 |
 |
 |
| |
NEWS
System Builder Summit & VARVision
Fall 2004 Highlights
By ChannelMedia Staff
ARIZONA - At a crowded
and upbeat System Builder Summit & VARVision late
last month, the focus of both boardroom and content
presentations was constantly pointed toward building
businesses that provide solutions to business problems.
And, the roughly 500 vendors and 250 resellers in
attendance acknowledged that the best way to deliver
those solutions was by working together. In numerous
boardroom sessions, resellers and system builders
were treated to demonstrations of exciting new technologies.
“We were very impressed by the number of innovative
new companies coming to the event this year,”
said Event Director Eric Lesonsky. “While it’s
great to again have the sort of the leading vendors
in the channel, like AMD, Intel, Nvidia and others,
we believe that the new companies are keys to continued
innovation and growth.”
One of the resellers agreed. “This
was one of the best VARVisions ever,” said Oli
Thordarson of Alvaka Networks. “My security
boardroom presentations had the highest concentration
of interesting and educational briefings. The vendor
presentations were well matched to me and the other
guests. The technology they presented was very pertinent
to the business problems facing my clientele. And
increasingly, the vendor solutions seem to be friendly
to the MSP business model. The attendees also seemed
to be at an all-time peak of confidence and upbeat.
I think it showed in the parties at night.”
|
| In the
shows major breakout sessions (World Premiere’s)
AMD, Intel, D&H and other major presentations all
focused on working together by leveraging technology
not as an end but as a means to an end. AMD, which used
a football theme to promote the familiar themes of teamwork,
scoring, winning, etc., pointed to the opportunities
for partnership by jumping on its popular 64=bit platform.
AMD 64, which offers a high speed processor that can
run newer applications and is backward compatible and
can support older 32- bit applications, has been scoring
with some |
 |
major
OEM wins. Attendees were shown how the past shapes
the future by Dan Schwab, vice president of marketing
at D&H Distributing and Michael Schwab, the company's
vice president of purchasing. D&H chose a "Back
to the Future" movie theme to communicate their
long-standing commitment to the channel. D&H is
the oldest continuous-running technology distributor
in the U.S., with almost 88 years in the business.
Their go-to-market strategy is based on the question
'Why do your customers do business with you?'"
|
 |
Besides being easy to do business
with, D&H offers the total solution-the best combination
of price, service and product selection in the business.
Over one-third of D&H is owned by its employees,
which means everyone at D&H has a vested interest
in the company's success, which is the same investment
channel partners have in their businesses. Service features
include an account dedicated sales representative for
every account regardless of size, an award-winning website,
industry association programs and credit and payment
programs. D&H also offers world-class logistical
capabilities with six |
warehouses
across the country that allow them to reach 80 per
cent of the U.S. in one day and 99 per cent of the
country within two days; plus they offer private label
drop-ship capabilities. As the most diversified distributor
in the country, D&H offers computer products,
consumer electronics, software, security and surveillance
solutions, home entertainment and video gaming products.
This unique multi-divisional model has positioned
D&H as the leader in the digital convergence market.
As IT technologies merge with consumer electronics
for use in digital home environments and digital business
environments, the opportunity for both IT and CE resellers
is tremendous. D&H is the only distributor that
serves all of these markets, becoming a one-stop solution
for their customers.
Gartner also provided access to many
of their top technology analysts including their Channel
Practice leader, Michael Haines – who presentation
was, ”Optimizing the IT Channel Value Chain.”
Used as a foundation a major research project he recently
completed with data to support the needs for change
in the reseller/integrator space and the additional
requirements to move to the next phase of channel-vendor
relationships. Relationships between partners in the
IT channel need to become more strategic if the solutions
developed via these partnerships are to continue to
evolve to meet changing client demand. Resellers need
to become more strategic to their vendor partners,
Haines noted, and create a “true value chain
relationship.” Haines said that resellers and
vendors must also work to measure the satisfaction
of their partnerships and the satisfaction of the
ultimate customer. Measuring customer and partner
satisfaction is directly relational to the success
of the partnership. The higher the satisfaction level,
the more likely the success of the partnership, Haines
suggested. Larry Kesslin, President of Let's Talk
Business, co-presented with Haines and noted that
"many issues that are required to successfully
evolve value chain approaches in the channel models
and relationships between vendors and channel companies
are lacking". Kesslin suggested that all parties
in the channel need to improve business processes
and partnering competencies in order to insure their
success in a changing marketplace. Haines noted that
as many as one-third of the industry’s resellers
will be out of business by 2007 because of their failure
to adapt to the changing market requirements. Start
to push, work on changing channel org model, position
need for vendors to look at channel at strategic partners,
planted seeds – look at relationship as arms
length, programmatic, volume-driven…supply chain
but as a true value chain relationship. Haines’
presentation was made with Channel Consultant Larry
Kesslin, President of Let’s Talk Business.
Another hot vendor who was speaking
with the System Builders in attendance was Graphics
player, XGI. According to Senior Sales Director Simon
Pickard, Senior Sales Director the relative newcomer
to the established market (dominate by folks like
ATI and Nvidia) the company has found a niche in the
“value” area of the market. The Company
recently introduced a board product and is focused
on OEM relationships.
Gateway’s Director of Channels,
Tiffani Bova laid her cards on the table: “For
2005, the channel is where we will get our growth.”
We are driving awareness and helping VARs deliver
demand. In the past we have not always done that.
But the timing is right now.” In what is referred
to as the “professional” side of the house
(as opposed to its consumer/retail focus) the target
is mid-enterprise, government, education and we want
to capture more share through resellers. Now we have
to work to overcome hurdles about perception - 50%
of our products are going through the channel, and
we have extreme loyalty with our approximately 300
partners.
AMD Packs the House - At the jam-packed
second day of the Gartner System Builder Summit &
VARVision Event, a standing-room only crowd enjoyed
an NFL-themed presentation of "The World of AMD64,"
offered by "sports analysts" Mark Defrere
and Gary Bixler (in real life North American commercial
marketing manager and North American system builder
marketing manager at AMD).
