Channelnomics

Only Three Percent of Microsoft Partners Sell Cloud

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Editor’s note:  As part of our special editorial partnership, Channelnomics is publishing this recent article from CRN in the UK.

Four types of cloud - Image by Rzs on Stock Free Images & Dreamstime Stock Photos

Microsoft Corp. has admitted only three percent of its global channel base of Microsoft partners is actively transacting cloud technology as its chief operating officer Kevin Turner rallies VARs to sell more.

Turner claimed that only 20,000 of its 650,000-plus partner base are regular and active cloud resellers, and insisted that urgency is required to make the most of the technology while it is still in strong-growth mode.

At the vendor’s Worldwide Partner Conference (WPC) in Houston, Turner rallied VARs by saying wants all the remaining 97 percent of Microsoft partners to join the cloud sellers.

“The cloud market is being made right now,” he told the packed stadium of partners. “I have pleaded [with you] at the last four WPCs to come with me to the cloud: Urgency is required. We have tremendous momentum — incredible momentum — and we are driving that. Think of the opportunity.

“Twenty-thousand Microsoft partners are transacting with us in the cloud. Two things: one, thanks to the 20,000 – we appreciate it. You’re doing it. Two: come on, man, where’s the other 630,000 [partners] we have? What do you need? Let’s talk!

“No other company in the world has 20,000 cloud partners. Some say we should celebrate. But, dude, this is Microsoft — we are for partners, built by partners, with partners. I want all 600,000-plus partners transacting the cloud — that’s what I want, that’s what I need! That is the opportunity — we’re growing 500, 100, 200 [percent], pick your favorite number over 100 — we’re growing at that rate. Let’s go!”

Cloud has been talked about in great detail during the event — forming one of the firm’s four key focus areas along with big data, mobile and social.

Microsoft has announced it will roll its Cloud Essentials and Accelerate incentive and training programs into its Partner Network from January next year to show that cloud is no longer an optional extra and should be a part of all Competencies.

For more UK channel coverage from CRN, visit www.channelweb.co.uk

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One Response to “Only Three Percent of Microsoft Partners Sell Cloud”

  • Interesting that Microsoft reports such cloud growth and success and yet only a small % of its resellers are playing – so either have few doing really well or their is some direct selling or other routes to market going on here.

    The fact that Microsoft’s channel is not all being supportive is likely through protecting their own house and being concerned over cannibalisation and lower margins that Microsoft offers through selling cloud.

    The channel has a strong value to bring to the cloud delivery to market, but both vendors and resellers need to be cognizant of each others needs and to bring value to each other to make this happen.

    Ian Moyse
    Workbooks

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