Margins

CF: The Vultr press release is really hammering home the news about high margins. How can Vultr afford to extend high margins to partners, and can you give a range indicating what those margins are?  

SZ: From our research with pilot partners, we found most cloud industry channel programs are offering a 0-15% discount schedule dependent on the amount of the partner’s monthly spend. Vultr’s program has a 10-35% discount schedule from day one. Vultr’s lack of roadblocks from the start of the partnership allows the partner to realize gross margin wins as quickly as possible. Vultr can support these margins because we are a profitable, efficient business. It’s the same reason we can spin up new cloud data centers efficiently across the globe (we have opened five in the last five months).