McNealy's previous predictions have been right so far. The business case for renting applications is advancing so quickly, and with such confidence, that finance directors up and down the country are starting to believe it. Less clear is where this leaves the average reseller. Most resellers have the resources to install a system and integrate it, but they are not structured to offer long-term support. That's what IT departments are for.
Some people are in no doubt about the future role of resellers.
Resellers would screw it up big time. There's an opening for smart resellers who can lead the market instead of being led by the nose by their supplier. The good resellers who can become application integrators will do well out of the ASP market. Kilpatrick previously worked at networking giant Cabletron, alongside its founders Bob Levene and Craig Benson, neither of whom were great fans of the channel. But he insists his attitude is typical among suppliers, and that a successful ASP market would be the opportunity most manufacturers have been waiting for because they cannot wait to cut the traditional resellers out of the equation.