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Violin Memory promises resellers a 'true channel' model

Nermin Bajric | Sept. 15, 2014
Violin Memory continues its recovery following a stock plummet on the back of its 2013 initial public offering (IPO). Stocks remain shaky but the flash storage vendor is a much better place than it was in December last year, and even as recently as May.

It has also used Independent Data Solutions (IDS) for about three years. As Violin's first local distributor, it serves the vendor as a value-added distributor (VAD), with Lynch stating that its model is inclusive of the roles of a reseller.

Lynch told ARN that Violin has no intent of consolidating to either party.

Currently, 68 per cent of Violin's revenue comes through the channel, of which only 25 per cent resembles the vendor's 'true channel' approach.

Herzog said the target is to convert its business to between 60 to 65 per cent 'real channel', with another 20 per cent fulfilment, and the rest direct.

As expected, Violin claims its direct deals are predominately the result of multi-national customer requests for a one-on-one relationship sans middle-man.


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