Since Oracle Corp. (NASDAQ: ORCL) first announced its intention to acquire Sun Microsystems, Sun’s competitors have been hungrily eyeing Sun’s customers and partners. The latest vendor to make a play for Sun partners is IBM (NYSE: IBM), which has announced a partner profitability tool that will be available to Sun partners, as well as US$500 million in financing to help get Sun partners selling IBM systems.
The moves come as part of IBM’s launch of the IBM Smart Analytics System. Designed as a tool for IBM partners, IBM describes it as a standardized offering to enable resellers and application partners to rapidly deliver industry solutions to their clients. The hardware and software platform is designed for partners to deliver customized analytics applications, particularly in industries such a healthcare, financial markets, energy and retail.
IBM said its investments in R&D have allowed it to bring the offering to its partners, meaning partners don’t have to spend their own time and resources developing a service delivery system themselves. As well, the streamlined system will mean quicker deployments with fewer technical staff required.
“While other vendors are taking a different approach, IBM is actively engaged in growing its community of channel partners,” said Rob Thomas, vice-president, IBM Business Development, in a statement. “We are catering to software, hardware and industry solution partners who are an important part of our IBM team. IBM reinforces its commitment to our partners by bringing the power of analytics to clients to allow them to transform their business through information.”
IBM also announced that IBM Global Financing will offer up to US$500 million in financing to help Sun partners migrate to selling IBM solutions, and will make its newly developed profit optimizer tool available free of charge to Sun partners. The tool lets partners model potential business opportunities, including services and product revenue and financing options.
“These announcements demonstrate IBM’s commitment to the IT channel – providing new sources of revenue and profitability to business partners across the spectrum,” said Jay Holbrook, director of worldwide channels, IBM Global Financing, in a statement. “IBM wants to ensure the financial health of its business partners so they can service and sell IT solutions to their end users clients for years to come.”
IBM clearly sees financing as a fertile background on which to fight for Sun partners, and Sun business. In its press release announcing the program IBM called-out Sun’s financing programs, and claimed to have poached a number of Sun partners already.
“IBM Global Financing’s innovative and competitively-priced financing can help partners in need of working capital maintain healthy balance sheets and minimize risk – a capability Sun-Oracle’s in-house financing organization does not provide,” said IBM. “IBM’s industry-leading technology and financing capabilities already have led more than 100 Sun Business Partners to either grow or establish an IBM reseller business within their firm.”
IBM’s aggressive play for Sun partners is being noticed in the Sun channel community. While long-time Sun partner HighVail Systems is sticking with the new Oracle/Sun, president Bradley Brodkin said IBM and other competitors are making a strong play.
“Cisco has set its sights on the Sun install base and they have made it clear along, with IBM. IBM’s message is to go out and win the Sun business,” said Brodkin. “What I’m seeing and hearing from Oracle is that they recognize that and there is no question they want to protect that install base.
