What is the secret to staying alive for VARs that haven't made the transition yet?

There are a lot of companies that have built their dependency on hardware and software orders, and they haven't built out a consulting or services organizations that can support cloud technologies. They don’t have the runway - or maybe the know-how - to really transition from that topline to (MRR) model.

When companies like us have made that transformation and still have a fairly large premise-based customer base, short-term, topline revenue is sacrificed. That's because instead, you are transitioning to selling a consumption model over a five-to-six-year year period of time. While topline might go down, (monthly recurring revenue) is going to go up. In addition, you'll also be more valuable (because) you're now managing and offering more services for the customer.