Partners that are making the leap to new HP ConvergedSystems like the HP ConvergedSystem 500 for SAP HANA are seeing a 45 percent higher margins, 85 percent bigger deals and 200 percent greater services revenue, said HP Director of Worldwide Go to Market for HP ConvergedSystems Kevin Garrison.
Solution providers that do not move quickly into the converged systems market could find themselves struggling to survive, said Garrison, a former vice president of sales for SP500 power Lilien Systems. "My 'sense of urgency' meter is over the top," he said. "I am trying to make sure the partner community understands the huge incremental upside. At the same time, partners that are not actively engaged may lose the business without even knowing it."
Garrison said he has met with a number of customers that have issued requests for proposals around converged systems without partners of record even knowing about the shift.
Greg Schumacher, director of the converged infrastructure practice for Arrow Electronics, a $21.36 billion IT distributor that is teaming with HP, however, said the HP shift to converged systems is rapidly gaining solution provider support. He said Arrow has seen a jump in only a month from single-digit deal registrations to triple-digit deal registrations for HP ConvergedSystems. What's more, those deal registrations are split evenly between virtualization systems and higher-end application workload offerings like the HP ConvergedSystem 300 for Vertica.
"We see huge growth in this converged systems market," said Schumacher, noting that the distributor already has an SAP HANA system in its technology lab. "HP has a great portfolio of converged systems and they have positioned them very well to be carried by distribution and partners rather than going the direct route. They understand our value and they want to use it to grow their business."
Avnet Technology Solutions, a $10.36 billion technology distributor, is also seeing increased momentum around HP's Sharks ConvergedSystems, said Chris Swahn, vice president and general manager of HP Solutions at Avnet. "We have seen sales accelerate rapidly in the last four to six weeks," he said.
Swahn said there is a paradigm shift from selling boxes to solving business solution problems. "The partners that don't get with it are going to have a problem which is what do they do for a living," he said. "There is a big difference between selling a box and selling a solution to solve an end user's business problem with a ConvergedSystem."
PUBLISHED MARCH 19, 2014
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