Dirty OEM Secret #1: Maintenance Contracts

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Posted on Tuesday, January 15, 2019

Despite demand for storage capacity increasing year-on-year, growth in sales of physical on-site systems is static (or even declining). As a result, selling systems and associated services has become particularly cutthroat in recent years.

 Unfortunately, this means that OEM account managers may not give you the full story– particularly if your storage maintenance contract is up for renewal. Given that OEMs make a large proportion of their annual income from maintenance contract sales, it’s no surprise that your account manager will pull out all the stops to secure your signature.

Lying by omission

One of the issues you may encounter is a “lie by omission,” something OEM sales teams neglect to mention. No one is going to tell you that there are third-party providers of maintenance and support services that are just as good as the OEM’s.

Worse still, you are under no obligation at all to purchase storage support and maintenance from the OEM.

Two major benefits they don't want you to know

By choosing a third-party storage maintenance partner, you realize two major benefits. First, contracts are typically much more cost-effective than those provided by the OEM, offering annual savings of up to 50%.

Second, you can extend the lifespan of your disk arrays long beyond the official end of service life data specified by the OEM. Rather than upgrading according to OEM’s timetable, you regain control of your storage strategy and budget.

There’s a very good reason your account manager never mentions alternative support and maintenance provisions: the exceptional benefits may convince you not to renew with OEM.

Learn more OEM Secrets in Part II and Part III of our series, and to discover exactly what third-party storage maintenance offers your business, please give us a call.

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