Dell EMC has signed an agreement with Microsoft to provide w Azure Stack through its channel partners.
Dell EMC was announced as one of three hardware vendors launching the Azure Stack, alongside HPE e and Lenovo. Cisco has since been added. The Azure Stack is an extension of Microsoft Azure, bringing the cloud capabilities to on-premise environments. The solution started shipping earlier this month.
Dell EMC also announced a range of services and updates around backup, data protection and hyperconverged infrastructure management.
“Dell EMC values the strong collaboration we have had with Microsoft for more than 30 years, which has resulted in world-class, innovative solutions delivered to customers worldwide”, said Armughan Ahmad, senior VP at Dell EMC. No surprises there, then.
“The innovations we’re announcing today are evidence of how our work with Microsoft has truly changed how our customers conduct their day-to-day activities, enabling them to gain greater value from their IT infrastructures and, more importantly, develop and deliver services to help achieve their ultimate business goals.”
Eamon Moore, managing director at Dell EMC and Microsoft partner EMIT, said the partnership means partners can offer a solution to customers no matter how they want their infrastructure to look.
“A lot of customers will have been very pro Microsoft and pro Azure but might not have been able to adapt for certain reasons”, he said. “Now companies that partner with both [Dell EMC and Microsoft] can give a solution no matter what the requirements are.
“If you look at the future of cloud, we’re seeing, for various reasons, that customers might need to go with a hybrid approach, so it fits perfectly into that. We all see that hybrid is the future, so this will give all the advantages and solutions available on Azure in a hybrid platform.
“It’s almost the missing piece to now give an overall solution to customers and not be hindered by certain assets [that need to remain on-premise] that you might have been hindered by in the past.”
Dell EMC says it has a “zero-tolerance policy” to such fights between its sales teams and channel partners.
As part of its channel charm offensive, Dell has been telling anyone who will listen that it will tackle any conflict between its direct business and channel partners.
Sarah Shields, vice president and general manager for Dell EMC’s channel in UK and Ireland, has been concerned that there have been a couple of cases where the direct organisation and a channel organisation have had challenges.
She said that if a partner has a deal registration in place and that deal registration is comprised by Dell-EMC’s direct business the company had a zero-tolerance policy.
The same is true if a partner breaks Dell-EMC’s rules of engagement in an area like the grey market. She added that Dell-EMC has a high level of trust with the channel and if any trust breaks down, it will fix it.
The merger has created a few problems but the company had been growing in multiple areas – particularly high-end enterprise accounts- she claimed.
After the launch of its first ‘distributor-exclusive product line’ in July, Shields has promised further channel-exclusive offerings.
“The channel is worth $35 billion of Dell-EMC’s organisation, so it is extremely important and the company wants to have the right solutions for our channel partners”.
Dell EMC has released a set of “enhancements” for its channel partners.
As you might expect, cloud computing featured heavily in the programme revisions. Dell EMC is keen to encourage its partners in the area, which is making it a bomb.
The Dell EMC Networking X-series will also become the vendor’s first distributor-exclusive product line. The X-Series is a family of web-managed 1GbE and 10GbE switches, designed for SMBs.
The outfit has expanded its client incumbency programme for the commercial segment, claiming that it will protect partners’ relationships with historical look-back for revenue and deal registration.
Virtustream has added its enterprise cloud solution platform to the partner programme. The idea is that it will provide “customers with public cloud consumption with private cloud performance”.
Dell EMC has been talking up its “flexible consumption models” through the channel with Cloud Flex, storage offering Flex on Demand and PC-as-a-service packages on certain product portfolios.
It expanded 2017’s Cloud Service Provider and Strategic Outsourcer track, alongside offering rebates based on sell-in revenues.
Michael Collins, senior vice president, channel at Dell EMC EMEA said that the developments underline Dell EMC’s strategy to position its partners as strategic advisers that enterprises can trust.
“We want our customers to know that Dell EMC’s partner ecosystem is steadfastly committed to understanding their immediate and future business IT needs.
“We believe that our latest updates to the Dell EMC Partner Programme make us the leading long-term technology provider of choice to help channel partners satisfy their customers and guide them along their IT infrastructure transformation journey”, added Collins.
The introduction of a unified channel by Dell-EMC earlier this year meant there were winners and losers in the move.
According to Microscope, the move to weld together partners from the two firms has meant that “inappropriate” behaviour has caused it to terminate people inside the firm as well as dump partners who refused to toe the new line or behave in a way that didn’t please the giant conglomerate.
But, nevertheless, Dell-EMC claims that its move to weld together what were separate channel partners has been largely successful.
Cheryl Cook, says Microscope, is over the moon with the results of its move, particularly so in the UK.
