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Talk about how you see HP's cloud channel program and professional services enablement strategy. How are you changing PartnerOne to empower the next generation services business model
There are a number of components of PartnerOne. First off obviously simplifying it. We need to spend less time trying to recreate the past and more time focused on the appropriate contracted model moving forward so that the incentive system is appropriately aligned and we are making those changes.
To your point about what specifically are we going to incent? We are going to incent learning and development so that people have the skills. Take WebOS as a perfect example. We are going to talk a lot about WebOS over the next handful of years and WebOS is going to grow and mature as any platform would.
That growth is going to be dependent on a development community extending the value proposition of WebOS to the bazillions of devices that I talked about and from the data center out. So just like you had to invest in becoming a CNE at Cisco or you had to invest in the organizational knowledge, we are going to put that same thrust out there. If partners decide this isn't for them it's a free country.
So what is the program. How much does HP put in the game? How much does the partner put in the game?
I can't give you the specifics right now because we are not closed on some of the specifics.
Talk about the Partner conference. What will be your message to partners?
Develop some apps.
So extend the model from the desktop to the enterprise.
Actually more from the enterprise to the desktop because that is where the legacy application transformation is going to take place. It goes back to the point I made before: we have never talked applications with our partners at any level from the distys all the way up through the direct marketers.
For all of the success of the iPad, and we all get it, 15 million units out the door, nobody is going to argue that hasn't been met with consumer success. And there is no question that we are seeing connected devices like an iPad move into the enterprise. It is being carried in. I want to use something like this. But if you think we are any further than late in the first inning or early in the second inning of this game it is absurd. The numbers speak for themelves. And besides this is a global environment not just a U.S. environment. And these tablets while they have hundreds of thousands of applications, look 50 farting apps does not necessarily define a platform upon which corporate America improves its productivity.
It is going to be about hard work, business transformation, application transformation,security at a level that is not some partial security solution, it has got to be industrial strength. And if people think that industrial strength and hot and sexy can't work together then they have been left in the eighties. We can do both. And we can create high consumer accepted, highly usable in line with the human experience and we can apply the application world to that. And we can train and culturize our partners to have the ability to extend the model.
I'll give you an example: we are working with a very large bank right now that wants to transform their interaction between somepone walking in a bank and a teller. We are working with a half dozen of the largest retail entities that want to transform the retail experience and create an integrated experience between the store and online. Women's clothing online has not been a great success story for a number of reasons. You want to look at it and make sure it fits right. We are working on virtual solutions that will allow you to do that online.
So when you think about the creation of that, the transformation of legacy apps, the transformation of in store experiences, the transformation of your Web model. Think about it. If you think about it, you don't spend money on anything over a couple of hundred bucks where you don't go on the web first and search.
So if you think you are going to compete on a global basis on price, on anything good luck to you because someone is always going to be cheaper in a completely open pricing world globally. So you are going to have to win on something other than price. And if you want to be profitable and you want to be able to compete, I would argue the traditional model of hey let's duke it out for a couple of bucks on a machine or a couple of bucks on a server in terms of that driving a strategic decision is going the way of the DoDo [bird]. And it is going to be replaced by 'How can I monetize relationships over a period of time through the capabitlies I deliver?'
Next: Competing Against Cisco On Application Specific Quality
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