VMware Cloud Credits: Bringing VARs, Cloud Services Providers Together


VMware solution providers applauded this week's introduction of the company's cloud credit program, and they are looking at ways to implement the program to help them do more with cloud services.

The VMware cloud credits purchasing program, introduced at VMware Partner Exchange conference held this week in Las Vegas, is based on the premise that business users will pre-pay for credits they can later take to cloud services providers to get fast access to public or hybrid cloud services.

Dan Smoot, senior vice president of global customer operations at VMware, caused VMware partners to cheer out loud when he officially introduced VMware's cloud credits during his keynote presentation Tuesday.

 

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Partners will be selling cloud credits for other partners, Smoot said. "We'll make sure if customers need a cloud, they will get it from you," he said.

Customers can buy the cloud credits through their solution providers and then redeem them directly with vCloud-powered or vCloud data center services providers, said Geoff Waters, senior director for VMware's cloud service provider program.

This gives customers control of the cloud spend cycle and helps eliminate the problem caused by what Waters called "rogue IT spending," or the willingness for certain users to use their credit card or otherwise go around IT to get fast access to cloud resources as needed.

"This is giving IT control and allowing them to bring business value," he said during a question-and-answer session during VMware Partner Exchange.

For solution providers, selling cloud credits gives them up-front revenue opportunities, as well as a way to either offer their own cloud services or partner with other cloud services providers, thereby extending their business role and status as a trusted advisor to the cloud, Waters said.

VMware CMO Rick Jackson said that once a solution provider provides its customer with the cloud service provider relationship, there is nothing to prevent the customer from working directly with the cloud service provider, as VMware supports customer choice in providers.

However, Waters said, customers are not locked into using the cloud credits with any particular cloud services provider, which makes it important for the solution provider to work closely with their customers to maintain account control.

NEXT: Making VMware's Cloud Credit Purchasing Program Work