Rackspace Revamps Channel Program

By Lawrence Walsh  |  Print this article Print


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The cloud computing provider is offering partners greater compensation and support for selling its hosted services. Partner program restructuring is design to extend the company’s channel sales to compete against rivals such as Amazon.com.

Rackspace, one of the leaders in hosted services and cloud computing, is restructuring its channel programs to attract more partners and provide existing resellers with incentives for selling its hosted services.

"We regard partners as an extension of the Rackspace family and have updated the Rackspace Partner Network to help ensure they receive the services and support necessary for long-term success," said Robert Fuller, vice president of Rackspace's Worldwide Channel, in a statement. "Rackers worked closely with our partners to develop a program that creates the biggest impact and provides the best experience for them, which we believe will in turn impact the broader customer experience."

The restructuring creates four tiers—platinum, gold, silver and member—each of which carriers different compensation levels and support based on the partner’s commitment to Rackspace, revenue and size. Rackspace will offer partners commissions for pushing contract renewals and service upgrades.

Additionally, Rackspace is providing platinum partners with access to dedicated sales representatives, sales and technical training, a new portal for accessing resources and finding peers, marketing incentives and support, and discounts for contract renewals.

Rackspace, which is in a pitch battle with rival Amazon.com for dominance in the hosted computing services market, says it made the partner program changes after extensive consultation with resellers.


Lawrence Walsh Lawrence Walsh is editor of Baseline magazine, overseeing print and online editorial content and the strategic direction of the publication. He is also a regular columnist for Ziff Davis Enterprise's Channel Insider. Mr. Walsh is well versed in IT technology and issues, and he is an expert in IT security technologies and policies, managed services, business intelligence software and IT reseller channels. An award-winning journalist, Mr. Walsh has served as editor of CMP Technology's VARBusiness and GovernmentVAR magazines, and TechTarget's Information Security magazine. He has written hundreds of articles, analyses and commentaries on the development of reseller businesses, the IT marketplace and managed services, as well as information security policy, strategy and technology. Prior to his magazine career, Mr. Walsh was a newspaper editor and reporter, having held editorial positions at the Boston Globe, MetroWest Daily News, Brockton Enterprise and Community Newspaper Company.

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