Techaisle Blog

Dell (Power to Do More) is buying Quest Software (Simplicity at Work) for US$2.4B, its second largest acquisition after Perot Systems. Combining power and simplicity is not easy to achieve but is a potent combination if done successfully. And throwing Wyse and SonicWALL in the mix can lead to a catalytic reaction in the right direction that may become hard to contain and beat. It is all in the execution, messaging and channel commitment.

A lot has already been written about how the Quest acquisition is a brilliant move by Dell to augment its software portfolio and complete its end-to-end solutions offerings from PC hardware, servers to security, storage, software, datacenters and integrated datacenters. It is not important to know, understand, praise or fault Dell for how vWorkspace will fit into its partnership with Citrix or VMware, or how Quest’s Identity management will be combined with SonicWALL or how Dell will address Windows migration with Quest tools and on, and on. What is important to understand is that Dell is demonstrating its steady and unflinching commitment to be an end-to-end solutions company for enterprises, SMBs, government and education segments.  Dell gets it.

Following the announcements we had the opportunity to speak with senior executives at two of Quest’s partners, dinCloud and En Pointe Technologies; Ali Din, Senior Vice President and CMO, dinCloud and Naveed Khan, Director, Vendor Management at En Pointe. dinCloud provides hosted desktop and server services and En Pointe is a Quest software VAR. On one hand, dinCloud is eager to start a relationship with Dell, whereas on the other, En Pointe, already a Premier partner of Dell has had some preliminary discussions with Dell. They are at two spectrums of the same light and both are excited about the opportunities that can be explored, exploited and consolidated with Dell as a vendor.

There was a common refrain of hope and aspiration from both dinCloud and En Pointe. Quest has lots of business units; most of the times these units and their products are not integrated with each other. The hope is that Dell will be able to assimilate and integrate the business units and products quickly. And both were unflinching in their commitment to Dell and for that matter even other vendor partnerships they have. Committed partners have the capacity to make the ‘power to do more’ and ‘simplicity at work’ even more noticeable. Combined Dell and Quest can solve big problems for IT with products and solutions that are simple to use.

Techaisle’s recent survey shows that 72 percent of SMBs agree that IT vendors should work towards simplifying technology. 54 percent also mention that their technology pain points have increased in the last 3 years and 44 percent agree that technology has become more complex to understand now as compared to 3 years ago. To these SMBs Dell may want so say, “we give you the power to do more combined with simplicity for your business”.

Anurag Agrawal
Techaisle
@anuragtechaisle

VARs, ISVs and Service Providers (SPs) are going full throttle in providing cloud computing and mobility solutions to SMBs. Techaisle’s detailed Channel and corresponding SMB Research shows that there are some demand supply gaps between Cloud & Mobility offerings from channel partners and what the SMB customer needs. This gap between channel supply and SMB demand is illustrated below:



Red bars indicate a gap shown by a higher percentage of SMBs asking for solutions than Channels offering them, which creates shortage and channel opportunity, while the green bars indicate a higher percentage of Channels offering solutions than SMBs demanding; creating surplus capacity and increasing price pressure.

Higher demand-supply gap for Mobility Solutions

The demand-supply gap is higher for mobility solutions than cloud computing. SMBs are demanding mobility solutions; however, both the Channel Partners and their vendors have not yet developed sufficient expertise and solutions to supply them. Cloud computing technology has had longer to develop and mature while mobility has taken center stage (and resources) only in the last two years, resulting in a focus on access to application data rather than development of new applications. Techaisle research suggests that SMBs are particularly interested in mobile applications in the areas of Productivity Suites, Time and Billing Management, Social Media Marketing, Logistics and Field Service applications.

This is giving rise to many smaller, flexible and niche players that are providing point mobility solutions to SMBs, but their main weakness is channel reach. Conversely, large IT vendors with vast number of channel partners such as Cisco, Dell, HP, and IBM are still working on viable mobility solutions offerings and corresponding messaging. Many solutions available today from these vendors are targeted towards secure device management, BYOD enablement, and virtualized access to applications across multiple devices. Techaisle analysis shows that SMBs, although excited about these offerings, prefer to have them embedded in overall mobility solutions to reduce complexity in managing and administering multiple layers of IT.

Vertical Cloud Solutions

In the area of cloud computing, SMBs are requesting vertical industry solutions. In order to accomplish this, channels need to go beyond technology knowledge and really understand the dynamics of industries in which their customers operate and become industry subject matter experts. Channel partners would do well to focus on cloud solutions that help SMBs with their industry verticals, disaster recovery, accounting, and new forms of communication such as video conferencing, web conferencing and hosted VOIP. These combinations of cloud services make it easier for SMB customers to handle vendor relationships without having to manage separate account reps, billing and agreements across Infrastructure, Business Productivity, Communication and Industry Vertical Solution categories.

