A bit o' press for the Nbase/Xyplex folks...
ROUTER MARKET -- VARs Evolve To Meet New Demands
July 22, 1999
VARBUSINESS via NewsEdge Corporation : With the complexity of the enterprise ever increasing at the corporate level, and the needs of carriers evolving on the high end, VARs have an opportunity to help customers implement emerging technologies.
"Although things are moving to the switching market, the router market is definitely booming," says Scott Woodland, president of Millennium Solutions Group, a VAR in Rocklin, Calif. "We often act as consultants in emerging technologies such as VPN, ADSL, DSL and multiservice protocol."
The Internet is a key factor in the router market, as corporate customers look to leverage the public infrastructure for voice over data and create VPNs and carriers to implement higher bandwidth solutions.
"There is a great deal more leveraging of the global IP network and the Internet, for both private-to-private and business-to-business communications, " says Gordon Saussy, vice president of marketing at Ericsson IP Infrastructure, Silver Spring, Md.
Router manufacturers are considering how Internet services should fit into their product agendas. "With the migration to IP has come the opportunity for a new generation of IP-focused routers," says Karen Barton, vice president of marketing at Xedia Corp., Acton, Mass. "There's a new generation of business services that needs predictability. There's also demand for a new generation of IP routers that is quality-of-service-enabled and capable of delivering more predictable performance and granularity of control. "
Says Larry Breakwell, product line manager for Motorola Inc.'s internetworking and networking group in Toronto: "Voice and data convergence on the network has also hit its stride in the past couple of years and is a key opportunity VARs should be considering. Many companies are paying large fees for phone services, so converging even a small percentage of that traffic can considerably cut a phone bill."
Telephone companies and traditional service providers have offered infrastructure build-outs, but customers are looking for a total solution.
"The VAR is evolving into a systems integrator and is even becoming a service provider," says Philippe Szwarc, general manager at Nbase-Xyplex, Littleton, Mass.
VAR Niches
AT&T Corp. and Cisco Systems Inc., for example, are working together to give VARs the chance to offer an integrated solution to small and midsize business (SMB) customers. "SMBs are faced with finding VARs. We wanted to create a more explicit linkage between the people who can provide a solution, " says Bruce Laird, senior director of marketing for the remote internetworks business unit at Cisco, San Jose.
High-speed and IP solutions provide a huge opportunity in the health care, financial and education markets. For example, Broadband Networks Inc., a Nbase-Xyplex VAR based in State College, Pa., creates and maintains high-speed data networks for education and municipal customers.
"Unlike a typical VAR that resells products, we package an entire architecture and deliver a monthly service," says Tejas Vashi, data communications product manager at Broadband.
The Internet has also influenced the featureset users are looking for. Multiprotocol support tops the list of features. "These routers need the ability to handle serial, IP, IPX and IBM protocols, and unique and legacy protocols," says Motorola's Breakwell. Users and resellers alike are also demanding more robust reporting and management tools.
"Excellent configuration and reporting capabilities are influencing buyers," says Mary Jane Gruninger, vice president of engineering at Nbase-Xyplex.
Scalability and security are also important. Customers want to know that the hardware they buy will continue to meet their needs into the future. |