There’s a line from this episode that’s worth leading with: “Networking is not sexy until it doesn’t work.” That’s Doug Houghton, Director of Global Channels at Alkira, and it’s a pretty concise summary of why his company exists.

Alkira was founded by the team behind Viptela – the startup that essentially created the SD-WAN category before being acquired by Cisco. The lesson they carried out of that experience is that SD-WAN, for all its promise, still ran into the limits of underlying infrastructure. You ended up with disparate networks, latency constraints, and complexity that didn’t disappear – it just moved somewhere else.

What they built in response is Network Infrastructure as a Service (NIaaS) – a cloud-native, consumption-based global backbone that abstracts multi-cloud connectivity into a single managed plane. The pitch to partners is concrete: consolidate 50 physical firewalls into virtualized functions, reduce total cost of ownership by 40-70%, and do it without a rip-and-replace cycle.

The timing matters, and Houghton is direct about why. AI workloads – distributed large language models, agentic workflows reaching across multiple clouds simultaneously – demand a level of network elasticity that legacy infrastructure simply wasn’t designed for. Alkira’s argument is that they’re the smooth road that makes AI-driven infrastructure actually work in practice.

For Canadian partners, Alkira has real resources on the ground: a solution architect based in Toronto, a dedicated channel account manager, and publicly referenceable Canadian customers including contact center provider ContactPoint 360. The Connect Partner Program, launched in March 2026, puts approximately 20 percent total margin on the table across base discount, rebates, MDF, and POC SPIFFs – with average initial deals around $500,000 USD and typical expansion of 4x in year one. Canadian partners interested in the conversation can reach the team at [email protected].

Robert Dutt: Hello and welcome to In The Channel from ChannelBuzz.ca, bringing news and information to the Canadian IT channel community for the last sixteen years. I’m Robert Dutt, editor of ChannelBuzz.ca and your host for the show.

If you were around when SD-WAN was the big disruptive idea in networking – the promise of simplifying branch connectivity, cutting costs, getting smarter about traffic – you probably also remember it didn’t quite deliver everything it promised. Not because the technology was bad, but because the underlying network architecture couldn’t keep up. You still ended up with complexity. It just moved somewhere else.

That problem is essentially the founding insight behind Alkira. The company was built by Amir Khan and Atif Khan, the same team behind Viptela, the startup widely credited with creating the SD-WAN category before Cisco acquired it. What they learned in that experience is that SD-WAN, without a proper global backbone, just creates a different set of headaches. So they started fresh and built what they call NIaaS – Network Infrastructure as a Service – a cloud-native, consumption-based approach that abstracts the complexity of multi-cloud connectivity into something you could stand up, as my guest today puts it, with just a username and a password.

The timing is not accidental, because what AI demands from a network – elasticity, low latency, the ability to reach distributed workloads almost anywhere instantly – is exactly what legacy infrastructure wasn’t built to handle.

My guest is Doug Houghton, Director of Global Channels at Alkira. Doug has been in the channel a long time, knows the technology in a way that might genuinely surprise you coming from a channel chief, and has a lot to say about what it all means as a real business opportunity for Canadian VARs and MSPs.

Let’s get right into it, my chat with Doug Houghton.

Doug, thanks for taking the time. I appreciate it.

Doug Houghton: It’s my pleasure. Thank you for having me on today, Robert.

Robert Dutt: So you were part of the team that built up the SD-WAN market at Viptela back in the day. What did you learn there that told you the next big thing was going to be NIaaS, and why now?

Doug Houghton: First off, that’s a great question. I felt a bit like a passenger in a car racing a thousand miles an hour when we were doing software-defined wide-area networking.

What we learned was that without organizing your cloud infrastructure properly, your cloud bill gets ridiculously large – especially if you keep your control element decoupled from your data plane in the cloud with all these workloads churning. But what we really learned, and what’s applicable to what we’re now doing at Alkira, is that SD-WAN truly did deliver on its core promise. It allows customers to influence traffic based on link quality and improve the user experience. If you’re on a phone call and it starts to get goofy, you can move over to a better-performing link in real time without dropping the call. That’s powerful. And the same with data traffic.

What I hadn’t fully thought through was what happens as global companies start to adopt SD-WAN and disaggregate across locations in Southeast Asia, China, Latin America, and everywhere else. The latency back to the control element isn’t easy to contend with. So you ended up with organizations making decisions that effectively created four separate, disparate networks for latency purposes. And that was not part of the original promise.

What we learned was that you need a global backbone that’s high throughput and low latency. The edge can still be SD-WAN – there are real things in SD-WAN that people still want, whether that’s WAN optimization, deduplication, caching, policy-based routing, forward error correction. All of that still has practical application, and site-to-site communications are still needed in many use cases.

But Alkira was built inside the cloud first, employing the same principle of decoupling control plane from data plane for scale. By abstracting the cloud infrastructure, we were able to remediate the latency that those four geographically dispersed networks created. We’re the global backbone – that middle mile with high throughput and low latency – and then you connect these clusters of SD-WAN networks together and all of a sudden the promise of SD-WAN gets a lot more consumable. You have a singular network managed from a singular control plane and element management orchestrator, and you can still get all the benefits of SD-WAN at the local sites.

Robert Dutt So in plain language, a Canadian MSP or VAR is used to selling network hardware or managing someone else’s infrastructure. How is selling, deploying, and managing NIaaS different from what they’re already doing, and what makes that distinction important?

Doug Houghton: Let’s take a half step back and talk about what NIaaS actually is. It’s Network Infrastructure as a Service. What Alkira does is abstract the cloud infrastructure and build a routed overlay on top of it. We think of it as a virtualized colocation facility that connects and normalizes communications across your entire network. For managed service providers and service providers, our solution accelerates bringing their customers to cloud applications, cloud workloads, storage, and everything else the cloud promises.

The way I explain it to my mom – and I’ve told this joke once already today because I’m sitting in a partner’s office right now – is this: if you went to Russia, Japan, Argentina, and San Francisco all in one day and had to transact in each place, and you could speak the native language in each one, that would be ideal. What we focused on was normalizing communications regardless of the cloud service provider, colocation provider, data centre – private or public – or whatever type of router is at the branch office.

As an MSP or service provider that comes in, what we give to our customers and partners is a username and a password. That lets you come in and – for your old-school folks in the audience – essentially etch-a-sketch your network together. You can turn a couple of knobs, and it’s not that we’ve cranked the amp up to eleven, we’ve just removed all the numbers and automated everything. It just knows what you want to do.

It’s a routed BGP overlay with the control plane abstracted from it, so the forwarding plane can route around things like the CrowdStrike outage, or losing an AWS region – which happens more frequently than AWS would like to admit – or any cloud service provider incident. The multi-cloud reality has accelerated adoption, but it presents a new problem: you’ve got an AWS expert on staff, but you don’t have an Azure, GCP, OCI, or Alibaba Cloud expert. Those are all different languages. When I tell my mom that we normalize the communications between all the assets in the network and make it easy to connect to all of them, she gets that.

For the MSP looking to monetize something new or add another revenue stream, we offer a couple of compelling things. In the middle of our stack, we place a solution inside the cloud – sitting in a VPC, VNet, VCN, or Google VPC – right in the middle of all the cloud, SaaS, and WAN workloads. We’ve pleased a lot of customers by lowering total cost of ownership through the consolidation of network services they already have in their environment, in the form of virtualized network functions.

Take a Palo Alto firewall deployment – say you have fifty Palos out there, all talking to Panorama, with a security engineer managing policy centrally. Instead of having fifty firewalls on the ground, you consolidate them. You go from the ground – five to ten milliseconds to the nearest public cloud PoP – hop onto the Alkira fabric, and terminate that traffic on a virtual port on our exchange point. In the middle of that exchange point, sitting in a VPC or VNet, you place a Palo Alto virtualized network function. You get the IP address of the Panorama server, and if you didn’t tell the security engineer anything had changed, they would not know. The form factor changes, but not how they interact with Panorama, how they build policy, or anything about how they secure the traffic. That remains exactly the same.

We virtualize the instance and place it on a global high-throughput, low-latency backbone inside our exchange point. We deploy exchange points in HA pairs, anywhere from 100 Mbps to 40 Gbps. The customer or service provider consumes one, and we maintain the other on their behalf – because every thirty days we’re fixing bugs and doing maintenance. We swing production workloads to the backup, do the work on the primary, then reverse the order, all while keeping these customers up and running. Because we’re delivering this as a service, it has to always be on.

One of the most important architectural decisions we made from the start was ensuring those two exchange points are always running active-active in a full mesh configuration, buttressed by hundreds of other exchange points globally distributed – all synchronized and aware of each other’s states.

Robert Dutt: You’ve said that legacy networks can’t handle what AI demands, specifically in terms of elasticity. Can you unpack that a little? When an MSP’s customer starts deploying language models or agentic workflows, what is it that actually breaks?

Doug Houghton: Good question, and I’ll give you an honest answer. I’ve started to fall in love with Claude – I think it’s one of the coolest things in the world. I can do all sorts of creative things with it. But Claude isn’t talking only to me. He’s a bit of a flirt – he goes to a lot of different places to get knowledgeable about various things and produce the outcomes I’ve asked for. And those other places are where you run into problems.

I used to say the three biggest AI providers are GCP, AWS, and Azure. That’s still largely true. But the likes of Anthropic and other AI labs are distributing LLM workloads everywhere. Without the right network underneath that, it’s like buying the hottest car and driving it down a pothole-filled road.

What we offer is a high-throughput, low-latency, elastic network. If you need to turn it up in a heartbeat, you can. We helped complete the S&P Global and IHS Markit merger network integration in about a tenth of the time they expected, because we’re natively segmented. Think about those two networks as large datasets that AI agents need to access. You have to secure the traffic, and you need it to be elastic – able to reach anywhere, instantly, to produce the outcome the agent was asked for.

The ability to go anywhere on a road that’s smooth as glass, in the hottest car possible – that’s what we offer. Our network infrastructure solution is an abstraction: a forwarding plane that goes everywhere, and your imagination is really the only limitation. Speed, elasticity, and securing access – even for agentic, self-directed workflows – it’s still a critical element.

And nobody – I said this earlier today, so I’ll say it again – networking is not really sexy until it doesn’t work. If I have to get in and route-peer and manually configure transit gateways, I’m going to punch myself in the face repeatedly. I just don’t want to do it. It slows everything down. I can automate it with Terraform, sure. But I want to consume it now. I want to prompt it now. I want the outcome now.

Robert Dutt: You’ve launched Alkira NIA, your AI co-pilot and network infrastructure assistant, along with an MCP server last year. It’s interesting – you’re essentially putting AI on top of the infrastructure that’s enabling AI. What does NIA actually do for an MSP’s day-to-day operations?

Doug Houghton: Maybe I have a limited imagination, but I still use it like a utility. NIA is great because it allows you to search through all our documentation in a more organized way. We have amazing documentation – there’s a lot of it – and when you’re looking for a specific configuration or something captured in a knowledge base, that tool is really useful.

But continuing the utility theme: how do I do something? If I want to create a micro-segment to distribute to a bunch of business units, or build an isolated Layer 3 routing table and get it to various business units, and then set up billing with specific billing tags for each segment – I know how to do that because I’ve done it many times. But a new user may not. You can use the NIA agent to search the documentation, search previous implementation notes, best practices, all of that.

That’s real value. But you can also ask it something like “why is the sun bright” and it won’t return the answer you expect. I’ve done that too.

Robert Dutt: Let’s talk about the Connect Partner Program and the economics. You’ve got the Partner Profit Stack – tiered margins, quarterly rebates, MDF, SPIFFs, the Connect Pipeline Fund. It’s a full toolkit, and it’s stuff partners have seen before. What’s the real math? What does a Canadian MSP at the Premier tier actually walk away with on a typical deal after they’ve done the work?

Doug Houghton: Usually about nineteen percentage points – maybe a little more. On the pre-sale side, when we get into a POC, our Premier partners can earn a $1,000 SPIFF. We close about 85% of our POCs, so there’s real value in that. Add in the rebates and MDF access, and the total haul is closer to 20% on each deal.

Worth mentioning: we’ve been a 100% channel company since May 2022. My partner David Klubinoff, my technical counterpart – we worked together at Viptela and we started the Alkira channel together. It took a couple of weeks to convince our CEO that going 100% channel was the right call. I think he’s a believer now. We’ve driven significant revenue for the company, and our partners are our thought leaders – out in the market talking about our solution and solving customer problems.

I was in Chicago yesterday doing a technical enablement session with thirty-plus SAs and SEs. We had the classic SD-WAN questions, and a lot of questions about segmentation and M&A. There’s enormous consolidation happening in insurance, healthcare, and other sectors, and the overlapping IP address problem that comes with mergers is something MSPs face all the time. We’ve entirely simplified that. You build a NAT policy right in the solution and the overlapping IP issue is resolved within an hour.

In the case of S&P Global and IHS Markit, they thought their merger network integration was going to take a couple of years. The issue was largely the overlapping IP addresses – IHS couldn’t talk to the HR applications at S&P, and vice versa, plus all the other interdependencies. You need a fast way to solve the overlapping IP problem before you can even get to the real work. That’s been a core design element of our solution from the very start: take care of the small things, and people can move faster and get to market faster.

Our biggest MSP – and this is a publicly referenceable customer – is CEDA, a French-based organization that provides managed network services to 95% of the world’s airlines. For them, it means being able to turn up a new customer faster, connecting on-premises assets to their control elements so they can begin actually managing that network. Speed, and the efficiencies and cost reductions that come from it – that’s what it does for all MSPs. If you’re consolidating fifty firewalls into virtualized functions, you’re making a good commission, getting MDF support, quarterly rebates, and a SPIFF when you engage us collaboratively on a POC. All of that happens at an accelerated rate.

I’ve been screaming from the mountaintop about our solution for about four years. Invariably, you’d walk into a room, say “Hi, I’m Doug Houghton from Alkira,” and they’d say “Who?” That’s starting to happen a lot less, which is a genuinely nice thing. Over the last twelve to twenty-four months, the business has grown exponentially, the diversity of our partner ecosystem has increased, and partner margins have been very healthy. The tiered structure was really about celebrating partners who have invested in us.

Honestly, I’m waiting for the day my boss tells me to stop incentivizing partners – because when that happens, I’ll know we’ve hit the apex. Our partners will be generating so much revenue that someone gets uncomfortable with what we’re paying out. I can’t wait for that day.

Some of the more interesting things in the program came from actually listening. I went around and talked to a bunch of partners about their ideal partner programs and built from there. And one of the realizations – I thought it was significant – was what we were actually doing on the post-sale side. We white-glove every implementation right now, because it’s critically important to us. We haven’t lost a customer, and we intend to keep it that way. But that doesn’t scale forever.

