Why Read This
Our recent channel survey included 19 firms that indicated their "primary function" was technology distribution. Like other channel partners, distributors are realizing that their business models will need to change radically as a result of the trends toward cloud computing. Visionary distributors are already beginning to react and offering a range of new services; but these services are being offered to their resellers instead of to the vendors whose products they distribute. There will be an inevitable shakeout of the distributor community as the overall need for distribution of physical products is reduced because geographic hierarchies become less important, technology brands consolidate anyway, and cloud computing takes its impact.