"The technology market is now a
game between Team AMD64 and 32-bit technology,"
was how Bixler introduced the presentation. "AMD64
has been around since 1999, but it didn't really enter
the league until last year, when it was Rookie of
the Year. Now the market itself is evolving to become
a 64-bit technology game."
AMD is a leader in the 64-bit space,
with over 50 per cent of that market in North America,
as well as growing from 0 per cent to 15 per cent
of the North American server market last year.
"32-bit technology is a well-respected
franchise," explained Defrere, carrying along
the football analogy, "but it will hold its own
only in the value segment. 64-bit owns the performance
space."
Defrere and Bixler laid out for their
audience the four key areas in which Team AMD64 leads
32-bit technology: offence, defence, intangibles and
special teams.
"AMD64's offence is truly multi-dimensional,"
Defrere pointed out. "It can do both 64-bit and
32-bit. It's got speed (bandwidth) on its side, with
AMD's HyperTransport technology going against Front
Side Bus on the 32-bit side. It's game plan uses direct
connect architecture to get the most of memory, I/O,
and the CPU. Also, AMD64 scales unbelievably."
AMD64's defence, according to Bixler,
lies in its new Enhanced Virus Protection technology,
which works in conjunction with Microsoft Windows
Service Pack 2 to provide protection against viruses
and buffer overflow attacks for both notebook and
desktop systems.
"Team AMD64's intangibles,"
added Defrere, "are the Athlon FX processor,
and the new Cool'n'Quiet technology, which allows
maximum performance at all times, very quietly and
at cool temperatures."
AMD64's "special teams" are
industry leaders such as Microsoft, HP, Compaq, Sun,
ATI, and ASUS, among others, who are working together
to support Team64 in the marketplace.
Larry McIntosh, director of North American
channel sales for ATI Technologies, joined Defrere
and Bixler onstage to talk about being one of AMD's
"special teams."
"We're very excited to be in this
partnership," he said, "and to bring exciting
new technology to the marketplace. We also believe
that ATI and AMD can do great things with the channel,
such as training and promotions."
McIntosh was followed by Jobie Flores,
national account manager at Sun Microsystems.
"Sun has made a big commitment
to AMD Opteron 64," he said. "We are the
only Tier 1 vendor to offer a full 64-bit solution.
We're now shipping two and four-way Opteron, and we
have just announced a new 64-bit workstation. We also
have a new partnership with Tech Data that will help
us extend the 64-bit market into the mid-market SMB
space. Keep in mind that Sun has had ten years of
64-bit computing experience."
AMD's Bixler finished the presentation
by reminding his listeners that AMD has just launched
a new solution provider program, and will soon be
launching the Way To Go marketing program.
"It looks like a clean sweep for
AMD Team64," he said. |
System Builder Summit
& VARVision
Roundup
By Keith Newman and Bob Straight
NASBA had
its normal large contingent of product and service company
vendors in its area of the show floor and President Doug
Daniel was promoting the organization’s latest programs…….”we
had 28 Vendors at the event.” Gartner continues
to bring new vendors and new attendees to the event and
this event is looked upon as the channel event by vendors
and resellers. This event presents the opportunity to
renew and solidify existing relationships and begin new
ones. The participation by the Latin American VARs gave everyone
a chance to further their knowledge regarding that market
place. I would strongly encourage Gartner to continue
this type of international exchange which is healthy for
the channel. In addition to the vendors, NASBA had over
200 members participate in the Event. The continuous feedback
that we get is that business market conditions get a little
better each quarter and have done so for the past six
to seven quarters. Our members expect this trend to continue
for the remainder of 2004 and through 2005.
The event was a success, and
every time I think the Event managers and their staff can't
possibly do better, and every time they prove me wrong.
The fireworks and the awards are all spectacular but you
get your ROI from the networking.
ANTs, a developer
of high-performance SQL database management systems, unveiled
its ANTs Software Alliance Program, which was created
to extend the capabilities of the high-performance ANTs
Data Server to markets and customers serviced by VARs,
OEMs and ISVs. The new program is aimed at increasing
the margins of ANTs channel partners by lowering software,
hardware and administration costs for heavy workload,
update-intensive applications. The ANTs Software Alliance
Program is targeted to reach specific markets that require
a high-performance RDBMS, such as financial services,
government, e-business, security and health care. The
ANTs Data Server is an industry-standard RDBMS built on
a breakthrough, high-performance SQL query execution engine
that incorporates innovative lock-free operations. Its
unparalleled performance in heavy workload, update-intensive
applications can be added to turbo-charge existing applications,
or it can provide a unique platform for applications being
developed by solution providers for their target markets
at price-performance levels unavailable until now. “Through
our new Software Alliance Program, we offer partners a
strong value proposition,” said Steven Messino,
vice president of sales for ANTs Software Inc. “We
help them support enterprise workloads with less hardware,
delivering unprecedented application performance improvements
and potentially significant total-cost-of-ownership savings
to their customers. We provide this distinct market advantage
together with a range of sales, marketing, technical and
consulting support for our partners.” Partners will
receive the ANTs Data Server, sales tools, training, technical
tools, and certain technical and support services. ANT’s
Software will turbo your database. The ANTs Data Server
is an industry standard database management system based
on breakthrough, high-performance SQL query execution
engine. ANT’s channel message to VARs was how to
increase the value they provide their customer while leveraging
ANTs software into significant margins in the software
and services. They are looking for VARs that can
handle all aspects. The Data Server works with Solaris,
Windows or Linux. Further information about ANTs’
new Software Alliance Program or Software, it can be found
at: http://www.antssoftware.com or by contacting Patrick
Moore at 650-692-0219 x13 or patrick.moore@antssoftware.com.
Antec has
added the SLK1650 and SLK1650B to its affordable Solution
Series line of PC enclosures for system integrators. The
sleek black SLK1650B and beige SLK1650 mini-towers offer
valuable features for building a powerful and customizable
PC including an ultra-quiet 350 Watt SmartPower power
supply and eight drive bays for maximum expandability.
