As VMware Inc.’s business strategy shifts to a subscription-based, software-as-a-service model with annual recurring revenue as its income stream, the organization has to adapt in its relationship with channel partners and global systems integrators, according to the executive tasked with revamping the sales channels.

“We do a pretty good job on the channel side. We need to do a better job on the GSIs — really understanding their business model, how they’re engaging with their customers and provide them the technology, the support, the financial resources so that they can be successful,” said Zia Yusuf (pictured), senior vice president of strategic ecosystem and industry solutions at VMware Inc.

Yusuf spoke with theCUBE industry analysts John Furrier and Dave Vellante at last August’s VMware Explore, during an exclusive broadcast on theCUBE, SiliconANGLE Media’s livestreaming studio. They discussed how the VMware business was addressing changes in the channel and other sales markets. (* Disclosure below.)

Connecting the dots on the ecosystem

“We need to bring our ecosystem along,” Yusuf said, referring to the subscription SaaS and AAR model shift taking place. “How we define success; how we value things.”

What he is basically referring to is how, when the income stream changes shape, does the sales channel or systems integrator get paid (the commission structure). A further element he intends to look at, as he transitions from a more app-based background (he has been at SAP), is connecting the dots on the VMware ecosystem. He is referring to a shift that he is intending to perform where the sales channel and SIs begin to look more like how the customer sees them.

“I’ve spent a lot of time in this event, as well as in joint meetings between system integrators and hyperscalers, with our technology colleagues on Intel or NetApp or AMD,” he explained. “These are companies that we have a rich history with [that] we’re trying to connect.”

Engaging with partners will involve a scaled-up ecosystem clarification, he added.

Here’s the complete video interview, part of SiliconANGLE’s and theCUBE’s coverage of VMware Explore:

(* Disclosure: VMware Inc sponsored this segment of theCUBE. Neither VMware nor other sponsors have editorial control over content on theCUBE or SiliconANGLE.)

Photo: SiliconANGLE