could be an end-to-end networking solution
and they are probably offering other
products along with the Linksys portfolio.
Another channel that is growing is the
service provider channel. Like BT in the
UK, we have Etisalat, Saudi Telecom, Du
Telecom, Ooredoo, Zain, Telecom Egypt.
With them we do two things: We work
with them to offer our consumer routers,
access points and range extenders as the
standard equipment with their broadband
subscriptions. They use Linksys products
The big advantage for
the business owners is
– they don’t have to pay
anything up front so
they don’t have to really
block their capital.
as part of their standard equipment when
a consumer subscribes to their broadband
connection in the home. They give them our
product and install it and then the Wi-Fi is
set up in the consumer home.
These service providers are also getting
into the commercial space so they offer
managed Wi-Fi Solutions to the commercial
establishments so if you are a small or
medium business what you do is you go to
the service provider to ask for broadband
connectivity. But then the service provider
is also offering a complete network solution,
they are also offering equipment for you so
they offer the entire IT end-to-end solution for
the business owner and they also manage it.
The big advantage for the business
owners is – they don’t have to pay anything
up front so they don’t have to really block
their capital. They can pay as part of their
subscription. So this is a business that is
really growing and we are heavily focused
on that opportunity. We are developing this
business along with the service providers.
So these are the four different channels
that we work with.
You work with distributors who
then go on to work with system
integrators, value added resellers
and MSPs. Is that right?
Our business model is we only work
through a distribution partner. Mostly
we have avoided going directly to the tier
two partners and we have worked with
The reason for that is pretty simple – our
distribution partners can add a lot of value
by offering local credit facilities. They know
how to move the product from Point A to
Point B in the most efficient way.
We also work with our distribution
partners because they have access to a lot
of tier two channels because they are multi-
We mostly have dedicated resources
with all the distribution partners and we
train them, we agree objectives, so we
use the distribution partners mostly on
stocking, logistics, credit to the market and
communication. With their help we also do
channel recruitment. Once we do the channel
recruitment then we take over those channels.
My team is responsible for managing those
tier two channels so we actually go in and
handhold those tier two channels in terms
of providing them with product information,
technical and sales training, marketing
development and branding.
We want them to be able to sell-out to
the end-customer. We are not focused on
pushing stock in to the channel. We spend a
lot of our resources on the tier two channel,
to train them and help them do the sell-out.
How is Linksys growing the channel?
We run technical training, bootcamps and
workshops. A typical training session starts