A New Wave of Linux

Jan 20, 2009

It's Channel Time For Linux - Open-source app developers look to partners to help take Linux mainstream

A new wave of emerging Linux application providers are doubling and even tripling their channel investments this year as they move to take Linux from a cult status relegated to business niches to a mainstream end-to-end solution stack.

Among those rolling out new channel programs in recent weeks are vendors in the most explosive solution segments, including PBX/VoIP luminary Digium, database mainstay MySQL and CRM fast-mover SugarCRM. And other open-source vendors, including SwitchVox, Astaro, Zimbra and JasperSoft, are dramatically increasing their channel spend and the number of partners in their stable.

An informal CRN survey of open-source vendors found that channel investments are going up an order of magnitude this year. The uptick is aimed at taking open-source solutions beyond a small group of Linux specialists to a broad and deep partner network that can cover small business to the enterprise.

The partner push represents the biggest influx of new channel dollars in many, many years. Even more impressive: The new channel programs are backed up by 30 percent to 50 percent solution margins vs. typical 5 percent to 20 percent margins on old-line solutions from application vendors that have gorged themselves for years on hefty software license and maintenance fees.

The Linux application offensive covers every segment of the solution stack—with open-source vendors in areas such as VoIP and CRM facing off against one another to compete for solution provider share. This may spell trouble ahead for Windows and Unix app vendors that have stood by while their partners' profit margins have plunged into the single-digit range in recent years. What many of these margin-starved partners have been waiting for are viable Linux channel programs. Now they are here.

  • Cisco

  • Digium Select Reseller

  • Polycom

  • Microsoft

  • HP Business Partner