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Cutting through the noise for Canadian VARs and MSPs

  1. 3d ago

    Oktane 2026: BeyondID CEO Arun Shrestha on KeyData Cyber, AI agents, and the identity opportunity for MSPs

    Arun Shresthra, co-founder and CEO of BeoyndID In The Channel caught up with Arun Shrestha, co-founder and chief executive officer of BeyondID, at Okta’s Oktane 2026 conference in Las Vegas. Shrestha has been part of the Okta story since 2012, when Okta’s co-founders recruited him to build the company’s customer success and professional services organization, and he founded BeyondID in 2017. The company is one of fewer than three dozen Okta Apex partners worldwide – the top tier of Okta’s partner program – and a repeat Okta partner of the year. Last year, Toronto-based KeyData Cyber acquired BeyondID, creating one of North America’s largest pure-play identity security services firms. Shrestha laid out the thesis: KeyData brings two decades of Canadian market credibility, including deep Canadian federal government work, while BeyondID brings the US-market Okta practice, with more than 500 joint Okta customers before the deal. BeyondID remains the brand for the US market and Okta-focused work. Shrestha says Okta’s move to accelerate the transition of professional services to partners follows the partner ecosystem playbook of Microsoft and Amazon, and notes that 20 to 30 percent of BeyondID’s business already flows through the reseller channel, with partners including SHI, CDW, Carahsoft and World Wide Technology. For MSPs wondering whether identity is their business, his advice: pick one or two practice areas and get really good at them, and pick a top platform to build on. The conversation also dug into Okta for AI agents and non-human identity. Shrestha’s pitch to MSPs: treat AI agents like employees. “If the agent’s going rogue, we know how to shut it down. Just like the employees, if they misbehave, you’re out the door. Same with the agents.” Read Full Transcript Robert Dutt: Hello and welcome to In The Channel from ChannelBuzz.ca, bringing news and information to the Canadian IT channel community for the last sixteen years. I’m Robert Dutt, editor of ChannelBuzz.ca, and your host for the show. Today, we continue our coverage of last week’s Okta Oktane conference in Las Vegas, and my guest has been part of the Okta story almost from the beginning. Arun Shrestha is co-founder and chief executive officer of BeyondID, one of fewer than three dozen Okta Apex partners worldwide – the top tier of Okta’s partner program – and a repeat Okta partner of the year. Arun was recruited by Okta’s co-founders back in 2012 to build out the company’s customer success and professional services organization, before striking out on his own to found BeyondID. Last year, BeyondID was acquired by KeyData Cyber, a Toronto-based identity security firm with deep Canadian federal government credentials, making the combined organization one of the largest pure-play identity security services firms in North America – and a lot more Canadian than your average Okta Apex partner. That matters for our audience, because Okta is accelerating the handoff of professional services to the channel, and every client of every MSP is starting to deploy AI agents that need identities of their own. We’ll talk about the KeyData combination, what Apex actually means for a partner, what Okta’s partner-first shift looks like from an Apex partner’s seat, and what MSPs should be doing about identity – including identity for AI agents – in the years ahead. Let’s get right into it, my chat with Arun Shrestha. Robert Dutt: Arun, thanks for taking the time. I really appreciate it. I know it’s probably a busy week here at Oktane. Arun Shrestha: Pleased to be here, Rob, and very excited to be sharing a few thoughts on this. Robert Dutt: Before we started recording, you shared a little bit of your journey, and I want to get into the elevator pitch for BeyondID. But before we even get into that, can you tell us about your long-standing history with Okta? Arun Shrestha: Absolutely, pleasure to. Okta, to me, is like a passion and something you want to pursue in life. I found a North Star, which is Okta – what Okta’s done. I started my journey of 30-plus years back in San Francisco, in the space of technology, and I worked for many companies like Microsoft and Oracle. I was recruited by the co-founders of Okta to help build customer success and professional services back in 2012. 