Good News Buddy! It’s Canada time!

OwnWebNow
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sorry_CA01With the WPC announcements out of the way, it’s back to business at OWN. This week has some huge news, first of which comes our way from the north.

So, what are we up to? Data centers all over Canada? Nah, that’s a bit boring. Our enterprise-class offsite backups with SQL and brick level exchange at $1/GB? Nah, already been done.

Tune in tomorrow to find out what it’s all about. One of them will literally change the way you think about the cost of security in the SMB space. 🙂

Houston… we have a problem.

IT Business, Microsoft, OwnWebNow
14 Comments

Indeed we do, as cliché as it may sound. Microsoft and Microsoft Partners have a problem. Few problems are among us as partners, some are between us together and our competitors and clients. But we have serious problems that have only been amplified by the WPC’s show of ignorance for the concerns SMB IT have voiced.

Microsoft WPC is supposed to energize the partner community, give it full faith in the products and services Microsoft will offer next, reinforce the Microsoft leadership in the industry and motivate us all to work together with Microsoft to benefit our clients. How did it go this year?

Microsoft failed this year by all accounts and with everyone I spoke to.

gm.test.500

Lack of Vision: Software + Services. The catchphrase has been hammered into our brains permanently, in a largely meaningless way, and repeated every minute of every keynote. Yet it failed to clearly communicate exactly where Microsoft will lead, where Microsoft will empower its partners and where it will directly compete with us. The only clear inference is that Microsoft is starting to distance itself from the “applications on a local network with a server and some remote access” strategy it has become so dominant with.

Lack of Professionalism: Microsoft is no stranger to taunting competitors and challengers. Back when Microsoft was the dominant force in personal and business computing and a beloved technology leader the jabs came off as a spirited proclamation of victory. Last week they were soaked in desperation, paralyzing and often directionless. Kevin Turner took shots at every vendor that competed against every solution Microsoft builds, clearly failing to understand that as solution providers and developers in the real world we actually partner and work with the people he was calling out. Sorry Kevin, but Microsoft has not kept up with the marketplace demands, the illusion that Microsoft tools are the best in every scenario for every company only exists in your head, solving Microsoft shortcomings with Microsoft software is not something that is easily sold to even the most gullible of CIOs.

Lack of Partner Direction: By far the biggest disappointment of the show. All of Microsoft’s executives failed to clearly communicate the partnership benefits. That is why partners pack the keynotes, to find a way to partner up with Microsoft. If you want to gloat about how fabulous you are and talk about exciting commission schedules as a brand recommender and a sales agent you might want to go work for Mary Kay. This is the biggest quagmire for Microsoft – it’s competitors are more agile because they do not have to work with partners to go to market. Infrastructure solutions are easy enough to offer and both Google and Apple and Amazon are beating Microsoft to the market, with far simpler and less convoluted solutions. How can Microsoft compete with its partners in a solution ecosystem that doesn’t require partners to begin with?

Lack of Problem Recognition: Apple absolutely decimates the public image of Microsoft’s new system and Microsoft sits back. Microsoft is constantly challenged as a company without ability to come out with anything new that captivates the business and consumer marketplace – and they dust off the research lab professors and robots that wouldn’t even make it into cheesy 70’s vision of the future. Microsoft partners pay thousands of dollars to come to the WPC to hear how Microsoft intends to fix the Vista issues and are instead handed the blame for not pushing Vista hard enough and driving deployments.

Lack of Broad Excitement: Don’t underestimate how relevant broad excitement by the overall global IT community may be. Blogs. Newsgroups. Web TV. Even more mainstream technology sites largely ignored the significant news coming from the event. In a time where Microsoft is being attacked on all sides – devices, servers, workstation operating systems, entertainment – Microsoft’s competitors are capturing the imagination and excitement of the technology enthusiasts and evangelists leaving Microsoft in their ridiculed middle aged man self as depicted in Apple commercials which are less funny with each passing day and just pointing out the obvious. Microsoft is slowly turning into IBM. Quick, how much IBM software do you run today? Microsoft as a platform is not just a .exe anymore. With AIR, with the cloud application deployments that can be multiplatform from the start, with even iPhone, Microsoft had to excite and give a great reason for someone to develop for their platform and make it relevant. In faling to do so, Microsoft jeopardizes their future.

Of All The Epic Fails…

Microsoft’s competitors just can’t do anything to wrong the client. Google ships 12 Tb of logs to a private company and destroys any faith anyone could possibly have in them yet they continue to be the most well respected brand and an emerging solution for all your business, personal and social problems. Apple bricks thousands of phones, downs their cloud me solution for days, makes their customers stand in the line for hours while their systems crash, cripples their devices and clients not only take the abuse but live to rave about how great the ends justified the experience.

