Few people realize it, but Dell is sending a Trojan Horse into Silicon Valley next week. The big hardware company–which isn’t known for innovation, software or acquisitions–will show off all three traits at a small (but strategic) conference in San Jose on September 24 and 25.

Back in July, The VAR Guy told readers to keep a close eye on Dell’s (DELL) acquisition of Silverback Technologies. Well folks, it’s time to take another close look at that deal.

Yes, Silverback specializes in managed services software. The Dell/Silverback team will attend an MSP Alliance conference in San Jose on Sept. 24 and 25. Most of the conference participants are small software companies like Autotask, Kaseya and N-able. But many big technology companies are announcing managed services strategies of their own. Symantec is set to launch the Symantec Protection Network in the next few weeks. And Cisco Systems will launch a managed service business strategy in October.

The Silverback acquisition allows Dell to leapfrog many potential online software rivals. But there’s one key problem: Some Silverback VARs may not trust Dell because of the company’s direct sales heritage. But I think Silverback signals a new mindset from Dell.

Here’s why: Millions of small businesses struggle to manage, configure, secure and maintain their notebooks, PCs and servers. Michael Dell can’t possibly hope to manage all of those customer systems from his empire in Austin, Texas.

So finally, it’s time for Dell to rely on technology consultants and integrators to service small and midsize businesses. And many of those consultants will surely want a tool like Silverback to remotely manage customer networks.

That’s a win for Dell’s fledgling software strategy, and it should also improve customer satisfaction among Dell’s small and midsize business customers.

But success won’t happen overnight. Dell must use the San Jose managed services conference to convice technology consultants that they’re strategic to the company’s success.

5 Comments on “Dell Set to Invade Silicon Valley With Managed Services”

  1. TechIQ » Archive » Live From MSP Alliance Conference Says:

    […] platform — Silverback Technologies –  is on the road promoting its managed services under the Dell banner. The VAR Guy also plans to meet with several up-and-comers in the MSP platform/services space, […]

  2. Five Trends At MSP Alliance Conference « MSP Mentor Says:

    […] 3. Dell/Silverback: I expect to see a kinder, friendlier Dell presence at the event. I’ve been a Dell customer for more than a decade. But many solutions providers remain wary of Dell’s MSP strategy. The company recently acquired Silverback Technologies, and Silverback will be here at the event — trying to assure customers that Dell is now channel-friendly. […]

  3. Do IT Smarter VP Says “Partner or Perish” « MSP Mentor Says:

    […] of note: Do IT Smarter continues to work closely with Silverback Technologies, the MSP platform provider acquired by Dell.  McKendrick noted that his company has a “partner or perish” mentality, and believes […]

  4. Johnny Kessel Says:

    I think the match makes a lot of sense from a technical perspective. Dell sells a lot of hardware. Buying a company like SilverBack allows Dell to more effectively manage that hardware and could help Dell really bolster its channel credibility by developing existing Dell resellers into managed service providers. Doing so, at least in theory, will mean more Dell hardware being sold. It will also mean that same hardware being managed by professional (we can only hope) MSPs translating into greater customer satisfaction and security.

    From a marketing perspective, this deal will likely have a very positive and long term effect for the managed service providers. It isn’t everyday that a household name like Dell acquires a company that is so steeped in managed services history as SilverBack. My personal hope is that this deal will bring greater recognition and attention to the MSP community and really solidify the name of MSPs and managed services in the mainstream business community. This is ultimately the biggest weakness of the current marketecture of the Managed Services sphere. A severe lack of Vendor education of the end consumer of managed services leaving MSP’s with stretched resources to do this.

    Read my post regarding this here.

    http://blog.kitrx.com/2007/09/managed-services-are-companies-being.html

  5. MSP Mentor » Do IT Smarter VP Says “Partner or Perish” Says:

    […] of note: Do IT Smarter continues to work closely with Silverback Technologies, the MSP platform provider acquired by Dell. McKendrick noted that his company has a “partner or perish” mentality, and believes […]

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