Insights

Challenges Partners Face With Hyperscalers and Marketplaces

Written by Channelnomics | Sep 30, 2024 11:07:36 AM

As more partners turn to marketplaces for sourcing, hyperscalers are creating both new opportunities and competitive risks, challenging traditional partner models while offering fresh avenues for growth.

Nearly 90% of partners are regularly sourcing products through marketplaces, with hyperscalers leading the way in transacting applications and services that complement their cloud platforms. Marketplaces have become a preferred sales channel for many partners, with adoption as part of their go-to-market strategies skyrocketing by 340% in 2024.

Despite the rapid growth in marketplace engagement, many partners remain wary. According to a recent global survey by Channelnomics, one-third of resellers, integrators, and managed service providers view marketplaces — particularly those run by hyperscalers like Amazon Web Services, Microsoft Azure, and Google Cloudas a potential threat to their businesses. Another 46% of partners say hyperscalers represent a moderate risk.