For convenient upgrading, these cases also come equipped
with a quick-release drive cage allowing easy installation
and replacement of 3.5" drives. Other features include
a 120mm low speed rear fan, rubber grommets to reduce
hard drive vibrations and noise and a Chassis Air Guide
on the side panel for efficient CPU cooling. Two front-mounted
USB 2.0 ports enable easy multimedia connections, and
an additional mount for an optional 80mm front fan offers
ample cooling capacity. Additionally, the SLK1650 and
SLK1650B have been tested and proven to meet thermal performance
requirements to be listed by Intel as Thermally Advantaged
Chassis. Thermally Advantaged Chassis meet electrical,
thermal, mechanical fit and functional compatibility standards
to properly support the Intel Pentium 4 processor
and Intel Celeron D processor based on 90nm
process technology. "Today's system builders are
dealing with increased pressure to uphold quality standards
while sticking to shrinking budgets," said Scott
Richards, Antec worldwide vice president of sales and
marketing. "The SLK1650 and SLK1650B give integrators
all the power and expandability they require without emptying
the company wallet." The SLK1650 and SLK1650B are
currently available for an estimated street price of $69.95
each through major retailers, e-tailers and distributors.
Both cases are backed by Antec's Quality 3-Year Warranty.
For additional product information and full technical
specifications, please visit www.antec.com.
| Founded in 1996, LaGarde
is the leading global provider of e-commerce solutions
for businesses of all sizes, offering businesses everything
they need to build and run a business online and integrate
it with an existing operation. LaGarde provides highly
flexible e-solutions for b2b web commerce and b2c
web commerce. LaGarde's 6th generation StoreFront
e-commerce, web development software delivers robust,
feature-rich solutions to develop, deploy and maintain
e-business sites that deliver enterprise functionality
at an affordable price point. The StoreFront platform
powers nearly 50,000 web stores in over 70 countries
around the world including Florsheim Shoes, The Boston
Globe and |
 |
| Panama Jack. LaGarde offers
an extensive suite of complementary services, including
design and customization at the code level. This allows
LaGarde to work with VARs to integrate StoreFront
stores with any system a business needs, including
Point of Sale, Accounting, Warehousing and other systems.
In addition, LaGarde offers middleware for e-commerce,
including Microsoft Great Plains Accounting and RMS
Retail/Point of Sale systems. LaGarde has flexible
programs to work with VARs and systems integrators
including the source code. Partners can do work themselves
for clients or we can do it for them under private
label or branded approaches. Profit opportunities
are very lucrative in the growing e-commerce, e-solutions
marketplace. |
PowerHouse Technologies
announced the introduction of a new Migo™ product
line as a standalone software designed specifically for
use with iPod® mobile digital devices. Migo Personal
for iPod transforms the popular MP3 player into more than
a mobile jukebox. It allows users to harness their personalized
computer settings on any PC, providing the most productive
and comfortable environment possible. The Migo software
stores Outlook® email, calendar and contacts. Internet
Explorer favorites and browsing history as well as data
files, presentations and much more on the iPod’s
hard drive. “The merging of our Migo software with
the iPod digital music player creates a mobile productivity
tool that encompasses the best of both worlds,”
said Joshua Feller, president of PowerHouse Technologies
Group, Americas. “iPod users can now enjoy their
favorite songs while carrying their personalized computer
settings wherever they go.” Plugging a Migo equipped
iPod into a Windows®-based host computer instantly
converts it into a virtual copy of the user’s PC.
The user’s Outlook and data files, Internet favorites
and desktop wallpaper appear on the host computer as if
it were their own. The Migo software even carries Internet
history entries and cookies, ensuring that nothing is
left behind on the host computer.
LSI Logic Corp.
announced plans to bring enterprise class products to
the SMB market via the introduction of the LSIU320 entry-level
Ultra320 SCSI PCI-X Host Bus Adapter (HBA), a general-purpose
card ideal for attaching SCSI peripherals to workstations
and servers. Featuring the LSI53C1020A SCSI processor,
this single-channel half-size form factor HBA has a 64-bit/133MHz
PCI-X host bus interface and is backward compatible to
32-bit/33MHz PCI expansion slots. “The LSIU320’s
seamless backward compatibility with all previous SCSI
generations and PCI host bus slot types allows it to deliver
Ultra320 performance while protecting investments in existing
hardware,” said Joe Leader, senior director of worldwide
channel marketing and business development for LSI Logic.
“This versatility enables selection of the right
peripheral for your application without any concern over
the SCSI interface supported by the device. The LSIU320
is a great option to attach JBODs, SCSI RAID arrays, tape
drives or libraries, magneto optical drives, DVD libraries
and other SCSI peripherals to workstations and servers.”
The LSIU320 brings Ultra320 SCSI’s renowned reliability
to applications not requiring Integrated RAID (0,1, 1E)
– as offered by LSI Logic’s LSI20320-R, LSI21320-R
and LSI22320-R HBAs. With LSI Logic TolerANT™ technology,
the LSIU320 improves data integrity in less than ideal
cabling environments. LSI Logic SureLINK™ domain
validation further ensures data reliability, verifying
that all devices are able to communicate at the negotiated
SCSI transfer rate and optimizing the connection between
the HBA and each device on the bus. Powered by LSI Logic
intelligent Fusion-MPT® architecture, the LSIU320’s
throughput can scale at nearly 100 percent as additional
cards are added to a system, while enabling extremely
high host processor efficiency. In addition to boosting
performance, Fusion-MPT enables an exceptionally thin,
common device driver for any given OS simplifying installation
and allowing the LSIU320 to be effortlessly integrated
into systems already qualified using other Fusion-MPT
architected devices. The LSIU320 HBA complements the LSI
Logic storage adapter family of SCSI and Fibre Channel
HBAs and MegaRAID adapters for SATA II, SCSI and Serial
Attached SCSI (SAS).
| Lantronix recently
announced a series of initiatives that will further
strengthen the company’s channel presence, including
the hiring of two channel veterans with extensive
reseller and distribution experience. The management
additions bolster the company’s commitment to
develop and expand channel marketing and sales initiatives.
