The proposed acquisition by Juniper Networks of a maker of network access security solutions will give partners a deeper product line to sell to enterprise customers, according to a senior channel executive of the company.
Robert Bruce, Juniper’s vice-president of channels for the Americas, said the US $122 million deal announced this week to buy Funk Software of Cambridge, Mass., will help the company offer complete network solutions.
Bruce was in Toronto to meet Juniper’s Ontario partners for a half-day conference and find out how the company can help them make money. With him were Tim Lambie, vice-president for Americas International and Anil Batra, vice-president of channels for Americas International.
One partner interviewed before the seminar was interested in the deal. Juniper “seems to me making the right acquisitions to turn it into an full end-to-end network solution provider,” said Ron Stewart, founder and executive vice-president of FlexITy Solutions of Richmond Hill, a Juniper elite partner.
In fact, he was more excited about word that Juniper and Motorola are co-operating on a next-generation modular cable modem termination system for delivering IP-based services.
“That’s huge,” said Stewart, “because that’s going to compete with Cisco (Systems) head-on.”
Another partner, Daniel Cheng, president of AMA Inc., a Mississauga, Ont., solution provider and elite partner, was more cautious about the Funk deal. “I am sure in the future” his company will benefit, he said, “but right now I am still digesting their acquisition of Redline and Peribit.”
In July, Juniper bought Peribit Networks, which makes wide area network optimization solutions, while last year it picked up Redline Networks, which makes network appliances.
Juniper has been on an acquisition binge lately. In October it paid US$8.7 million for Acorn Packet Solutions, while in March agreed to buy Kangoor Networks for US$67.5 million.
Juniper overhauled its channel operations a year ago with the creation of its J-Partner program. This week’s half-day meeting in Toronto is meant to update partners on the operation of the program, Bruce said, but not to make announcements.
The partner program is weighted to reward VARs who sell solutions and services. A year ago the company had “relationships” with dealers. Now there are about 10 elite and 20 select partners in Canada (including major telcos), who are certified with specialities. They account for about 80 per cent of sales here, Bruce said.
Another 100 partners are strictly hardware resellers.
“When they announced the J-Partner program I was skeptical,” said Cheng, in part because Juniper was mostly known for carrier-class products. But, he said, “I was really surprised that within a short period of time they put together a program with lots of punch.”
He’s impressed that system engineers as well as the sales staff of partners are eligible for financial incentives, and that the company waived its training fees for certifications. He estimated AMA will sell $250,000 in Juniper products this year, up from zero.
Stewart’s company, barely a year old, chose Juniper as a partner because it wanted at least one relatively unknown vendor. He appreciates that Juniper is not out to sign every VAR that applies.
“They are focused, know how to execute and how to deliver on a partnership,” he said.
Among the challenges Bruce said Juniper faces is name recognition. It’s not as good as to competitors such as Cisco, Alcatel and Nortel.
Cheng would agree. NetScreen, – which Juniper acquired last is better known than the parent, he said.