2012 was the year where nobody thought identity in the cloud was the normal thing, and I was brought on to help, in fact, one of the Fortune 500 customers of Okta – the first one – to help them migrate off of CA SiteMinder to Okta. That’s how my journey started. Along the way, I brought on many folks that I worked with in the past who believed in me to come join this small startup that was funded by a16z and others. I’m really glad that the co-founders found me, and I was able to be part of that journey. It’s been a phenomenal experience and journey for the last 15, 16 years. Robert Dutt: And partway through that journey, you decided to not be part of Okta as an organization anymore, and you set up a partner organization. For those – especially our audience of MSPs and resellers who may not be familiar with BeyondID – can you give me the elevator pitch? What do you actually do, who do you do it for, that kind of thing? Arun Shrestha: Absolutely. The name, by design, is BeyondID – it’s supposed to be: take the ID, and take the imagination to a different degree. What BeyondID does is really simplify the ways companies need to adopt modern technology and architectures around identity management, so they can move faster, connect with all technologies, and build very secure and resilient infrastructure for not only what’s today, but what’s in the future – including where we’re all heading, which is agentic. Robert Dutt: You guys are one of less than three dozen Apex partners worldwide, the top tier of partners, and you’ve been partner of the year multiple times. For the uninitiated, what does Apex actually mean in practice for you as an organization, and why does it matter to customers? Arun Shrestha: I think about this as a practitioner: any craft that you want to be absolutely the best at, you have to practice everything. One of the things Okta did in the early years – especially the last several years – is establish various tiers of partnership based on the merits of what partners have accomplished. The Apex partnership means not only that you’re able to materially help customers and make sure they’re successful; it’s actually helping Okta grow this business and spread Okta’s greatness across a lot of companies. It includes things like the experts who know Okta inside and out, and how we can really help companies navigate through very complex stuff into simplifying what Okta does best with the identity platform. And it also ties back to how many customers are successful over a period of time – we measure all of that. So if you achieve a couple of these critical metrics, you get to be Apex. Robert Dutt: Last year you guys came together with KeyData Cyber out of Toronto, itself an identity security firm. How has that changed your go-to-market in Canada? Are you building out a stronger Canadian presence for the BeyondID side of things, or is it more about combining the capabilities across the board? Arun Shrestha: A bit of many of the things you’ve just mentioned. I’ll tell you two or three basic theses of why the private equity firm that owns us actually decided that this would be the right merger. In Canada, KeyData has been around for over 20 years. They’re a well-established organization, they’ve done exceptionally well in the Canadian market, and they’re a well-known brand in Canada. But going to the US is a very different ball game, as you know. And then, Okta is obviously the biggest vendor in this space when it comes to the pure identity play and the US market. So we were looking at partnering and bringing in an organization that had a strong presence in the area that they are growing, but they need to grow faster, with Okta being that core play in the market in the US. We actually represented all of that. Prior to the acquisition, we had already done business with over 500 joint Okta customers, so that gives you the size and scale of what we’ve done and accomplished – and that goes back to the Fortune 10 companies down to the smallest company you can probably find. So it made sense for KeyData to make sure that there is a good merger of an organization that brings both the Canadian and US market – the North American market. I believe that for what we do, in a specialized market, we’re one of the largest in the space of what we do now. So it sort of remains BeyondID in the US market. Robert Dutt: That’s correct. KeyData obviously has quite deep Canadian federal government credentials. Is there spillover between that and what you guys do, both in federal government stateside as well as enterprise and mid-market? Arun Shrestha: Yes. Clearly, we play in various market segments, as well as industries – obviously government, as well as highly regulated industries like financial services, healthcare services, federal government, state and local government. We offer services to all of those, and we have practices across those various segments, because we realize we need to specialize and understand the customer base in every industry, including federal government, in terms of what identity management could mean. So we’ve got those practices built out. BeyondID is a brand within KeyData Cyber that is solely focused on Okta. Robert Dutt: For a Canadian MSP who’s listening to this – do you guys have a channel play? Is there an opportunity for co-delivery partners in Canada, or is it primarily a direct-to-enterprise kind of market for you guys, hand in hand with Okta? Arun Shrestha: We’re probably one of those – I would call it a Swiss Army k

