Channel Chiefs: Don't Undermine Product Business

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With all the fuss around cloud and building recurring revenue in the channel, it may seem like product business has totally slid by the wayside. But in fact, at a recent roundtable of channel chiefs, executives declared the opposite.

’Product business is not going away,’ said Dell’s Frank Vitagliano. ’It just isn’t.’

Vitagliano said successful partners would transition to provide end-to-end solutions to customers, including transitioning to the cloud. ’But it’s a really robust business environment out there, beyond just cloud,’ he said.

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Mike Valentine of Sophos agreed. ’We are planning for FY16, and it’s a huge part of our business coming up. There’s still an on-prem device,’ he said, while also explaining that growing a services renewal business around cloud is very attractive to customers.

Toshiba’s Richard Vaughn said the company would launch thin-client devices around the third or fourth fiscal quarter of this year. He said he has seen explosion around cloud migration business, but Toshiba is ’still seeing tremendous growth in just on-premise-type devices.’

PUBLISHED MAY 4, 2015