Meanwhile Microsoft cannot even get its most loyal partners to consider a move from a six year old platform. With the clients showing less and less willingness to pay for the essentials and the rising competence of Microsoft’s core competitors in Apple and Linux it is hard to find what Microsoft’s vision is. Yes, Software + Services as we heard the first 5,000 times but what does that actually mean? How does Microsoft compete with the ad sponsored software? How does Microsoft compete with totally free software?

You have to be a heck of a Microsoft fanboy to look past these obstacles and answer these questions.

I am one of those unapologetic Microsoft fanboys and even I am shaking my head at this.

Microsoft clearly no longer wants to work with partners on a broad scale. Sure on the low end they want to train “partners” to be their evangelists and SA resellers. On the high end, Microsoft wants the partners to fill in the gap in the solution portfolio until Microsoft can catch up to them and replace with their own solutions. You may even scrape by in the complex infrastructure migration space where a company magically wants to replace their current infrastructure mess with a new release of more of the same and face the same problem five years down the road. Little holes, little gaps, little opportunities.

Where are the partners?

That is the key question that remained vague and unanswered. Yeah, we got it, Software + Services!

Where am I as a Microsoft partner? In 2008, higher and higher. We’ll do more business with Microsoft this year than ever before, with two huge undertakings under way. Past that, I have to admit, I am less decisive of aligning my business with Microsoft because for the first time in my Microsoft partnership I doubt their direction and seriously question their ability to be successful across the board. I don’t see where OWN fits in Microsoft’s quest to fight against itself and cannibalize its own self interests and pricing premiums. I doubt and refuse to commit my development resources on a Microsoft network that has a goal of competing with free and AdSense, I sell the value of my solutions not their mass appeal to resell others. As Dare Obsanjo mentioned this weekend, giving sh*t away is not a business model.

Steve, Kevin, Allison… you need to go back to the drawing board.

You failed to draw up a clear picture for us to be a partner in your business plan.

You have put us in an uncomfortable position where we must reevaluate our business plan and you can count that we’re going to our own drawing board, with an eraser.

Microsoft, Houston.. we have a problem. We need to be involved. Decisions and announcements you’ve made this week will make the business in the short term very good, but they ignore the long term strategy problems that have us all uncertain and desperate for answers. Answers that you have failed to provide. Those concerns don’t go away, they just fume and seriously impact our relationship in the future, which in turn limits your ambitions for the future. You need to come up with something, fast. Where does Microsoft want to go today? I honestly can’t answer that question. Can you? Can Microsoft? Everywhere is not a direction, it’s lack thereof. Microsoft, the clock is ticking – fix this while we’re still listening.

P.S. I have told Microsoft a year ago that their model will not work. I have warned partners in many posts to start thinking cloud strategy in their own service model. I have changed my business model as a result of it, I have broadened OWN reach of Microsoft cloud to native deployments in EU and in Australia, I have offered 10x as much as Microsoft does, I have a long track record of being brutally honest even when it may not be the most popular thing to say, I have thousands of partners worldwide, a mature service-oriented organization. I really do not appreciate folks offending my friends or trying to volunteer me for advisory councils or more free work, I have no intention of helping Microsoft fix the mistake I’ve given them a years worth of heads-up on. If you want this to be fixed so badly to work for you, I have fixed it. It’s called Own Web Now Corp. Hit the partner link and grow your business. Or sit back and complain while Microsoft makes you extinct. I intend to invest the next year of my professional blogging towards helping SMB prepare and embrace the cloud and grow it as a part of the solution portfolio, not as a replacement for a 6% fib. As Alec Baldwin said in Glengarry Glen Ross: “Get mad you sons of bitches.” Microsoft, do likewise. We all want our clients to get the best service at the best possible price with the best possible company. I am making sure OWN is a part of that solution. I am begging Microsoft to come aboard. I am begging you to consider it too. The choice is yours, let’s go!

I think I’ve strained my blogging muscle

Vladville
31 Comments

What a week. Seven days, twenty blog posts, five podcasts and one of them the SBS Show. Thank you to all that tuned in, thank you, thank you, thank you. Really, it’s my pleasure to bring this stuff to you.

