ANTenna Blog -- Services

Through a partnership with on-demand software provider NetSuite, HP is moving to establish a larger presence in the cloud and provide its extensive VAR network a bridge from legacy on-premises solutions to the on-demand offerings gaining popularity with small and midsize businesses.

By leveraging NetSuite's established cloud-based business management suite, HP's 15,000 value-added resellers (VARs) can now offer cloud-computing services. A longtime provider of solutions to small and midsize companies, NetSuite's integrated offerings include CRM, ERP, accounting, and e-commerce. This expertise combined with HP's extensive channel network means more options for growing companies; it also bolsters HP's increasing emphasis on the SMB market.

The HP-NetSuite partnership also provides a path for VARs to meet the needs of a changing market that is warming to SaaS. "If the VAR only has the option of providing on-premises solution, they're limited," said Janet Pretti, HP's vice president of channel marketing. "Now, they can go whichever way [SaaS or on-premises] is more appropriate for the customer. We're not expecting them [the VARs] to give up on-premises, but SMBs in particular are the first to stop spending in a downturn and they're going to be asking for options from their VARs -- this gives them an option."

The move to offer on-demand options through the channel isn't new, but is gathering momentum according to IDC channel analyst Christina Richmond. "The trend toward services delivery by channel partners has been marked in the last several years, and it will only continue to increase. Partners must evolve toward a more solution-centric approach gradually, while maintaining their core hardware competencies."

The HP-NetSuite combination may address many of the concerns that have given growing companies pause when considering SaaS solutions. NetSuite's integrated offering eases many of the integration headaches that have bedeviled SaaS offerings and the backing of HP infrastructure should serve to bolster concerns about reliability and longevity.

The new program will roll out over the next several months as channel partners ramp up to offer the new services. A joint referral program developed by HP and NetSuite will direct customers to appropriate channel partners.

More From bMighty: Cloud Computing For Your Business