CDW is making big moves this week -- the Microsoft channel partner will start offering Google Apps for Business as part of its growing cloud portfolio.
The announcement comes shortly after Microsoft cut its sales commission fees for cloud products, including Office 365. The cuts prompted backlash from much of the channel. Partners that sell Office 365 and other cloud services in Microsoft’s Advisor Enterprise Deploy program may see their incentive payments drop as much as 40 to 50 percent. Microsoft also cut fees for large account resellers by 1 to 2 percent in fiscal year 2014.
CDW was honored as Microsoft Large Account Reseller partner of the year in 2010, so the Google Apps for Business deal may raise potential sales conflicts. CDW is just one of 10 Microsoft LARs, which Microsoft recently reclassified as licensing solution providers (LSPs).
"It's going to be interesting to see how CDW plays that card selling Microsoft Enterprise licensing agreements and Google Apps For Business," said a top executive for a large national Microsoft partner. "They are going to have to walk a fine line."
PUBLISHED FEB. 13, 2014