Solution Provider Trace3 Links CIOs, IT Entrepreneurs with VCs
Trace3, a 12-year-old, Irvine, Calif.-based IT infrastructure solution provider, has kicked off a new, triangulated program that links CIOs, cutting-edge technology suppliers and venture capital firms.
Trace3, a 12-year-old, Irvine, Calif.-based IT infrastructure solution provider, has kicked off a new, triangulated program that links CIOs, cutting-edge technology suppliers and venture capital (VC) firms.
The initiative places Trace3 in the role of new technology facilitator to its customers, offering CIOs greater visibility into groundbreaking, disruptive technologies intended to drive growth and business transformation. It also gives CIOs exposure to VCs that back the technology developers. The VCs, in turn, gain insights from real end users on the technologies in their investment portfolio, while the entrepreneurs use the feedback to aid in product development.
In its early stages, the venture is zeroing in on solutions in Big Data, cloud computing, virtualization, security and converged infrastructure technologies. Trace3’s intention with involving venture capital firms is to provide a heightened look into so-called game changing, emerging answers—so far, the solution provider has partnered with VCs Greylock Partners and Andreessen Horowitz.
Chad Cardenas, Trace3’s chief innovation officer, who spearheads the program, said the solution provider’s role is to give its customers’ CIOs “early access to the next game-changing, disruptive technologies and entrepreneurs who may wind up being very successful long-term partners.” Cardenas said the program “underscores how Trace3 is making investments ahead of the business into offerings that create relevance with clients.”
Trace3 works with some 2,000 organizations and believes the idea offers an interesting twist on adding value to its customers. It views itself not only as a trusted adviser understanding a CIO’s business and IT challenges but also as a conduit to new technologies, solutions and developers that may help its customers reconfigure their businesses and gain competitive advantages they otherwise might miss.
One of those customers is satellite television provider DirecTV, whose CIO Mike Benson said the Trace3 program smoothes the way for regular meetings with Silicon Valley entrepreneurs to examine fresh ideas from emerging companies.
“We believe that building relationships with venture capital firms and entrepreneurs gets us on the right path to win the innovation race and provides an opportunity for implementing business solutions to meet business challenges at DirecTV,” he said. “Trace3 has given DirecTV the opportunity to form these VC partnerships that allow us to identify high potential, high risk, growth startup companies that will provide innovation to DirecTV.”
The program benefits VCs in that it provides an avenue for input on product development and the marketplace’s receptivity to a new technology, said Asheem Chandna, Greylock investment partner.
"Trace3 has designed a refreshingly innovative program,” said Chandna. “The briefings provide a valuable feedback loop for us as investors, while enabling our portfolio companies to gather insights from real users. These insights can help shape product development and ultimately speed the pace of adoption in the marketplace.”