    Oktane 2026: BeyondID CEO Arun Shrestha on KeyData Cyber, AI agents, and the identity opportunity for MSPs
  2. 3d ago

    The Buzz: AppDirect buys Soul Machines, CyberFOX lands TD SYNNEX deal, RSA takes on AI agent identity

    Today’s headline news for Canadian IT solution providers: AppDirect acquires Soul Machines: AppDirect has acquired Soul Machines, the digital people and AI avatar company, in a deal announced Tuesday at AppDirect’s Thrive conference in Los Angeles. Terms were not disclosed. AppDirect says Soul Machines’ technology and its library of more than 40 LLM-agnostic AI advisors will be integrated into the Devs.ai platform, letting businesses build AI-generated customer experiences on top of AppDirect’s marketplace and billing infrastructure. Soul Machines will operate as a wholly owned subsidiary. CyberFOX signs TD SYNNEX distribution deal: CyberFOX has signed a distribution agreement with TD SYNNEX covering its full security portfolio across North America. The deal brings AutoElevate privileged access management, CyberFOX Password Manager, DNS Filtering, and the Timus SASE platform into TD SYNNEX’s line card. CyberFOX’s Os Haque says the agreement gives partners a single distribution point for a managed security stack that historically comes from multiple vendors. RSA launches Agent ID: RSA announced Tuesday the launch of RSA Agent ID, an agentic identity security platform aimed initially at highly regulated industries. The platform is designed to discover, register, secure, and govern AI agents across their lifecycle, and generate the audit trails required to prove agent activity to regulators and auditors. RSA is positioning the launch as closing the gap where software agents act with privileges no human reviewed. Fortinet opens Calgary innovation hub: Fortinet has officially opened its $30 million cybersecurity innovation hub in downtown Calgary, a 122,000 square foot facility that anchors the company’s Canadian research, training, and cloud presence. Opengear expands distribution with Ingram Micro: Opengear, a Digi International company, has signed a pan-European distribution agreement with Ingram Micro, extending its out-of-band management and network resilience portfolio across the region. NinjaTech AI bundles AI employees and GPUs: NinjaTech AI launched Ninja Enterprise, letting companies run AI employees in their own cloud environments for a fixed yearly fee that includes the GPU capacity behind them, an alternative to token-based pricing. Microsoft exec on agents as the customer: Microsoft’s Charles Lamanna says most business software will end up running behind AI agents rather than in front of users, warning that applications serving agents exclusively will lose pricing leverage. Fraxion acquires Yellow Dog Software: Spending management company Fraxion has acquired Yellow Dog Software, which offers inventory management software for the hospitality, sports, food and beverage, and retail industries. Read Full Transcript Welcome to The Buzz from ChannelBuzz.ca, I’m Robert Dutt, today is Thursday, October 1, and here’s what’s happening in the channel today. AppDirect has acquired Soul Machines, the company best known for its digital people and AI avatar technology. The deal was announced Tuesday at AppDirect’s Thrive conference in Los Angeles, and terms were not disclosed. According to AppDirect, Soul Machines’ technology and its library of more than 40 LLM-agnostic AI advisors will be folded into the company’s Devs.ai platform, with the goal of letting businesses build AI-generated, customer-facing experiences on top of AppDirect’s marketplace, catalog, and billing infrastructure. AppDirect is positioning the acquisition as an acceleration of its AI strategy, giving the ISVs, advisors, and service providers in its ecosystem a way to deliver agentic AI experiences without building avatar or agent technology themselves. Soul Machines will operate as a wholly owned AppDirect subsidiary. Worth noting: a lot of Canadian distributors, resellers, and cloud marketplaces sit on top of AppDirect infrastructure without thinking much about it. If buying experiences on those platforms shift from a catalog listing to a conversational AI advisor, the front end of the marketplace economy starts to change, and the company that owns that front end gains the leverage. CyberFOX has signed a distribution agreement with TD SYNNEX covering its full security portfolio across North America. Announced Tuesday, the deal puts CyberFOX’s AutoElevate privileged access management platform, its password manager, its DNS filtering service, and its Timus SASE platform into the TD SYNNEX line card. CyberFOX’s Os Haque says the agreement is aimed at giving partners a single distribution point for the pieces of a managed security stack that historically come from separate vendors, while TD SYNNEX’s Cheryl Day says the portfolio speaks to the identity and access challenges partners raise most often. The practical significance on this side of the border is straightforward: TD SYNNEX is one of the largest security distributors in the Canadian market, and privileged access management is increasingly the entry point for larger managed security engagements. Consolidating password management, DNS filtering, and SASE alongside it in one distribution relationship lowers the friction of quoting and renewing those components together, which is the kind of bundling MSPs are being pushed toward as clients flatten their vendor lists. RSA has launched RSA Agent ID, a platform for securing and governing AI agents, with an initial focus on highly regulated industries. Announced Tuesday, the platform is designed to discover AI agents operating on a network, register them, control what they can access, and generate the audit trails that regulated organizations need to prove what their agents did and why. RSA says it is closing what it calls the agentic identity gap, the space where software agents act with privileges no human ever reviewed, and put its thesis bluntly in the announcement: hope is not an AI strategy. The timing is notable, because this is the week the channel spent talking about exactly this problem. Okta has rebuilt its partner program around AI agent security and services-led delivery, and vendors across the board are racing to define who governs non-human identities. For MSPs with clients in financial services, healthcare, or the public sector, the question is coming regardless of which vendor wins: when a client deploys agents that move money, touch patient data, or draft procurement decisions, someone has to be accountable for what those agents can access. Increasingly, that someone is the MSP. In Brief – Fortinet has officially opened its $30 million cybersecurity innovation hub in downtown Calgary, a 122,000 square foot facility for security research, training, and the company’s Canadian cloud presence. Opengear, a Digi International company, has signed a pan-European distribution agreement with Ingram Micro. NinjaTech AI has launched Ninja Enterprise, bundling AI employees and the GPU capacity behind them into one fixed yearly fee. Microsoft’s Charles Lamanna says AI agents will become the primary customer for business software, warning that many applications will lose pricing leverage as a result. And spending management company Fraxion has acquired Yellow Dog Software, which makes inventory management software for the hospitality and retail sectors. Full details and links in the show notes or the blog post. If you haven’t heard it yet, Okta’s Ryan Sydor was on In The Channel yesterday, walking through how Okta is rebuilding its partner program for the age of AI agents. We also have full coverage of last week’s Oktane conference on In The Channel — check out our interview with channel chief Laura Padilla on the new partner program, and more to come this week. That’s how we’re seeing the headlines today. I’m Robert Dutt for ChannelBuzz.ca, thanks for listening. Have a great day.