Spearheading the company’s channel efforts,
Lantronix hired Brad Painter as vice president of
channel sales and Errett Kroeter as director of channel
marketing. Painter will be responsible for overseeing
the strategic direction and management of the Lantronix’
channel sales operations, including the growth of
the company’s sales and support infrastructure.
Kroeter manages the company’s overall channel
strategy, including program development, product channel
readiness, target-partner profiling and identification,
and awareness building among resellers and solution
providers. “Brad and Errett bring successful
track records in channel development, management and
marketing from leading channel-focused companies such
as Hewlett-Packard and IBM,” said Marc Nussbaum,
president and chief executive officer for |
 |
| Lantronix. “Lantronix’
network-infrastructure and remote-management products
open a wide range of revenue-generating, margin-growing
opportunities for our partners, and Brad and Errett
are ideally suited to communicate that message, demonstrate
Lantronix’ commitment to the channel and ultimately
grow our presence and sales. “Lantronix is focused
on helping business flow through its channel partners
and building the internal support structure to accelerate
channel sales,” said Joe Serra, vice president
Networking Product Marketing, Tech Data Corporation.
“From strengthening its sales and support infrastructure
to adjusting the margin structures of their programs,
Lantronix is taking all the right steps to ensure
the maximum profitability of its partners.”
|
Level Platforms,
a relative newcomer to the marketplace, introduced an
exciting to product that can help resellers and integrators
more effectively and profitably manage their business
and their customers’ business. Managed Workplace
presents all customer site data through a centralized,
consolidated web console – an intuitive central
dashboard that provides integrated availability status,
real-time alerting, graphical performance reporting, trouble
ticketing, and asset inventory. The secure web-based reporting
system ensures that the date is always timely and accurate.
Linspire -
Representing the growing Linux market Linspire demonstratied
their Linux OS. Their Linux OS is a stable and cost effective
(about $10) alternative to XP for System Builders. The
first thing you notice is that the OS has a very familiar
look and feel. It literally takes minutes to be fully
up and running. The system is fully compatible with virtually
every program including Microsoft. Since it is open source
the user gets application updates and new applications
for free. Industry experts except Linux OS to reach double
digit market share by 2007.
If success of Inspire is any
indication, Linux may be here sooner than we think. Inspire
is currently on PCs at TigerDirect, Frys, Micro Center
and others. They also have launched a box version at Staples.
They have also created more value by consolidated over
1,900 applications that the user can easily download for
free. For more information go to www.linspire.com
Novell –
Channel message was, grow your business and deliver more
value to your customers by exploring Linux and open source.
Novell’s award winning technology is now available
to your small clients for FREE. Novell gives channel partners
and integrators the Novell Small Business Suite 6.5 Starter
Pack at no charge for small (5 or less) customers. This
full feature version includes the latest Novell networking,
collaboration, management, and security products.
Black Box
- It is always good seeing our friends at Black Box. Being
the world’s largest technical services company they
come to the event with a simple mission, to find a few
new products/opportunities. Black Box is dedicated to
designing, building and maintaining today’s complicated
network infrastructure systems and is looking for partnerships
and products.
Kodak - Announced
two new desktop scanners, the KODAK i30 and i40 scanners.
The KODAK i30 and i40 scanners are loaded with innovative
features common to high volume scanners to maximize productivity
and value to customers with lower volume scanning needs.
KODAK also announced the KODAK Capture Software 6.5 designed
to unwrap the full functionality of the i30 and i40. The
i30 and i40 are bundled with KODAK Capture Software Lite
with the ability to upgrade to the full version.
Back to the top
System
Builder Summit & VARVision Fall Award Winners
Channel
Digest
By ChannelMedia Staff
SANRAD announced that its
V-Switch 2000 has been verified by Brocade Communications
as interoperable with the company's Storage Area Networking
(SAN) infrastructure, according to the testing requirements
of the Brocade Fabric Aware Program, an end-to-end interoperability
initiative for SANs. The program is a comprehensive testing
and configuration initiative designed to foster SAN interoperability
in multi-vendor Brocade-based SAN environments. Testing
was conducted at the Brocade interoperability labs, which
are state-of-the-art facilities supporting end-to-end interoperability
and performance testing of SAN products in multi-vendor
and large fabric SAN environments. The Brocade Fabric Aware
Program has added more than 50 members since its launch
in 2000. In addition, as part of its investment in SAN
interoperability, Brocade actively supports its member’s
interoperability initiatives. According to Zophar Santé,
SANRAD vice president of market development, Receiving Brocade’s
Fabric Aware Program status allows us to better deliver
to our joint customers a solution that is tested and certified
to work without the additional headaches or problems that
are often problematic in heterogeneous storage environments.
SANRAD's iSCSI V-Switch 2000 enables simplified SAN deployment
while allowing departments and mid-sized businesses to maximize
their ROI by utilizing existing storage resources as shared
storage on the iSCSI SAN. The storage management and virtualization
functions protect a customer’s investment in existing DAS,
NAS and SAN storage by gathering all physical storage resources
(SCSI, iSCSI and FC) into a single pool. Network administrators
can define new logical volumes from these pooled resources
independent of physical barriers such as enclosures, physical
disks, protocols and distance. We are pleased that SANRAD
has successfully completed the Fabric Aware testing with
Brocade fabric switches in multi-vendor SAN environments,
said Jay Kidd, Brocade CTO, Infrastructure Systems Group.
Storage area networks are being deployed worldwide at a
rapid rate as a scalable, high performance networking foundation
for storage environments. The Fabric Aware program is an
example of our continued commitment to delivering end-to-end
interoperability to SAN customers.
Top
storage industry analysts are increasingly bullish on the
positive impact that Information Lifecycle Management
has on transforming corporate data management and the allocation
of storage resources. ILM provides a platform for dramatic
cost savings, and highlights the ongoing demand for tape
storage technologies as part of a multi-tiered storage hierarchy,
according to Maxell Corporation of America, the technology
and marketing leader in advanced recordable media products.
