portfolio to get the services based on my background,” Cotten told The Reg.

“The other thing I will continue to drive is specialised expertise – we need to a have specialised sales force so they have credentials in the platforms they are supporting - it’s impossible for a seller to know everything.”

Cotten added Rackspace would continue to hire cloud architects, too – experts capable of advising customers on construction and on optimization.

Rackspace’s best opportunity is in what Cotten called the “upper mid market” particularly in refreshing and migrating from VMware clouds.

The senior sales swtich comes as Rackspace enters what it says will be a tipping point year. It belives business from AWS, Azure or OpenStack will become a “meaningful contributor” overall revenue and bottom line.

Rackspace announced Azure support in July 2015 and AWS support in October that year. It was one of the early movers behind OpenStack in 2010.

So, far, though, what they've made hasn't outweighed business from Rackspace's existing hosted business.

“Today if we have great sales and revenue month they don’t move Rackspace top line,” Cotten said.

That will change in the next 12 months. “We expect in 2017 for that to change, that one of those is big and meaningful and growing fast enough that a good sales month will move the needle in tens of points for the overall company," Cotten claimed.

Rackspace went private November 2016 after eight years as a listed company. It was bought for $4.3bn by of funds managed by Apollo global Management.

In its final quarter, to June 30, net income was up by 26.5 per cent to $35.8m on revenue of $523.6m, up 6.9 per cent.

The deal came two years after Rackspace gave up looking for a way out working with Morgan Stanley and Wilson Sonsini Goodrich and Rosati.

Rackspace had been the mulling offers to buy it in the face of flat profits despite growing revenue but gave up following storing quarterly performance.

Cotten denied the change signified Apollo trying to assert control, insisting his appointment was an indication of the opposite – of Apollo’s faith in the talent Rackspace has as he’d had to pass muster to become president.

Also, Prashanth Chandrasekar already responsible for RackSpace’s DevOps services, will replace Cotten as general manage of the AWS support business. ®


Other stories you might like

  • Monero-mining botnet targets Windows, Linux web servers
    Sysrv-K malware infects unpatched tin, Microsoft warns

    The latest variant of the Sysrv botnet malware is menacing Windows and Linux systems with an expanded list of vulnerabilities to exploit, according to Microsoft.

    The strain, which Microsoft's Security Intelligence team calls Sysrv-K, scans the internet for web servers that have security holes, such as path traversal, remote file disclosure, and arbitrary file download bugs, that can be exploited to infect the machines.

    The vulnerabilities, all of which have patches available, include flaws in WordPress plugins such as the recently uncovered remote code execution hole in the Spring Cloud Gateway software tracked as CVE-2022-22947 that Uncle Sam's CISA warned of this week.

    Continue reading
  • Red Hat Kubernetes security report finds people are the problem
    Puny human brains baffled by K8s complexity, leading to blunder fears

    Kubernetes, despite being widely regarded as an important technology by IT leaders, continues to pose problems for those deploying it. And the problem, apparently, is us.

    The open source container orchestration software, being used or evaluated by 96 per cent of organizations surveyed [PDF] last year by the Cloud Native Computing Foundation, has a reputation for complexity.

    Witness the sarcasm: "Kubernetes is so easy to use that a company devoted solely to troubleshooting issues with it has raised $67 million," quipped Corey Quinn, chief cloud economist at IT consultancy The Duckbill Group, in a Twitter post on Monday referencing investment in a startup called Komodor. And the consequences of the software's complication can be seen in the difficulties reported by those using it.

    Continue reading
  • Infosys skips government meeting - and collecting government taxes
    Tax portal wobbles, again

    Services giant Infosys has had a difficult week, with one of its flagship projects wobbling and India's government continuing to pressure it over labor practices.

    The wobbly projext is India's portal for filing Goods and Services Tax returns. According to India’s Central Board of Indirect Taxes and Customs (CBIC), the IT services giant reported a “technical glitch” that meant auto-populated forms weren't ready for taxpayers. The company was directed to fix it and CBIC was faced with extending due dates for tax payments.

    Continue reading
  • Google keeps legacy G Suite alive and free for personal use
    Phew!

    Google has quietly dropped its demand that users of its free G Suite legacy edition cough up to continue enjoying custom email domains and cloudy productivity tools.

    This story starts in 2006 with the launch of “Google Apps for Your Domain”, a bundle of services that included email, a calendar, Google Talk, and a website building tool. Beta users were offered the service at no cost, complete with the ability to use a custom domain if users let Google handle their MX record.

    The service evolved over the years and added more services, and in 2020 Google rebranded its online productivity offering as “Workspace”. Beta users got most of the updated offerings at no cost.

    Continue reading
  • GNU Compiler Collection adds support for China's LoongArch CPU family
    MIPS...ish is on the march in the Middle Kingdom

    Version 12.1 of the GNU Compiler Collection (GCC) was released this month, and among its many changes is support for China's LoongArch processor architecture.

    The announcement of the release is here; the LoongArch port was accepted as recently as March.

    China's Academy of Sciences developed a family of MIPS-compatible microprocessors in the early 2000s. In 2010 the tech was spun out into a company callled Loongson Technology which today markets silicon under the brand "Godson". The company bills itself as working to develop technology that secures China and underpins its ability to innovate, a reflection of Beijing's believe that home-grown CPU architectures are critical to the nation's future.

