VARs: Microsoft's Digital Home Efforts Fall Short

One sign of the difference between Intel and Microsoft: an Intel Viiv session packed with several hundred solution providers. Microsoft had a small booth promoting its XBox 360 game system and ergonomic keyboard. "If you look at what Intel is doing compared to Microsoft, it is two different worlds," said Jimmy Garson, CEO of DataVision, a New York superstore. "Intel really realizes and sees how they are going to drive more PC sales in making the PC the center of the home."

By comparison, he said, Microsoft is "doing nothing." Garson said he hopes Intel's relationship with Apple may help "wake up Microsoft" to provide a more aggressive digital home effort. A representative at Microsoft's booth would not comment. Microsoft did not return phone calls requesting comment.

This ho-hum channel reaction to Microsoft's home efforts so far contrasts with the company's PR blitz around its games and consumer effort. Microsoft Chairman Bill Gates, along with heavyweights from Motorola and Disney, is slated to speak at the huge International Consumer Electronics Show in Las Vegas in January.

Many channel onlookers find it ironic that the company that built its empire with partners seems at a loss as to the partner role in what it's called a high-priority consumer market.

Jim Brubaker, owner of JK Computing, a Blairsville, Pa., solution provider, complained that Microsoft executives have promised for years that the company is going to aggressively promote Media Center PCs. But "we haven't seen them doing anything along those lines," he said. "Microsoft not being on board or fully invested in it is an inhibitor." Norman Flamm, owner of Micro Air, a Reading, Pa., solution provider, said Microsoft is sometimes a no show at digital home events where Intel has a strong presence. What's more, he said, there has been a sharp contrast in system builder and solution provider technical support between Microsoft and Intel.

He said Intel has strong technical support for solution providers but Microsoft charges for VARs for support.

"It's just pathetic, " he said. "They are the ones making all the bucks on the software but they don't want to support it." He said he can not get quick and easy support for compatibility issues or error messages as a system builder OEM, other than paying $35 per incident. Lee Rambler, director of custom home for WeeBee Audio Video, a Lancaster, Pa., home theatre supplier, said until Microsoft works all the bugs and kinks out of its Media Center platform, he views it as "not a real viable product" for WeeBee customers. Ken Bosley, president of World Premiere Home Theater, a Mechanicsburg, Pa. home theater company, said his company has made a conscious decision to stay away from Microsoft Media Center engagements. He sees Microsoft becoming less and less important. "You couldn't make that statement five years ago," he said. Chase LoGreco, a digital home specialist for Intel, said the Viiv platform will get a big boost in August when the first Viiv verified router and adapters are brought to market, making it easier for VARs to sell digital home networks.

Additional reporting by Barbara Darrow.

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