So the question became: why don’t we help our partners productize the post-sale work? We built a product catalog, a pricing calculator, and a new partner portal we’re about to release, with its own AI agent for searching market assets. The product catalog was a light bulb moment. We pay healthy margins on the pre-sale side at every tier of Alkira Connect. But we had never touched the post-sale side at all.

We’re largely automated and NIaaS is as simple as possible to consume – a username and a password. My thirteen-year-old could configure a network, and she’s really smart. But there’s still some implementation work. You still need to build policies in Panorama. There’s still DDI work. There are still services that partners can benefit from – and all partner types, MSPs, VARs, master agents, sub-agents, service providers, now have a post-sale commission opportunity.

Robert Dutt: You mentioned services – you’ve got services attach plays around modernization assessments, segmentation design, migration sprints. Starting from zero, how long does it realistically take a partner to get their first deal with those services attached through the door, and what does the ramp look like?

Doug Houghton: There’s a lot in that question. Let’s take a half step back. We have virtual sales and go-to-market training – three modules – and then five or six technical training modules. We’ve got a lab-in-a-box environment, foundational and advanced technical training, and DDI training. Partners typically start there. Then we run regular in-person and virtual sessions – one partner has regular office hours with me, my SE counterpart David, or our architect Christopher Arenas, and we just invite partners to come and ask questions. Getting partners genuinely comfortable with the technology is the most important thing we do, because nobody goes out and sells anything unless they’re confident they can explain how Alkira solves their customer’s problem. That’s what I’m doing in Chicago today.

Our customers tend to be fairly large. We’ve got our first Fortune 10 customer now. The more complex the network, the larger and more global the deployment – multiple countries, security vendors, firewalls, DDI providers, load balancers, service providers, colos. We sit right on top of all of that.

The average sales cycle is about 190 days – a little over six months. A newly enabled partner might encounter an M&A overlapping IP use case, recognize the problem, and say “I think we can solve this with Alkira.” They go through a POC together with us, the customer commits, and that first deal closes around 190 days. A little class week: it’s actually 190 and a half.

The average deal size is about $500,000 USD. We then see significant expansion: typically 4x growth in the first twelve months after the initial close, and around 8x in the second twelve months. Real incentive to stick with it. We’re loyal – if the customer doesn’t kick the partner out, we go to bat with that partner on every expansion deal. We land, then expand, with the same partner. BNSF, one of our other public references, has expanded several times to address more and more use cases. The solution gets sticky and customers are genuinely surprised by how easy it is.

On the post-sale side, we come in and help with implementation, especially early on. But we’re reaching the point where more capable partners can handle it themselves. We’re building a post-sale certification for Alkira right now. In the meantime, we ride shotgun through the first couple of implementations – virtually in Slack or in person – until partners are fully up to speed.

All partners have access to our Slack channel, along with our entire solutions architecture and SE staff. One partner working on a Fortune 10 engagement has a great habit of putting a subject header in Slack and starting a conversation. He’s been on services at this customer for three or four months – a significant engagement. He’s the one who originally described the network as a “spaghetti mess,” which I still chuckle about. I actually built the product catalog based on those Slack headers – pulled them together, socialized them with a group of partners, got input, and built from there.

To directly answer your question: you’ve got to get through that first deal, and we’re going to ride shotgun with you through the first couple of implementations. The partner learns, gets comfortable, can monetize it, and can deliver independently from there. We have no illusions about going back to being a direct company after May 2022. It’s ride or die – 100% channel, and we enable our partners to solve their customers’ problems and support them while they do it. Because our partners have been our biggest growth engine.

Robert Dutt: You’ve talked about a goal of doubling revenue through partners. What does the ecosystem look like when you get there? This sounds like it could primarily be a GSI or large integrator play, given the customer complexity you’re describing. Or do you genuinely see a path for mid-market MSPs and VARs to build a meaningful NIaaS practice?

Doug Houghton: Another tough question. Yes, I do have GSIs as partners. We have a fairly robust and diverse partner ecosystem, and we see small shops rising up while larger shops are moving a bit more slowly, honestly. We’re still in that brand awareness honeymoon period – people are realizing our technology is compelling, getting themselves enabled. Some large partners we’ve recently brought on are still ramping. The biggest and most established organizations aren’t yet as capable as they will be, but we’re working diligently on that.

Some of our smaller partners, on the other hand – I’m thinking of a friend of mine in Utah who is just an absolute champion. He knows our solution better than almost anyone. He closed six or seven deals in the past year, supported the implementations, did it largely on his own, because he’s curious, motivated, read all the documentation, and has been through full implementation cycles with us. He works at a ten-person shop. They just happen to have really good customers, and he knows the solution cold.

So we’re at different stages with different partners in terms of maturity. The answer to your question is genuinely both. The small shop in Utah and the large national partner dedicating more resources as they see more customer problems Alkira can solve – we see wins across both. In the networking space, a six-month sales cycle is about as fast as it gets. I’m giving you a username and a password and you’re going in and connecting all of a customer’s assets together. The path exists for partners of every size.

Robert Dutt: You’ve called out Canada specifically in your expansion plans, alongside the UK, EU, and the Middle East. What does that look like operationally – localized support, a Canadian channel team – or is it more of a global platform available to Canadian partners?

Doug Houghton: Let’s talk personnel. We have a dedicated rep in eastern Canada, based out of New Hampshire, and a brilliant solutions architect just outside of Toronto. We’ve got a channel account manager – very capable teammate of mine, Savannah Stone – and the entire global solutions architecture staff accessible via Slack.

We recently closed a very significant logo in Canada – a large insurance company – and our publicly referenceable Canadian customer is ContactPoint 360, a contact centre and BPO provider. They wanted to connect their Latin American operations back to Canada and couldn’t find an effective way to do it without us. We route them through the US West region, and the results have been excellent. We’ve also added CDW Canada as a partner, and I’ve got a value-added distributor that helps with field events.

It’s not a massive footprint yet – it’s a bit of “they come first, then we build” – but there is a tremendous amount of opportunity in Canada and in Latin America that I’m genuinely excited about. Nobody’s told me no yet on spending budget, so here we go.

A great story on the Canadian side: a gentleman named Chris Thelosinos, an architect and consultant who works with others in our space, is a member at a wine shop in Toronto. During the Toronto International Film Festival last year, we hosted a wine event right next to TIFF. I don’t drink alcohol, so it was entirely about the conversations for me – and I had the best time. We had significant customers come out, and the demand for simplicity, ease of implementation, and everything Alkira does well was just as strong in Canada as anywhere else. The market need is real.

We talk about global backbone as a service all the time. Connecting China to San Francisco carries a distance and time tax, but it’s easy to configure. For organizations navigating geopolitical complexity around China access, or needing GPU connectivity in and out, we just abstract the Azure and AWS mainland China instances. They operate the same way as their Canadian or US equivalents. And you can consume it pay-as-you-go – stop using it, stop paying for it. That’s a compelling model for MSPs looking to grow into different regions.

Robert Dutt: Last question then. For that Canadian MSP who’s listened to this and is thinking, “This sounds like a real opportunity” – what’s the one thing you’d want them to take away and act on?

Doug Houghton: I’d ask them to go to [email protected] and send us a note. And I will ply them with all sorts of content – videos, learnings, deal registration information, everything they need to get started in the space.

Tongue in cheek, and also completely seriously: [email protected]. If you’re looking to grow your business as a managed service provider – managed network, managed security, managed load balancing, managed DDI, managed connectivity – we’re a really great place to start. Because it’s never unpopular to walk into a customer and solve their problem quickly and say, “I can help you with X, Y, and Z, and I can do it in the next couple of hours – and that’s going to drive a total cost of ownership savings of 40 to 70%.” Nobody ever kicks you out of the office when you say something like that.

Robert Dutt: Amazing. Doug, I appreciate you taking the time. Thank you very much.

Doug Houghton: Robert, thank you for the engaging conversation. I hope your listeners get some good stuff out of it.

Robert Dutt: There you have it – Doug Houghton from Alkira.

I’d like to thank Doug for his time, and honestly for being one of the more entertaining guests I’ve had on in a while. “Networking is not sexy until it doesn’t work” is a line I’m going to be thinking about for a while.

Thanks to you for listening as well. If this conversation sparked something – whether it’s curiosity about NIaaS, the AI infrastructure angle, or what roughly 20% total margin on a $500,000 average deal could do for your business – Doug made it easy for you to take the next step. Drop a note to [email protected]. That’s the front door. And from what I heard today, they will absolutely get back to you.

Here’s the thing that stuck with me most in this conversation: the argument that the AI moment isn’t just a software or services play. It’s going to force a reckoning with network infrastructure that a lot of organizations have been deferring for years. The partners who treat that reckoning as an opportunity rather than a fire drill are probably going to look very smart in about three years.

If you’re finding the In The Channel podcast from ChannelBuzz.ca useful, the best thing you can do is follow or subscribe wherever you get your podcasts. We’re on Apple Podcasts, Spotify, YouTube, and most major directories. And if you’re enjoying the show, ratings and reviews are genuinely appreciated – they help other people in the Canadian channel find us.

Until next time, I’m Robert Dutt for ChannelBuzz.ca, and I’ll see you in the channel.

Today’s headline news for Canadian IT solution providers:

Welcome to The Buzz from ChannelBuzz.ca, I’m Robert Dutt, today is Tuesday, April 28th, and here’s what’s happening in the channel today.

The tech industry has shed more than 100,000 jobs in the first four months of 2026, and artificial intelligence is increasingly being cited as a direct cause rather than a background factor. Meta cut 8,000 positions last week – roughly 10 percent of its global workforce – and Microsoft has made significant cuts as well. What’s notable is how explicitly the reasoning is being framed: Meta CEO Mark Zuckerberg described 2026 as the year AI starts to replace workers, not just assist them. Tracking data shows AI is directly driving nearly half of those eliminations, with entry-level and generalized IT roles taking the heaviest hit.

For Canadian solution providers, this lands in your lap in a very practical way. Your customers are watching these headlines, and some of them are going to start asking whether they still need the same level of IT headcount – or the same IT budget. That’s a double-edged conversation: on one side, a risk to managed services contract value; on the other, an opportunity if you can reframe your services around what AI still can’t do, and what happens when it goes wrong.

This one is worth getting ahead of before your customers bring it to you.

Password manager Keeper Security has released version 17.8 of its browser extension, and the headline feature is something called Verify Mode – a real-time credential validation layer that sits at the exact moment a user enters a password into a web form.

The idea is straightforward but the timing is sharp. Rather than flagging a suspicious site after the fact, Verify Mode checks the destination against Keeper’s known vault of saved credentials at the point of entry – before anything is submitted. If the site doesn’t match where that credential is supposed to go, the user gets stopped. The release also includes enhanced browser controls giving administrators tighter oversight over how credentials are accessed and used across a managed environment.

This is a direct response to the adversary-in-the-middle and ClickFix attack patterns that have been climbing the threat charts over the past year – techniques specifically designed to harvest credentials by imitating legitimate login pages. For MSPs managing credential hygiene across SMB clients, a control that operates at the human layer rather than the network layer is worth understanding. The weakest link hasn’t changed – this just puts a check on it at the moment it matters most.

Automation platform provider Pia has announced the launch of Pia Chat, a new application built directly into Microsoft Teams that aims to significantly reduce the time required to resolve client issues. The platform uses an AI Resolution Assist feature to handle incoming requests and guides users to specific SmartForms. Pia is positioning the tool as a way to enable zero-touch resolution, allowing service desks to close routine tickets in a matter of seconds without requiring human intervention. For requests that do require deeper technical expertise, the platform escalates the ticket to a technician with the full context already attached, eliminating the need for repetitive back-and-forth communication. The integration addresses a common source of operational drag for MSPs: the constant context switching between communication channels and professional services automation tools. By keeping the entire interaction lifecycle within Teams, the platform aims to cut down on human error, reduce bloated ticket queues, and free up technician time for higher-value, billable work.

Later today on In The Channel, we’re talking about why networking is not sexy until it doesn’t work. Doug Houghton, director of global channels at Alkira, joins the show to discuss Network Infrastructure as a Service and why legacy networks simply weren’t designed for the elasticity demanded by today’s AI workloads.

And if you haven’t heard it yet, yesterday’s episode features a look at the GTIA Innovate Awards with Carolyn April. We dig into why the channel needs to move beyond AI tinkering and proof-of-concepts toward strategic, revenue-generating deployments.

That’s how we’re seeing the headlines today. I’m Robert Dutt for ChannelBuzz.ca, thanks for listening. Have a great day.

When GTIA launched its inaugural Innovate Awards program earlier this year, it made a deliberate point of specifying what it was looking for: AI solutions “deployed and in production.” Not a pitch. Not a pilot. Not a Copilot rollout.

That qualifier says a lot about where the IT channel actually stands with AI right now.

GTIA’s own 2026 State of the Channel research finds that 98% of IT service providers say they’re using AI in some form. But when you look at how, you find a channel that’s mostly tinkering – individual employees experimenting with ChatGPT, engineers using Copilot for coding, no governance, nobody formally in charge. “We need to move from experimentation and informal usage to strategic usage, and then to revenue-generating usage,” said Carolyn April, GTIA’s vice president of research and market intelligence. “The folks we’ll showcase through the Innovate Awards are those that have already made those steps.”

The awards span two categories: Best Internal AI Solution and Best Customer-Facing AI Solution. The internal category, April noted, is where the more mature work is happening right now – and for good reason. MSPs who haven’t yet made AI work inside their own operations have no business selling it to customers. That’s not a philosophy, it’s just basic risk management.

Applications have now closed, and finalists will present their results – and defend them in front of expert judges and peers – at ChannelCon 2026 in San Diego this August.

Watch for those finalists. In a channel still searching for its real AI proof points, they’ll be worth studying.

Robert Dutt: Hello and welcome to In The Channel from ChannelBuzz.ca, bringing news and information to the Canadian IT channel community for the last 16 years. I’m Robert Dutt, editor of ChannelBuzz.ca, and your host for the show.

The IT channel has spent a couple of years now convincing itself it’s an AI industry. The data from GTIA’s own research tells a more complicated story. 98% of IT service providers say they’re using AI in some form, but when you drill down on that, you find a channel that’s mostly tinkering. Individual employees experimenting with ChatGPT, engineers using Copilot for coding. No formal strategy, no governance, nobody in charge. Real AI maturity is still the exception, not the rule.

The Global Technology Industry Association is responding to that gap with a new program, the Innovate Awards – and the framing is deliberate: deployed, in production, with measurable results. Not a concept, not a pilot, not a Copilot rollout. A real AI solution that’s generating real revenue or saving real money today.

Applications for these awards are now closed, and the finalists are heading to ChannelCon in San Diego in August, where they’ll have to stand in front of expert judges and defend their results. As my guest put it: it’s a shark tank, except you’re pitching the end result, not the idea.

