Channel leading the way in data center virtualization 22 August, 2008 By Vanessa Ho

"It is the channel that is the one bringing virtualization into [enterprises,]" said Sloan. "It is not where the channel can benefit from [virtualization]; it is very much an area where they are already benefiting from it."

He added that companies like VMware are looking to the channel to really drive most of their sales especially in mid-size enterprises. The typical scenario where virtualization comes into enterprises is through a server refresh.

"People are buying servers from the channel like they've always had and that is where the virtualization conversation is happening," Sloan said. "It is the channel partners that are taking advantage of virtualization and who are seeing a lot of success in offering that as part of their deal to include virtualization."

Another area of opportunity for virtualization in the channel is around services. Sloan noted that virtualization has a lot of potential benefits such cost savings on energy, reducing longer term hardware costs and it is a more sophisticated way of managing servers.

"A solution provider can come in with the hardware and virtual infrastructure to do the consolidation but also can offer some services around assessment and capacity planning and training in using virtual environments," he added.

Services are often a challenge for the channel when it comes to virtualization, said Sloan. He explained that resellers can sell someone on the idea of virtualization but they need to be prepared to help customers get the most out of their virtualization infrastructure.

"It is a lot easier to pull up the truck to the receiving dock and unload a bunch of commodity hardware but you have to be able to show how to get the most out of [virtualization] and be able to take advantage of a service opportunity," Sloan said.

If resellers are just selling commodity boxes, Sloan suggested that they need to train up in order to offer services.

As well, Sloan said that virtualization is the way the market is going as we are seeing a lot of embedded hypervisors in hardware.

However, there are some vendors who haven't quite got on the virtualization bandwagon and are still offering solutions that run specific software applications that are unable to run on virtual machines. But Sloan believes that is starting to change as virtualization becomes so prevalent.

"A lot of vendors realize if they can't support a virtual environment, they are shutting themselves out of a market [that is growing,]" he added.