    The Buzz: AppDirect buys Soul Machines, CyberFOX lands TD SYNNEX deal, RSA takes on AI agent identity
  3. 4d ago

    Okta Canada check-in: Agentic AI hits the boardroom, partner contribution doubles, and the pitch is ‘sell better, not more’

    Ryan Sydor, head of Okta Canada Six months ago, Ryan Sydor, Okta’s area vice president and country manager for Canada, joined In The Channel to explain what the vendor’s Canadian investment actually looked like: a Canadian data cell based in Montreal, more than 600 employees in country, and a plan to triple the business. At Oktane 2026 in Las Vegas this week, we ran the conversation back – and the story has changed. The shift, Sydor says, is demand. Agentic AI has moved from conference panel fodder to board mandate, and that’s opening doors that weren’t open in March, including at organizations that run Microsoft Entra and aren’t considering an identity migration. Okta’s answer, announced at the conference, is Okta for AI agents – agent discovery, runtime governance, and an Agent Gateway – plus the Blueprint Alliance, a cross-vendor group built on the premise that no single vendor can secure AI agents alone. The numbers back the demand story up. Sydor says Okta Canada’s partner contribution is up more than 100 per cent year over year, driven less by new logos than by existing partners stepping up, and Canadian customers are raising data sovereignty in deals that never used to ask. In this episode, we also get into Todd McKinnon’s keynote line that the biggest competition is confusion, why Sydor’s ask of his own team is to sell better rather than sell more, and why his partners are asking Okta to bring them in earlier. His bottom line for Canadian MSPs is the one the industry has been preaching for years: identity is security – and 80 per cent of breaches involve it. Read Full Transcript Robert Dutt: Hello and welcome to In The Channel from ChannelBuzz.ca, bringing news and information to the Canadian IT channel community for the last sixteen years. I’m Robert Dutt, editor of ChannelBuzz.ca, and your host for the show. Back in March, I sat down with Ryan Sydor, the head of Okta Canada, at a moment when the story was investment: a Canadian data cell in Montreal, with a Calgary failsafe, an engineering hub in Toronto, more than 600 employees across the country, and a plan to triple the business. Last week at Oktane in Las Vegas, we ran it back – because in six months, the story has changed. Agentic AI has gone from conference panel fodder to board mandate. Okta has launched the Blueprint Alliance on the premise that no single vendor can secure AI agents alone. And in Canada, Ryan says partner contribution is up more than 100 per cent year over year. We got into all of it: how the identity conversation has evolved since March, how Okta positions itself when the customer already runs Microsoft Entra, what Todd McKinnon meant when he said the biggest competition is confusion, and why Ryan’s biggest ask of his own team is not to sell more, but to sell better. Let’s get right into it, my chat with Ryan Sydor. Ryan, thanks for taking the time. I appreciate it. I’m sure it’s a busy week here at Oktane. Ryan Sydor: Yeah, good to see you again, Rob. It is a very busy week. Exciting week. A lot of good energy. Robert Dutt: The crucial question, as we sit down – this is partway through day two of the conference – how many dinners did you have last night? Ryan Sydor: There’s two dinners. Two dinners tonight. You just got to watch how much you eat. That’s all. But I find that these dinners are really important. Great chances to sit down with customers, get to know them on a personal level, and certainly it makes talking about business much easier. Robert Dutt: Yeah, absolutely. We last chatted about six months ago, give or take. How has the overall discussion around identity, and specifically around agentic identity, evolved in Canada since that conversation? Ryan Sydor: Yeah, I think back six months ago – or 15 years, as it’s known in the real world. It really does feel that way. Things have changed and have sped up in a way that I don’t think we’ve seen in a long time. The way we were thinking about agentic AI and how it ought to fit, and the conversations we’re having, has accelerated so much. I think it’s the customers who are sitting around thinking about how important AI is to their business models, their need to innovate, their need to be more efficient, and that there’s a fear. How do we do this? How do we protect ourselves? We are having more conversations than I think we expected. Conversations are opening doors that maybe weren’t open in the past, because customers are looking for a solution. They’re looking for advice. I think it’s an unusual time where no one really knows what the next six months look like, because it happened so fast. They’re looking for partners. It’s not a vendor model. They’re looking for partners who can come in and advise them. That’s a