Monday Morning Impact – October 13

Published On: October 13, 2014Categories: Buzz, Uncategorized

By Ken Presti, Senior Consultant, Channel Impact

HP, Symantec Each to Split in Half; Channel Ponders Potential Effects

The biggest news of the week involved HP’s announced plans to split itself into two companies; one focused on computers and printers and the other focused on enterprise hardware and services. That is, until Symantec announced on Thursday similar plans to separate into two independent companies.

In HP’s case, the move is intended to make each company more nimble than the combined whole, while at the same time opening doors to increased potential acquisition activity. But as the year-long process of dividing the company gets under way, there is no shortage of questions related to how the go-to-market strategy will evolve.

Partners who have been loyal to HP for an extended period of time are mostly keeping a stiff upper lip when talking to the trade press. But partners more closely affiliated with HP’s competitors are positioning the move as a unique opportunity to capitalize on complexity and confusion as part of an effort to walk away with new customers and higher revenues.

In Symantec’s case, the end result is anticipated to be one business focused on security and one business focused on information management. Both will be publicly traded, according to a company statement. Creation of two standalone businesses is expected to enable each entity to maximize its respective growth opportunities and drive greater shareholder value.

Channel Impact:
Separating any large company into two independent entities is certainly a tall order, and success will be determined not only by the plans that management is putting into place, but also by their ability to avoid critical oversights. As is usually the case in events such as this, both HP and Symantec are keeping details pretty close to the chest, and many of the finer points may still be TBD. But the channel’s efforts toward continued solution sales are bound to get more complicated moving forward. Look for many partners to begin re-evaluating their vendor partnerships. While some will likely continue on something that resembles their current course, you can safely expect that competing vendors will be running a full-court press to lure away the most valuable partners. In some cases, these efforts are likely to succeed.

Tech Data Introduces New Cloud-Focused Enablement Program

Tech Data Corp. has rolled out its new cloud-focused education and enablement program which will be delivered through the Clearwater, Fla.-based distributor’s TDCloud Academy.

The program features customized education tracks for solution providers focused on launching, expanding, and maximizing cloud businesses.

“Cloud adoption has accelerated in the last 12 months because some of the larger core vendors are coming out with cloud-based, subscription-based offerings that put a large emphasis on the channel,” said Stacy Nethercoat, vice president of product marketing for TDCloud. “Many partners are looking for assistance in making the transition, and that’s why we developed this content. We help them build a good business plan, and then we’ve got mature planning tools to get them beyond that first point. We give them information and templates that will help them to educate their end-user, and it’s available free of charge.”

The program is currently based upon three tracks. The first provides an overview to key issues around building cloud architecture, such as the value of cloud, business drivers, value propositions, and the potential role of TDCloud in helping partners to evolve their business plans and processes. The second track is designed for solution providers that already have an annuity-based revenue stream, and are looking to grow that business to a higher level by cultivating a greater understanding and higher operational skills within the respective teams. The third track focuses on transitioning to cloud, leading with cloud, creating complete cloud business modules and strategic end-customer planning.

The six modules in each track cover “value-added training, eLearning and consulting,” according to a prepared statement. The company has also developed an evaluation tool aimed at helping partners identify the tracks that are most appropriate to their circumstances.

The announcement was made in conjunction with Tech Data’s TDCloud Partner Summit, last week in Miami, Florida.

Channel Impact:
Despite the fact that the cloud transition has been under way for quite a while, many partners are still grappling with this transition, which often involves a period of interrupted cash flow while the new model is gathering steam. Any useful assistance that partners may receive in navigating this change in business models is bound to be a good thing.

Kaspersky North America Appoints Mike Parise as Senior Vice President, Sales

Kaspersky Lab North America announced the appointment of Mike Parise to the position of senior vice president of corporate sales.

“This is a pivotal time for Kaspersky Lab as the company continues to expand into the enterprise space, and the opportunity for growth that the company has in what may be the hottest segment of the IT market is tremendous,” he said. “I’m looking forward to joining the already strong team and building on the impressive growth that Kaspersky has demonstrated, and having a hand in moving the company on to greater and greater heights.”

With more than 30 years of senior sales leadership experience in the software industry, Parise most recently served as vice president of North American field sales at Core Security, a company that specializes in vulnerability management and attack intelligence tools. Prior to Core Security, Mike held various senior sales leadership roles at Courion Corp., Parametric Technology Corp., EMC and Data General.

He will report to managing director Chris Doggett.

Channel Impact:
Partners are watching a variety of key leadership changes, particularly in the highly competitive security sector. In nearly all cases, leaders seek to make their mark through strategy adjustments and program changes that better match their respective visions for how to drive revenue. This move, in effect, delivers a replacement for Doggett’s former job role in the wake of Doggett’s promotion to managing director last spring.

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