CRM is one of the most adopted cloud business application by SMBs and is also extensively offered by channels. Initiated by Salesforce.com and followed by SugarCRM, Zoho, Microsoft and many others, cloud CRM has already permeated the SMB landscape. IT Vendors like Dell are taking CRM to the next level by providing packaged solutions such as Salesforce.com CRM along with marketing automation from Pardot and Dell Boomi integration platform to increase the functionality, productivity and customization.

However, Techaisle research suggests that channel partners need to focus on delivering solutions that have higher relevancy to SMBs.

The above data is taken from Techaisle’s report titled “US Channel View – Challenges and Trends in Offering SMB Cloud, Mobility and Managed Services Solutions”. The US report is based on 604 channel interviews, and similar detailed surveys and analysis have been done for the Germany, UK, China, Brazil and India Markets.

Tavishi Agrawal
Techaisle

Whiptail, the first company to successfully commercialize multi-level flash recently announced its second-generation family of NAND Flash storage products, Accela and Invicta. Accela is an enterprise class, single chassis, and standalone flash storage product. On the other hand Invicta is a modular storage array. It has some very impressive specifications:

• 6-72 TB of NAND Flash capacity


• Up to 650,000 IPOS


• Upto 7 GB/Sec bandwidth


• Asynchronous replication


• VMWare and Citrix ready

The products are completely scalable. A mid-market customer can begin with Accela and can add Invicta through InfiniBand as the needs grow. Even within the Invicta chassis, a toup to 6 storage nodes with 6 to 12TB and one router can be added as lego blocks as the data needs evolve.

Analyst Speak

Whiptail’s announcement comes at a time when the buzz about big data has reached a crescendo.  And along with big data, vendors and analysts have started to talk about data obesity and therefore need for storage capacity. Granted that storage capacity needs are multiplying but big data poses a bigger challenge – extremely high throughput and read-to-write performance. Traditional storage vendors have tried to make higher-performing storage either by using as many spindles or constricting drives. None of them technically really address the velocity problem – real time streams of high volume information that is both structured and unstructured. Whiptail is taking the conversation away from storage-capacity play to velocity play thereby reducing the cost of transactions.

Even the channel partners wanting to develop or expand their datacenters and offer cloud-based services can use Invicta because of its multi-tennant, multiple addminstrators, and role-based security capabilities.

Invicta is an application acceleration platform that big data purveyors will love to the bane of other other storage vendors.

Anurag Agrawal
Techaisle

We all know that video conferencing adoption is on the rise among SMBs. Collaboration technologies such as Video and Web Conferencing will increasingly be important to SMBs to satisfy their priority to make employees more productive. While these solutions have been around for a long time we believe that broad adoption among SMBs is upon us as evidenced by the priority assigned to such technologies versus the current level of penetration. As per Techaisle’s research data, currently in the US there are nearly 75,000 SMBs that use video conferencing and 790,000 that use web conferencing.

There are obviously many solutions that SMBs can take advantage of ranging from hosted to onsite solutions. Key players such as Microsoft (Live Meeting/Lync), Citrix (GoToMeeting) and Cisco (Webex) have great brand and mind share in the SMB space. However, there comes a time in the life of an SMB, depending upon its vertical or the role of the user, when high-quality, easy-to-use, any-to-any video connections’ based video conferencing becomes too important to ignore. This is where Vidtel steps in.

Vidtel is a cloud-based video conferencing service for any-to-any video connections. Its MeetMe offering allows multiple conferencing participants incredible interoperability, that is to say, it allows for users to seamlessly invoke a video conference, connecting video phones, PCs, tablets, room systems, smartphones and devices using SIP, H.323, Skype or GoogleTalk.

Vidtel is a small but growing organization founded by dynamic entrepreneurs who are focused on bringing affordable high-quality cloud-based video conferencing solutions to SMBs. To that extent, Vidtel has also recently partnered with Vu TelePresence that allows both Vidtel and Vu to gain from each other. Vu is able to bring MeetMe capabilities to its customer base and Vidtel stands to gain from Vu’s already established market presence.

We tried Vidtel’s MeetMe service. It seemed quite simple to initiate and conduct a video conference. To initiate a meeting, a Vidtel SMB customer with a MeetMe account simply provides the meeting room dial-in information to other participants, as one would with an audio conferencing bridge and set up a meeting time. For example, if the meeting were in room 2002, one Skype user would be asked to add Vidtel.2002.1 and the other Vidtel.2002.2 to his/her Skype contacts and dial that contact from either a tablet, mobile or PC/Mac. SIP users would dial This email address is being protected from spambots. You need JavaScript enabled to view it. and H.323 participants would dial 65.50.196.118 then 2002#. Users can even add security PINs.

A question that often arises is, what about support for SMBs? Vidtel provides level 1-4 support via video/phone/email for SMBs directly and levels 2-4 for resellers and wholesale providers who own the SMB customer relationship.

Vidtel offers a tiered pricing structure, from a low of US$199/month to US$599/month, depending upon the number of participants, standard or high-definition video.

SMBs who are seriously debating about using multi-point, any-to-any, high-definition video conferencing capabilities should check out Vidtel.

Anurag Agrawal
Techaisle