My guest today is Carolyn April, vice president of research and market intelligence at GTIA, and the person behind the State of the Channel research – with the best view in the industry of where the channel’s AI maturity actually stands.

Let’s get right into it, my chat with Carolyn April.

Carolyn, thanks for taking the time, I appreciate it.

Carolyn April: Happy to be here.

Robert Dutt: Before we get into the program details of the Innovate Awards, I want to understand what you’re actually responding to here. When you look at where IT solution providers are with AI right now, what’s the problem or the gap that the Innovate Awards are designed to address?

Carolyn April: I think what we’re trying to do with the Innovate Awards is to show the average ITSP out there – the general population – what is currently happening on the cutting edge with AI. Right now, I think I can safely say that AI is still in its infancy in terms of real, monetized, revenue-generating solutions for the average ITSP. But there are those on the leading edge who are doing innovative things that are generating revenue for their companies. So it’s a way to sort of dangle in front of them – see that you can get there. This is happening. We like to showcase the folks who have gotten ahead of the game with AI, which is where the channel needs to go. It’s not a negotiable direction for many in the channel today. They need to be taking this seriously. It is a thing, and it’s not going away. So let’s showcase the folks who have gotten ahead of it and be a window into what is possible.

Robert Dutt: And I think it’s meaningful that the focus is on – and I think the language used is “deployed and in production” as opposed to “conceptual” or “experimental.” It feels like a pointed statement that the goal is to find what’s actually making or saving money today.

Carolyn April: Yes, that’s absolutely true. And we can look at our data here. When you ask ITSPs “Are you using AI?” – 98%, so pretty much universal, say yes. When you drill down a little more and ask how they’re using it, you can clearly see it isn’t in any strategic way. They’re using it internally, but most of the use is among individual users. People are experimenting with ChatGPT, experimenting with Copilot. Some engineers are coding with it. But there’s no formalization around that AI. There’s nobody in charge of AI within their organizations. They don’t have process, policy, or any of the governance things that really need to be in place for you to take something you’re doing internally and externalize it – start to sell it as a product or a service. So we’re really in that phase right now where we need to move from experimentation and informal usage to strategic usage, and then to revenue-generating usage. The folks we’ll showcase through the Innovate Awards are those that have already made those steps.

Robert Dutt: You’ve got two categories – an internal AI solution and a customer-facing AI solution. As you’ve been talking to people and deploying this program, where are you seeing more genuine, production-grade work happening right now? Are MSPs building this internally in their own operations, or delivering it to customers first?

Carolyn April: MSPs are definitely going the route of internal first. And they should be. It’s not a wise idea – and this is true of cybersecurity as well – to go to market as the expert in either of those disciplines without having your own house in order. You need to have deployed AI internally to do automation and create cost and process efficiencies within your own business. You don’t want to get in a situation where you’ve overpromised, or worse, delivered poorly, and lost the customer. So most of the work today among MSPs is internal.

In moving to external manifestations of that, it would be taking some of those lessons learned from internal automation and applying them to how customers can also automate services and processes. There’s a lot of work being done around the stack. If you’ve got customers on Office 365, you’re talking Copilot rollouts – that’s one of the very low-hanging-fruit beginning stages. And then there’s vendors infusing AI into existing products, so MSPs are continuing to work with the same products they already sold, only now they have an AI component.

A lot of this can all be wrapped around consulting. Customers today are saying: “I’ve heard about AI, I can’t avoid hearing about AI, but do I need it in my company? How do I use it? Please help.” They’re throwing up their hands. It’s a huge opportunity for smart MSPs to go in, be that expert, and hold their hand through it. The old saying about the channel – “where there’s mystery, there’s margin” – and there certainly is a great deal of mystery around AI, and there will continue to be for some time.

Robert Dutt: Can you give me a sense of what kinds of use cases you’re hoping to see come through with the awards? Not to telegraph the judging, but just to help MSPs understand what award-worthy looks like in practice today.

Carolyn April: There’s a lot of interpretation there, obviously, because we’re dealing with a new technology. Something that may not seem completely off the charts in terms of innovation might actually be very innovative and generate a lot of revenue and profit.

In terms of solutions – anything that elevates AI to a specific use case of the customer would be something I’d deem award-worthy. We talk a lot about vertical industries and vertical focus. An MSP or ITSP that can apply an AI technology solution specifically to the vertical their customer lives in – whether that’s healthcare, retail, or manufacturing, customizing that – there’s a unique aspect there that our judges would be very interested in.

Anything to do with cybersecurity is going to be a giant area. AI is both friend and foe when it comes to cyber – it’s a great new defensive tool, but the bad guys have those same tools at their disposal. Anyone who has figured out a good way to use AI within the cybersecurity defenses they’re setting up for customers would be a strong use case example.

And then there’s application development. AppDev has never been a big area for a lot of channel companies – they don’t typically have software engineers on staff. But with AI, it’s made it a lot easier for them to do coding themselves, so they can create their own intellectual property, their own applications. Customers can say: “We need something very specific to our company and the way we do things – how can we spin up an application quickly without a six-month software project?” ITSPs that have started to use AI in a coding context might be another standout. Those are just three examples – there are probably a lot more.

Robert Dutt: The flip side of that – what do you see as not qualifying? What’s the line between genuine innovation that’s meeting the mark for customers and something that’s still in the proof-of-concept, dipping-your-toe-in-the-water kind of phase?

Carolyn April: We’re really looking for solutions that have been deployed and are earning – generating revenue right now – and where you can measure the results. The big measuring stick is that this solution needs to be truly operational. That’s the important thing. Proof-of-concept, pilot projects – all important, because operational solutions all started there. But those are going to be less interesting to the judges who are really looking for things that are in the field right now.

And there are solutions being adopted more widely already – like helping customers AI-ify their productivity tools – that are going to be probably less exciting to the judges because they’re being done more universally. Now, if they’re customizing that in some way to create a vertical solution or an integration on top of Copilot – now that could get the interest of the judges. That’s taking it to the next level we’re talking about.

Robert Dutt: So rolling out Copilot – not so much. Doing something new, innovative, business-changing on top of it – yes.

Carolyn April: Absolutely.

Robert Dutt: A lot of MSPs and ITSPs are smaller shops. Is there a scale dimension to this? Or are we still early enough in the game that a genuinely impactful deployment from a 10-person MSP can compete on the same footing as something from a much larger player?

Carolyn April: They can compete, but right now we are seeing a gap. And it’s not necessarily because of the size of that ITSP. Just because you’re a small company doesn’t mean you can’t blow it out of the water with AI. But one of the things that’s a hindrance to companies of that size right now is not having the resources and capacity to look at AI in a strategic way. It’s a side project for a lot of these small companies.

What larger companies that are doing this well are able to do is devote the resources to formalization – assigning somebody internally, whether full-time or part-time, to be the AI maven of their organization. The one that’s really in charge of creating the AI structure, determining what the process and policies are going to be, and building governance. Until you can create governance within your company, AI will remain a side project. And as long as it remains a side project, you’ll see that gap between larger and smaller companies.

When smaller companies are able to make that strategic shift, the sky’s the limit in terms of margin and revenue. But it’s really about having the resources to get there right now.

One example: pricing models. AI is going to upend current pricing models – especially for MSPs, it’s going to change the way everybody figures out how to price things. And delivery models too. Until those things are figured out, AI will remain a side project for a lot of smaller companies, because they’re not going to be able to go to market until they’ve sorted out those bigger-picture questions. And you don’t sort those out until you have a process, a policy, and governance – and somebody strategic inside the company who’s driving that.

Robert Dutt: And there’s a real challenge too for the folks deploying – whether it’s a pure-play AI tool or baking AI into what they’re already doing – around what their economics look like. So the partner economics model kind of has to wait and react to how that shapes out.

Carolyn April: Always. That’s 100% true. And I’ll speak a little on that, because we are actually seeing in our State of the Channel research this year a decline in vendor satisfaction. It’s been very steady and very high for years – it’s still high, in the 70% range overall. But the percentage of partners who are “very satisfied” – that most superlative category – went down significantly this year. A big, double-digit decline. And the reason really has to do with some of these AI questions. As vendors are trying to figure out their own partner programs and pricing models, and until that alignment takes place between what vendors have figured out and how partners are going to react to and consume it – a lot of the partner community right now is a little bit on the fence. They’re looking around, trying to see who’s doing it best, who’s figured it out first, or whether they should move from their tried-and-true vendors and start looking at some of the newer AI vendors. There’s a huge amount of uncertainty in the vendor-to-partner relationship right now.

Robert Dutt: Can you walk me through how the judging process actually works? You’ve got both the expert evaluation and then peer voting at ChannelCon. Why that combination, and what does it do for the credibility of the outcome?

Carolyn April: I’m not in charge of the Innovate Awards itself, but I’ve sat in on meetings with the people who are, and they’re selecting very good experts from across the channel – a range from vendors to distributors, different representation – to make sure that this is a serious program that we’d like to gain traction with and do annually. These experts have a lot of experience with AI. Their companies are doing a lot with it. They’re going to be looking critically at what these ITSPs put in front of them and making sure that it’s measurable. It’s not just about a good idea – it’s about whether your good idea translated into something we can actually look at from a revenue and profitability standpoint. That’s what’s going to give it credibility.

In this first year of the awards, the goal is to have a serious critique of what’s happening among some of the more cutting-edge ITSPs doing AI, and to make sure we’re awarding those awards to those who are creating measurable solutions. The experts are going to be taking a really sharp look at what’s put in front of them. And the good thing is they get to showcase those solutions at ChannelCon – a good forum for anyone who wants to throw their hat in the ring.

Robert Dutt: It’s an interesting measuring stick, isn’t it? I think there’s a way to use the application criteria as a practical tool for MSPs who aren’t necessarily going to apply themselves – to look at those questions, look at the winners, and see what they themselves couldn’t answer confidently. If you can’t point to measurable outcomes, if you can’t describe the business impact, what does that tell you about where you actually are on your AI journey?

Carolyn April: Yes – those applying are going to have to validate and defend their solutions. They’re going to have to shark tank it as best they can. But they’re not pitching a new idea – they’re actually pitching an end result. So I’m eager to see the types of solutions that get put in front of these judges, because we are so early on right now, and I haven’t come across a huge wealth of demonstrable business cases from the channel community that are generating a lot of revenue and profit. So I’m very eager to see what these folks show up with.

Robert Dutt: For an ITSP who’s sitting on something genuinely strong – with real deployments and real results – what’s the case and the benefit for going through the effort of the application beyond the chance to hold up their hands in victory at the end?

Carolyn April: You get the victory lap, obviously, but it’s really about exposure and validation. One of the biggest knocks on channel companies since I’ve been in this business is poor marketing. They’re often not great at it. They don’t typically have a full-time, devoted marketing person on staff. Great at technical stuff, learned sales on the go – but marketing can be a weak spot. So winning an award is a key opportunity to gain exposure and promotion for your company.

It’s also an opportunity to become part of GTIA – a way for channel firms who haven’t worked within the association before to become part of a community that’s valuable in so many ways. Not just as an award giver, but as a way to meet your peers, exchange ideas, meet vendors and other members who can help elevate your business, and get access to research. You come to ChannelCon and showcase your innovation in front of companies and people you may not have known before. It’s a win-win, especially for smaller companies that don’t often get an opportunity to be in that kind of forum.

Robert Dutt: With GTIA’s global footprint – it’s right there in the name – and especially with your lens on research, what are you seeing in the North American MSP and ITSP community when it comes to AI adoption that shapes what you’re expecting to see in the submissions?

Carolyn April: I don’t think North America is really any different from some of the other things going on globally. We just had our big communities and councils forum – our event that brings together our most engaged members under the umbrella of their various global, regional, and discipline communities. And all the talk at that event really centered around AI. These are very focused, engaged companies, and they know this is an area they cannot ignore.

A lot of these companies have dug in. They are the leaders in their space. If you’re not yet involved at that level, the North American community is a great place to start, because these firms are very much pushing the envelope when it comes to AI – getting involved in understanding how cybersecurity and AI are going to relate to one another, and the consulting part of AI. That to me is really the initial big opportunity for many in the channel: to become that expert for customers who are a little at sea right now figuring out what AI means and how to apply it to their company.

Robert Dutt: My last question – as you’re thinking about the evolution of these awards over time, what does success look like for the inaugural year? What would tell you the Innovate Awards did what you hoped?

Carolyn April: Getting a good number of submissions would be number one – since it’s a new program, getting awareness out there and attracting submissions that make this a valid assessment of what’s going on. That’s always the first hurdle. And then the quality of the solutions, the quality of the companies presenting them, and the quality of the judges we can attract to sit there and determine whether a solution is truly innovative.

And then how much buzz we receive after the fact. If the people who win these awards go on to gain some cachet – that should promote it again next year. “I want to submit our solution because look what happened to Company X last year – they took off.” If it ends up being a springboard for some of these companies, that’s great for everybody involved. Those are kind of the markers of success.

Robert Dutt: It’s certainly an interesting concept for an awards program – and one that’s well-timed. As you say, it’s still nascent, but we are at the point where there are starting to be those real wins, those real material stories that can be told. I’m looking forward to seeing what stories emerge when the awards are announced at ChannelCon. Carolyn, thanks for taking the time.

Carolyn April: I had a great time. Thank you so much.

Robert Dutt: There you have it – Carolyn April from GTIA.

I’d like to thank Carolyn for her time. Links to the Innovate Awards program and the State of the Channel 2026 research are in the show notes.

A few things stayed with me from this conversation. The “deployed and in production” standard sounds obvious – but Carolyn was candid that we’re early enough in this that there isn’t yet a wealth of demonstrable business cases from the channel actually generating revenue from AI. These awards exist partly because GTIA needs to find those stories – not just to hand out trophies, but to hold them up to the rest of the industry to show what’s actually possible.

The internal-first point also landed hard. The same discipline that good cybersecurity practice demands – don’t go sell something if your own house isn’t in order – applies directly to AI. Overpromise, underdeliver, you lose the customer. Get your own operations working with AI first, then take it to market. That’s the sequence.

And as I said during the conversation: where there’s mystery, there’s margin. There’s a lot of mystery around AI right now. The question is who’s building something real with it. Watch for the finalists when they’re announced – those case studies are worth your attention.

If you’re enjoying the ChannelBuzz.ca podcast, please follow or subscribe. You can find us on Apple Podcasts, Spotify, YouTube, and most of the directories. And if you feel like it, ratings and reviews are greatly appreciated.

Until next time, I’m Robert Dutt for ChannelBuzz.ca, and I’ll see you in the channel.

Today’s headline news for Canadian IT solution providers:

Welcome to The Buzz from ChannelBuzz.ca, I’m Robert Dutt, today is Monday, April 28, 2026, and here’s what’s happening in the channel today.

