Cisco's AppDynamics moves to 100 per cent channel model

The vendor says it's transitioning amid changes to its global partner program

Cisco's AppDynamics is transitioning from a mixed direct and indirect sales model to a 100 per cent channel-centric route to market amid changes to its global partner programme.

The vendor said the move will provide "closer alignment" to Cisco's sales motion and give partners the confidence and opportunity to build out full-stack observability practices with AppDynamics and Cisco.

"This new approach is a bold and exciting way forward. Our strategy for success lies with enhanced collaboration with our partners and continuing deeper alignment with Cisco and its sales motion," said Cisco AppDynamics VP of global channels and strategic alliances, Mark Maslach.

"This is the right time to unleash the potential of our partners and maximise the opportunity for full-stack observability."

Moreover, Cisco added that, to make this transition a reality, it has created a three-tier structure with a new top-tier Elite partner category added to the existing Alliance and Titan levels.

It said the Elite level is designed for Cisco's largest Global Partners and claims it creates the "optimal conditions" to fully exploit the full-stack observability market opportunity across AppDynamics and the wider Cisco portfolio.

With these changes, AppDynamics partners will have access to stackable margins, a redesigned FastPath program allowing partners to co-invest with AppDynamics across several categories, and improved access to market development funds.

Earlier this month, Cisco also announced major changes to its Partner Experience Platform (PXP) and PX and CX Cloud.

In its Q4 results, Cisco posted revenues for the three months ending 31 July of $13.1bn, an increase of eight per cent year on year. GAAP operating income meanwhile swelled by 10 per cent to $3.6bn.