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Cisco Channel Chief Oliver Tuszik: Partners Are ‘Leading The Way’ For XaaS Evolution

Gina Narcisi

‘In approximate numbers, $8 billion of our managed services revenues is [through partners] and the direct managed services we do is something like $250 million. So, it’s not a direct motion. It’s not our target. Our ability to scale and deliver the value comes from partners,’ Cisco Channel Chief Oliver Tuszik tells CRN.

The Partner Push For XaaS

Businesses and consumers alike are moving away from large, upfront spends and towards consumption-based, pay-as-you go pricing for many different things to help their businesses and personal lives run smoothly, so it just makes sense that the IT industry follows suit.

It’s no secret that Cisco has been busy doing just that over the last several years as its worked to transition its portfolio to an as-a-service model, or XaaS. It’s first offering is already on the market, Cisco Plus Hybrid Cloud and the company last month unveiled its next XaaS offer, Cisco Plus Secure Connect Now. When it comes to XaaS, Cisco’s partners are not only all-in, they’re leading the way, according to Cisco Channel Chief Oliver Tuszik.

Tuszik said that different customers require different solutions delivered in a variety of ways. It’s up to partners to give their clients the business outcomes they’re looking for. This can be done through platforms like Cisco Meraki, which is leading the company’s managed services charge by supporting the use cases that partners are addressing for their customers. At the same time, Cisco knows that it has to build the right financial models around managed services and XaaS for partners, an undertaking that Tuszik and his team are addressing in different ways for the company’s diverse ecosystem of partners.

There are extended sales times for XaaS, which will be an adjustment for some partners. At the same time, the supply chain is also causing slowed or delayed product delivery times. Cisco is mindful of both of these current challenges and Tuszik said he and his team continue to work with partners to define and carve out new models for future channel growth.

Tuszik sat down with CRN to talk about Cisco’s XaaS transformation and how partners fit in, the financial models in place to make XaaS profitable for the channel, supply chain, and what partners can expect from Cisco in the second half of 2022.

Here’s what Tuszik had to say.

 
Gina Narcisi

Gina Narcisi is a senior editor covering the networking and telecom markets for CRN.com. Prior to joining CRN, she covered the networking, unified communications and cloud space for TechTarget. She can be reached at gnarcisi@thechannelcompany.com.

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