Security and storage infrastructure merging across enterprises is great news for partners says Niall King, Regional VP, APAC, Barracuda Networks.
CW: Security and Storage are your key focus domains. But big vendors like HP, Dell or niche players to the likes of Fortinet, EMC are a huge competition ?
King : In networking content security, data protection and application delivery, there are vendors -- big and small who do some part of the whole juggernaut. Barracuda is simplifying IT for the enterprises through 'easy to use' and 'easy to configure' solutions.From a one product 'anti spam' company a decade ago to twelve product lines spread across security, networking and storage.
Barracuda brings to the picture some of its core values - pricing model that is easy to understand and affordable for customers. We do not price as most vendors do -- i.e per user / per port or per application. We work closely with the end user and the channel partner to understand the sizing and the traffic requirements at a calculated price point. It has been our old successful policy because if the enterprise needs to add one more application or mail they like this pricing model.More than 50% of the customers initially buy subscription for our products for 3 years.
CW: How do you stay profitable with this unconventional pricing strategy?
King :Barracuda has twelve main products with ten models each stretching the figure to over hundred SKUs. The common hardware amongst most of them shrinks it further to almost half the number of SKUs.
The fundamental OS, I/O drivers are common and lot of codes are shared within our R & D department. We do not use customized 'off the shelf' hardware that is expensive. Also we do not do OEM for any other vendor. All this helps us to keep the costs down and therefore we can control our destiny a little bit more.
CW: Enterprises are shifting towards software than hardware appliances especially in security and storage. How do you balance your portfolio?
King : We have appliances in physical and virtual mode and offer cloud services. There is a definite pull from virtual world as the customers have lot of hardware and different applications running on VM, Hyper V.
Anti spam is more suitable for physical or virtual to share with other while archiving is probably best suited to physical mode as the dedicated devices delivers I/O , indexing, retrieval. We have customers today who have purchased Barracuda messaging archival solution in the cloud in India.
CW: Would physical appliances phase out?
King : I don't think. There will always be the need for physical appliances. A one or two person office can use cloud whereas the corporate office with 1000 odd users could use the physical appliance. The market is so large that there is room for each of the three modes of solutions to co-exist.
Sign up for CIO Asia eNewsletters.