Intel launches Technology Provider Programme in EMEA

With a fanfare that saw Christian Morales, VP sales and marketing group and general manager, EMEA ceremonially destroy the old partner programme logo, Intel (NASDAQ:INTC) launched its all-encompassing new “Technology Provider Programme” into EMEA.
The stage show at this year’s Intel Solution Summit in Barcelona was witnessed by 500 premier partners along with large customers, ODM, OEM and technology partners. The message was clear; Intel is going after a bigger market that moves beyond components with the aim of becoming the cornerstone of full solutions across a much wider two-tier channel.
Out with the old
The new programme is organised into three partner tiers. Entry level Registered Partners have no requirement to formally train, and have access to the launched product range along with the usual web educational material.
Gold partners will need to have at least three trained staff and will gain access to more sales tools, better training options, advanced replacement options on a certain number of failed products per year. However, there are no revenue requirements and no rebate rewards.  The Gold tier may also get slightly earlier access to upcoming technologies.
The new top tier Platinum partners, of which there are around 20 in the UK at the moment, need to have six trained and certified staff and a “value to Intel” of around $350,000 per quarter. This tier will get better access to Intel technologies earlier (under NDA), access to flagship Intel events like its Solution Summit and additional benefits such as rebates and market development funds (MDF). For Platinum, forward replacements are now unlimited.
Adding value
The term “value to Intel” is significant. In basic terms, when a partner sells finished goods, for example a HP i3 netbook or tablet with an Atom chip, Intel will credit a portion to the value calculation toward Platinum status. This could include software and even services. However, Intel is not about to start giving cash rebates on non-component items.
So far so simple, but the crucial part of the programme is that Intel is unequivocally stating it is going after a broader channel across a wider range of markets at all levels with the aim of providing more elements that make up a complete solution stack. This means from the components, through embedded, server, storage, finished goods, all the way up to the software stack. These solutions will be delivered by a channel that Intel intends to support in a more granular way. The vendor will play in new markets like point of sale, digital signage, medical equipment, home integration and many others.
The sum of the parts
It may sound a bit nebulous but the shiny new programme reflects a shift in the products, integration, acquisition strategy and most importantly mind-set.
Later in the year Intel server motherboards will grow from a handful of products and chassis to 30 of each plus nine connectivity add-on boards. Almost every conceivable form factor, layout and performance characteristic for Xeon-based architectures will be catered for.  This allows channel partners to “build to order” on a scale not seen by Intel before.
Technologies like Intel Identity Protection Technology, which will arrive in its second generation processors in May, offers a form of two factor authentication built into the chip and motherboard that allows websites to secure access against a specific device. Intel talked about potentially working with Symantec and MacAfee and (theoretical) customers like eBay, PayPal and other ecommerce sites to strengthen authentication and reduce potential fraud.
The embedded market is booming and Intel is aggressively showcasing full solutions that is has worked with ISV in areas like advanced retail interactive systems, signage and all manner of vertical applications across logistics, mobile, M2M and consumer electronics. In each, Intel provides deep integration and optimisation support for its platform to create working products and reference designs.
The recent announcement by Facebook to disclose its advanced datacentre architecture was well publicised. Behind the scenes, Intel has detailed reference designs to help others build from the floor up to the rack level and programmes to help train channel partners to do the same.
The number of hardware solutions is staggering but what is also of interest is in the higher levels of the stack. Intel has projects to offer virtualisation management down to the hardware layer, mobile device management tools coming out of its MacAfee acquisition and new encryption software that leverages its chip architectures for massive performance increases.
Programme 1.0
But every Intel executives admits, to some degree, that this is the first stage of a more inclusive channel and there are some hurdles. Morales says that Intel currently only addresses 50 percent of the possible market through distribution. The number of Intel distribution partners is almost certain to grow and probably in vertical and specialist sectors. With a bigger partner base, more markets and a channel that wants more engagement – is Intel increasing headcount? The answers are vague.
Talking to channel, distis and technology partners across ISS, all agree that the new channel centric model is a good move but as one partner quipped, “the devil is in the detail”. He points out that Intel is somewhat aloof from the hurly burley of driving the channel to sell its products and he looks for a more “face to face” Intel reps “turning up at the door” to engage with his teams to sell products like SSD and embedded systems.
Another partner feels that vertical programmes like Intel helping to educate teachers on the benefits of new technology would be beneficial in the education sector and could be applied to other verticals. Ironically, every person Channel Pro talked to heaped praise the current Intel training programme at places like its Swindon base and many are eager to see how Intel will roll out new sales training.