Cloud storage services provider Nirvanix rolled out a channel partner program this week. The company has a direct sales force that concentrates on the Fortune 100, but Geoff Tudor, co-founder and senior vice president of strategy and business development, sees significant demand in the SME market, which he defines as companies with 500 to 2,000 employees. (The company has an account registration program in place so VARs with existing relationships in the Fortune 100 can continue to sell into those companies.)
The cost to IT organizations for Nirvanix storage is 25 cents per gigabyte per month (compared with 15 cents per gigabyte per month for Amazon S3), or $3,000 per terabyte per year. Tudor said reseller partners’ margins on a typical deal would be “in the teens” percentage points, and their revenue continues through the life of the customer contract. Resellers are responsible for billing and serve as the initial point of contact for the customer.
Nirvanix also has a referral/agent program, in which resellers simply connect Nirvanix with the customer but don’t get involved with billing or support. Tudor said the referral/agent fees to a reseller are “less than 10 points” and are based on the customer’s first-year payments to Nirvanix but don’t extend beyond the first year.
Nth Generation Computing, which is based in San Diego, is the first reseller signed up for Nirvanix’s channel partner program.