Silicon Graphics (SGI) has announced its plans to aggressively expand its global channel distribution strategy and indirect sales model, with the launch of the new SGI Channel Connection program, a sales, marketing, and technical support program that will enable channel partners to build mutually successful business opportunities in the rapidly growing low- to mid-range high performance computing (HPC) market.
According to IDC’s the recent HPC Server Forecast 2005-2009, the global demand for high-performance technical server units is forecasted to grow at an estimated 10.8 percent.
“The mid-range of the high performance technical computing market is growing rapidly. During 2004 the sector grew over 47 percent and this growth is expected to continue. In addition, IDC expects indirect server sales to increase in significance in the market, as vendors work to expand their reach through more aggressive channel strategies,” said Earl Joseph, Vice President of High Performance Technical Systems, IDC. “These two trends coupled with SGI’s new channel strategy positions the company to take advantage of these growth factors.”
Gilbert Soufan, GM, SGI, Middle East and North Africa, was pleased with IDC’s forecast. “The commoditization of high performance computers has pushed most manufacturers to offer their channel partners the same type of product. There is no room for innovation or differentiation,” he said. “SGI is the only manufacturer who still provides channel partners with differentiated computing solutions. As this industry segment continues to grow, SGI’s new channel-centric strategy, scalable product line and channel program, firmly position the company to increase revenue generated through indirect channels.”
SGI’s new global channel distribution strategy addresses three key areas for fueling company and partner growth in SGI’s target markets of government and defense, sciences, manufacturing, energy, and media, as well as driving opportunities in new markets. These areas include SGI Channel Connection, Independent Software Vendors and new markets.
SGI Channel Connection is a specialized channel organization that opens technical and creative market opportunities to channel partners who offer vertical solutions for specific industry needs. SGI is creating fresh indirect sales opportunities with new program components enabling SGI to expand its reach into current and new markets.
The key features of SGI Channel Connection include: Channel Connection Academy, which focuses on training partners with industry and technical specialization for a deeper understanding of customers’ needs; Market Advantage, which delivers sales and marketing tools, including Market Development Funds (MDF), to enable partners’ success; Service Advantage, with a focus on helping partners drive their own successful services business, without competition from SGI; and Opportunity Registration to enable a clear engagement model with no conflict or competition.
“SGI will also be announcing new low-end Channel-friendly products and quick-ship configurations in the coming months to focus on low- to mid-range, departmental server, storage and visualization needs,” added Soufan.