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HP names white box bounty

By Craig Zarley
Oct 25 2002 9:12AM
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The rebate numbers were shown to HP enterprise solution providers attending Arrow SBM's PowerTrain conference in San Antonio, Texas. As part of the new channel program, HP will pay solution providers a three percent back-end rebate on the vendor's net price when an HP desktop replaces a white-box system, said Damien Carrera, HP's North American demand tools manager.


HP's US PartnerOne program has named white boxes, not Dell, as its chief enemy, offering US reseller partners a three percent rebate for all white-box displacement deals.

In addition, HP will pay a 15 percent rebate when an HP-UX system displaces Sun Microsystems or IBM in an account, and six percent for an enterprise storage displacement.

HP will also pay rebates for accounts new to HP. In the new account space, HP will pay eight percent for HP-UX systems, eight percent for enterprise storage and eight percent for industry-standard servers.

Carrera noted that rebates are stackable, in that the solution provider, for example, could get a rebate for bringing a new account to HP and a second rebate on the same deal if the new business requires removal of competitive hardware.

"But you need to register the accounts to make sure no one beats you," he said. Solution providers need to register the account 30 days prior to product shipment. Once the account is registered, the registration and rebates are good on HP product purchases for six months.

The new account and competitive displacement rebates are available to all HP solution providers regardless of whether they have attained Platinum, Gold or Business Partner status under PartnerOne.

HP also told the conference the channel will be its first choice when additional personnel are needed to assist on services engagements.

"When our services bench is empty, we will first go to partners [for additional help]," said Debbie Dunnam, vice president of marketing strategy and alliances for HP Services in the Americas.

HP, as part of the new PartnerOne environment, would use temporary agencies for help only if a solution provider services partner couldn't fill the bill, Dunnam said.

In the past, solution providers were used to augment HP Services on an "ad hoc basis," but under PartnerOne, HP would be registering solution providers as specialists to extend HP Services' capabilities, she said. "We will work with a database of partners so we will have a playbook of where to go for help."

HP will pay the same price for channel service people as it does for Manpower staff, so there will be no temptation to opt for lower-price temp agency help, Dunnam said.

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