Alliance Gives NetSuite Access To Dell Customers

Dell's services organization will resell and implement NetSuite's ERP and e-commerce cloud applications for midsize customers under an alliance, the two vendors said Tuesday.

The partnership will provide NetSuite with access to Dell's customer base, said Craig West, NetSuite's vice president of channel sales, in an interview. "It's a huge scale and capacity play," he said, declining to disclose the deal's financial terms or say how much business the deal is expected to generate, other than it will likely be in the "millions of dollars."

While the alliance could create opportunities for NetSuite partners with specific expertise to work with Dell, West said "the high-level strategy here is [leveraging] Dell's sales operations and their professional services organization to move customers to NetSuite."

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The alliance could even create competition for NetSuite partners. But the Dell deal is built around NetSuite's OneWorld cloud application suite, which is designed for midmarket companies and up, and for businesses adopting a two-tier ERP architecture with subsidiaries and remote locations tied into an ERP hub. Most of NetSuite's channel partners today sell NetSuite's standard ERP, CRM and e-commerce applications to SMB customers.

Dell also will tap into the NetSuite SuiteCloud Developer Network, the company's stable of industry-specific applications developed by ISVs using the NetSuite platform.

NetSuite already has a relationship with Dell, based on a pre-existing relationship the cloud application vendor had with Boomi, the Software-as-a-Service integration technology company Dell acquired in 2010.

But this new deal expands the alliance to Dell's services organization, which will offer NetSuite's OneWorld ERP and e-commerce applications as part of its cloud applications portfolio. Dell is building a practice around the products and will provide consulting and implementation services around them, including data integration and change-management services. Dell also has services for specific vertical industries, including health care, financial services, retail and manufacturing.

"The collaboration with NetSuite can help customers deploy a world-class cloud ERP solution that is proven to support agile business processes. It strengthens Dell's commitment to provide customers with preconfigured industry solutions, accelerators and real-time insights to help fast-track their cloud transformation," said Suresh Vaswani, president, Dell Services, in a statement.

West said the deal is Dell's first involving cloud ERP applications in the U.S.