Up first, A new report should be required reading for anyone in the Canadian IT channel selling security services. CDW Canada, in partnership with IDC, surveyed more than 700 Canadian IT and security professionals, and the numbers are stark.

Cyberattacks on Canadian enterprises surged 80 percent in the past year, with the average organization recording 342 incidents – up from 191 the year before. More than half of respondents – 52 percent – reported an actual breach.

Where the attacks are landing is the important detail for solution providers. Cloud infection rates hit a record 53 percent, up from 41 percent the previous year. Organizations are moving workloads to the cloud without necessarily securing them properly, and attackers have noticed.

The uncomfortable wrinkle in the data: security budgets are at a five-year high, averaging 20 percent of total IT spend. More money going in, more breaches coming out. CDW Canada’s CTO describes it as a “security maturity paradox” – organizations are buying tools, but not necessarily deploying or managing them effectively.

For MSPs and solution providers, that gap between investment and outcome is exactly the conversation your customers need to be having – and now there’s Canadian data to back it up.

Second, If you’re a Microsoft partner, you’ve got roughly three days to get your head around some significant changes to the 365 product lineup – because new bundles are landing this Thursday, May 1st.

Two things to know: Microsoft 365 E7, and Microsoft Agent 365. E7 is a new top-tier enterprise bundle that consolidates advanced security, compliance, and agentic AI capabilities into a single license tier above the existing E5. Microsoft Agent 365 is the company’s packaged answer to selling AI agents to business customers.

There’s a structural channel piece attached to this as well. Microsoft is updating its Frontier Badge and Frontier Distributor designations to align with these new agentic AI products – so if you’re holding or working toward a Frontier badge, the criteria are shifting along with the launch.

The practical reality: your customers are going to hear about this from Microsoft’s marketing engine very shortly, if they haven‘t already, and they are going to ask you what it means for them and what it means for their bills. Thursday doesn’t leave a lot of runway, so the time to do your homework on these new SKUs is right now.

And finally, One hire can tell you a lot about where a company is headed. OpenAI has brought on Colleen Kapase as Vice President of Strategic Global Partnerships, and if you’ve been in the IT channel for any length of time, that name is going to ring a bell.

Kapase spent years in senior channel leadership roles at Google Cloud, Snowflake, VMware, and Citrix – consistently building partner ecosystems and go-to-market models that work through resellers and solution providers rather than around them.

Her mandate at OpenAI is to build the company’s partner and channel operation, with a focus on Codex – OpenAI’s AI coding agent – and on creating what the company is calling an “epic” go-to-market model with partners.

This matters because OpenAI has historically moved to market through hyperscaler partnerships and direct enterprise relationships. Bringing in someone with Kapase’s background signals a deliberate shift toward a real channel program – the kind that resellers and MSPs can actually participate in and build practices around.

Whether that ultimately includes meaningful opportunities for Canadian partners remains to be seen – but the direction of travel is worth paying attention to.

Later today on In The Channel, we take a look on the value of the GTIA’s new Innovate Awards as a measuring stick for real, meaningful AI projects in the channel.

And if you missed it on Friday, check out my interview with Erin Gertner on how the company’s big Cisco 360 program update is landing one quarter after its debut.

That’s how we’re seeing the headlines today. I’m Robert Dutt for ChannelBuzz.ca, thanks for listening.

The Cisco 360 Partner Program launched in January after roughly eighteen months of co-development with the partner community. It represents one of the most significant overhauls to Cisco’s channel model in more than two decades – replacing the Gold/Silver tier structure with architecture-specific “Preferred” designations, consolidating multiple incentive programs into the new Cisco Partner Incentive, and fundamentally shifting how partner value is measured, from transaction volume toward capability depth and lifecycle engagement.

Three months in, Erin Gertner, vice president of the Partner Organization and SMB Sales for Cisco Canada, says the Canadian response has exceeded internal expectations – including on metrics Cisco had set internal targets around, like the percentage of partners achieving Preferred status. The surprise wasn’t just the numbers. Partners, she says, have been telling Cisco they appreciate the accountability around technical certifications. The Partner Value Index requirement to maintain certification levels gave partner leadership internal cover to prioritize training investments they already knew they needed to make.

On the end of Gold: Gertner acknowledges the market education challenge, but argues Preferred is actually a more accurate signal than Gold ever was – since Gold could historically be earned through volume in a single area, while Preferred reflects genuine architectural depth.

On the incentive shift: the current structure remains 90% weighted toward the “land” motion, with 5% each for adopt and renew. The rebalancing is coming, the timeline isn’t confirmed, and Gertner’s advice to partners is consistent: start building adoption and managed services practices now, because it takes years, and waiting for the incentives to change is waiting too long.

Hello and welcome to In The Channel from ChannelBuzz.ca, bringing news and information to the Canadian IT channel community for the last sixteen years. I’m Robert Dutt, editor of ChannelBuzz.ca, and as always, your host for the show.

Cisco’s 360 Partner Program was a long time coming. Eighteen months of co-development with partners, significant changes to how Cisco recognizes, rewards, and incentivizes its channel, including the end of the Gold designation that partners have built their brands around for more than two decades.

The program launched in January and we’re now at roughly the three-month mark, which means it’s a good time to ask: how’s it actually going?

Erin Gertner is vice president of the Partner Organization and SMB Sales for Cisco Canada, and she was closely involved in rolling 360 out to the Canadian market. We get into what surprised her most about how Canadian partners have responded – and some of the feedback wasn’t what she expected. We talk about what the end of Gold actually means for partners who built their reputation around it, where the incentive math is landing, and what the shift towards rewarding capability depth and lifecycle engagement looks like in practice for partners of all sizes.

There’s also a practical question at the heart of this. If you’re a Canadian partner who’s still figuring out how to position yourself in the new program, what should you be doing right now?

Let’s get right into it. My chat with Erin Gertner.

ROBERT DUTT: Erin, thanks for taking the time. I appreciate it.

ERIN GERTNER: Thank you for having me.

ROBERT DUTT: 360, the partner program – long awaited, rolled out I’m going to say eighteen months or so ago, but has been live now for a quarter. How’s it going? What surprised you on the upside, and what’s been harder in getting the program out there than you expected?

ERIN GERTNER: Yeah, it was a long eighteen months, but I’m glad we did it that way. I was telling somebody yesterday, I think we very intentionally took the hard road on evolving our partner program.

As you’re well aware, our previous partner program had been in place for over twenty years, and was very beloved by our partners. And candidly, it was wildly profitable for many of them. So I think there was a lot of angst in the machine around changes, but there came a time where we really did have to go out and evolve our program as the market has changed.

So we intentionally took the harder road, which was to co-innovate the program with our partners, versus us creating a program and pushing it out to the partner community. Early days, we got a ton of feedback from partners. We certainly made a few mistakes, but I really do think we did a great job listening to feedback from the partners and making adjustments where necessary.

Obviously, the Canadian market is quite different from my peers in the US, as an example – same thing as EMEA and APJC. And it’s hard to make a program that fits for everybody. But I do think we’ve done a good job of creating a model, and having the ability to adjust a model that takes care of the majority of our partners.

What surprised me the most was: we tried to take a really strategic approach in Canada. As I said to my team, my biggest fear at the end of this is that we have partners who say “I wasn’t ready” or “I didn’t know.” And we really operated with that in mind. So our goal was to have the majority of our partner community as ready as they possibly could be, earning either the same, if not more, with us.

We did workshops with all of our partners. We enabled our distributors. We spent a really long time sitting in front of our partner community, helping them understand what investments they would need to make to be successful, as well as what would be the payoff on those investments. Some of the asks around training and other elements of the program did require investment from the partners. So we wanted to make sure we could demonstrate to them that there was a strong outcome – that there was profit to be made should they make those investments alongside us.

The thing that actually surprised me the most is that our partner community in Canada is in very good shape in terms of being able to earn with us in the future. We had some metrics and some targets that we aspired to – a certain percentage of our partners achieving Preferred, for example – and we were able to exceed those metrics.

But actually, the thing that surprised me the most is that a lot of our partners came back to us and said, “I like the accountability you have around our technical capabilities, because a lot of this does center around getting Black Belts, as an example.” And one individual said to us, “Behind the curtains, I don’t know if our team was spending as much time as they needed to on training and maintaining our certification levels. And this has really compelled our team to ensure that they are certified in all the right technologies, and we’re having better conversations with customers.”

So I thought there would be a little more noise in the machine, and there certainly was at different points – we made those adjustments along the way – but the feedback has been overwhelmingly positive from the Canadian community. I think the team did a really good job of making sure we were hand-in-hand with our partners, because their success is so critical to us. We know if they’re not making money with us, they have choices in the market and they won’t continue to lead with Cisco.

ROBERT DUTT: So to that point – CRN in the States surveyed partners heading into the launch and found about 40% were positive, about the same number were in the wait-and-see camp, and very few – I think it was about 7% – were actively unhappy with the way things were looking going into 360. Now that the program’s live and partners have actually had a chance to see their PVI and the incentives and how it all looks to them, have you seen the mood trend in Canada? Have you started to see those wait-and-sees move toward the positive camp, or what are you seeing in terms of that momentum?

ERIN GERTNER: I mean, I think our big partners were sort of a no-brainer. A lot of them had a lot of the skills, depth, and capability that were going to be required to get them into Preferred in all the categories. So a few of them grumbled early on because they had to do a little bit more training and enablement, but they quickly hit the thresholds and they’re all in good shape.

What we’ve actually seen is our distributors took a really strategic approach to our two-tier partners, and they’ve been running a lot of workshops and working hand-in-hand with some of our smaller partners. And we’ve actually seen quite a few new partners come on board because they have the ability to be specialized in certain architectures.

For example, we’ve been recruiting more security partners, and the distis have done a great job of working alongside those security partners to help get them up and running. Because a piece of feedback we used to hear in our old program was: “It’s really hard to earn with you because we don’t want to be a network reseller. That’s not interesting for us. We’re a pure-play security partner and we’d like to continue to be a pure-play security partner. And just because it fits for you, it doesn’t fit for me.”

I think this evolution of the program has allowed partners who are pure-play security partners, or great data centre partners, to come on board and start earning rebate pretty quickly, as well as get the designation so customers know that they are deeply skilled and deeply qualified in that particular architecture.

ROBERT DUTT: From your comments a bit earlier, it sounds like partners who you expected to be hitting Preferred are hitting Preferred, and in some cases folks who you maybe weren’t expecting to hit Preferred are hitting Preferred – which is a nice little bonus. But as PVI becomes the engine of the new model, do you find that Canadian partners are generally landing where they expected?

ERIN GERTNER: Yeah, for the most part. We do have a few partners who do a lot of business with us but are smaller – just have a few employees – and they’re very critical to our business because they serve some small subsegment of the public sector, for example. Those are the corner cases that we’ve been taking back to our global team, and they’ve provided some flexibility in how we treat those partners.

Because again, when we looked at our partner landscape, we wanted to make sure everybody who plays a critical role in how we deliver our business for Cisco Canada was taken care of. For the most part, the program has fit the good majority of our partners in the Canadian landscape. For the ones where there are exceptions, or where the program doesn’t make full sense, we’ve been working with them in the background to try to figure out: can we help make an investment, or can we look at treating some of those partners in a bit of a different way to make sure they’re going to be successful with Cisco and continue to earn with Cisco?

So some of that is still underway, even though the program has already launched. We’re still continuing to tweak it and take feedback.

ROBERT DUTT: VIP was for so long the thing that partners watched most closely – the best indicator of where Cisco thinks we should be pointed. How is CPI, the Cisco Partner Incentive, actually landing now that it’s out there? Before launch, I think anytime you switch something like that, there’s always going to be the “what if we used to get X millions in rebates and now we get half of that?” Now that it’s live, how’s the math working out? And do you find partners are generally at least at parity with where they were with VIP?

ERIN GERTNER: We haven’t gotten to a point where we’ve given anybody a check yet, because we’re still in the infancy of the program. But all the feedback I’ve heard from partners so far – and we have a few partners who sit on our advisory board, so they were early in testing out those calculators and have a really good sense of where they’re going to land – the majority of those partners have said they’re tracking to the same or better from a profitability perspective.

Again, to your point around VIP, it’s always very clear where we’re leaning in and where we’re trying to go as a company based on the back-end rebates and the accelerators that follow alongside that. So I think our partners do have a good understanding of where they need to focus and what the outcome will be of that focus.

So far the feedback has been very positive from the calculator, but I guess we shall see in a few months from now.

ROBERT DUTT: Let’s talk about the end of Gold. It was such a standard for such a long time. It was well understood by partners and I think it was well understood by customers. Longview was one of the first Canadian partners to achieve Preferred in all five of the architectures, but they still flagged some concern with the fact that there’s not an easy way to signal that multi-architecture depth the same way that Gold used to in one easy packaging. For a Canadian partner that’s kind of built their brand around Gold or included that in their messaging, what’s the practical guidance in positioning their expertise to their customers now, especially looking across architectures?

ERIN GERTNER: I think you said part of it in the question, right? The fact that they are the first, and that they are Preferred in all the categories, is actually better than Gold.

I was talking about this to somebody yesterday. What is interesting about Gold – and I was actually on the sales side of our business for the majority of my career – there was always this perception that if you were a Gold partner, you were great at everything. And that was a market perception for a really long time. When in fact, when you pulled back the covers, you could be a Gold partner just by selling a lot of one thing.

So we’ve actually embarked on a marketing campaign that’s been live for a few months now – I think you probably heard about it at Partner Summit – talking about some of the change in our branding. Now when customers are evaluating our partners, or when our account teams are evaluating when to bring in partners, the fact that it’s very clear which partners have the right expertise, the ones who have made the right investments and who’ve got really deep technical depth – that’s now very clear with Preferred status versus what used to be Gold.

I think we still have some market education to do around what it means to be Preferred and the amount of investment that partners need to make to get into Preferred status in each of those architectures. There was quite a bit of chatter at some of the advisory boards about Gold going away and what they felt that meant to their business and their market. But I actually like where this program has gone because their expertise is very clear now, which wasn’t the case with Gold.

ROBERT DUTT: Gold did have this great market perception of being good at everything. It was easy to capture in kind of one word, one concept. But your point there then is that it’s easier with Preferred to express where you’re good and the breadth of that. That’s an interesting takeaway for partners.

The philosophy in the program has shifted even more so than in the previous shift – away from rewarding transaction volume, towards rewarding capability depth and lifecycle engagement. Sounds great conceptually, and I understand why it’s important, but for a partner whose business model has been built around those big infrastructure deals and landing them, what does that transition look like in practice? Is there a smooth ramp to getting that worked into the business, or is there potentially a cliff here?ERIN GERTNER: So it’s a multi-year journey to getting to a true place where our incentive programs are going to be aligned to full lifecycle. The intent of the program is to work with partners to build those skills and capabilities around lifecycle, adoption, managed services, and all the other things we’re asking them to build. But we know for some partners that is a multi-year journey, and that’s okay.