I feel a little burned out so I’m going to take a few days off before we resume then 10 days of Vlad series of global domination. The biggest stuff is yet to come and I hope you understand why I had to pause it – there is some behind the scenes stuff that you may not be aware of unless you’ve emailed me in anger over this weeks events. So in hope to clear the air, here is my explanation. Regarding all the emails I have received regarding Microsoft and it’s partner direction:

It wasn’t me. I don’t work for Microsoft.

itwasntme I have a lot of friends at Microsoft and professionally OWN does a lot of business with Microsoft and Microsoft Partners. I happen to have a specialty in messaging and security, so I write about the Microsoft Exchange and what I do. I also grew this enterprise from a very small business and continue to view my business in the same light and write about the Microsoft SBSC because I honestly believe that program is about the most valuable thing Microsoft does for people starting with Microsoft in the SMB sector.

As a matter of fact, I have been one of SBSC’s most vocal promoters and I hope you can trust me that I have not received a dime for it.

So when this weeks soap opera of tretrery and betrayal came out of WPC many of you sought to blame me for it. Let me repeat: I do not work for Microsoft. I am not on any Microsoft Small Business or SBSC advisory councils or panels. I do not have a stake in Microsoft Online. My company did not give Microsoft any access to our business plan or how we work. I am not a paid or sponsored Microsoft venue. Microsoft does not in any way sponsor me, my employer, my family – quite the opposite as a matter of fact.

Throughout the week I have received a number of hate mail messages accusing me of leading “the community” to embrace SBSC which now “Microsoft is turning into nothing but their sales force” all the way down to “no wonder you wouldn’t show your face at WPC, you probably helped build this”

Again, it wasn’t me. Of all the messages I’ve received that I’ve actually read, all but one were decidedly negative. Don’t look at me folks, if you’ve got a problem you have to take it up with Microsoft.

Microsoft never asked me for an opinion nor did I have any idea just how poorly they were going to do this. As for not warning you about it, sorry, check the record – I’ve blogged about the S+S move and the Microsoft problems for a year.

Apologies, Corrections and Omissions.

First, biggest apologies to Mark Crall for putting a suggestive image above his corporate logo. That was unintentional and totally inappropriate looking back. Case of wineyard swag is on its way to you.

Second, huge token of thanks and apology to my crew on the floor and people I am proud to call my friends. I am sorry that your association with me caused you issues with Microsoft Partner Program reps that will have to deal with the above for time to come.

Third, sorry to all my Microsoft friends that I have offended with the blog posts this week. I know you guys are trying your best to help partners grow their business and that your fiduciary responsibility is to Microsoft and that sometimes happens to be a tight rope walk. I don’t envy you. I don’t apologize for bringing it up, you hurt your cause with the SMB community a lot this week and my loyalty will always be to my partners and associates. I however do sincerely apologize for the way in which I have spotlighted it, it was inappropriate and a totally bad call on my part.

Overall.,

Lot’s of good things this week, lot’s of bad things this week. That’s business, sometimes things work out for the best sometimes they don’t, mistakes happen, poor judgement, best intentions – it all mixes in to split people that quit at the first obstacle they face and those that work through them to the good times. Now, it’s time for a break..

WPC Wrap with Matt Makowicz

Podcast
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OWN Partner Call 4 with Matt Makowicz served as a bit of a wrap to the festivities in Houston. If you haven’t heard any of the OWN Partner Call podcasts so far you might want to start with this one as it gives a nice sum up of the change in tone and attitude at WPC this year.

Huge thanks to Matt, Dean, Vijay, Scott and Mark for helping me bring you some of the WPC atmosphere at the convenience of your desk. Most people miss conferences and there is always that lingering question of “just what did I miss out on?” – I hope this helped fill some of the void. I got a lot of thank you emails, one very moving email from someone struggling in a tough market and downsizing that couldn’t afford to be there.. all I can say is thank you for tuning in and thank you for doing business with OWN.

Oh, and here is the RSS feed for your iPod. Submitted it to iTunes but that takes a little while.

Will the last one out please turn off the Server?

IT Business
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Let me tell you what today was like for me.

I spent four hours hours signing quotes and executing contracts while watching keynotes. Amid all the fire and brimstone that is my take on my largest vendors direction, I still sat there in my office marketing up the solutions, partners and technology that powers it.

Big fear in the partner community is that the changes mean the death of SBS. While I don’t have a leg to stand on in making an argument since I had to make the call on what to cut from our offerings in the ever growing solution portfolio – and effectively dropped an axe on SBS 2008 – I will offer you the details that lead up to our shift in direction. We ran a survey, we asked, and I have a neverending stream of email (vlad@vladville.com) from people asking if OWN can pull ___ off. My top requests are:

  1. Will iPhone sync with Exchange?
  2. We need a longer more stable LiveArchive $@%#%
  3. We need to clean up our data center and cut our power bill – vmware or can you colo?
  4. Blackberry. Please!! Pretty please!!!
  5. Our server ___ is dying and I need to move on it pronto but my budget is in the dumps.

