Executive Briefing: Feb. 1, 2008

MICROSOFT-YAHOO VS. GOOGLE?

Solution providers say Microsoft's $44.6 billion bid for Yahoo sets the stage for a heavyweight software as a service (SAAS) subscription battle between Microsoft and Google. VARs are urging both Microsoft and Google to come to the table with a recurring revenue commission for solution providers to sell basic productivity software as subscription service. Solution providers say that currently neither Microsoft with Office Live or Google with Google Docs offers partners the opportunity to earn a monthly recurring revenue software as a service commission. [READ MORE]

IS CLOSED DISTRIBUTION NEARING ITS END?

Avnet President John Paget predicted that the end of the closed distribution model as it exists today is coming, and will be replaced with a hybrid model that emphasizes partnering with solution providers to market to customers. Under the closed distribution model, some vendors force solution providers to choose an exclusive distribution partner for specific particular products. But the model is under increasing pressure in the U.S., Paget says. "In Europe, by law, it's an open source distribution model," he said. "The closed distribution model is in the past. It's merging into what we call the solutions distribution model." [READ MORE]

HP ADDS RECYCLED PLASTIC TO PRINT CARTRIDGES

Don't throw that inkjet cartridge away. Hewlett Packard is making strides in its efforts to be more environmentally friendly through the development of an engineering process that allows the company to use post-consumer recycled plastics when manufacturing new HP inkjet printer cartridges. Both end-users and resellers can return cartridges to HP in pre-stamped envelopes that the company provides both in cartridge packaging and free on its Web site. [READ MORE]

JUNIPER JUMPS INTO THE SWITCH GAME

Juniper Networks aims to go head-to-head with Cisco competing for business and for partners with the launch of three Ethernet switching lines. Juniper CEO Scott Kriens said the addition of enterprise switches to Juniper's roster will enable solution providers to offer a more complete Juniper story, as opposed to offering point solutions like routing, security and application acceleration. [READ MORE]

DELL SETS TOWN MEETING WITH EQUALLOGIC VARS

Dell is hosting a town hall session for solution providers Feb. 5 to address concerns that partners may have about its acquisition of EqualLogic. Executives from both companies spent the week calling on partners individually. EqualLogic partners are worried most about what Dell will do with pricing and customer data. [READ MORE]