"Cisco is viewed as being a shark and is more than
willing to step on some of its resellers toes," Haller
says.
nwfusion.com
New Nortel service to support
integrated nets
By Jim Duffy
Network World, 12/07/98
Santa Clara, Calif. - Nortel Networks has announced
a service and support program to help users manage
integrated data and telephony networks.
The program splits service and support delivery
between Nortel and its business partners, such as
value-added resellers and other indirect resellers. The
program covers switching and routing equipment from
Nortel's Enterprise Data Networks division and its
Bay Networks line of business.
The new program is designed to deliver direct service
and support to Nortel's largest enterprise accounts
while handing off smaller accounts to business
partners.
This segmentation is intended to help Nortel and its
business partners alleviate service revenue conflict,
which was common until now, says Rusty Walther,
director of strategy, planning and programs.
The new program is also a way for the company to
reduce costs by handing off some service and support
overhead to business partners, observers note.
Components of the program include the Named
Account service portfolio and the Business Partner
service model. The Named Account portfolio is
targeted at Nortel's 300 largest accounts and has an
annual service revenue of $200 million, Walther says.
The Named Account program offers product life cycle
services, from assessment and design through
maintenance and optimization. The program includes
tiered services based on network size, complexity and
service investment.
Pricing is determined by product and network
complexity, Walther says.
"These offerings . . . should actually predict and avoid
network downtime," says Dominic DelDuca, senior
director of network strategy and deployment for
pharmaceuticals supplier Merck & Co. in Whitehouse
Station, N.J.
Under the Business Partner program, meanwhile, all
business partners receive basic "Safety Net" services
for their entire installed base. Safety Net services
provide nine hour per day, five day per week (9-5)
limited phone support, 10-day "return to factory"
hardware replacement, and software updates via
online systems.
Authorized Service Solutions Partners receive a higher
level of support, including 9-5 unlimited phone support
and next-business-day advance replacement
hardware.
The highest level of authorization is the Premier
Service Partner program, with 24-7 enhanced phone
support that includes priority access to senior
engineering resources, 24-7 next-day advance
replacement hardware and enhanced online access
that includes software upgrades, bug reports and
more.
Analysts say Nortel's new service program could give
the company a competitive boost.
"If it caters enough to this channel then supposedly it'll
gain some kind of competitive advantage," says
Jonathan Haller, an analyst at CurrentAnalysis in
Sterling, Va.
"Cisco is viewed as being a shark and is more than
willing to step on some of its resellers toes," Haller
says.
Nortel will begin moving current service customers
and business partners to the program in January 1999.
Nortel: (408) 988-2400
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