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Microsoft shakes up partner program

Microsoft is revamping its far-reaching partner program in a drive to boost sales to small and midsized businesses.

The company plans to introduce the Next Generation Partner Program this week at its worldwide partner conference in New Orleans. Under the new scheme, Microsoft will change the way it divides up special perks among nearly 800,000 Microsoft resellers, and software and consulting allies, said Allison Watson, a Microsoft vice president.

One purpose of the new program is to improve Microsoft's relations with companies selling software and services to small businesses. These partners are often on the small side themselves, so by taking more than sales volumes into account, Microsoft hopes to level the playing field for them, Watson said.

The software maker spends about $1.5 billion each year on partnership efforts, Watson said. Traditionally, those allies pushing the largest amount of its products out the door and those with the highest level of Microsoft training are entitled to a bigger chunk of that budget. The money goes to additional training, technical support, sales leads and marketing programs.

News source: Cnet|News.com

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