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AX CLOUD-FIRST CAUSES PROBLEMS

Shirley Singleton, Edgewater TechnologyMicrosoft decided to release a cloud version of Dynamics AX7 first, with a desktop version to arrive later. But this decision is causing problems for resellers who find it presents problems for clients who may not be ready to jump to the Internet. The issue was spelled out when Edgewater Technology, which owns the Fullscope reselling operation, addressed the subject during an earnings webcast. CEO Shirley Singleton said the "cloud offering will cause a little bit of noise in the quarter."

CFO Timothy Oakes says the cloud-first strategy is forcing clients to make a decision and that it is going to make sales "very lumpy and uneven. It's very difficult to tell how this is going to settle out." Other resellers agreed with the analysis; one saying that it represented a particular problem for Dynamics AX VARs, many of whom were themselves not ready for selling cloud technology. 

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