    Continue reading
  • China’s COVID lockdowns bite e-commerce players
    CEO of e-tail market leader JD perhaps boldly points out wider economic impact of zero-virus stance

    The CEO of China’s top e-commerce company, JD, has pointed out the economic impact of China’s current COVID-19 lockdowns - and the news is not good.

    Speaking on the company’s Q1 2022 earnings call, JD Retail CEO Lei Xu said that the first two years of the COVID-19 pandemic had brought positive effects for many Chinese e-tailers as buyer behaviour shifted to online purchases.

    But Lei said the current lengthy and strict lockdowns in Shanghai and Beijing, plus shorter restrictions in other large cities, have started to bite all online businesses as well as their real-world counterparts.

    Continue reading
  • Foxconn forms JV to build chip fab in Malaysia
    Can't say when, where, nor price tag. Has promised 40k wafers a month at between 28nm and 40nm

    Taiwanese contract manufacturer to the stars Foxconn is to build a chip fabrication plant in Malaysia.

    The planned factory will emit 12-inch wafers, with process nodes ranging from 28 to 40nm, and will have a capacity of 40,000 wafers a month. By way of comparison, semiconductor-centric analyst house IC Insights rates global wafer capacity at 21 million a month, and Taiwanese TSMC’s four “gigafabs” can each crank out 250,000 wafers a month.

    In terms of production volume and technology, this Malaysian facility will not therefore catapult Foxconn into the ranks of leading chipmakers.

    Continue reading
  • NASA's InSight doomed as Mars dust coats solar panels
    The little lander that couldn't (any longer)

    The Martian InSight lander will no longer be able to function within months as dust continues to pile up on its solar panels, starving it of energy, NASA reported on Tuesday.

    Launched from Earth in 2018, the six-metre-wide machine's mission was sent to study the Red Planet below its surface. InSight is armed with a range of instruments, including a robotic arm, seismometer, and a soil temperature sensor. Astronomers figured the data would help them understand how the rocky cores of planets in the Solar System formed and evolved over time.

    "InSight has transformed our understanding of the interiors of rocky planets and set the stage for future missions," Lori Glaze, director of NASA's Planetary Science Division, said in a statement. "We can apply what we've learned about Mars' inner structure to Earth, the Moon, Venus, and even rocky planets in other solar systems."

    Continue reading
  • The ‘substantial contributions’ Intel has promised to boost RISC-V adoption
    With the benefit of maybe revitalizing the x86 giant’s foundry business

    Analysis Here's something that would have seemed outlandish only a few years ago: to help fuel Intel's future growth, the x86 giant has vowed to do what it can to make the open-source RISC-V ISA worthy of widespread adoption.

    In a presentation, an Intel representative shared some details of how the chipmaker plans to contribute to RISC-V as part of its bet that the instruction set architecture will fuel growth for its revitalized contract chip manufacturing business.

    While Intel invested in RISC-V chip designer SiFive in 2018, the semiconductor titan's intentions with RISC-V evolved last year when it revealed that the contract manufacturing business key to its comeback, Intel Foundry Services, would be willing to make chips compatible with x86, Arm, and RISC-V ISAs. The chipmaker then announced in February it joined RISC-V International, the ISA's governing body, and launched a $1 billion innovation fund that will support chip designers, including those making RISC-V components.

    Continue reading
  • FBI warns of North Korean cyberspies posing as foreign IT workers
    Looking for tech talent? Kim Jong-un's friendly freelancers, at your service

    Pay close attention to that resume before offering that work contract.

    The FBI, in a joint advisory with the US government Departments of State and Treasury, has warned that North Korea's cyberspies are posing as non-North-Korean IT workers to bag Western jobs to advance Kim Jong-un's nefarious pursuits.

    In guidance [PDF] issued this week, the Feds warned that these techies often use fake IDs and other documents to pose as non-North-Korean nationals to gain freelance employment in North America, Europe, and east Asia. Additionally, North Korean IT workers may accept foreign contracts and then outsource those projects to non-North-Korean folks.

    Continue reading
  • Elon Musk says Twitter buy 'cannot move forward' until spam stats spat settled
    A stunning surprise to no one in this Solar System

    Elon Musk said his bid to acquire and privatize Twitter "cannot move forward" until the social network proves its claim that fake bot accounts make up less than five per cent of all users.

    The world's richest meme lord formally launched efforts to take over Twitter last month after buying a 9.2 per cent stake in the biz. He declined an offer to join the board of directors, only to return asking if he could buy the social media platform outright at $54.20 per share. Twitter's board resisted Musk's plans at first, installing a "poison pill" to hamper a hostile takeover before accepting the deal, worth over $44 billion.

    But then it appears Musk spotted something in Twitter's latest filing to America's financial watchdog, the SEC. The paperwork asserted that "fewer than five percent" of Twitter's monetizable daily active users (mDAUs) in the first quarter of 2022 were fake or spammer accounts, which Musk objected to: he felt that figure should be a lot higher. He had earlier proclaimed that ridding Twitter of spam bots was a priority for him, post-takeover.

    Continue reading

Biting the hand that feeds IT © 1998–2022