It is not really important what is on the list. It’s clear to see that mobility and virtualization are taking over from the traditional server/desktop deployment. What is important is what is not on the list.

What we are not seeing, and what is traditionally a big ticket item, is SQL. Chalk that up to SQL 2005 variants removing size limits and bringing price functionality lower. Also count in the rise in MySQL in the SMB market, nearly all the apps we’re asked to research integrate with it.

We are not seeing massive infrastructure investments – 2007 was all about SharePoint, all about Unified Communications and VoIP systems, all about trying to add some more intelligence to the system.

Naturally, I’m supposed to throw EBS and all of the above under the bus? Right?

Not quite. You see, IT budgets get tight and the fundamentals still get the funding while the more exotic stuff waits for a better day or gets a prolonged deployment cycle. So do the math – regardless the size, everyone has an IT budget. It’s either deep in the annual business plan or at the bottom of your pockets. You’ll only spend so much.

We made a gamble that we can prolong the deployment cycle and support cycle of EBS if we continued to market it as the solution to the core of the network that is already operational.

Nobody likes to fix it if it ain’t broken but something about NT4 file servers and 2000 domain controllers is suspect to even most frugal of CIO/COOs.

Right now I am at a decision point on which route we take. We already know that Exchange/SharePoint is the second tier product, our security offerings with ExchangeDefender and something that rhymes with OutDevil are primary go-to-markets, and complex infrastructure and projects a distant third if there is a commitment to it.

Professionally, I view managed services as a commoditization force, one not quite embraced by my target market. So I’m trying to find the happy middle, between long term infrastructure clients and moving everything else to hosting because I can do better than what they have now.

So please stop the drama with the unplugging and dead on arrival – it’s apparent you’ve never seen the product when you lead into the conversation with that decision. They have a long future in the marketplace. Who will provide it and at what cost, that remains to be seen. Guess it’s up to us.

To sum it up:

Infrastructure = investment = affected negatively by economic downturn.

Hosting = service = enhanced by the economic downturn due to reduced costs, no committments, ability to downsize on demand.

Death? Not by a long shot. Challenging given the circumstances? Yup.

Grumbling over RSS Feeds

Podcast
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Gmail really needs a massive reply feature – let me can some text and send it to everyone that asked the same question.

I want you to know that I have heard the grumbling over the lack of RSS feeds for the OWN Partner Call and I intend to do something about it tomorrow. Yes, I know that if it doesn’t sync to your iPod it may as well not exist. I will fix it tomorrow.

I have one more call in the queue with Matt Makowicz who makes a pretty good case for why you’ve heard and seen far less “rah-rah” from the Microsoft WPC than usual. After that one is out, the RSS feed will come.

The OWN Partner Call has done so many fantastic things for OWN in the first three days that it has been alive and I hope that I can continue to use it to promote the people we work with because they are just fantastic.

Take it with a grain of inspiration if you are trying to do something nice for someone else too. The OWN Partner Call started as a last minute mass-mail to eight of my friends (who also happen to do business with OWN) asking them if they wouldn’t mind helping me let my partners know what Microsoft is up to. Four phone calls and maybe two dozen emails later, close to ten thousand people got to hear what WPC was like for people that feed me. You can make a difference, if you try.

Again, thank you!

Two PALs for the price of one

Podcast
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Dean Calvert and Vijay Riyait are folks you’ve heard about on this blog before, they were kind enough to explain what the PAL program is and how it works. They are also partners of mine in OWN so you know they aren’t pulling any punches.

Today they were nice enough to give me a ring live from the Microsoft WPC conference and explain the impact of the new announcements on their business. What did they think?

Click here to find out..

Thank You Microsoft

Microsoft
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As much as I can’t agree with their message and direction, I have to extend the huge kudos to the Digital WPC team at Microsoft for making the keynotes and side sessions available to the partner audience at large. To be able to sit in my office as a Floridian in a tshirt and shorts and watch the news come out live instead of through someone else’s eyes and reports has been amazing. As a partner, thank you!

Now comes the grueling task of sitting down with my team and picking apart the notes, the powerpoints, crunching numbers, designing surveys and trying to figure out how we can continue to stay one step ahead of the rest, shed the stuff that keeps us from being flexible and move forward.

I always like to take the weekend after WPC off to clear my mind a little and let the keynote euphoria wash out a little. Microsoft is great at selling themselves and their opportunity and it takes a few days to put down the Koolade, evaluate where we’re at with respect to where we could be and what we can actually pull off in a meaningful way.

