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 Channel Futures

Business Models


Uptime Software Picks a Fight With Nimsoft: Smart Move?

  • Written by Joe Panettieri 1
  • March 23, 2011

Uptime Software, a systems management and monitoring specialist, has launched a channel program and is taking aim at the Nimsoft partner base. Uptime alleges Nimsoft abandoned channel partners when CA Technologies acquired Nimsoft in 2010. It’s great to hear about Uptime’s channel partner program. But generally speaking, I think Uptime is making claims about Nimsoft that Uptime can’t back up.

Let’s start with the facts. Uptime Software develops systems management software for virtual server monitoring and physical service monitoring, capacity planning, and service and application monitoring. The company has announced a  new channel program for the reseller community. So far so good.

But here’s where the potential cat fight starts. In an email to MSPmentor, Uptime Software alleges:

“Recent M&A activity, specifically CA acquiring Nimsoft last year, has left a void within the reseller community in the systems monitoring space. uptime software’s award-winning product, up.time, is filling that void and will serve as an important tool in the “tool-bet” of reseller products. As companies abandon the channel, uptime software is the answer for IT departments starving for deep performance monitoring that’s quick and easy to use at a reasonable price point.”

That’s News to Me

Memo to Uptime Software: To the best of my knowledge, Nimsoft has not abandoned the channel nor the managed services market. Adds Nimsoft CEO Gary Read:

“To a certain extent it’s not worth my time to reply to their allegation. First, [uptime] isn’t even in the top 10 in terms of who we’re competing against. Our retention rates in the channel are extremely high; we haven’t seen any noticeable difference in channel retention rates since CA acquired Nimsoft.”

Nimsoft, Read adds, is generating “record bookings” each quarter by working closely with the channel and MSPs. Meanwhile, parent CA Technologies has been overhauling its software licensing models to more closely resemble Nimsoft’s MSP-friendly strategy. Moreover, nearly half of the top 20 MSPs in the MSPmentor 100 run Nimsoft. None of those MSPs has suggested to me that Nimsoft has gone direct.

Mixed History, Improving Strategy

I realize CA Technologies has a mixed history in the channel. Under former executive leadership, CA took some customer engagements direct and alienated some VARs and resellers along the way. There’s always more room for improvement but I think current CA leadership has been more channel friendly. That’s why CA hired Toni Clayton-Hine — the co-founder of Everything Channel’s IPED (Institute for Partner Education) — in 2009.

I invite uptime to describe how Nimsoft has allegedly abandoned the channel. If uptime has specific examples MSPmentor will investigate those claims for readers. I also look forward to learning more about uptime’s partner program.

Two disclosures: I’ve never heard of uptime prior to their email to MSPmentor this week. On the flip side, MSPmentor has a longstanding editorial and sponsorship relationship with Nimsoft.

Sign up for MSPmentor’s Weekly Enewsletter, Webcasts and Resource Center. Follow us via RSS, Facebook, Identi.ca and Twitter. Check out more MSP voices at www.MSPtweet.com. Read our editorial disclosure here.

Tags: Cloud Service Providers Digital Service Providers MSPs VARs/SIs Business Models RMM/PSA

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4 comments

  1. Avatar Nick Johnson March 23, 2011 @ 7:31 pm
    Reply

    First, let me be honest and say that I work for uptime software and thank you for inviting us to participate. I think you did a good describing “up.time.” up.time is deep, easy-to-use, affordable and complete IT Systems Management software that simplifies the performance and availability management of physical, virtual, and cloud servers and applications from a single dashboard. With over 850 customers in 32 countries, up.time offers the depth that large, heterogeneous infrastructures require, yet is easy and affordable enough for the mid-enterprise.

    From your disclosure, I see that Nimsoft is both an editorial partner and a sponsor of MSPmentor. From what I understand, Nimsoft is having some success in the MSP space. With that, I think it’s best to define the Partner Channel that uptime software is focusing on. We do not focus on the MSP partner market, although we do have a number of MSP customers. When we talk about a Channel, at the moment we are referring to VARS that sell on premise solutions to Mid-Enterprise companies. While we can’t provide names (some are still Nimsoft partners at the moment), we have received calls from partners that are either concerned or unhappy with the new circumstance. After all, they chose a BIG 4 alternative product in Nimsoft. Now, Nimsoft is part of a BIG 4 company.

    So, all in all, are we picking a fight with Nimsoft over their channel? No. Do our products compete, absolutely.

  2. Avatar Gary Read March 23, 2011 @ 8:41 pm
    Reply

    Weird. That’s all I can say….weird.

    Let me explain why:

    #1 Nimsoft does not sell through VARs. We may have a couple in parts of the world that we do not have offices but in general it is not, and never has been our strategy. Our partners are MSPs.

    #2 Nimsoft, while owned by CA, is still a Big-4 alternative. Clearly you don’t understand what I mean by that, but not to worry because our customers do. Hint: it’s not about ownership (most customers actually like the fact that we are owned by someone that has incredible stability and cash flow)

    Clearly you consider us a major competitive threat, while we have a very different opinion.

    The original comments about our partners came from your company, and yet you don’t want to name names. Leave me dangling….

    Gary Read
    CEO
    Nimsoft

  3. Avatar Brian Weaver March 24, 2011 @ 1:18 pm
    Reply

    I am the Market Development Manager at Ingram Micro for our Enterprise RMM solution, powered by Nimsoft. To Gary’s point, this accusation is hardly worth a reply – but I just could not let this stand without a response.

    Ingram vets its services partners extremely carefully amp; we look for leaders in their space that are dedicated to the reseller channel – and Nimsoft IS our Mid amp; Enterprise RMM provider. Since the start of our relationship (going on two years- so we were partners through the CA acquisition period).

    It goes without saying that Ingram sales are 100% through the channel. We have exceeded all expectation in our channel sales with Nimsoft and continue to see this activity accelerate. We are working more closely than ever with Nimsoft to ensure this trend continues. Selecting Nimsoft as our partner has proven to be one of the best vendor selections in our services portfolio.

    We have some larger plans with Nimsoft already in play this year, so be looking for future announcements!

    Brian Weaver
    Enterprise RMM Market Development Manager
    Ingram Micro

  4. Avatar John Quinnly March 24, 2011 @ 3:33 pm
    Reply

    And they misspelled “tool belt” in their email??? I wonder who the genius marketing person is that doesn’t proof read their emails before sending them out.

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