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The Indian KVM switch market is not a big one. But Harvey Ko is not
complaining about it. Simply because Aten has been registering a 50 percent YoY
growth in the country and also because it has cornered 60 percent of the SMB
business
How important is the Indian market to Aten?
At the moment, India is the most important business place for Aten in APac. This
is because for the past three years, our business has been growing by 50 percent
YoY in the country. This year, our distributor Cubix Microsystems is confident
of maintaining the growth pace with 40 percent increase in business. In fact,
Cubix was awarded the best distributor worldwide by our company recently.
After a business growth of 50 percent YoY, why are you aiming low with 40
percent?
We have been selling in India for the past seven years and the initial three
years we spent in evangelizing our brand. We started registering good business
growth only in the past three years. Since the base of business was low, it was
easier for us to register a 50 percent annual growth.
But now we have reached a plateau and the business has also grown. From here on,
we will continue to grow, but at slow pace. So though the
volume of business will be high, the rate of growth will be slower.
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Harvey Ko
Assistant Manager-Pan-Asia Sales, Aten International |
To what would you attribute your growth?
One reason for this growth could be the channel initiatives that Cubix has
undertaken. It has organized channel seminars and training programs to educate
partners about the nuances of KVM switches. We have also imparted training to
Cubix's technical staff every year. These trained members then train the rest
of the Cubix team as well as the partners.
Additionally, we held live demos for customers as well and even offered them
a free trial for a month for various solutions. This helped in building customer
confidence. This way they can use the solutions in their own enterprise
environment-test its, record it viability and then take a purchase decisions.
We are also the only KVM company to have the entire breadth of products from
the low to the high-end. Other vendors like Raritan and Avocent cater only to
the enterprise segment. We have packaged a solution for the SMB segment as well,
which has given us good impetus for growth.
Also we have a wide range of models within every KVM product family. This gives
customers a better chance to pick and choose what is ideal for their need,
rather than making do what other vendors impose on them.
Which verticals do you sell to?
We sell to all companies that have more than two servers and need server
management. But at the moment, our key focus in India, is on the SMB segment. We
have 60 percent marketshare in this vertical in the country.
Also, several of our Indian customers have standardized on Aten products and
whenever they want a KVM solution, they simply give us a call. We don't even
have to approach them.
What is your channel structure in India?
Cubix Microsystems is our exclusive distributor and they have their own channel
network. Currently they have 15 Gold or first-tier partners and over 100
second-tier dealers.
What new initiatives have you outlined for your channel?
We take good care of our channel as we know that they are very important for our
growth. In fact, India is the only market where we have offered our products at
a lower price. We have subsidized our products by 15 to 20 percent because we
want our channel to earn healthy margins. Additionally, we ensure that our
channels are well trained and educated about our offerings. This is the only way
they can pass on the USP of our products to the customers.
What new products can partners expect from Aten in the near future?
We have introduced a KVM extender, which is not exactly a switch but an
appliance that extends the offerings of a KVM switches over a distance. Media
companies primarily use this. For instance, in a TV company, the servers might
be in one room and the newsreader is in the studio and is accessing real time
information from the server.
This is where the KVM switch ensures that the information is continuously
provided to the newsreader's console.
We have also introduced a new centralized management solution for remote
server room IT infrastructure, the CC1000. It is a software-based solution for
the secured and centralized environments of datacenters, branch offices and
remote locations. It is designed for IT administrators to
effectively consolidate the management of all IP-based devices through a single
IP address.
As high-availability and zero data loss are crucial for distributed network
environments, the CC1000 offers health updates, alarms and an array of flexible
logging and reporting options with audit trails for diagnostics and
troubleshooting to help users identify potential problems. It also integrates an
on-board authentication server that provides fail over in the event of external
server or network problems.
We have also launched a KVM switch range with LCD monitors. This product has
a 15-inch or 17-inch LCD-monitor with a keyboard and touch pad and can be easily
mounted on a wall.
How big is the KVM switches market in India?
To be honest, the KVM switches market is very small. Globally it is around $1.5
billion. To my knowledge, the Indian KVM switch market in 2006 was around Rs 15
crore and it is growing at 32 percent annually.
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