When we look at our back-end rebate structure, we are taking a slower approach. On the surface, we’re asking partners to do all these things with us and come along for the ride – but we are still incenting them very heavily on hardware resale in the near term. We want to make sure they have a very clear path and that they do understand that we’re evolving the business and we’re evolving the way we incent for good reasons. We need to do that. Adoption – especially as software continues to be a larger portion of our overall business – and lifecycle becomes even more critical over time, as well as the renewal business. But we aren’t just flipping a switch.

The intent of this program was never to punish, and it was never meant to save Cisco money. We talked a lot about how partners are so critical to our success – we want to make sure they are continuing to be very profitable with us. So we’re trying to take them on a longer-term journey and we’re not trying to make it hurt.

ROBERT DUTT: The engagement metrics right now are sitting at 90% land and 5% each to adopt and renew. I think Tim Coogan has said that that will shift over time as the market dictates, but how fast do you see that coming? Should partners be building those adopt-and-renew muscles now in anticipation of the bigger shift, or is there still some runway there?

ERIN GERTNER: I would say we need to get started now. Some of those certifications take a year or two, and building those practices – for partners who have historically sold hardware, building out an adoption practice – I mean, we did it, and it took us a couple of years to get that up and running. So building out those practices is really critical for partners.

What’s interesting about this program is that we had partners asking us to shift away from paying solely on hardware, because they were saying, “You’re asking us to go out and do all this extra work with customers to help them deliver the outcomes they’re looking for. We should be incentivized around that as well.”

So I would say: get started now. I don’t think I can speak to when our back-end programs are going to shift more to adoption and renew, because nobody has shared that with me. I’m not sure we even know – I think we want to see where our partners are on the journey.

But I would say get started now. Get yourself in a place where that makes sense. And candidly, you’re going to yield better outcomes from your customers and better renewal rates if you’ve got a great practice around that.

I was talking to a partner a few weeks ago who said, “We love the whole adoption motion. It has us having conversations we’ve never had with customers, and we’re much closer to the executives at our customer base because we’re talking about use cases and talking about whether we’re seeing success or whether we need to pivot. We’re having quarterly touchpoints and QBRs talking about whether or not what we sold them is working and they’re seeing value from it.”

So I think it’s a good motion for partners to build regardless. It will drive a different level of engagement and conversation with their customers. When we’re going to fully incentivize around it, I’m not entirely sure – but I know it’s coming. Be ready, start building that expertise now. There’s hopefully limited downside to doing so.

ROBERT DUTT: One of the things that analysts have noted about the program change is that it’s really a bet on skills first – that partner value is measured by what you can do, not how much you sell. That’s a big cultural shift, not just a programmatic one. Acknowledging that there are going to be some partners who are maybe a little bit behind the curve, and some who are ahead of you saying “what took you so long?” – how far along are Canadian partners in making that mental shift themselves?

ERIN GERTNER: I can feel [they’re] pretty far along. I think it was a bit of a shock early on because we never had any accountability in our programs around maintaining certification levels and technical depth. But our best partners have great technical expertise and a really strong understanding of our solutions and what they can deliver to customers.

And as I said earlier, some of the feedback we’re getting from partners is, “I’m glad you’re doing this – it’s holding us accountable to making sure we’re staying on top of the solutions.” Our portfolio has moved so quickly over the last couple of years. Our best partners are the ones who have great understanding of the technology and what it can deliver. So I think early on there was a little hesitation from some partners around that, but the feedback has been overwhelmingly positive in the last little while.

ROBERT DUTT: Let’s talk about SMB. The Canadian channel in market skews toward small and mid-size, and this happens to roll into your line of work as well. I’m seeing two different takes on what 360 means for smaller partners. Tiffani Bova from Futurum warned that smaller or resource-constrained partners may be sort of specialized out of the ecosystem. But Cisco’s analysis with Techaisle argues that 360 dismantles the bias toward big partners. Those are two very different reads. I’m curious what you’re seeing in the market in Canada and what’s closer to the truth in practice.

ERIN GERTNER: It’s so funny when you ask – we were joking about this yesterday on a call. When you ask one set of partners, they’ll say 360 was created for the big partners. And then you ask another set of partners, they’ll say 360 was created for the small partners. So it was really created for everybody.

I think the distis have done a really good job of leaning in with some of our SMB partners and helping them figure out where they want to play and what they need to do to be successful. They also have a lot that they can bring to bear to some of the smaller partners – for example, they’ve got a really good EA practice, and they can help augment some of those skill sets that are required for the SMB partner.

So if there is an SMB partner out there that wants to work with us, distis are really well equipped to help them get on board. And we’ve also got some incentives, programs, and specializations that are offered specifically for the SMB market.

Still, a good majority of our business happens with our big partners, but also through that two-tier channel and distribution. And we need those partners to be successful alongside us. We’ve made a lot of investments to ensure that’s the case.

Is it going to be perfect for everybody? Maybe, maybe not. But we certainly did craft the program to make sure that SMB would have an equal chance at success.

ROBERT DUTT: One of the big promises of 360 is that managed services is now treated as a standard earning motion rather than kind of an exception to the rules. How’s that landing? Are you seeing Canadian MSPs that have their operational maturity and lifecycle engagement reflected in PVI, or is there still friction to be resolved there?

ERIN GERTNER: I think it looks a little bit different, but we actually are seeing a lot of our partners go out and build Cisco Partner-Powered managed services, which I love. Due to the shift in 360, I was working with a partner a few weeks ago who’s building out a managed Meraki practice, and we’re also seeing a lot of partners starting to build up managed security with us as well.

Going through the certifications can be a little bit cumbersome, but we’ve also made quite a few investments in our partners to help ease some of that transition – especially partners who are building really great, highly relevant managed services for SMBs or for any customer base. We’re trying to offset the cost or do what we can to help them through that journey, because I know in some instances it is a heavy lift.

But the focus around managed services has actually been really good. Partners are getting thoughtful around where they can deliver value to their customer base, where there’s opportunity, and they’re coming to us proactively to build, which I love.

ROBERT DUTT: One of the neat things about the program is the fact that Meraki CMNA and CMSS certifications now actually count towards Black Belt, and that’s an important part of the program. CMNA, CMSS – it feels like a big deal for SMB-focused partners. Are you seeing Canadian partners taking advantage of that pathway and getting represented better because they have those certifications?

ERIN GERTNER: Again, everybody’s path looks a little bit different. I was just working with a small partner who’s going out and getting his CCNA and getting himself certified so he can improve his PVI score. And that’s been awesome. Having more technical people at our partners who know a lot about Cisco has been an interesting journey for them.

He was sort of grumbling a little bit at the beginning doing it, and then he said [it was rewarding [? – unclear in audio**]], being able to have a little more depth to conversations when he’s sitting in front of a customer. So we’re seeing partners take all different types of paths to get to where they need to be from a certification perspective. But again, it is certainly holding them accountable and encouraging them to get more technical depth and capability into their organization, which ultimately will serve the customer better over time.

ROBERT DUTT: The Secure AI Infrastructure specialization drove three times the enrollment of any previous specialization, from what I’ve read. What does that tell you about where partner investment is heading? Is there a risk that everyone rushes toward AI and neglects the bread-and-butter networking and security competencies? Or are we pretty much so well entrenched there that there’s the opportunity to build into the next thing and still defend the home base?

ERIN GERTNER: I keep saying to partners: there’s no AI without a network. And when we left Partner Summit, I had three partners come up and say to me, “That was my biggest aha moment of this whole thing.” Even if you’re not selling Cisco servers – which we encourage them all to do – whatever you’re doing is built on the foundation of a secure network.

So I love that people are gravitating more toward AI, because it does pull through. If I go back to the days of IP telephony, we used to joke when I was in the field, if somebody bought a phone, it pulled through PoE ports – I think AI is going to be the same opportunity for a lot of our partners. It’s going to pull through observability, it’s going to pull through security, it’s going to pull through networking. So I almost think those things very much go hand in hand together, versus standing on their own and being autonomous.

ROBERT DUTT: Finally, if you’re a Canadian partner listening to this and you’ve been in the program and getting used to it for coming up on a quarter now – what’s the one thing you should be doing right now to position yourself as the program matures? What’s the one thing you can differentiate yourself by year end?

ERIN GERTNER: That’s a great question. I think it’s going to end up being a few things.

One: make sure you have a good understanding of the program and how it works. Because again, it was intended to make sure our partners are making money working with Cisco. Profitability is number one for us in the channel. We value our partners so much. I have a partner who always jokes, “The thing I love about working with Cisco is you guys always ask us about our profitability” – and we really do care deeply and immensely about the profitability of our partners.

So to your point around VIP, you can always sort of tell where Cisco is going. I hope all of our partners have a pretty good understanding of where we are going – and if you don’t, reach out to us directly or to our distributors.

If you follow the bouncing ball on that one, make sure you are leading with a secure networking conversation, and make sure whoever you’re working with has a lot of depth and knowledge in how to leverage the program and how to work within the confines of it.

Go out there and be loud and proud of where you are with your PVI score and where you are focusing from an architecture perspective. We love that there’s a really large breadth of partners who are good at many things, or really good at one or two things – and that works for us. Again, if you need help to be successful, reach out to our teams, because we love working with our channel partners.

ROBERT DUTT: All right. Erin, thanks for taking the time, and congratulations on getting the program out there, getting it launched, getting it established. Good luck on quarter two and beyond.

ERIN GERTNER: Thank you. Thank you for the conversation. I really enjoyed that.

ROBERT DUTT:There you have it – Erin Gertner from Cisco Canada.

I’d like to thank Erin for her time on this one. A few things worth sitting with.

The feedback from the Canadian partner community has apparently been more positive than even Cisco expected – including partners who said they actually appreciated being held accountable to their certification levels because it gave them internal cover to make the training investments they knew they should have been making anyway. That’s a more honest answer than most vendor channel chiefs would volunteer.

The other thing I’d keep in mind: the incentive structure is still heavily weighted toward hardware resale in the near term – 90% land, 5% adopt, 5% renew. But Erin was pretty clear that the shift towards adoption and managed services is coming. The timeline just isn’t set. Her advice was simple: start building those muscles now, because it takes a couple of years to get an adoption practice up and running. Don’t wait till the incentives force your hand.

If you’re enjoying the In The Channel podcast, you can find us on Apple Podcasts, Spotify, YouTube, and most podcast directories. Follow, subscribe, leave a rating and review if you’re feeling generous – it all helps.

Until next time, I’m Robert Dutt for ChannelBuzz.ca, and I’ll see you in the channel.

Today’s headline news for Canadian IT solution providers:

Welcome to The Buzz from ChannelBuzz.ca, I’m Robert Dutt, today is Friday, April 24, 2026, and here’s what’s happening in the channel today.

First up: Acronis has launched Acronis GenAI Protection, a new managed service offering aimed  squarely at MSPs.

What it does is give service providers centralized visibility and control over generative AI usage across client environments. That means shadow AI discovery – finding out which AI tools employees are actually using, sanctioned or not. It means prompt injection blocking, so bad actors can’t use AI tools to manipulate systems or exfiltrate data through a chat interface. And it means sensitive data protection: preventing PII, PHI, and confidential business information from getting fed into tools that were never cleared to receive it. MSPs can set and enforce AI usage policies on a per-client basis, all from inside the existing Acronis Cyber Protect Cloud console – no separate point solution to manage or sell.

Acronis president Gaidar Magdanurov is positioning this explicitly as a revenue expansion opportunity – the idea being that MSPs can convert an invisible risk their clients already have into a billable managed service line. The market backdrop supports that framing: Omdia analyst Matthew Ball estimates that more than half of SMBs are already using AI tools regardless of IT approval, and for the most part there is no governance layer in place to manage that usage.

This is the first release under Acronis’s broader Cyber Workspace initiative, with more capabilities – AI-native threat detection, deeper workspace monitoring – described as coming. Worth evaluating now. For most MSP client bases, the shadow AI governance conversation is already overdue.

Second: Everpure – the company formerly known as Pure Storage – CEO Charles Giancarlo published an open letter to customers and partners today that anyone selling or speccing hardware needs to read carefully. The headline number is a 70 percent average price increase since the beginning of 2026 – and Giancarlo’s message is that this may not normalize for years, not quarters.

The underlying cause is AI infrastructure buildout consuming semiconductor supply at a pace that’s starving conventional storage and compute components. Everpure’s own input costs – CPUs, DRAM, and flash storage – have surged between 300 and 900 percent from mid-2025 baseline levels. Costs roughly doubled between December and January alone, then doubled or tripled again through February and March. Giancarlo is explicit that the company is absorbing a significant share of those increases rather than passing them straight through – it’s operating at the low end of its 65 to 70 percent gross margin range as a result – and the letter commits explicitly to not treating the supply crisis as a margin opportunity. That’s worth acknowledging. But absorbing part of a 300-to-900 percent input cost spike still leaves a 70 percent average increase landing on customers.

The channel-specific implications are concrete. Quote validity has been cut from 60 to 90 days down to 30, because costs are moving too fast for longer windows to hold. And Giancarlo’s warning about multi-year disruption applies broadly – the underlying DRAM and flash component dynamics affect the whole hardware market, not just Everpure’s product line. If you have proposals in flight with any significant storage or compute components, pressure-test those numbers now and get ahead of the conversation with your clients before they come to you.

And third, something from the longer end of the technology horizon: Cisco has announced a Universal Quantum Switch – a working research prototype that addresses one of the foundational barriers to practical quantum networking.

Here’s the core problem it solves. Quantum computers from different vendors encode information in fundamentally different ways – polarization, time-bin, frequency-bin, path encoding – and until now, connecting them has meant destroying the quantum information in the process. There’s been no equivalent of a network switch for quantum systems. Cisco’s prototype changes that with a patented conversion engine that can route and translate between all of those encoding types simultaneously, preserving the quantum state across the translation. It operates at room temperature on standard telecom fiber – no exotic cryogenic infrastructure required. In testing, it achieved less than four percent quantum information degradation, with sub-nanosecond switching at under one milliwatt of power.

The analogy Cisco uses is instructive: classical networking switches made the internet possible by connecting incompatible endpoints through a common network fabric. This is the same concept applied to quantum systems. The company is working with IBM, Qunnect, and Atom Computing toward a fuller quantum network stack.

To be direct about where this fits for the channel: it’s a research prototype and it won’t appear on a quote sheet this year or next. But for those with public sector, defence, or financial services accounts where quantum is starting to surface in security and infrastructure conversations, the practical timeline on distributed quantum networking is compressing faster than the industry has generally been tracking. This is meaningful progress, and it’s worth knowing about.

Later today on In The Channel, we’ll be discussing Cisco 360, three months in with Cisco Canada channel chief Erin Gertner, and looking at why Canadian partners are responding better than expected to the program’s rollout.