ILM is an important business process that can significantly
streamline costs and management efficiencies relating to
enterprise storage, said Steve Duplessie, Founder and Senior
Analyst at the Enterprise Strategy Group. Significant cost
savings can be realized having the right data on the right
infrastructure at the right time. ILM is not a single hardware
or software technology. Rather, it is a collection of processes
and technologies that enable IT administrators to effectively
manage critical corporate data by recognizing that the value
of information changes over time. When properly implemented,
ILM allows IT managers to improve data utilization and reduce
the total cost of managing corporate storage management.
ILM is a multi-stage process by which an organization categorizes
information based on its value, and then assigns the information
to the most cost-effective storage platform. As the value
of the information changes over its lifecycle, it is migrated
to other storage platforms based on a set of pre-defined
policies. ILM uses sophisticated analysis to categorize
information and set migration policies, giving IT managers
the ability to prioritize information based on business
requirements such as the importance of the application,
the sensitivity of the data and the impact of downtime on
the business if the primary data copy is corrupted. ILM
brings into focus the importance of cost-effective removable
media and the critical role tape technologies play in an
enterprise storage hierarchy, said Steven Pofcher, senior
marketing manager at Maxell. An ILM-based hierarchy demonstrates
the complementary roles that fixed disk and tape play in
helping organizations to reduce the total cost of ownership
of storage by effectively prioritizing and matching backup
and recovery speeds to the proper class of storage. An objective
of ILM is to effectively match specific information to the
appropriate class of storage - primary, secondary or tertiary
- based on its assigned value. For example, high-value,
frequently-accessed data should be more accessible and stored
on high-speed hard disk technology, while older data is
more cost-effectively stored on tape, such as DAT 72, LTO
and Super DLTtape media.
RESEARCH
Maximizing the Channel: Emerging
Technology and New Product Launches
Panel Discussion
- Fall 2004 System Builder Summit & VARVision

Moderated by: Shari Marion-Hoff, CEO/Chief
Channel Strategist
When it comes to introducing new technologies
to the channel, it all comes down to what’s in the mix.
Planning, packaging, presentation, bundling, education,
and incentives can all influence the success of a new product
launch to the channel, according to a recent System Builder
Summit & VARVision panel discussion moderated by Shari
Marion-Hoff, president of channel marketing firm Hawkeye
| Cohesion. Joining Marion-Hoff were a group of channel
players that included vendors, VARs, system builders, and
distributors.
To create “maximum velocity at launch,” NEC-Mitsubishi
deploys a “ready, set, go” model that begins over a year
in advance of the launch itself, says Jeff Blanksensop,
a regional sales manager at NEC-Mitsubishi. The process,
which includes building awareness both in the channel as
well as among end users, is designed to allow for “the highest
potential for profit” earlier--rather than later--in the
product launch cycle.
Laying the groundwork includes clearly communicating
the value proposition not only to the channel, but also
to the end user community to build demand. “We spend 80
percent of our time calling on the end user community to
get the product on the radar,” Blankensop says. NEC-Mitsubishi
also uses a “bounty” program to encourage resellers to get
in front of customers, with the promise of additional revenue
if that reseller closes the deal.
Both Doug Phillips, vice president of Products
and Solution Development for Seneca Data, and Taheri Rangwala
of En Pointe Technologies, concur on the importance of customer
education. “Educating the end user is key to helping them
understand the technology and its value,” Phillips says.
Demand aside, not every new product is right
for every partner - it must fit the partner’s business model
as well as the end customer’s needs. For its Digital Home
initiative, Intel has used a combination of advisory councils,
field coverage, and email communications to inform the marketplace
about its new offerings - and to get their feedback on whether
it’s right for them, says Frank Raimondi, strategic channel
alliance manager for Intel. “Our model is very flexible
and we don’t expect all resellers to accept all products.”
“It has to fit into the product mix,” agrees
Steve Harper, president of the value-added reseller Network
Management Group. “I also look to my colleagues and peers
for validation. VARVision is an excellent forum for validation.”
Distribution can play a key role in helping
manufacturers find the right partners. “We see ourselves
as a match maker between vendors and solution providers,”
says Dan Schwab, vice-president of marketing for D&H
Distributing.
For finished goods, sometimes the manufacturer
can play the matchmaker too. “We look for ways to sell a
complete solution,” says NEC-Mitsubishi’s Blankensop. “Within
our display solution partner program, we recruited 25 manufacturer
partners.” The combined product line creates opportunity
for solution providers to sell a complete solution.
Intel also identifies potential complementary
products to its new technologies and creates bundled promotions
“to make people aware of what products work well together,”
says Raimondi.
Channel feedback helps manufacturers determine
what kind of sales and marketing support will help resellers
drive sales. Using reseller councils, vendor Trend Micro
involves its partners early in the product launch cycle,
to better assess market readiness and the appropriateness
of different kinds of marketing and sales tools.
“Our role is to put out effective programs,”
says Dana Testa, senior channel marketing manager at Trend
Micro. “We need your feedback in order to understand how
we can create business opportunities.”
Hawkeye | Cohesion is a leading provider of
channel marketing solutions to technology manufacturers.
With a tight integration of marketing and technology, Hawkeye
| Cohesion designs and deploys custom solutions that streamline
complex marketing processes and enhance the channel customer
experience. The result is greater partner satisfaction,
lower operational costs, and the ability to optimize programs
based on solid reporting, backed by industry knowledge.
Details about Hawkeye | Cohesion services can be found at
http://www.cohesioninc.com.
