Headquarters: Cupertino, Calif.
Technology Sector: Networking
Key Product: Xangati Application Management 2.0
Year Founded: 2006
Number of Channel Partners: 10 worldwide
Ideal Channel Partner: Enterprise-focused solution providers
Why You Should Care: Xangati is convinced that most application management products weren't providing the necessary depth and understanding of network infrastructure -- so it set out to build one that could.
The Lowdown: Xangati's Application Management 2.0 is geared toward service providers and enterprise-level IT managers ready to use streaming, collaboration and user-generated content as part of how they manage service levels in networked applications like VoIP, servers and storage. In Xangati's eyes, many existing management offerings fail to measure up -- especially with virtualization now playing such a prominent role in network infrastructure.
"One of the greatest challenges is when the network appears slow," said David Messina, vice president of marketing and product management at Xangati. "We're effectively taking customers from flying blind about the activity of their subscribers to giving them live visibility into subscribers and how they're using the network. The beauty is that you can now get a ton of rich information from the network infrastructure that you've made this huge investment in."
Messina said many of Xangati's early channel partners have been virtualization and infrastructure specialists interested in optimizing NetFlow, the Cisco-developed data-feed that "summarizes" the flow of data around the network. Xangati Application Management 2.0 processes NetFlow records in real time and provides reports derived from summarized information -- not the full flow record -- which means it can provide reports faster than other NetFlow-enabled tools on the market, he said.
"We have a very nice complement of VARs that are heavily focused on Cisco markets and also building up big virtualization practices," he said. "Enterprises are sort of tired of finding hidden costs in the network, and to be candid, the channel should be, too. What we have aligns very well with the product lines that are popular, including Cisco switches and routers and VMware solutions."
Xangati came out of the gate strong thanks to a few rounds of venture capital funding in 2006 and 2007. Messina said Xangati will now focus on keeping the company 100 percent channel-inclined.
"We've proven out the technology at this point," Messina said. "Our focus now is trading demand generation and working with the channel toward basically creating a marketplace. We have people working aggressively to cultivate channel partners and set them loose on the enterprise market. We have no interest in building a direct enterprise model -- this is a trust solution and the kind of product you want to have in the channel."
Headquarters: Washington, D.C.
Technology Sector: Services
Key Product: Zlago Hosted Windows Desktops and Cloud Services
Year Founded: 2008
Number of Channel Partners: 50 in North America
Ideal Channel Partner: SMB-focused solution providers
Why You Should Care: Zlago offers a hosted desktop for small businesses, complete with e-mail, security and storage, that VARs can private-label to their customers.
The Lowdown: Zlago offers solution providers a way to provide a slew of hosted services without having to invest in a lot of infrastructure itself, according to CEO Michael Gold.
"We look at what are the 80 percent of services and applications that most SMBs use, and try to package them up [and offer them from a single] source. Those include your desktop, e-mail, backup, security, storage, and variety of business applications," Gold said. "Many businesses still want a mixed environment, but our bet is more will wanted hosted [services and applications] over time."
The company is looking for solution providers with strong SMB customer relationships who are ready to start integrating cloud services, said John Rice, vice president of channels at Zlago. In particular, Zlago hopes to attract the attention of distributors' partner communities like VentureTech Network, VARnex and TechSelect, but any solution provider in the managed services space is also a target.
Partners can expect to make margins between 25 percent to 40 percent bringing Zlago solutions to market, Gold said. Zlago launched its channel program in August and offers Webinars and other sales and marketing support to help VARs get on board, he added.
Kevin Gregg, vice president of business development and technical services at Connecting Point Las Vegas, said his company added Zlago because the solution provider can private-label the services to its own customers.
"I like the fact that they're flexible. They also have better expertise from a technical standpoint. When you're dealing with cloud services, it helps if [the vendor] is a little more tech savvy, if you will," he said.
Headquarters: San Jose, Calif.
Technology Sector: Security
Key Product: Open Log Management Platform
Year Founded: 2002
Number of Channel Partners: 3,500 worldwide
Ideal Channel Partner: Enterprise-focused solution providers
Why You Should Care: LogLogic takes complex log data and turns it into something manageable.
The Lowdown: As its name suggests, Loglogic touts its line of log management tools as a great way to survive grueling compliance audits.
But while compliance mandates, such as PCI, HIPAA and Sarbanes-Oxley drive the lions' share of LogLogic's business, the offering also lends itself to better security and network performance optimization, executives said.