And if you haven’t heard it yet, yesterday’s episode features Dell Technologies vice president of global partner marketing Eric Arcese discussing the AI Factory and why the gaps around it are the real opportunity for the channel.

That’s how we’re seeing the headlines today. I’m Robert Dutt for ChannelBuzz.ca, thanks for listening. Have a great day, and an even better weekend.

Dell Technologies vice president of global partner marketing Eric Arcese joins In The Channel ahead of Dell Technologies World, and his central message for Canadian partners is worth sitting with: the AI Factory is Dell’s story, but the seams around it belong to the channel.

Arcese describes looking at the Dell AI Factory with NVIDIA topology slide at a recent Dell Tech World and seeing the “gaps, the seams” – the services, the data work, the outcome-level integration – as the real opportunity for partners. As enterprise AI adoption moves beyond hyperscaler buildouts into mid-market and commercial customers, those gaps are where Canadian MSPs and VARs have natural advantages: proximity to the customer, industry intimacy, and the ability to make the technology real.

On the VxRail-to-Dell Private Cloud transition, Arcese frames the shift around the economics of AI – disaggregated infrastructure lets customers independently scale GPUs, storage, and networking for specific workloads. Hypervisor choice is preserved across Red Hat, Microsoft, VMware, and others, and partners building Dell Private Cloud practices can access up to 10% incremental incentives.

The AI PC conversation moves past the usual productivity pitch. With over 500 million PCs still running Windows 10 and enterprise fleets averaging three to five years old, the refresh is as much a security imperative as a performance one – a stronger entry point for MSPs already in the endpoint security conversation with their customers.

The episode closes with a preview of the Global Partner Summit at Dell Technologies World, May 18-21 in Las Vegas. Demand signals replacing traditional leads, AI-assisted quoting and deal registration, a “modern partner-centric transaction ecosystem” – the “simple, predictable, profitable” mantra is getting operational substance. The details come in May.

Hello and welcome to In The Channel from ChannelBuzz.ca, bringing news and information to the Canadian IT channel community for the last 16 years. I’m Robert Dutt, editor of ChannelBuzz.ca, and your host for the show.

Dell Technologies World is coming up in May, and for the Dell partner community, it’s the biggest event on the calendar – the place where the direction for the partner program gets set for the year ahead. As we head toward that, there’s a lot for Canadian resellers and MSPs to be thinking about. The partner program has been evolving. The shift from VxRail to Dell Private Cloud is still very much unfolding. The AI infrastructure opportunity is reshaping what customers expect and what partners are expected to deliver. The question of where a Canadian MSP or VAR actually fits into all of that – that’s a real and pressing one.

To help me make sense of it, I sat down with Eric Arcese, Vice President of Global Partner Marketing at Dell Technologies. Eric’s been in the industry for over 25 years, with roots going back to the EMC era, so he’s been watching and shaping how the Dell partner ecosystem operates for a long time. We talked about where partners fit in the AI story, the VxRail transition, the AI PC refresh, and what you can expect from the Global Partner Summit in May.

Let’s get right into it, my chat with Eric Arcese.

Robert Dutt: Eric, thanks for taking the time. I appreciate it.

Eric Arcese: Thanks, Robert, for having me.

Robert Dutt: You’re the Vice President of Global Partner Marketing at Dell. Can you give me a sense of what that actually means day-to-day? What are you responsible for, and what does the Dell partner community look like from where you’re sitting?

Eric Arcese: Well, the partner community has been a tremendous growth engine and a critical and existential part of our go-to-market in everything that we do. We have partners around the world, we have some of our very best in Canada, and our partners really bring our technology to life with our shared customers around the world. We can’t do what we do in the market without the phenomenal partners that we have.

In my role leading global partner marketing, that is to make sure that our story resonates, that we’re bringing that value proposition to life for our partners. They have choices, just like customers do, each and every day – who they’re going to invest in, who they’re going to work with, what they’re going to focus on learning, how they’re going to enable their sellers, their pre-sales folks. And we want to make sure that our partners feel really good about working with us, building businesses with us, developing practices with us, and ultimately growing with us in the markets that they serve for the customers that we collectively support.

I love what I do. I’ve been in tech for over 25 years, here at Dell for over 25 years as well, and I could not think of a place I would rather be. Supporting our very best partners in Canada and around the world, and all that we do – that’s a little bit about what I do. I work very closely with my team around the world, and with our regional marketing folks as well, to make sure that that last mile of what we deliver for partners is well-aligned and adds value to partners in the ecosystem. So that’s a little bit about what I do, Robert.

Robert Dutt: I feel like 2026 is a bit of an inflection point for the partner community writ large, and the definition of a Dell partner seems broader than it’s ever been. You’ve talked about partners moving beyond reselling into being architects, advisors, ecosystem builders – all that kind of good stuff. What do you see as the state of the Dell partner community right now, and how have you seen that picture change over recent months, and I guess the last year or two?

Eric Arcese: Robert, you and I have both been in tech for the last couple of decades, and there have been different chapters, different inflection points. What we’re seeing now is a moment like we’ve never seen before. This is obviously all driven by AI, but it puts infrastructure, solutions, integrations, and outcomes at the forefront of everything that our partners deliver and everything our customers are demanding. So we’re in this moment that’s existential in tech and everything that we do, where we need to accelerate time to value with infrastructure.

And when it really dawned on me, Robert – it was a couple of years ago, at a Dell Technologies World; you might have been there too. We had this announcement, and we called it the AI Factory

with NVIDIA. And we had a picture on a slide – like so many of you have seen, with a chevron – data coming in on one side, use cases and business outcomes on the other, but layered through all of that, you had services, AI, software, infrastructure. And there were gaps when I saw this slide, and I was thinking to myself: the gaps, the seams, that’s where the opportunity lies for our partners around the world.

Dell is the infrastructure provider of choice. We are the leader in everything that we provide – right from commercial PCs, to storage, to servers, AI servers – and stitching it all together through the topology upon which we develop those outcomes creates a huge opportunity for our partners. So that’s what gets me really excited about the moment. We’re meeting the moment. Our technology is meeting the moment, our partners are meeting the moment, and we’re working each and every day with those partners to deliver real AI-driven outcomes around the world.

And some customers get it – and those that don’t, won’t be here very long. So there is this urgency, and we see that in our demand across the board. And I won’t go into earnings from last year, but you’ve probably seen that the year that we just posted, we’re seeing that come to life in every market. We’re seeing that in Canada, no doubt about it as well. It’s hard not to get excited about it. This is a very special time indeed.

Robert Dutt: So the AI Factory – definitely been a centrepiece of the story for the last couple of years, as you point out. When I look at it from the perspective of my audience – from the MSP or the VAR serving mid-market and SMB customers – the massive GPU cluster buildouts feel like they’re kind of happening somewhere else. Can you help me fill in the story for the regional partner who isn’t doing hyperscale deployments and where they fit into the AI infrastructure story at this point?

Eric Arcese: It’s a great question. I think that’s a little bit of the elephant in the room, right? The first couple of years, it’s like – yeah, you’re reading about these multi-billion-dollar deals, but where are they happening? And those deals were happening at the hyperscale level. The next question is: when is there enterprise AI adoption? When does a traditional enterprise customer really start embracing AI at every level?

And you know what? We’re seeing that now. The trajectory of that growth is accelerating, and it’s terrific to see. To your point, Robert, those first couple of quarters, first year or two – the question was: what about enterprise adoption? And that’s where our partners are incredibly well positioned to make it real. What are the outcomes? What are the use cases? What are the business processes we’re going to focus on to bring that infrastructure to a place where it’s adding real value? The people in that workflow who make that real – that’s our partners. Dell’s partners.

Because our partners in Canada are incredibly intimate with the industry, the customer, the use cases, the business priorities – whether it’s in the public or private sector. We’re providing that infrastructure at Dell Technologies, but our partners are making it real because they have that intimacy. They’re pressing the flesh, they’re working with customers each and every day, they know what those priorities are, and they can reconcile where those investments need to be made to help accelerate time to value.

So with all of that comes a massive services and consulting opportunity. It’s not just the infrastructure – it’s the value-added services that our partners are building upon that infrastructure. And we’re seeing some terrific practices getting built with our partners around the world. When we work together, we win together, and we’re seeing that each and every day.

Robert Dutt: Can you make that just a little bit more concrete for me? What are the consulting-type services you see partners bringing to bear right now – especially for that partner serving, let’s say, a 500-person financial services firm? Just to set an example of a mid-market-type opportunity where there may be an AI Factory angle, but it’s not the hyperscale wheelhouse.

Eric Arcese: You know, if you think about it – four or five years ago, you and I would be having this conversation and it would be about a cloud-first model, and then we’d probably evolve into hybrid cloud, using public or private cloud based on the right workload. Now the way we think about it, it’s not a cloud-first model. It’s more around data. It’s the data model. Making sure we have the right data on the right workload, because if you plug an LLM or any AI-driven workload or a GPU behind suboptimal data, you’re going to get suboptimal outcomes.

So when we think about where a partner is going to focus – irrespective of the industry, whether it’s public sector, banking, telco, manufacturing – I think starting with a real inventory of what that data topology looks like, and what the business outcome is that we’re looking to achieve. And no matter what industry the customer is from, one quickly realizes they’re all in the data business.

Our partners can, number one, do a great assessment of where that critical data is and where it’s living. And number two, marry that data to the right business outcome in terms of what they’re trying to deploy. So I think it really starts with the data, and building practices that understand the workload, the industry, the vertical, and the data – that is key. And that creates a lot of opportunity. We talk about servers, storage, client, PCs, and networking all the time, but that is where that data is going to live, and we’re going to build that AI practice off of it.

That initial assessment – where an AI practice starts – all begins with data, Robert. It’s really having that data-informed conversation. And then a lot of this is a change in mindset, in terms of what you’re doing with that data and what the expectations are.

Robert Dutt: All right. From one reference architecture to another – talk about the transition from VxRail to Dell Private Cloud. Michael Dell’s been pretty direct about the direction. And I know you have roots going back to EMC, so it might be a bit personal. But for a partner who’s built a real practice, a real business, around VxRail over the last decade – what does that transition actually look like, and where do you see the services opportunity opening up as customers make that move?

Eric Arcese: Robert, it’s such a great question. Because for years we talked about converged infrastructure, hyperconverged infrastructure – packaging, which made a lot of sense. You package a pre-architected and engineered system and you deliver it, to drive an accelerated business outcome. Time to value of infrastructure. The industry, with our partners, built a multi-billion-dollar business and a new market that was very well received.

Then you wake up a couple of years later and now we’re talking about disaggregated infrastructure with Dell Private Cloud. And one may wonder: wait a second – we thought it was all about putting it all together and delivering it with speed. What’s changed?

And I had to ask myself the same question, Robert. What’s changed? Well, the economics of AI have changed. The centre of gravity in terms of what is needed for these AI outcomes has been driven by a huge development – and that development is the GPU. The GPU is the accelerator of all the processing. And sometimes you need more GPU investment than you would need in storage, than you would need in client. You still need them across the board. So when you think about that economic backdrop of AI, the economics lend themselves to a more disaggregated infrastructure where you can dial up storage, server, networking, depending on what is needed for that specific workload, LLM, or AI platform that you’re rolling out.

Also – customers want choice. They don’t want to be locked into one hypervisor. Maybe they want to work with Red Hat. Maybe they want to work with Microsoft. Maybe they want to work with VMware – they’re a VMware shop. Maybe they want to work with Nutanix. Allowing customers to have that choice empowers them, but it also creates opportunity for our partners, to your point, Robert. Because our partners are ultimately going to help our shared customers navigate those choices and reconcile those priorities from a hypervisor perspective, to optimize whatever application they’re rolling out.

So it’s really about customer choice. And for me, the coolest thing to see is how quickly this has evolved. We’re doubling down on customer choice. Partners earn up to 10% incremental incentives. We’ve really built a program to drive profitable practices around Dell Private Cloud and strengthen and deepen those relationships. So we’re seeing this real shift from pre-packaged hyperconverged infrastructure to disaggregated infrastructure that’s truly optimized and tailored to Dell Private Cloud. Very exciting to see, Robert.

Robert Dutt: Pivoting to the device side of things – the AI PC refresh is a significant cycle for the channel right now. For the Canadian VAR or even an MSP selling into the commercial market, what’s the marketing story that you’re giving them to make that conversation land? Especially with customers who are already stretched on IT budgets and might be looking at that three-year-old PC and saying, “good enough to get me through another year.”

Eric Arcese: It might be. But it probably isn’t. And it’s not just the productivity benefits you’re going to see with an AI PC – it’s the security requirements that we’re all going to need. Because AI is terrific for the good, but it has also empowered the bad actors to get to where we work every day.

Last year was all about the tech refresh from Windows 10 to Windows 11. We still have over 500 million PCs running Windows 10, and enterprise fleets averaging three to five years of age. So customers definitely need to act on that – to bring that AI capability to the edge, but also to meet the security requirements we need to protect that edge from reaching into the core.

We started naturally in the data centre in our conversation today, Robert, but that edge – where are you working every day? What are you touching every day? It’s your PC. That’s your workforce. That’s what’s in front of you, whether at work or at home. And there’s just a tremendous opportunity there for our partners.

We’re the number one commercial PC provider in the world, and it starts with what’s in front of you each and every day. We’re excited about that opportunity. That hasn’t gone away. We had a terrific CES, and there’s just more greenfield opportunity for our partners in Canada to win with Dell’s PC portfolio.

Robert Dutt: Bouncing around a little bit from topic to topic here – you guys made some program changes for 2026, as most vendors are wont to do from time to time. The Titanium incentives probably being the most visible of them, but there’s also this broader “simplified, predictable, profitable” philosophy underneath it. From a marketing standpoint, what’s the message you most want partners to internalize about what Dell is committing to this year?

Eric Arcese: One of the things I love about partner marketing, Robert, is the work is never over. And you can appreciate that – you’ve been in the channel just as long as I have. The work of creating a simple, predictable, profitable motion for our partners really never ends, because everything we talked about just keeps evolving.

We want to make sure we have a simplified motion – taking friction out of the system. We want to make sure it’s predictable: you know what you’re going to get, you know how we’re going to engage with you. And it’s profitable: you want to make sure that you’re making money working with Dell Technologies in Canada.

So we’re doing a lot around demand signals – how do we accelerate what used to be a lead, which is now a demand signal, the outcome of many different predictive analytics and data points on the markets that we serve with our partners. We want to make sure we’re simplifying that lead management and fostering seamless collaboration in that motion.