Moves Color From the Corporate
Office to the Small Office
By: Jake Wang
Current Analysis, Senior Analyst, Multifunction Printers
In late 2003 and early 2004, most workgroup
multifunction printer (MFP) market leaders such as
Canon and Ricoh, to technology leaders in production
color such as Toshiba and value leader Kyocera-Mita,
highlighted color in the office as a strategic direction,
focusing on driving color migration in corporate office
environments. For many workgroup MFP manufacturers,
the key to revenue growth in 2004 is tied to the success,
adoption, and widespread use of color printing and
copying in the office. Large workgroup MFPs offering
occasional and office color capability with color
print speeds from 8 pages per minute (ppm) to 30+ppm
reached price points as low as the $10,000 for asset
costs, and running per click costs of 8-12 cents a
page. The expansion of product offerings and pricing
strategies for replacement products priced near or
at comparable mono MFP solutions have helped to drive
color adoption in the office.
With workgroup products driving color
usage in the corporate offices, small and medium businesses
might seemingly be left out of the color game as entry
prices for workgroup MFPs are high. However, price
erosion during the same period in the single function
color laser space accelerated, with significant price
declines occurring in the last quarter for the entry
level 4 to 12-ppm color laser segment. These price
drops increased speculation by industry analysts that
a color laser desktop MFP might be released soon.
The recent price decline of four-pass color laser
single function printers to below $499 (effective
prices of $349-$499) provided a catalyst, enabling
manufacturers the ability to build an affordable desktop
color laser MFP.
Currently, there are a number of single
function color laser print engines that could be integrated
with a scanner/copier/fax unit to create a desktop
MFP priced under $1,000. The most obvious candidates
are the Samsung CLP-500, Konica Minolta 2300W, and
HP LaserJet 2550, all of which provide color laser
print speeds between 4 to 5-ppm at effective prices
below $499. The price to performance ratio continues
to improve for single function color laser printers
as about a month ago the Okidata C5150 dropped in
price, offering 12-ppm color print speeds using LED
technology at $599, and just recently its effective
price fell to $499 after Staples’ $100 mail-in rebate
offer.
Product Specifications
In a major twist that surprised even
the most seasoned analyst expectations, Canon has
emerged as the market innovator. Canon’s announcement
today of the MF-8170C at $999 heralds the creation
of the desktop color laser MFP segment. The MF-8170C
will offer flatbed copy, print, fax, and scan capabilities
utilizing a color laser copier engine, the first of
its kind in the desktop category. The MF-8170C will
be based on a four-pass 16-ppm mono and 4-ppm color
laser copier engine offering, 48-bit 1,200 x 2,400
dpi resolution, 33.6 kbps Super G3 Fax capabilities,
50 sheet automatic document feeder (ADF), built-in
networking, and a 250-sheet cassette and 125-sheet
multipurpose tray. From a strategic perspective, Canon
has traditionally entered markets after maturation
and its launch of a new product sub-category, innovating
on current offerings, while providing a new and unique
value is a welcome change. As a supplier of color
laser engines to HP, Canon is uniquely suited to launching
the first ever desktop color laser MFP targeted at
the SMB market.
The new offering will allow SMB buyers
the flexibility of deploying MFP capabilities with
the quality of laser text and color graphics, and
in turn, reduce the number of devices needed to support
small workgroups. The utilization of a color laser
engine will provide increased long term cost savings,
when factoring in consumable costs relative to inkjet
alternatives. SMBs looking for color output from an
MFP will now have an alternative to high priced workgroup
MFPs and expensive consumables from inkjet MFPs. Street
prices for the desktop color laser MFP segment will
decline quickly, mimicking the recent steep decline
observed in low end single function color laser segments
as manufacturers launch color laser desktop MFPs in
2005. A historical look at average flatbed price erosion
highlights the steep initial decline that will likely
accelerate as Dell’s presence continues to expand
in the printer category.
Trending & Forecast
The introduction of a new sub-category
in the desktop MFP space is a rare event, the last
of which occurred in 1999 with the introduction of
the mono laser flatbed MFP. However, the continued
decline of laser pricing and upcoming addition of
color laser MFPs under $1,000 has made color laser
print solutions a reality for the SMB market, which
brings into question if and when laser will replace
inkjet technology for home printing. Aggressive pricing
activity in the single function color laser segments
points to the likelihood of effective prices at $299
for four-pass entry level single function printer
by year’s end, and $199 in 2005.
The advent of the desktop color laser
MFP is long overdue and the SMBs healthy appetite
for inexpensive color laser print devices will ensure
their success. Competitive pressures will build quickly
for this new sub-category, causing accelerated ASP
declines in 2005. Increased speeds and capabilities
will complement price declines, offering increased
utility for small workgroups sharing a single device.
The adoption of color laser in the office and continued
price erosion will likely spur adoption in the home
office markets as prices fall below $600 for multifunction
and $300 for single function.
For more information about Current Analysis,
our services or our analysts, please contact our marketing
department who will assist you in your
request. |
What's New
Manufacturing Cost Analysis & Component
Cost Benchmarking
Component Cost Benchmarking Report -
Canon MulitPass MP730
Are your materials, tooling overhead
and labor costs too high to be competitive?
Are manufacturers illegally using your
processes and/or components
Could your margins improve?
Understand how the Manufacturing Cost
Analysis Program shows you how your competitors benefit
from our product teardown program, complete with a
thorough product analysis, component cost summary
and quality assessment.
Click here
to be notified as new reports are released!
Archives
HP Inks New Standards in Consumer Photo
Printing
With Vivera, HP has not only hit the
$0.29 per print sweet spot for printing borderless
4”x6” photos, but the company has set a new standard
in terms of cost per print (CPP) and longevity that
competing manufacturers including Canon, Dell, Epson,
and Lexmark must immediately respond to in order to
remain competitive.
[ More ]
How are markets evolving? How will this
effect the other players? What is needed to prosper
in the future market?
Click here
to see our archive of Current Analysis Spotlights.
|
COMMUNITY
Bits and Bytes
By ChannelMedia Staff
With more than 5.6 million small- and medium-size
businesses (SMBs) in the US, the market represents a significant
opportunity for technology vendors. In fact, small businesses
accounted for 31% of all US IT spending last year, and roughly
53% of the growth. See how upcoming changes in small business
could mean big opportunities for your business in eMarketer's
new Trends in SMB IT and E-Business Spending spotlight report.