She, apparently, will have no hesitation in wielding the stick and enforcing the new rules in the company’s attempt to use the merger to deliver cross selling and has trained up its channel to take advantage of what she sees as good opportunities for revenue growth.
Dell EMC, Nutanix,and Hewlett-Packard are the key players in the global converged infrastructure market, according to a new report from Transparency Market Research (TMR).
TMR said that these companies are known to offer best on-premise data centres in a hybrid cloud world and are expected to look at geographical expansion through mergers and acquisitions and meaningful collaborations to increase their reach.
Business expansion through investment will also be an important strategy adopted by the players in the global market.
According to the research report, the global converged infrastructure market is expected to be worth $76.26 billion by the end of 2025 from $11.78 billion in 2016.
During the forecast years of 2017 and 2025, the global market is expected to surge at a CAGR of 22.4 percent. Amongst the various end users in the global market, the telecommunications and IT sector is estimated to show dominance over the forecast period.
By the end of 2025, this sector is likely to acquire a share of 34.2 percent in the global market. From a geographic point of view, North America is slated to account for a share of 39.5 percent in overall market by the end of 2025.
The global converged infrastructure market is expected to witness a healthy growth rate in the coming years as several organisations are investing in upgrading their IT infrastructure. Converged infrastructure includes servers, virtualization, networking, storage, and along with other resources that are holistically managed.
The demand for these systems is expected to remain consistent due to their single point of storage. The emerging trend of organisations to opt for solutions that provide better security, scale, agility, and simplicity is also expected to have a positive influence on the global market.
The report said that small and mid-sized organisations were taking a keen interest in adopting converged solutions cutting down IT operational costs has become imperative in the dynamic global economy.
Beancounters at Gartner have added up some numbers and divided them by their shoe size and reached the conclusion that Dell EMC has taken over from HPE as the king of the server market.
HPE still makes more money holding 24.1 percent of the market share – down from 25.2 percent in the first quarter of 2016. But it would seem that Dell EMC is catching up in that too, with its market share increasing by 4.8 percent to over the same period to take 19 per cent market share in the latest quarter.
Gartner research director Adrian O’Connell said that the first quarter of the year tends to be relatively strong for Dell, but the acquisition of EMC was proving positive for the server business at the moment.
“HPE’s size means it is subject to the moves of the wider market more than some other vendors. Weakness in the business segment and sourcing changes in the service provider space have reduced its revenue significantly.”
Worldwide server sales continue to decline with the growth of cloud computing, Gartner’s figures show. Companies are also opting to move to hyperscale infrastructures, buying lower cost servers from ODMs too, meaning total worldwide server revenue declined 4.5 per cent year-on-year, with shipments falling by 4.2 percent.
EMEA was impacted more than the rest of the world, with the region’s revenues reducing by 12.2 percent year-on-year to $2.8 billion in the first quarter of 2017 and shipments totaling 503,000 – a reduction of eight percent year-on-year.
IBM and Lenovo most felt the squeeze, with revenues reducing by 34 percent year-on-year and 16 percent year-on-year respectively. Lenovo’s shipments also shrank by 26 percent.
Dell EMC talked about its partnership with Microsoft under which channel partners can build on-premises Microsoft Azure clouds using Dell EMC technology.
Dubbed Dell EMC Cloud for Microsoft Azure Stack, the she-bang is a turnkey platform for building a hybrid cloud offering with the same look, feel, and technology as the Microsoft Azure public cloud,
A Dell EMC spokesperson said the outfit was using its three years of experience with delivering hybrid clouds.
The Dell EMC Cloud for Microsoft Azure Stack is a net-new offering from Dell EMC, particularly in how it differs from the company’s Enterprise Hybrid Cloud, or EHC.
Customers deploying the Enterprise Hybrid Cloud need to add their own domain name space automation, firewall automation, backup and recovery capabilities, and other technologies that together form a private or hybrid cloud.
The Dell EMC Cloud for Microsoft Azure Stack is an integrated offering which is Azure-based. It does not use the Enterprise Hybrid Cloud.
The new offering is also different from the Azure Pack, which Dell started shipping in 2015. The Azure Pack is not API-compatible with the Microsoft Azure public cloud.
The Dell EMC Cloud for Microsoft Azure Stack targets solution providers and customers who use Microsoft technology. It will be a stand-alone offering combining Dell EMC hyper-converged infrastructure technology with Azure.
The new offering scales from four nodes, which can work with up to about 100 Azure D1 virtual machines, to 12 nodes, or about 600 Azure D1 virtual machines.
Dell EMC Cloud for Microsoft Azure Stack provides a single contract support for hybrid Azure deployments, full encryption and security capabilities including the ability to tie policies to virtual machines as they are migrated to new locations, and full data protection capabilities in single tenant and multi-tenant environments.