We also want to make sure that from a deal reg perspective, we are managing opportunities together and protecting where our Canadian partners have invested. We want to do all of that to accelerate engagement, simplify processes, and empower our Dell sellers with a smarter and streamlined motion. And then quoting and buying – we want to make sure we are priced to win across the board, and we’re building a modern, partner-centric transaction ecosystem that connects product discovery to order management in one end-to-end platform. You’re going to be hearing more and more about that in the months to come. I think you’ll be at Dell Technologies World with us, so I’m excited to share more there.

That mantra of simple, predictable, profitable – that work never ends. We’re seeing the fruits of our labour here and the success we’ve had in Canada over the last couple of years. And we’re really proud of the work that we’ve done. We’re very grateful and humbled by so many amazing partners in Canada that have really doubled down on Dell across the board, across the portfolio. Because when you have a great program that rewards the right investment, and you have wonderful people – I love the alliteration of portfolio, program, people – there’s nothing you can’t do. When we work together, we truly are winning together in Canada.

Robert Dutt: To your point that it never ends – it just keeps evolving. You rightly pointed out we’re not too far away from Dell Technologies World, and the Global Partner Summit is a big part of that. There’s been some preview of a new integrated partner experience that sounds like it goes beyond a typical program update. Without asking you to scoop your own announcements – although if you want to, please feel free.

Eric Arcese: Ha – I’ll be good. I’ll do my best.

Robert Dutt: What’s the problem you’re aiming to solve for partners with this platform approach? What’s the philosophy behind what we’re likely to see roll out in the near future?

Eric Arcese: What we talked about – meeting the moment – it is a truly special time. And we want to make sure our partners have the speed to deliver what we collectively need to for our shared customers, and the scale to do it across every market, across every part of our portfolio, across every partner type.

What you’ll see at Dell Technologies World – as you always do – is the product of investments we’ve made over not just the year, but over years. From a portfolio perspective, programmatically, you’re going to see how when partners invest and build their practices and businesses on Dell, they will be rewarded. And then you get to spend time with our people who support our partners in Canada and around the world. Not to mention, we have a great time in Vegas, as one always does.

So it’s the place to be. We’re a couple of weeks out and we’re seeing the excitement and anticipation building. We have a lot to share at our Global Partner Summit at Dell Technologies World. Robert, I believe you’re planning on being there – we’re looking forward to seeing you and spending time with you as well. And we’re going to have a great representation not just of Canadian partners but the Canadian customers we work so hard serving each and every day. It’s going to be a blast, as it always is.

Robert Dutt: You touched a while back on some of the day-to-day operational things that partners tell me they feel the most friction on – not specific to Dell, but across the industry. Deal reg, quoting, lead sharing, the need to do all of that faster at higher scale. Is the vision here to make those kinds of operational experiences meaningfully more autonomous and self-serve? Is AI in the partner platform something partners will feel starting in May, or is that still on the horizon?

Eric Arcese: Well, I prefer drinking your own champagne to eating your own dog food – so I’ll go with the bubbly analogy there. But we have very much been, for years now, investing in a very big way in our partner business and the platforms that support those partners. We want to make sure that we’re using an AI-first approach across the board in everything that we do – to take friction out of the system, and to have an AI-first mantra in all we do when it comes to empowering our people and our partners.

I look at the AI that we’re investing in to support our partners as a real force multiplier. How do you get the power of the portfolio to our customers? How do you enable our partners to know that portfolio? How do you make sure that when you’re quoting and ordering, you’re doing that in the most efficient way – so that customers aren’t waiting, they’re getting the right configuration at the right time, for the right workload, at the price that makes the most sense, and we’re delivering value? We want partners to be able to deliver that value, because when they do, they grow – and when they grow, it’s good for our partners, it’s good for Dell, and ultimately we’re driving more outcomes for the customers we serve.

So you’ll see a lot of that AI in what we deliver from a product perspective, but definitely in how AI supports things like syndicated content, quoting and buying, and all of the programmatic platform upon which our partnerships are built.

Robert Dutt: My last question – you touched on 25 or more years in this industry, through the EMC years, through the Dell-EMC merger, and now we’re into the AI chapter. For a partner who’s navigating all of this right now – the infrastructure shifts, the AI opportunity, the evolution of the program – what’s your read on the best opportunity over the next 12 months? Where would you be pointing partners in terms of where to focus?

Eric Arcese: Well, if you’re a partner thinking about which relationships you’re going to invest in – with Dell, you have a leader in commercial PCs, a leader in storage, a leader in services. You have the industry heavyweight in infrastructure. And not only that – in a world where we’re seeing some very complicated supply chain dynamics globally, you have the world’s best supply chain supporting you. You have a proven leader that’s committed to partnering in all that we do. And you have tremendous people in Canada there to support you each and every day.

So I always think of it this way: if you’re building a business, who are those partnerships you want to create? You want one hand to shake that’s accountable to you, that’s invested in you, that’s committed to you – so that you can deliver on what you’ve promised your customer. With Dell, you have that. And we’re really proud of where we are in the market.

This AI moment that we’ve all been afforded is going to create tremendous opportunity – and I couldn’t be more excited about it. Not just for the partner businesses we support, but for the outcomes and problem statements that we’re going to be able to address that we haven‘t even fathomed yet. Transformative outcomes across every industry we serve, both public and private. So I’m really excited, Robert. And if I’m a partner, those are the types of things I’m thinking about and why working with Dell is a great bet. And hopefully we’ll all be making that bet in Vegas in May at Dell Technologies World – because that’s what you do in Vegas. You make bets. But it’s an easy one to make with Dell Technologies every day.

Robert Dutt: Great point to leave it on. I look forward to catching up at Dell Technologies World and hearing more of the story there. Eric, thanks so much.

Eric Arcese: Thanks so much, Robert. I really enjoyed our time together. Much appreciated.

There you have it – Eric Arcese from Dell Technologies.

I’d like to thank Eric for his time, and of course, thank you for listening today.

If I had to pull three things out of the conversation for the Canadian partner to sit with, here’s what I’m thinking.

First – the AI Factory framing. Eric described looking at the AI Factory topology slide and seeing the gaps, the seams between the components, as the partner opportunity. The hardware is Dell’s story. The services layer, the data work, the integration, the outcomes – that’s where partners play. If you’re trying to figure out what the AI infrastructure wave actually means to your practice, that’s a useful lens.

Second – the VxRail transition. If you’ve built a practice around VxRail, Dell’s message is: the path forward is clear. The hypervisor choice you’ve made is preserved. The economics of the new platform make sense, and there are meaningful incentives to help you build out a Dell Private Cloud practice. The transition is underway and getting ahead of it matters.

Third – the AI PC refresh is a security story as much as a productivity story. There are still around 500 million PCs running Windows 10, many of them three to five years old, sitting at the edge of the network while AI is making the threat landscape more sophisticated. For MSPs already in the endpoint security conversation with their customers, that’s a more powerful entry point than “it’s a faster laptop.”

And of course – Dell Technologies World, May 18th to 21st in Las Vegas. The Global Partner Summit is the anchor event for partners, and based on what Eric was hinting at around the integrated partner experience and changes to quoting and deal registration, it’s worth watching closely whether you’re going or not.

If you found this useful, follow or subscribe to the In The Channel podcast wherever you get your podcasts – we’re on Apple Podcasts, Spotify, YouTube, and most major directories. A rating or review is always appreciated if you’ve got a minute – it genuinely helps.

Until next time, I’m Robert Dutt for ChannelBuzz.ca, and I’ll see you in the channel.

Today’s headline news for Canadian IT solution providers:

Welcome to The Buzz from ChannelBuzz.ca, I’m Robert Dutt, today is Thursday, April 23, 2026, and here’s what’s happening in the channel today.

Hewlett Packard Enterprise is doubling its dedicated sales team to drive its Hybrid CloudOps software portfolio through the channel. According to Rocco Lavista, vice president and general manager of worldwide Hybrid CloudOps software sales at HPE, the vendor is actively working to accelerate partner attach rates for its software suite. Lavista recently noted that rising global memory prices and the resulting hardware cost pressures are actively driving demand for virtualization alternatives like VM Essentials. For Canadian MSPs and VARs grappling with supply chain volatility and tightening server margins, the vendor’s expanded software push offers a potential pivot point to maintain profitability through higher-margin recurring revenue streams.

AvePoint and Omdia have released new global research indicating that governance and compliance, rather than technical capability, represent the primary barrier to AI monetization for managed service providers. Based on a survey of over three hundred MSPs, fifty-one percent cited governance as the main obstacle to customer AI adoption. The report highlights a significant execution gap: while ninety-four percent of respondents are committed to AI readiness, only forty-three percent report high maturity in their actual service delivery. As Canadian solution providers face increasing data sovereignty and privacy requirements, the research suggests that packaging AI governance as a distinct, standalone service may be the most viable path to capturing a share of a market Omdia projects will reach two hundred and seventy-six billion dollars by 2030.

Security vendor ESET has published its 2026 SMB Cyber Readiness Index, highlighting the growing influence of cyber insurance underwriters on the managed services landscape. The report found that seventy-eight percent of Canadian small and medium-sized businesses now carry cyber insurance, with underwriters increasingly mandating specific security controls as a condition of coverage. Among Canadian SMBs that outsource their security, twenty-seven percent are now bypassing traditional providers to use a cyber insurer offering Managed Detection and Response services, while thirty-eight percent remain with a traditional MSP. For the Canadian channel, the data underscores a critical shift: insurers are actively setting the security baseline, and MSPs must integrate advanced monitoring capabilities to prevent clients from migrating to insurer-provided solutions.

Later today on In The Channel, my conversation with Eric Arcese, vice president of global partner marketing at Dell Technologies, discussing the AI Factory, VxRail’s evolution, and what’s ahead.

And if you haven‘t heard it yet, be sure to check out yesterday’s chat with Rewst founder Aharon Chernin on building the automated MSP.

That’s how we’re seeing the headlines today. I’m Robert Dutt for ChannelBuzz.ca, thanks for listening.

Aharon Chernin has been building technology specifically for MSPs for more than twenty-five years – including founding Perch Security, which ConnectWise acquired in 2020. His next venture was Rewst, a workflow automation platform purpose-built for managed service providers, now serving over 1,500 MSPs. The founding insight: automation was the foundational promise of managed services, and the tools had never lived up to it.

In this conversation, Chernin draws the distinction that frames everything else: there’s a difference between an MSP that does automation and an automated MSP. One is a project. The other is a culture. Success, he argues, is one hundred percent cultural – the person who writes the cheque and the engineer who builds the workflows both have to want it, or it stalls every time.

We dig into where AI fits in the MSP operational stack, and why treating AI and automation as interchangeable leads to bad decisions. The Chernin framing: AI thinks, automation acts. Without a connected execution layer like Rewst’s RoboRewsty AI Workflow Builder, AI can only advise. We also get into the governance model – approval gates, trust levels, and the balance between cyber risk and business risk – and the MCP Server architecture enabling genuinely agent-driven MSP operations.

Chernin shares numbers from three Canadian MSPs on the platform – Resolved IT, Ideological Systems, and Yardstick – and walks through how to calculate the real economics of automation investment beyond simple time savings.

He closes with a practical roadmap for any MSP owner who wants to get serious in the next six months: get out of firefighting mode, find your automation champion, start small, and do not wait for perfection.

Robert Dutt: Hello and welcome to In The Channel from ChannelBuzz.ca, bringing news and information to the Canadian IT channel community for the last sixteen years. I’m Robert Dutt, editor of ChannelBuzz.ca, and your host for the show.

If you’ve been following the conversation around AI and MSPs over the last year or two, you’ve probably noticed that a lot of it is pretty fuzzy. AI is going to transform your business. AI is the future of service delivery. AI this, AI that – but not a lot of specificity about what it actually means for the way an MSP runs its operations day to day.

My guest today has been building technology specifically for MSPs for more than twenty-five years. He founded Perch Security, which was acquired by ConnectWise back in 2020, and then turned around and founded Rewst, a workflow automation platform built from the ground up for managed service providers. Rewst now has over 1,500 MSPs on the platform, which means he has a pretty clear view of where the channel actually stands on automation – not where vendors wish it stood, but where it actually is.

We talk about the difference between an MSP that does automation and an automated MSP, and why that distinction matters more than any specific tool. We get into why AI and automation are not the same thing, and why confusing them leads MSPs to make bad decisions. And we look at what the operational stack of an MSP actually starts to look like as AI moves from advising on workflows to generating and executing them.

Aharon Chernin is the founder and CEO of Rewst, and he’s been thinking about this a lot longer than most.

Let’s get right into it. My chat with Aharon Chernin.

Aharon, thanks for taking the time. I appreciate it.

Aharon Chernin: Nice being here.

Robert Dutt: Rewst isn’t your first time building specifically for the MSP market. You come out of Perch Security, acquired by ConnectWise. What did your time inside ConnectWise’s world teach you, and was Rewst a direct response to something specific you saw from there, or from the community there?

Aharon Chernin: I was actually only at ConnectWise a couple of months. Really, the Rewst idea came from working with MSPs for years while I was doing Perch. I was learning more and more about how MSPs operated. I saw the tools they were using, the problems they were having. And, mind you, this is the era circa 2017-18, and they’re using tools called PSAs – professional services automation – that didn’t really automate anything. It had me scratching my head: what’s going on here? But then I just continued moving forward because I had security stuff going on.

And then there were RMM tools called Automate, and I was trying to figure out what these things actually automated. It was just endpoint stuff, right? But there’s so much more than just an endpoint. And then I saw a bunch of single-point solutions – software products out there doing a single automation, not even calling it an automation, just calling it a software product. So once I had the opportunity after Perch, I went and started investigating what were these quirks in the market I was seeing, because automation is much, much bigger than what the market actually thought it was.

Robert Dutt: Well, and it’s for so long been one of the key premises of managed services – the idea of automate everything you can towards success. So it’s interesting to hear those observations. You’ve got the platform now with 1,500 or more MSPs on it – you probably have a better view of the real state of automation adoption in the channel than almost anyone out there. How would you honestly characterize it today? Is this a story of meaningful progress from the scenario you saw back in your Perch days, or is it still pretty early for many MSPs?

Aharon Chernin: It’s still the beginning. We only have 1,500 MSPs. And how many MSPs are there – depending on who you talk to, 60, 80,000. We only have 1,500 of them. So in my mind, these are all early adopters in automation.

But when it comes to what adoption actually looks like in an MSP that successfully automates, it’s cultural – 100%. If you look at cybersecurity – Perch was a cybersecurity company – you’d be looking for the correct size MSP that focused on security to resell through. But when it comes to automation, every size MSP needs to automate – small and big. And we’re actually seeing that. We see really, really small MSPs automate and really, really big MSPs automate. And we’ve also seen both those sizes fail.

The number one reason they succeed is culture. The buyer – the buyer could be the CEO of the MSP, or a director of managed services, whoever can write a cheque – that person has to want to automate. And the engineer who’s actually going to do the automation, they have to want to do it too. If the buyer wants to automate but the engineer doesn’t, it’s not going to work. If the engineer wants to automate but the buyer doesn’t, it’s not going to work.

