Commentary - Channel Insider
Empowering the next generation Channel
 

Bull’s Eye Awards
Nominations Open for Channel Insider 2009 Bull’s Eye Awards
Nominations are now open for the Channel Insider 2009 Bull’s Eye Awards, which recognize excellence in customer service, technology prowess, business acumen, channel leadership, communications and community building, and innovation among vendors, solution providers, distributors and channel services companies.



Sponsored Links
  • Control VM Sprawl, What You Don’t Know Can Hurt You
  • FREE Sophos Encryption Tool: Encrypt, compress and share files easily
  • LSI 6Gb/s Portfolio Expands to Include SATA+SAS HBAs
  • Reduce the cost of managing your mobile workers.
  • Find out 7 Ways to Drive Data Center Efficiency
  • SonicWALL breaks through network and email gridlock
  • Save up to 40% on calling costs with Avaya Aura™



  •  

    Out of Conflict, Opportunity

    in Commentary


    Article Rating:starstarstarstarstar / 3
    Article Views: 2736

    Rate This Article:
    Add This Article To:
    Brocade's planned Foundry acquisition may look bad for the channel, but is it?

    On the surface, the move by Brocade to acquire Foundry Systems for $3 billion is a recipe for channel conflict.

    Brocade has made most of its money by selling products through OEM partners such as Hewlett-Packard and IBM, who in turn rely heavily on their channel partners to move Brocade’s products. Foundry, in contrast, has a modest channel effort because most of its efforts have focused on direct sales.

    The folks at Brocade admit they don’t have all the particulars around their go-to-market strategy for the combined entity worked out just yet, but ideally the Foundry sales team might evolve over time to focus more on touching companies in support of channel partners rather than taking the deal direct.

    Resource Library:
    Whatever comes of the acquisition, deals like this one are becoming inevitable because of the changing dynamics of the data center. Once upon a time, the data center was carved into distinct server, storage and networking segments. But with the advent of virtualization and a need to drive cost out of the hardware side of the IT equation, customers are asking vendors for a more integrated approach to data center solutions.

    How far this trend will go is anybody’s guess. There may come a day when in order to control the account, Cisco Systems, for example, might see a compelling need to merge with a storage or server vendor.

    The potential implications of all this vendor consolidation for the channel are immense. It’s still too early to say what vendor might be pairing up with whom, but solution providers need to start changing the way they approach data center sales. Instead of selling classes of products, customers are looking for solution providers that have a dedicated data center practice and skill set that helps them manage the data center is a more holistic fashion.

    The data center is going through more change today than any time in the past 20 years.

    But what customers don’t want to hear is how you’ve come to help them fix their server or storage problem. The problem is the delicate balance between server, storage and networking technologies that make up the data center. As such, customers expect their solution provider partners to help them manage the data center, not just a particular component.

    Ultimately, the roles of the IT staff in the data center are also going to evolve as virtualization continues to evolve. Instead of managing components, IT people will be managing classes of services that are delivered using any number of virtual hardware resources.

    This should allow them to get more utilization out of their existing hardware investments. But don’t kid yourself. Virtual environments are lot more dynamic than physical environments when it comes to managing them. As we all know, any time anybody uses the word dynamic to describe anything, what they are really saying is it’s a volatile situation. The good news is , as always, volatility equals opportunity for the channel.

    Michael Vizard is Strategic Content Expert for Ziff Davis Enterprise. He can be reached at michael.vizard@ziffdavisenterprise.com.






    Discuss Out of Conflict, Opportunity
     
    It’s really interesting how much virtualization has been changing the climate for...
    >>> Post your comment now!
     

     
     
    >>> More Commentary Articles          >>> More By Michael Vizard
     



     


    [ci] feeds
    XML
    Add Channel News, Product Reviews, Trends and Analysis to your RSS newsreader or My Yahoo!


    HTML PLAIN TEXT

    Keep on top of news for VARs and Resellers with CI's Weekly Newsletter and Alerts.

     


    CHANNEL RESOURCE CENTER
     
     
    Enterprise Mobility Zone
    The Enterprise Mobility Zone (EMZ) blog is a tool designed to help senior IT executives discuss, create and deploy next-generation mobile strategies in their organizations.
    Go beyond yesterday's tactical approach to mobility!
     
    Build A More Efficient Data Center
    Demands are growing but budgets are not. Solve your pressing IT issues using the resources you already have. Determine which technologies can help you drive efficiencies and how they are applied. Gain a quick ROI on new initiatives
    Find out how
    Let Enterprise TechBrief do the work for you. Aggregated content, tech news, product reviews, vendor updates, how-to’s—all you need to boost your efficiencies and cut costs, all from one place.
    enterprisetechbrief.com