The Trends in SMB IT and E-Business Spending spotlight report
delves into the diverse and fragmented world of small and
medium-size businesses (SMBs) to uncover a huge growth opportunity
for technology vendors over the next several years. While
individually SMBs don't spend much on technology, with millions
of them out there, they represent a multi-billion dollar
opportunity. In addition, tax law changes now allow them
to deduct as much as $100,000 annually in fixed capital
expenditures from taxable earnings -- that's up from $25,000
prior to 2003. Hardware, software and IT services providers
are all looking at how they can sell more effectively into
the SMB market.
Email marketers seeking to increase their open and click-through
rates would be wise to keep subject lines short and hyperlinks
plentiful, according to a new study from EmailLabs (The
company today announced the release of an analysis of key
variables involved in the delivery of permission emails
from more than 650 companies during the first quarter of
2004. The EmailLabs study compared and tested message size,
the number of embedded links and the length of the subject
line. The findings: subject lines shorter than 50 characters
in length, as well as an increased number of hyperlinks,
led to increased open and click-through rates. Message size
did not appear to be a significant factor in boosting rates,
although messages in the 20 to 79 kilobyte (KB) size range
had slightly higher open and click-through rates than messages
from 3 to 19 KB. Subject line lengths were divided into
zero to 49 characters and 50+ characters. When analyzed,
the zero to 49 character subject lines had an open-rate
12.5 percent higher than the 50+ character subject lines.
Click-through rates for the zero to 49 character group were
75 percent higher than the 50+ group. The differences in
open and click-through rates were smaller but still distinct
when evaluating the number of hyperlinks contained in the
email. Emails with 25 or more links had an open rate of
12 percent higher than those containing fewer than 25 links,
and a click-through rate of 29 percent higher than for emails
with fewer than 25 links. "These results support some
long-held beliefs among email marketers," said Loren
McDonald, Vice President of Marketing, EmailLabs. "In general,
email marketers should limit the length of their subject
lines to less than 50 characters, and should include as
many hyperlinks as possible. In addition to a shorter subject
line being visible in its entirety in most email clients,
recipients comprehend shorter subject lines more easily
and quickly. "The more links there are, the greater
the chances that one or more will resonate with the recipient
and motivate them to click through," McDonald said.
"While 25 links may sound like a lot, navigation and
administrative-type links in best practices newsletters
can easily reach 15-20 links by themselves." For message
size, 43 percent of client messages sent were in the 20
to 79 KB range, followed by 28.4 percent for 10 to 19 KB,
25.9 percent for three-nine KB, 1.4 percent for less than
three KB and one percent for 80 KB or larger. Messages in
the 20 to 79 KB size range had open rates and click-through
rates of 4 percent and 8 percent higher than messages in
the three-to-nine KB range. Interestingly, although only
1.4 percent of messages sent were less than 3 KB, those
messages had the highest average open rate, bounce rate
and unsubscribe rate. "Marketers shouldn't be too concerned
with the size of their messages, with our analysis not revealing
any negative affect on performance from larger-sized messages,"
McDonald noted. "That being said, the general rule
of thumb to try to limit messages to 40 to 50 KB is not
a bad idea, due to size limits on the receiving end. "While
we believe these findings are compelling, it is essential
that, email marketers conduct split tests across key variables
to determine what works best for their specific customers
and subscribers," he advised.
With local and long-distance charges increasing yearly,
small and mid-sized businesses (SMBs) are adopting Voice
over Internet Protocol (VoIP) at a rapid rate, stated the
Information Technology Solution Providers Alliance
(ITSPA), a national, non-profit alliance that helps SMBs
understand how technology and local technology providers
can help them succeed. "VoIP offers both long-term
cost savings and improved productivity," said ITSPA
Advisory Board member Darren Spohn, CEO of Spohn & Associates
in Austin, Texas. "Unlike regular phone service, VoIP
conversations are transformed into digital information and
sent over a broadband data network. "This means VoIP
callers don't have to use public phone lines and can avoid
expensive long-distance charges," said Spohn. "Another
advantage is that SMBs that use VoIP can rely on a single
data office network rather than having to maintain separate
networks for data and phone systems." VoIP Offers Many
Features Traditional phone service simply doesn't match
the advanced features offered by VoIP. Unlike early versions
of the technology, today's VoIP service offers much greater
voice clarity and advanced features such as conferencing,
dialing the phone from a PC contact list, and video chat,
for instance. "SMB employees who use VoIP are more
productive, too, whether they be at home or traveling,"
said Spohn, "because they can place and answer calls
from any location using a VoIP handset. Features such as
follow-me messagin enable them to forward messages to several
numbers, and it's easy to access e-mail and voicemail from
their PCs." To set up a VoIP network, SMBs that already
have data networks need only buy new telephone equipment
that connects traditional phones to the Internet. "However,
SMBs with data networks that may be over-extended should
consider upgrading their equipment before VoIP is introduced,"
Spohn added. "Sometimes, this can be an expensive proposition
and it may be practical for an SMB to turn to an IT solution
provider for help. "Solution providers can help make
the transition to VoIP easier by evaluating the transition
and recommending workplace solutions," said Spohn."For
example, it's important to evaluate whether an SMB's current
phone system is obsolete, and whether the company is nearing
the end of its PBX lease or service agreement. "SMBs
that use IP Centrex lines for both Internet and phone service
are prime candidates for VoIP, which will significantly
reduce line charges," Spohn said. "Companies that
move to new offices where no wiring has been installed can
use VoIP to create new data/voice networks. And VoIP will
completely eliminate toll charges for SMBs that have offices
in different area codes, or have employees who place a lot
of long-distance calls in the U.S."
Walk, Don't Jump, Into VoIP
Selecting the best -- and least expensive -- VoIP workplace
solution can be challenging. Members of ITSPA's Technology
Committee, made up of IT directors from the nation's most
successful solution providers, offered VoIP survival tips
to SMB decision makers:
-- Review your current network. Before converting
to VoIP, evaluate everything -- from the system's memory
and computing power to your servers and routers -- especially
the amount of bandwidth coming through your high-speed connection.
