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IBM is launching a new set of programs under which channel partners can resell the vendor’s software-as-a-service applications and earn margins up to 30 percent of a customer subscription’s value.
The plans, announced today at IBM’s Smarter Commerce Global Summit 2012 in Orlando, include options for partners to resell SaaS applications hosted by IBM or to host the applications themselves. Initially the new programs will be applied to IBM’s e-commerce applications and then be expanded to other IBM products.
Until now partners have been limited to reference-selling the IBM SaaS applications, earning margins in the range of 10 to 15 percent of a deal’s value, said Mark Register, vice president of software business partners and midmarket, IBM Software Group, in an interview.
“We’re sure [the new programs] are going to go down very well in the partner community, based on the feedback we’ve had,” Register said.
Vendors have been struggling to find the right model for selling their SaaS “cloud” applications through the channel. In July, for example, Microsoft outlined plans for the Office 365 Open program under which partners can buy subscription keys for the Office 365 cloud application set, sell them to customers and bill them directly for the service. That program is expected
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