Dells Channel Secret; Suns Open Struggle; Trusted OSes
Opinion: Dell does a brisk business with resellers; Sun will do everything but open-source Java; get an in-depth look at trusted operating systems.Maybe its time for Michael Dell and Kevin Rollins to attend a Channel Anonymous meeting and introduce themselves: "Were Dell, and we use the channel." Its OK to admit it. Dell gets about a fifth of its revenue from channel partners, according to industry sources, report eWeek senior writers John Hazard and John J. Spooner. It has to be hard to admit. Officials wont confirm any number of channel revenue or partners. Dell basically built and perfected the direct model all the way up to being the No. 1 PC supplier in the world. But in reality, a good chunk of that direct sale goes to resellers, many of whom are going with Dell at the request of customers, Hazard reports.
The point is, its not only OK for Dell to do business with resellers but also imperative, and it would be a good idea to expand those relationships. Dells earnings "miss" announced on May 9the company still expects $14.2 billion in revenue, down from a high-end estimate of $14.6 billiondoes not indicate a company in serious trouble, but a company whose growth is slowing, as it inevitably will in a mature market.