The latter should have sufficient capacity to handle voice
traffic. If it doesn't, this could negatively affect call
quality, slow Internet traffic and result in lost calls.
-- Get help, if needed, from a solution provider. Most technology
solutions offered today claim they will produce cost savings
and increase productivity. Figuring out which solutions
really deliver on their promises is difficult without help.
Local IT solution providers are available to offer expert
professional evaluations, advice and help with your VoIP
plans.
-- Test your network when it is stressed. After setting
up your VoIP network, determine when things are busiest,
in terms of employees answering e-mails and listening to
voice mails, to see whether the network has sufficient bandwidth
to handle every contingency.
-- Train your IT staff. Switching to VoIP requires understanding
of new technologies and management techniques. Is your present
IT staff prepared to handle the changes? It may be necessary
to provide staff members with new
training.
-- Do you require managed VoIP service? In addition to (re)training
your IT staff, consider purchasing a managed VoIP service
that includes software and equipment and is either hosted
by a provider or installed on your facilities.
WatchGuard Technologies has launched a special educational
resource section on its Web site that includes network security
educational guides and tip sheets for small to mid-sized
enterprises in recognition of National Cyber Security Awareness
Month, an initiative spearheaded by the National Cyber Security
Alliance throughout October 2004. As part of an ongoing
effort to help both IT administrators and business users
in SME organizations worldwide become more knowledgeable
about network security and optimize security plans, policies
and solutions, WatchGuard is kicking off its participation
in National Cyber Security Awareness Month by providing
online access to a wide range of educational resources at
www.watchguard.com/awareness/
. The site includes content such as 'The Practical Guide
for Better Security,' which covers topics ranging from how
to analyze sources of risk and identify system vulnerabilities,
to how to develop a tailored security plan and mid-sized
enterprises, who recognize that they are no longer 'flying
under the radar' when it comes to security threats,"
said John Stuckey, vice president of marketing for WatchGuard.
"For example, a report issued recently by the Yankee
Group indicated that 87 percent of SMEs had experienced
some kind of security problem in the past twelve months.
We've been providing educational content in addition to
vulnerability alerts to subscribers of our LiveSecurity
Service for years. The feedback from customers has been
so positive that we wanted to make these resources available
to a wider audience of SME organizations worldwide. We hope
that our materials will help ease the burden of IT administrators
in growing businesses who are constantly challenged to meet
changing security requirements under tight resource constraints."
For more information on National Cyber Security Awareness
Month or the National Cyber Security Alliance, (NCSA), a
not-for-profit public-private partnership focused on driving
awareness and education of cyber security for home user,
small business, and education audiences, please visit www.StaySafeOnline.info
Phoenix
Technologies
announced Phoenix FirstWare Recover Pro 2004, an innovative
recovery software application for mobile workers and small
and medium businesses that includes built-in security protection
for a PC user's critical data and applications. Viruses,
worms and other infections continue to barrage PCs, yet
60 percent of all data still resides on the individual PC
as opposed to the network. Additionally,mobile users, and
small and medium businesses typically don't have access
to a dedicated IT staff, and are most susceptible to security
breaches and infection. With Phoenix FirstWare Recover Pro
2004, users can automatically back up their PC operating
system, applications, user settings, and data files and
easily recover them in the event of a virus attack or system
crash. There is no need for IT support or training or to
connect to the Internet for recovery assistance. Because
the backup and restore functions are built into the PC's
hard drive as a "pre-boot" application, additional
CDs, DVDs, or a separate USB devices aren't necessary to
get back to business. After an attack, users are guided
through the recovery process by using an easy graphical
user interface (GUI) that requires just a few keystrokes
to restore the PC to its pre-attack condition. With Recover
Pro 2004's flexible backup options, users choose how and
when their automated backups are created. Users can recover
their systems to an incremental restore point (created monthly,
weekly, daily or hourly), to a static restore point, or
to the original factory image. Recover Pro 2004 stores the
backup of the PC system image in a hidden partition of the
hard drive that is safe from the threat of viruses, worms
and other forms of contamination. It allows the recovered
system image to be isolated and protected from all threats,
including operating system crashes, where vulnerabilities
and file corruptions are common. In the event users contract
a virus, they can use Recover Pro 2004 to restore their
systems to a point prior to infection and can safely return
to work with recovered data that is free from infection,
contamination, or corruption. Recover Pro 2004 is a vital
addition to any company's IT security protection regimen,
complementing network protection and virus scanning with
the industry's most convenient and powerful PC regardless
of virus attack, OS failure, or accidental file deletion,"
said Calvin Lam, President, Avus, LLC, a major provider
of technology products to value-added resellers and white-box
integrators. "The Phoenix FirstWare Recover Pro 2004
application allows us to help businesses quickly recover
their PCs and restore user data, which saves time and reduces
IT costs."

Top-Selling Software
Week of September 19– September 25, 2004 |
| Business |
| 1 |
MS Office 2003 Student/Teacher Ed |
Microsoft |
$141 |
| 2 |
QuickBooks 2004 Pro |
Intuit |
$256 |
| 3 |
QuickBooks 2004 |
Intuit |
$256 |
| 4 |
AD Guard |
Valusoft (THQ) |
$19 |
| 5 |
MS Office 2003 Pro Upgr |
Microsoft |
$315 |
| 6 |
MS Office 2003 |
Microsoft |
$390 |
| 7 |
MS Office 2003 Pro |
Microsoft |
$475 |
| 8 |
MS Office 2004 Student & Teacher Ed |
Microsoft |
$143 |
| 9 |
1000
Best Fonts JC |
Cosmi |
$8 |
| 10 |
Defender
Pro 5 in 1 |
Global
Star Software (Take 2) |
$20 |
| |
| List is based on units sold by
twenty-three channel partners. For more information,
please contact The NPD Group at (703) 376-6226. |
|
|
|
|