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Veeam Co-Founder Ratmir Timashev On Strategic Growth, And Co-CEO Peter McKay's Departure

Veeam co-founder Ratmir Timashev says his company has a 100 percent channel sales strategy and several powerful alliances with top hardware vendors.

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That would be cloud service providers like iland and OffSite? Are you noticing many traditional resellers making a transition to become service providers?

That's right. And many resellers are now becoming service providers, or transitioning to resell the solution from iland, for example. Our goal is to connect our traditional resellers first with our service providers and second to help them if they want to transition to a service provider model, as well. For example, a product like Office365 backup, lots of our resellers sell it, but they're asking to also provide the service based on our product.

What kind of margins can resellers see when they decide to make that transition?

In general we provide one of the highest discounts to our channel. Our average discount globally I believe is 37 percent. Service providers can make much more money because they provide the service. The service requires SLAs so the service provider takes the liabilities, takes the hardware, takes the services, all of that. For every $1, they might make $5 or $10. The margin could be 1,000 percent. Depending on the service, the SLA, and how much human capital they put behind it, the hardware, the bandwidth, for every $1 they pay to us, they can make $5 or $10, but then they have to subtract out their costs.

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