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Hardware makers, from Dell to HPE and beyond, are increasingly embracing as-a-service and recurring revenue business models, and Eaton is no exception. The company made a point during this week’s conference of discussing the opportunity to earn ongoing income from otherwise one-time power deals by delivering managed support with help from products like VPM and Eaton’s Intelligent Power Manager application, or services like Eaton’s PredictPulse offering.
The company introduced a new analytics platform as well this week named Brightlayer that’s designed to glean operational insights from power products, including systems from companies other than Eaton, and then feed them to a variety of potentially subscription-based solutions.
“We’re trying to bring new ways to take the information coming out of those connected products and give you a way to monetize that and turn it into something that you can sell to your end customers,” said Mike Jackson, director of offer management and marketing for data center products at Eaton, in a Partner Summit presentation.
So what about the ultimate as-a-service offering for a power quality company like Eaton, “power-as-a-service” solutions that help companies manage and optimize power consumption in exchange for recurring fees? For the moment at least, Tardy sees little promise in the concept.
“At this time, I’d say it’s probably the answer to a question that nobody is asking,” he says. “There is no real customer demand for power as a service.”
Nor is there a practical model yet for attaching power quality services to consumption-based platforms like HPE GreenLake, he adds. Don’t expect that fact to prevent other vendors from introducing subscription-based licensing programs that claim to deliver power as a service just the same, Tardy warns.
“I would call this glorified recurring revenue offerings, probably more leveraging the hype of the name, than something that’s really tangible and that partners can take advantage of,” he says.
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