Solution providers are warning each other and advising everyone not to get quickly involved in the new SilverBack partner program from Dell.  Dell announced its new strategy to provide an organized partner program last summer and stated it would start to actively recruit more VARs.  However, solution providers have yet to get any concrete information from the computer business.  

Dell has and continues to state that it will be ready to offer its solution providers program by the end of 2007.  But the fact that the last six months have been marked by quiet and a decision by Dell to partner with SilverBack and EqualLogic (that have very formal channels) has been confusing.  

A partner of EqualLogic explained that he would be ready to de-partner from the organization immediately if Dell continues its silent treatment and does not offer specific information about plans for solution providers.  Many do not see how Dell will manage to completely change its mind about its notorious hatred of the channel and create a real partner program.  

However, while it has not been forthcoming about its plans for solution providers, Dell has been recruiting new VARs to resell Dell systems, though the contracts have put very serious restrictions on where products can be resold and to whom they can be resold.  Many solution providers say the contracts leave them no freedom to work within their own markets.  Also, others claim that Dell will not provide them with discounts beyond those that come standard with, for example, the Dell direct government price.  This means they will get no margin when they resell the products.    

Some optimistic solution providers and other industry experts state that very likely, Dell is quiet because it is carefully considering its move to the new business model, and trying to make sure that it proceeds cautiously and without destroying its progress and growth so far under the new regime.  

As Dell head honchos start to work on issues surrounding the programs for solution providers, many state that Dell’s Federal Government unit is doing a lot to build the new partner ideas.  This unit has a long history of channel partnership and is a great deal more experienced than Dell at creating good programs and relationships.  Some are optimistic that the unit’s involvement will help Dell overcome some issues with contracts that are creating concerns.

While solution providers believe a major shift in building relationships will have to take place with Dell or the channel program will not happen, others are still optimistic.

Blogged By:  Joshua Feinberg