SugarCRM: Channel Partners, Microsoft Assisting Growth

SugarCRM remains in growth mode, and channel partners are responsible for two-thirds of the open source company’s revenue, according to interim CEO Larry Augustin (pictured). Heck, even Microsoft is helping to fuel SugarCRM’s growth. Here’s the scoop.

During a podcast recording — which will debut Aug. 24 on TheVARguy.com — Augustin pointed to channel partners as the fuel for much of SugarCRM’s recent growth. He also noted that many VARs and channel partners are hosting SugarCRM for their customers, with an emphasis on vertical market customization that SugarCRM doesn’t have the time or expertise to offer on its own.

Some of those trends first surfaced in The VAR Guy’s annual Open Source 50 report, which tracks the most promising open source partner programs.

Admittedly, The VAR Guy was curious if SugarCRM was still in growth mode after the May 2009 departure of former CEO and co-founder John Roberts. At the time, The VAR Guy speculated that perhaps SugarCRM had hit a wall on growth. But intermin CEO Augustin insists 2009 is shaping up well for the company. And without disclosing specific financial results, he says SugarCRM’s most recent quarter was a particularly strong one.

Also of note: Augustin says SugarCRM continues to see strong demand from Microsoft customers, with roughly 50 percent of SugarCRM’s deployments occurring on Windows Server platforms. The SugarCRM-Microsoft relationship appears particularly strong right now, based on a recent Windows Web App Gallery Site relationship between the two companies.

Meanwhile, Augustin says the search for a permanent CEO replacement is shaping up well. For more from Augustin and SugarCRM, check The VAR Guy’s Podcast center starting on August 24.

Follow The VAR Guy via RSS; Facebook; Identi.ca; Twitter; and via his Newsletter; Webcasts and Resource Center.