Regrets: I wish I was there. WPC is about so much more than the keynotes and sessions, it’s about learning what the business possibilities truly are and learning from people that are not exactly the same as you. My boy just had his first two nights of sleeping straight through the night so in the hindsight it probably wouldn’t have killed me (as in wife with a steak knife) if I had gone. I wish I didn’t screw Mark Crall by putting an explicit image right above his corporate logo, sorry about that man. I wish we lead into WPC with a bit more of an open mind towards Apple and Google and SalesForce as it seems that trend is getting far too strong for Microsoft to ignore so neither should we.

I think Kevin Turner said it best today:

“Always bet on what your customers are telling you.”

Same to you bud. Now back to work on trying to open that conversation up, even when it revolves around something I may not like to hear.

Turner Embraces Disruption

Microsoft
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It’s always refreshing to see Microsoft be honest about where they are in this market:

We’ve embraced this disruption, we are really in a leadership position.

It’s big of them to admit that the Software + Services was not a vision or a direction for Microsoft, but rather a competitive response to the newfound dominance web apps have started to create and diminish the Microsoft’s monopoly power over the adoption of new consumer and business applications. It’s hard to stifle something that doesn’t run on your turf, so Microsoft built a business model on top of it and found a way to offer, market and commission it. As poorly executed and beta quality as it may be, this is a huge undertaking for Microsoft with almost unimaginable complexity..

… for the company that big to embrace it that quickly and move in such a different direction is nothing short of amazing. Congratulations to the Microsoft management on that one.

But then he fell back to the same ol’ Microsoft deception:

mymac

The leader in the commercial software + services space is Microsoft. We are not #1 in consumer software + services, we are strong third.

The strong third really made me laugh, I was expecting the “I’m a Mac” to jump out and join in on the dilusion of market dominance.

In case you’re wondering what “strong third” means take a look at the April search dominance Microsoft has – at 9.1% and declining!

What Kevin Turner knows, but is not discussing for obvious reasons, is that the consumer choices drive business direction. What you use at home tends to be what you want to use at work.

Why Vista?

“It is more secure today than Leopard, Linux, … and fewer patching means less cost” goes back to the message that Microsoft has been emploring it’s partners this week to do for Microsoft – please help us smash the myth that Vista is not great:

“We want to help find a way to help you evangelize and deploy Vista” begging for someone else to address it and not abandon it: “Any investment you make on Windows Vista will serve you well when the next Windows comes out” so please “Give the facts a megaphone and drive deployment!”

This makes me scratch my head a little and I just don’t get it.

Who does Kevin Turner think is his enemy here? People that don’t want Vista?

Last time I checked, customers have never heard of Vista – they only know Windows. People rejecting Vista? IT consultants, IT departments, CIOs and enterprise customers. The very stronghold of Microsoft’s evangelical choir, which is responsible for the actual deployments. Don’t look at partners, look at your advertising budget.

He even took a moment to take a shot at Oracle and imply they are in financial trouble.

Few unfounded swipes at Linux.. nothing new there.

He also took a swipe at Google: “You have to wonder about a company that has to remind itself of their slogal ‘do no evil'” and they have no partner ecosystem. Well, guess what, at 6% a month Kevin – neither does Microsoft. Not a complaint, OwnWebNow and my entire team thank you for that.

Finally, he went on to talk about how Microsoft (an expensive product by all accounts) can grow in a tough economy. For a COO he sure has to be aware of the term called “budget” and it being the key for why people are moving to cheaper or alternative solutions. To sum it up, here is what Microsoft wants from it’s partners:

2008-07-10_1121

Classy keynote all the way – but boy, what a giant, giant miss.

Group Notes for July

SMB, System Admin
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orlandoitproLast night was our monthly meeting for Orlando ITPRO and it was the first one in quite some time. We had a few hours of just plain conversations about a local data center that recently had a network down status for over 12 hours and the importance of limited SLAs when things go wildly out of your own control.

For my part I was talking about our network management for unmanaged servers. Say that five times fast. There are many networks and customers that do business with us where we are not the managed services provider (company too large, privacy issues, IT policies prohibiting external access) so things like logmein and VNC are out of question. So what tools do we use to both assure staff has no access to the passwords and critical authentication data but also that we keep our level of integrity when it comes to accessing remote systems?

TechSmith Jeng – Screen video capture to save sessions and store both for compliance and legal purposes but also send to the client for training purposes.

code4ward Royal TS – Royal TS is a consolidated remote desktop tool, looks and feels a lot like Microsoft SCVMM for virtual machines, except for managing multiple remote desktop sessions.

Accountability and flexibility… for free.