And that cultural thing extends further than just the want. The CEO of the MSP should be running around saying, “I want to be an automated MSP,” and excited about it. If they’re not excited about it, they’re going to be a part-time automation MSP. The way I like to say it is: you’re either an automated MSP, or you’re an MSP that does automation.

Robert Dutt: What do you find helps flip the switch from one to the other? What is it that gets those teams that are either misaligned or not aligned at all to get things lined up and moving in the right direction?

Aharon Chernin: It’s really an open line of communication between the buyer and the person implementing. Because if the buyer has an automation idea – just one, a single simple basic thing that would save the company time or help improve service delivery reliability – and that engineer performs that small automation, and they talk to each other, and the engineer says, “Yes, it’s running. Yes, it runs fifty times a day. We’ve saved eight hours today running this automation” – and that actually gets back to the person who writes the cheque – there is alignment. The tide has turned. Suddenly the MSP says, “How do I dedicate more people to helping automate this business?” It’s a matter of getting that first win and getting it in place.

Robert Dutt: There’s a lot of talk, obviously, about AI. And Canadian MSPs are being sold a lot of things that blur the line between AI and automation. You’ve talked about that distinction – the idea that AI thinks and automation acts. Can you expand on that? Because I think getting that framing right can help change how MSPs make decisions and think about how they’re structuring things internally.

Aharon Chernin: AI can’t touch anything by itself. This goes back to: AI thinks, automation does. Take ChatGPT, for example. ChatGPT is not an AI. ChatGPT is a tool on top of AI. The AI is GPT. The tool is Chat. So just having AI gives you a lot of answers to a lot of questions, but nothing gets done. You need the tool on top of the AI. I can’t think of an easier way to define it than that. There are an infinite number of possibilities of what you can do with a tool that leverages AI.

Robert Dutt: So you guys have RoboRewsty now. You’re moving from AI that guides building workflows to AI that generates those workflows. That sounds incremental, but to your point on thinking versus doing, I suspect it’s more significant than that. What actually changes for an MSP team when anyone in the org can describe a workflow in language that’s natural to them and have it built for them, rather than having to go back to that one person who knows how to build out the automation?

Aharon Chernin: AI is easier to understand than even that. We need to think of it as just another employee. Now, depending on how much the business trusts that employee is how much governance we’re going to put around that employee. If there is one hundred percent trust, it gets free will and can run freely. If there is zero to ten percent trust, every step of the way needs to be gated by a person.

But there’s a balance. One of the funny things about cybersecurity is everyone looks at the cyber risk side of the equation, but no one looks at the business risk. The business risk of having zero trust in your AI means all the other MSPs can surpass you. You need to balance business risk and cyber risk. It’s never one hundred percent cyber risk, or your business won’t move forward.

How do you put people in the middle? When you tell the AI to build the automation, you require approval gates along the way. And the AI will build in those approval gates for people to get in the way of automation and approve or deny things. That solves the problem of the AI acting fully independently.

Robert Dutt: You’ve announced an MCP server that lets external AI agents trigger Rewst automations directly. That feels like a pretty big architectural shift toward that AI-doing side of things – toward operations that are genuinely agent-driven rather than just automated. What does that look like in practice today, and where do you see that going over the next couple of years?

Aharon Chernin: I see three main agent use cases. But if we sit back and think, “Where does this MCP server fit in?” – in my world, in my vision, when I create products, I have to try to predict the future. Because it takes time. If I create a product for what’s needed right now, by the time it gets done and goes to market, it’s already a bad idea.

In the future, people will be interacting with agents, not with the user interface of any product – a PSA, an RMM, maybe even an operating system. When you think that way, without a capable MCP server in front of your product, you’re forcing people to always log into it. If everyone is in Claude Code all day long and you’re the one product they have to pop out of Claude Code for, that’s not good. I don’t want to be there.

And for folks who want more approval controls in an automation process – what’s cool about using Claude Code to interact with the Rewst platform is you can put requirements in your Claude Code, in your AGENTS.md file, for example, to be enforced however you want them enforced on your side. Which is pretty neat, in my opinion.

As far as the three major use cases for agents: I immediately get brain-fried when someone asks what an agent-driven MSP of the future looks like, because I think – what agent are they talking about? I really see three specific, distinct agent implementations that an MSP could ever have.

One is an agent that they build for their customers that just does customer-centric business things. That’s not something the MSP would run internally – that’s something they want their customer running. Then they may want an agent that the customer uses to interact with the MSP – “Hey, I need to add a new user,” for example. That may launch Rewst automations, because it’s just an agent – it’s just AI, it can’t go do those things on its own. And then the third type is the agent that an engineer uses at the MSP itself, because that agent is going to have more privileged access and communicate in a much more technical way than you’d want to present to a client.

Robert Dutt: How do you see those rolling out in terms of timeline? My first assumption would be that you build the internal side first – get the side the engineers are working with up and running, learn from that, then start building out the customer-facing side, and finally toward the end-user type stuff.

Aharon Chernin: You always eat your own dog food first. It’s got to be useful for you. If you’re just doing it to say you’re doing it, you won’t be able to sustain it. It won’t scale.

I would have your help desk and your engineers doing simple things first. I love the owner-operators that have grand visions of their AI-automated futures, because those are the ones who are going to succeed. The one downfall they may have is they won’t settle for anything other than that grand vision – they work on the most complex thing first. Or they get a ton of small wins under their belt and never go for the big win because the big vision feels too far away.

So: keep it small initially. Eat your own dog food. Get really good at it. Then move bigger successfully internally. Then maybe the next step is the agent the customer uses to interact with your business – do the same thing, start small, then go big. The agent the MSP builds for their customers’ businesses is the toughest. Not because it’s technically challenging – it’s tough because the MSP has to go learn how that customer’s business actually operates. And if you want your agent to provide value, you’re going to have to do that work.

Robert Dutt: That’s a chance to really test the “trusted advisor” theory out and get real about it.

Aharon Chernin: Exactly.

Robert Dutt: Let’s talk about the economics of this. Especially as a Canadian MSP – we’ve got a smaller talent pool, cross-border salary competition, the Canadian dollar. The headcount argument for automation is particularly acute here. Where does break-even actually land? What does an MSP need to have in place before this really starts to visibly move the margin needle?

Aharon Chernin: You start with understanding the economics of automation. The most basic is: how much time will you save? And even the definition of saving time can be less obvious than you’d think, because saving time might mean “I don’t do this work today” – so how do you calculate that? Well, one of those savings is: will it reduce churn? How much time does it take to go get a new client? Then you realize, oh, there is a time savings there. Or it may not save time, but it improves service delivery reliability. How much time do you spend each month on ticket re-dos because they were done wrong the first time? And some of these savings are security-related. If you can take away privileged access from your lowest-level help desk because automation handles those tasks instead, how much does an incident cost you each month?

The next big thing is understanding the cost to build an automation. We’ve dramatically reduced that over the past three months through RoboRewsty – you just describe an automation and it goes and builds it for you, then runs, tests, and fixes it. It could save you roughly ninety percent of the build time. Just like writing code with Claude Code saves you a lot of time building software.

So: you’ve got an automation idea. It costs you four hours to build and saves you 400 hours a month – you break even really, really quickly. You have an automation that takes four hours to build but only saves you thirty minutes a month – do you still build it? Yes. Because automation is not a one-month profit thing. It builds off itself each and every month. And that’s when you start to realize: maybe I do start small, because the big grandiose ideas might save you ten hours a month but take you a hundred hours to build.

We’ve got a couple of Canadian partners who’ve had great success and are okay with me naming them. Resolved IT: last month they did 420,000 tasks and saved fifty-nine hours – 1,800 endpoints. Ideological Systems: 28,000 tasks, forty-five hours saved – 750 endpoints. And Yardstick: 744,000 tasks, 327 hours saved – 6,500 endpoints. Just some numbers for you.

Robert Dutt: That’s certainly some solid data. You’ve talked about where you’re at now with RoboRewsty. Can you share a little about where you see things going in the short term – in terms of the direction of the technology and how you’re automating processes?

Aharon Chernin: I feel like I’m more of a future predictor than a startup founder. AI is both scary and exciting at the same time. It’s a huge opportunity for everybody – for MSPs, for vendors that serve MSPs. But it’s also super scary because it’s a disruptor. It could disrupt MSPs, the vendors that serve them, and their customers’ businesses. You have to take risks in how you predict what’s coming.

But I really do think the user interface for people is going away, and that the primary user of all products will be AI. That’s where the world is going. Think about that – how does that change how an MSP operates? Look at the tool stack MSPs use today. Is your PSA built for people, or is it built for AI? It’s going to be interesting. Never a dull moment in this industry.

Robert Dutt: Last one for me. If I’m an MSP listening to this and being honest with myself about where I’m at in my automation and AI journey – what’s the one thing that most of them should be doing in the next six months that most of them aren’t?

Aharon Chernin: Starting at a really high level: you’re a business owner. I’m a business owner. I understand how hard it is to get out of firefighting mode. It’s hard to see thirty days out. There’s so much going on – happy people that want to talk to you, unhappy people pulling you aside. You have to spend some time thinking beyond thirty days. You can’t ignore what’s coming with AI and automation, because there is going to be an MSP that doesn’t ignore it.

The next level: come up with an automation idea. As the owner of the MSP, that’s the most valuable automation idea that will ever get identified, because it’s coming straight from the business – not from a random engineer with a random problem. That engineer can go automate something and make their job better, but you may never know about it and it may never impact the business. Come up with an automation idea. If you find that easy, come up with more. Having the ideas is half the battle – not even having a product. Just start writing them down.

Next: identify someone in your organization who will become the automation champion. As fast as tech is moving, it may not have to be a super technical person, because they’ll be able to talk to an agent to make the automation happen. But if it were me, I would still pick who I think can automate the best. Go to your team and say, “Who wants to automate?” and pick the hand-raiser. That’ll also help with alignment.

Once all that’s done, you’re finally ready to look at automation solutions. Learn everything you can – we have Cluck U, our certification program, get certified in automation. Then build that simple automation as quickly as possible and get it into production. Do not wait for perfection. If you’ve got a ten-step process that takes a hundred minutes, and you only automate nine steps, you’re still saving ninety minutes. Why wait for the last step to get that win?

And then we’ve got a conference called Flow – an automation-focused conference for MSPs. The coolest thing about it is that everyone there is an MSP that wants to become an automated MSP, not just one that wants to do some automation. This is our third year. First year we had about 120 people, second year over 300, and this year I think we’ll have 500. It’s in Nashville, June 23rd. Check it out at mspflow.events. Was I allowed to plug that?

Robert Dutt: I think you’re good.

Aharon Chernin: Sounds good.

Robert Dutt: Aharon, I appreciate you taking the time and giving us a view of where automation’s at and where it could be going. Thank you.

Aharon Chernin: Thanks – it was nice chatting.

Robert Dutt: There you have it – Aharon Chernin from Rewst. I’d like to thank Aharon for his time today, and thank you for listening.

A couple of things I’m still thinking about from this conversation. The framing that stuck with me most is the distinction between an MSP that does automation and an automated MSP. It sounds like a subtle difference, but Aharon’s point is that one is a project and the other is a culture – and only one of them actually compounds over time. If automation is something your team does when they get around to it, rather than something that’s baked into how the business operates, you’re probably not going to get the return you think you are.

The other thing worth sitting with is the governance question. As AI moves from helping you build workflows to actually generating and running them, the trust model has to evolve with it. The new employee analogy Aharon used – starting with limited access, expanding trust as it earns it – is a practical framework for MSPs who are trying to figure out how much autonomy to give AI in their stack right now.

And for any Canadian MSPs listening – the data points Aharon shared from Resolved IT, from Yardstick, from Ideological Systems – those are real Canadian shops with real numbers. The economics of automation are compelling anywhere, but they’re particularly compelling here, given our labour market realities.

If this episode was useful to you, the best thing you can do is subscribe to or follow the ChannelBuzz.ca podcast wherever you get your podcasts. We’re on Apple Podcasts, Spotify, YouTube, and most major directories. A rating or review goes a long way and is always appreciated.

Until next time, I’m Robert Dutt for ChannelBuzz.ca, and I’ll see you in the channel.

Today’s headline news for Canadian IT solution providers:

Welcome to The Buzz from ChannelBuzz.ca, I’m Robert Dutt, today is Wednesday, April 22, 2026, and here’s what’s happening in the channel today.

Salesforce has launched a new Forward Deployed Engineering Partner Network for Agentforce, backing the initiative with a 50 million dollar investment in agent-building incentives. According to Nick Johnston, senior vice president of partner sales, the software vendor is committing to provide channel partners with the same training, tools, and direct product team access that its internal staff receives. The program is designed to help partners build their own agentic AI practices and push beyond basic implementation. For Canadian MSPs and consulting partners, the initiative signals a continued shift away from selling software seats toward delivering measurable business outcomes. As AI deployments become more complex, partners who can demonstrate real-world results will be positioned to capture higher-margin advisory and managed services revenue.

Cisco has officially reinstated its compute deal registration differential, reversing a controversial decision made in late February. The networking giant had originally eliminated the discount in response to rising memory prices and supply chain volatility. According to partners, that move effectively erased roughly eight points of margin on server deals, causing friction and prompting some to look at competing infrastructure vendors. In a recent communication, Cisco senior vice president of global partner sales Tim Coogan confirmed the discount restoration for registered compute hardware deals, though the tightened seven-day quote protection window remains in place. For Canadian IT solution providers, the reversal is a necessary correction that restores critical margin predictability, allowing partners to confidently quote hardware projects in an unpredictable supply chain environment.

A new security platform built by former Pax8 leaders and an experienced MSP owner is making its official debut this week at the Kaseya event. CloudCapsule, led by CEO Nick Ross, is launching its Manage module, which is designed to help managed service providers assess, remediate, and demonstrate security outcomes within a single workflow. The solution extends Microsoft 365 security management into a unified system, addressing the ongoing problem of fragmented tools and manual reporting. For Canadian MSPs, operational consolidation is becoming increasingly essential. Proving the value of security services to clients is a persistent challenge, and a platform that automates the reporting process can help reduce administrative overhead while providing tangible proof of security posture improvements to justify recurring revenue.

Later today on In The Channel, we have a conversation with Rewst founder Aharon Chernin. We will be talking about building the automated MSP, and how AI thinks while automation acts. It is a deep dive into where the service delivery model is headed.

And if you haven‘t heard it yet, make sure you check out yesterday’s episode featuring Jennifer Roy, CEO of Nucleus Networks. We had a great discussion on maintaining culture while scaling a national presence, and what private equity really looks like from inside a Canadian MSP.

That’s how we’re seeing the headlines today. I’m Robert Dutt for ChannelBuzz.ca, thanks for listening.