"This is ideal for companies or government agencies with hundreds of thousands of logs to store in one place," said Vince Schiavo, LogLogic senior vice president of global sales.
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| LogLogic Open Log Management Platform |
That information can in turn be used by enterprise customers as a tool in regulatory compliance audits and litigation as well as analyzing network performance issues.
Enterprise companies -- $500 million companies and up -- are the sweet spot, as well as federal government organizations with complex logs, numerous databases and massive amounts of log data that require monitoring, executives said.
Unlike competitors, the Open Log Management Platform can install quickly, and doesn't require many additional vendor-provided professional services.That's where partners come in, executives said.
Instead, partners can take the lead on their own consulting, installation and monitoring services -- such as network security forensics and PCI compliance policy management -- which ultimately will increase their own margins, add value and increase customers ROI, executives said.
"We turned the company over to the channel, running all business through the channel, even deals where we do most of heavy lifting," Schiavo said. "We let our partners drive professional services revenue. Then they're more excited about working with us."
Headquarters: Tel Aviv, Israel
Technology Sector: Storage
Key Product: Axxana Phoenix System
Year Founded: 2005
Number of Channel Partners: 10 worldwide
Ideal Channel Partner: Enterprise-focused solution providers
Why You Should Care: The Axxana Phoenix System helps organizations achieve zero-data-loss disaster recovery without distance limits in a cost-effective manner when compared with traditional mirroring.
The Lowdown: Storage start-up Axxana Wednesday garnered $9 million in second-round funding, which will help bolster the growth of its disaster recovery technology.
The round was led by Carmel Ventures and included funding from previous investors as well.
Axxana CEO Eli Efrat refers to the company's Phoenix System disaster recovery offering as enterprise data recording, similar to the "black box" technology used for flight data recorders in aviation. Axxan's Phoenix System addresses three challenges to data protection: data loss, distance between data centers and cost, Efrat said.
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| Axxana Phoenix System |
The Phoenix System protects all data, even that which would normally be in the buffer or lost in the "lag," by augmenting the asynchronous replication solution of the enterprise's choice with a local synchronous copy of the most recent write operations protected within the disaster-proof enterprise data recorder.
Right now, the company is targeting financial, insurance, utility, energy, manufacturing and health care verticals. It's not yet in the government arena because of the long sales cycle, according to Efrat.
He added that the offering provides a unique opportunity for solution provider partners, allowing them to help their customers consolidate and eliminate redundant data centers, and to help change how they view, plan, arrange and build those data centers.
Headquarters: Columbus, OH
Technology Sector: Storage
Key Product: 3X Remote Backup Appliance
Year Founded: 2006
Number of Channel Partners: 160 in the U.S.
Ideal Channel Partner: Midmarket-focused solution providers
Why You Should Care: Small business backups are tough, but 3X Systems enables solution providers to build a mini storage cloud with a new backup appliance that keeps up with their mobile and desktop PCs, wherever they are moved.
The Lowdown: 3X Systems wants to help solution providers take the pain out of small business data backup and recovery and get their piece of the small business storage cloud.
The company this week started shipping its Remote Backup Appliance (RBA), a device which serves as a backup target for desktop and mobile PCs even if the PCs are moved to different locations.
Solution providers can bring the 3X RBA storage appliance to a customer site to do the initial "seed" backup, said Alan Arman, CEO and co-founder of 3X. All the office and mobile PC clients automatically backup their data to the RBA as it changes, with deduplication technology cutting the time required, Arman said.
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| 3X Remote Backup Appliance |
The 3X RBA is HIPAA-compliant, and encrypts data in-transit and on the appliance, Arman said. It works with all Microsoft operating systems, and Macintosh and Linux support are on the roadmap. It also supports virtual environments.
The appliance is priced starting at $2,495 with 100 GB of capacity, with no limit on how many devices it can back up, Arman said. It is available only through solution providers, who can earn margins of 18 percent to 38 percent, Arman said.
Olaf Solutions, a Metarie, La.-based VAR, has already implemented several 3X appliances for customers ranging from a two-person air conditioning firm to a $40 million, 60-user company.
Dale Pinney, Olaf's president, said his company also keeps one in its own office in order to backup data for 10 other customers who prefer not to have their own appliance.
"We just passed our first anniversary of working with 3X," Pinney said. "We sent out notes telling customers about signing new support contracts, and no one said no. No one even asked questions about it. It's amazing. It's really telling me that customers are depending on 3X and know it's working for them."