VARs: MCI-Verizon Integration Could Delay Linksys One
Details of the VAR incentives are still being worked out, and the Linksys One and Verizon channel teams are working together to avoid conflict, a spokesperson for Basking Ridge, N.J.-based Verizon said.
The strategy behind Linksys One -- a partnership formed between Linksys and MCI before Verizon acquired MCI -- calls for VARs to sell Linksys hardware bundled with hosted VoIP services from carriers such as MCI. Because the involvement of a Tier One carrier provided nationwide coverage, Verizon's commitment to Linksys One eased the fears of some VARs that the carrier was not planning to continue with the program.
But despite Verizon's commitment, some partners are worried that the program is still in jeapordy. Sources told CRN that ongoing chaos related to the Verizon-MCI merger could delay the planned fall rollout of Linksys One.
"MCI is going to be adopting Verizon's business practices and channel development strategy, which is not at all conducive to small and medium business," said one Linksys One partner who requested anonymity. "Verizon is not really interested in developing Linksys One -- they're letting MCI handle that -- but MCI won't be able to continue to develop it at the pace they were prior to the merger until they shake out some of the channels."
Verizon's traditional focus on the residential and large enterprise markets could lead to confusion over where -- and if -- the solution fits into the carrier's strategy, said the source. "Linksys One has been designed from the ground up for the SMB market, and that's exactly the area that Verizon has not been involved in."
Another Linksys One partner said the success of Linksys One will be determined not by Verizon providing incentives to partners, but by Linksys' ability to engage VARs to hang in with them during the initiation period. Linksys current strategy of seeking large VARs with a technical skill set to sustain the bumpy start isn&'t the answer, said the source.
"Linksys needs to make the VAR's commitment smooth, with a true sense of 'partnership', and I don't think they are there yet," said the source. "That's the key question, because many VARs have garages full of the best laid product offerings plans and intentions, all gone quicker than they started."