Microsoft Partners Say Tough Love, Early Start Has Channel Ready For Cloud Success

Microsoft Partners Say Tough Love, Early Start Has Channel Ready For Cloud Success

Alex Brown, CEO at 10th Magnitude, a Chicago-based Microsoft Azure partner, said another important aspect of Microsoft's approach to the cloud is that it listens to feedback from the channel.

10th Magnitude, which Microsoft considers a "born-in-the-cloud partner" because it does not have a legacy business, is helping Microsoft fine-tune its approach to cloud business development, Brown told CRN.

10th Magnitude holds regular thought leadership activities that include speaking engagements at conferences, and engagements with business executives. Brown in May did a webinar with Microsoft and IDC in which he talked about how to run a profitable cloud business.

Microsoft also provides financial resources and logistical resources to help 10th Magnitude launch outreach and demand generation activities, Brown said. "Business development in the cloud is different from traditional ways," he said.

Microsoft gives 10th Magnitude free reign to come up with its own business development ideas, and Brown said this approach is having positive results. 

"When we come up with a way to drive interest or demand with Microsoft customers, they use us to talk to and educate sales teams," Brown said. "They are definitely not coming to us with a strict playbook saying this is the way you will run your campaigns."

Of course, partners that sell cloud computing products and services are most excited about the issue of compensation, and Microsoft has some of the more generous programs in the IT industry.

Hertz said Microsoft provides him with ample amounts of market development funds (MDF), which he said enables New Signature to run cloud-related marketing campaigns with limited risk.