The VAR Guy

Yes, Microsoft is finally polishing its Software as a Service (SaaS) strategy. In addition to playing catch-up against entrenched SaaS companies like Salesforce.com, Microsoft must also deal with a growing number of open source providers — from SugarCRM to MySQL and Sun — that have jumped on the SaaS bandwagon.

Okay, the headline is a bit dramatic. But the Sun-MySQL business combo makes The VAR Guy wonder: Will Novell wake up and start buying open source application providers … or is Novell doomed to repeat the exact same mistakes it made in the 1990s? Alas, Novell in 2008 looks a lot like Novell from a decade ago. That’s not good. Here’s why.

Sun Microsystems finally matters again. The company is buying MySQL, the open source database leader, for $1 billion. That’s huge news for Sun, systems integrators and the open source community. But this new opportunity for Sun also includes five key challenges, according to The VAR Guy. Here’s a look at those challenges, and how Sun CEO Jonathan Schwartz (pictured) will need to address them.

The VAR Guy spent most of 2007 blogging about open source start-ups and open source business models. As he looks ahead to 2008, The VAR Guy knows hundreds of open source software providers are seeking to catch on in the corporate market. Here are the top 10 open source providers and platforms that are set to succeed in 2008.

Lofty oil prices. Sub-prime mortgage woes. Financial companies (Citigroup, Etrade) stumbling badly. Ouch. Ouch. And Ouch. Whispers of a potential recession ahead continue. That made The VAR Guy wonder: If the U.S. heads into a recession soon, are open source companies better positioned to weather the storm than their closed source counterparts? Let’s take a look.

The VAR Guy is usually skeptical of software acquisitions. But IBM’s $5 billion buyout of Cognos, the business intelligence specialist, makes perfect sense. Here are four reasons why the pending deal, announced today, is a good fit for IBM.

What a difference a decade makes. In the 1990s, database partners rallied around Microsoft SQL Server because of the software giant’s channel-friendly pricing and partner strategy. Fast forward to 2007, and Oracle has somehow managed to remain king of the database market — despite gains from Microsoft and MySQL. What changed at Oracle? CEO Larry Ellison finally surrounded himself with channel-friendly executives. Oracle’s latest partner initiatives will take center stage during a major event set for November 11.

The VAR Guy isn’t looking for a new job. But if he were a channel expert (rather than a pretender), he’d send his resume into fast-growing open source companies that are seeking partner program expertise. Two prime examples: MySQL and SugarCRM both have open positions for channel veterans.