With its expanded partner program, Racemi’s goal is to have 100 percent of its revenue coming through the channel.

Edward Gately, Senior News Editor

June 7, 2017

3 Min Read

**Editor’s Note: Click here for our most recent list of important channel-program changes you should know.**

Racemi, a cloud migration technology provider, has launched an expanded partner program based on the company’s new go-to-market strategy.


Racemi’s Steven Horwitz

Since recently becoming CEO, Steven Horwitz has redirected the company’s strategy to be a partner-first business, restructured its pricing model to be more “partner friendly” and launched the new partner program. The program is aimed at SIs and MSPs that “need to deliver a seamless cloud transformation experience for their clients,” the company said.

Horwitz tells Channel Partners that Racemi previously had a channel program, but it accounted for only about 40 percent of the company’s revenue. Racemi’s new goal is to have 100 percent of its revenue coming through the channel, he said.

“This change meant new pricing schemes that are partner-friendly and we have plans to expand our product portfolio beyond Amazon Web Services into additional public cloud offerings so that we can continue (to) support our partners’ needs,” he said.

The expanded program was prompted by a “huge market opportunity as system integrators and MSPs look for ways to meet customer demand around digital-transformation projects,” Horwitz said.

“Cloud spending and the number of workloads that will run in the public cloud are seeing exponential growth — we can help partners capitalize on that market movement,” he said.

According to Forrester Research, the biggest cost of moving legacy applications to new public clouds is the people involved in executing the shift. The cost of public cloud is relatively small compared to the much larger cost of labor involved, which accounts for more than 50 percent of total migration costs, it said.

“There is a huge learning curve and we saw this as an opportunity to extend our migration capabilities in the channel in a way that not only allows partners to better service their customers with our technology, but to also focus internal resources on their core competencies,” Horwitz said.

Traditionally, SIs have been used to managing hardware and data centers, while cloud is a “big departure from this infrastructure focus,” Horwitz said.

“Also, many of our partners have taken on an advisory capacity with their customers,” he said. “Now that the cloud has been validated, organizations want to capitalize on the benefits. In some cases, this means a total rewrite of applications that may have been in existence for more than three decades. Yet for nearly 70 percent of existing applications, this type of core competency that is held by SIs isn’t needed. That’s where Racemi comes in. Partners can use our services and technology, supported by transparent pricing, to rehost applications in the cloud quickly, fully optimized for compatibility and performance. One example of that is our work with DXC Technology. It was the largest migration in AWS GovCloud history — an aggressive timeline of 120 days and a complex project that Racemi handled without a hitch.”

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About the Author(s)

Edward Gately

Senior News Editor, Channel Futures

As news editor, Edward Gately covers cybersecurity, new channel programs and program changes, M&A and other IT channel trends. Prior to Informa, he spent 26 years as a newspaper journalist in Texas, Louisiana and Arizona.

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