We help OEM Partners to accelerate sales through upfront purchases that support our private cloud offerings.
Public Sector demand for technology delivered as-a-Service is growing rapidly as customers seek to avoid capital outlays in favor of operational “pay for what you use” strategies.
OEMs focused on revenue recognition generally avoid direct involvement in these pay-for-use arrangements, and that’s where ESCgov comes in. ESCgov purchases from the OEM, and then delivers products as-a-Service to Public Sector customers. OEMs record sales to ESCgov, and ESCgov satisfies customer demand for products delivered as a service.
Benefits to OEM Partners
✅Sell the full requirement now. Public Sector customers have large product requirements, but access to funds is limited in any given year. As a result, customer requirements are dumbed-down to fit the budget, and large sales are broken up over several years. OEMs miss out on the big sale and customers are forced to defer solutions they need now.
And that’s where ESCgov comes in. ESCgov purchases the full solution up-front, delivering clean revenue recognition to the OEM. Customers access the solution as a service, using operational funds and paying for only what they need each year, while ESCgov absorbs risks of underutilization. Sales are made, budgetary constraints evaporate, and everybody wins.
✅Unlock the customer’s full buying power. Many OEMs limit their own success by focusing solely on the customer’s capital budget, while ignoring a larger and more flexible operational budget.
In the past, customers used capital dollars to acquire products up-front, and operational funds to maintain them over time. Today, customers increasingly use operational funds to rent access to products that are owned and maintained by ESCgov.
Customers will continue to spend capital dollars to purchase products. But by working with ESCgov, OEMs gain access to the other (typically larger) half of the customer budget, and enhance their sales strategy with a mature as-a-Service delivery model through ESCgov.
Consider this all-too-common sales challenge: Limited capital dollars and competing customer priorities delay your sale year after year. Outdated legacy systems are deemed “good enough” to last another year while escalating maintenance costs chew through the customer’s operational budget. Sales are deferred as customers spend operational funds to maintain fundamentally outdated systems. Nobody wins.
As an ESCgov partner, OEMs can offer a private cloud solution that delivers immediate access to new equipment and software, and enables the customer to apply the operational dollars it budgeted for legacy system maintenance to initiate the new system. The sale is completed with no impact to the customer’s capital budget. The customer uses operational funds over time to use the products, and the OEM is paid up-front.
A private cloud from ESCgov enables the customer to use operational funds to acquire access to new products that they actually need, instead of paying high maintenance costs on outdated products that they already have.
✅Streamline acquisitions and competitive advantage. There’s a misperception that as-a-service structures have negative impacts on sales – that once a product is deployed as a service, follow-on sales are difficult. ESCgov’s private cloud model does the opposite.
The ESCgov model establishes a long term (base and option years) contract with built-in ability to scale, allowing our partners to seamlessly sell additional or upgraded gear to ESCgov as customer demand evolves.
In the past, every new sale would need to be competed through a rigorous procurement process can take weeks or months to complete. With an ESCgov private cloud, customers may expect and require delivery of additional products to seamlessly scale with demand and upgraded products to refresh the technology. All of this is included and expected within the scope and terms of the private cloud.
Our OEM partners experience higher levels of account engagement and control, a streamlined sales process, and fewer competitive threats when spec’d into an ESCgov private cloud solution.
We help integrators win and deliver performance-based contracts while reducing risk, preserving cash, and optimizing financial performance.
The majority of ESCgov private cloud solutions for the Public Sector are delivered through partnerships or subcontracts with a Systems Integrator (SI).
As a private cloud supplier/subcontractor, ESCgov provides flexible “as-provisioned” or “per-transaction” pricing that maps directly to the SI’s prime contract receivables (per-transaction, per-terabyte, per-node, per-MIPS, per-system, etc.).
By acquiring the necessary infrastructure, and providing it to the Systems Integrator as-a-Service, ESCgov enables Systems Integrators to:
Limit impact of reduced prime contract billings due to under-utilization of assets
Limit risks of a contract termination
Implement a single Capacity Service Agreement to cover all OEM technologies
Avoid unnecessarily carrying assets on the balance sheet
We provide purpose-built, private cloud solutions for Government Agencies.
As Government agencies “move to the cloud”, decisions are made about which workloads are appropriate for the Public Cloud, which one should remain under direct agency control.
Purpose-built, private cloud solutions from ESCgov deliver the benefits of the cloud while enabling customers to maintain control of the environment and daily operations.
Purpose-built means the solution is designed specifically for you to meet your agencies unique needs around security, access, computing, storage, and more. Agencies decide exactly which technologies are used and how they are configured.
Private means you get the resources you need, whenever and wherever you want, without having to worry about buying or maintaining the computers. A private cloud is for exclusive use by your agency — no one else can use it or the programs and data you have.
On-Prem or Hosted – Federal agencies are using ESCgov’s purpose-built, private cloud solutions on site at agency locations, or hosted within contractor-provided secure datacenters. Whether onsite, hosted, or hybrid, your environment remains private, dedicated for your exclusive use.
Dedicated fiber – in some cases, ESCgov can provide dedicated fiber to connect agencies with secure, hosted facilities. Contact us for details.
Capacity Service Billing – Service is provided under a standard Capacity Service Agreement that enables customers to order and release units of capacity (Compute, Storage, Network, and Software), and pay monthly for what they provision. Usage is not metered, and bills are based on units ordered or released each month. This approach maintains better control over budgets by eliminating surprises associated with peaks in usage. Security is also enhanced by avoiding any need for “call home” features that report utilization.