Vendors, VARs In No Hurry For 64-Bit Chips

A CRN survey of 203 solution providers found only a fraction have plans to sell solutions with either Intel's Itanium or AMD's Hammer platforms during the next 12 months.

"It's not on the radar at all," said Isaac Hill, an account manager at CPACinc.com, a solution provider in Yorba Linda, Calif. "All I'm seeing are larger corporations,Microsoft, Unisys, some Linux developers,saying they're going to use Itanium. . . . It seems like [Pentium 4s are doing a pretty good job on the market."

Meanwhile, several major OEMs, including IBM and Dell Computer, haven't yet moved to offer Itanium 2-based systems. Those that have, such as Hewlett-Packard, do not believe it will be a volume play.

"There's no question a lot of the focus will be on resellers who really style their business in the value-add mode," said Jim Geer, global channels manager at HP, one of the few vendors with Itanium 2-based solutions currently available. "It's not going to be nearly as heavy a pull with the volume player."

The CRN survey, conducted in June, asked solution providers about their plans for 64-bit technology. Thirty-eight percent said they didn't believe they would sell any Itanium 2-based systems within the next 12 months, while 20 percent said they planned to sell the technology.

Fifty-one percent of solution providers said they had no plans to sell Hammer-based systems within the next 12 months, while 12 percent said they expected to do some Hammer business.

The typical poll respondents were solution providers that derive about two-thirds of their revenue from SMB customers and one-third from enterprise accounts.

Willy Agatstein, general manager of Intel's Reseller Products Group, said he was not surprised at the reaction: "The Itanium product line is growing; it's not really a channel play."

AMD executives viewed the results as positive. "If there are 12 percent . . . interested in selling a product we haven't yet announced and done official AMD-based training on, that's very positive," said Robert Fuller, director of marketing for the Americas at AMD.

Itanium 2's success will depend a great deal on the software available for the platform, said Mike Mogavero, executive vice president at Data Systems Worldwide, a solution provider and MSP in Woodland Hills, Calif.