big change. On top of that, what we’re seeing is there’s a focus on it in a way that we haven’t seen in the past, where boards are mandating it. It’s amazing how things get done when the board mandates something. Robert Dutt: It does tend to be a big motivator in business, that’s for sure. Do you find that the light has gone on more than in the past in terms of connecting the dots between, “Yes, we have to secure our AI,” and a big part of that is the identity side of the equation, as opposed to some of the other aspects of security that companies inevitably have to deal with? Ryan Sydor: I do. Two parts to that. I think, again, because the board brings it up, it’s a focus priority. You have the business who’s thinking about how they can use AI to be better, and then you have security who’s trying to figure out how to protect it. We’re often talking about both. How do we speak to both sides? How do we work with them? How do we partner with them? The other thing I’ll say is Canadians are doing a good job of innovating, but we’re still probably a bit behind what you might see in other parts of North America. So when it comes to working with some of our Okta for AI deals and these types of conversations, we’re catching up. We don’t see as many of those conversations yet, and it’s nice to see that as we move into the fall, those are really picking up on our side. As customers are realizing, “We didn’t have a strategy, we need to talk to a partner” – and then we’re talking to us. Now, this is not just people who are doing business with Okta, who have this as their identity provider, but also those who are not, saying, “I need to find best in breed. I need to have a solution, and I’ll talk to everybody.” From a business perspective, we like that. Robert Dutt: What are your partners doing with ramping along with that ramp up in the business conversation? The one does tend to lead to the other. I’m just curious in terms of capacity, ability to meet the demand that is growing out there. How’s the partner base doing today? Ryan Sydor: I think they’re doing very well. I think there’s two sides of it. One, it’s about the conversations. Two, then it’s about the technology. I know we’re working with partners, training them up so that they’re able to actually roll out our AI solution. But I think you were in Todd’s keynote, and he said that the biggest competition is confusion. I think what we’re seeing is that the need for us to work with our partners more closely, and the need for us and our partners to work with our customers more closely, because it’s like the car is moving really fast in a way that we’re not used to. I used to drive, traveling at 100 kilometres an hour. Now it’s going 150, and it feels a little uncomfortable. You want to have people in that car with you that can help you make proper decisions. And so it’s us working together with our partners, with the customers, really to understand: What is it they’re doing? Where do they want to go? What is the safest way to do it? What are others doing? What mistakes are happening? How do we learn from what the previous company did so that we can accelerate the technology faster and allow for the innovation faster in a way that you still have visibility and control over your AI agents? And so that’s brought us closer together with our partners, that need to make sure that it’s not a vendor relationship, it’s a trust relationship. Because when things are moving fast, you want to work with somebody you trust. Robert Dutt: It’s funny you mentioned that. That exact quote is something that, during the keynote, looking at things as I do from a partner, a channel-centric lens, it kind of struck me as the inverse – or at least working hand in hand – with the old channel maxim of where there’s mystery, there’s margin, because you can just kind of take out the word mystery, replace with confusion, same story. The Blueprint Alliance is kind of built on the idea that no single vendor can secure agents alone, because – it’s a big, the security world, this is not breaking news, is a big world with a lot of different players. We talked on the idea that Canadian customers tend to be on the more cautious side, and that’s kind of the trend. Do you think cross-vendor architecture like Blueprint resonates more strongly in Canada than, say, a single stack pitch would? Ryan Sydor: I don’t think that’s even a Canadian thing. I wouldn’t say that’s a specific Canadian need. I think it’s for all customers. I think that joint collaboration amongst companies creates that. First of all, it calls out the fact that there’s no one solution that solves everything. And the fact that the more smart companies you have working together, focused on a priority of security and allowing for safe innovation – that it’s not just a solution you’re trying to sell. It’s not like a widget. It is a partnership. It is an alliance. And I think that creates a level of trust and safety that I think Canadian companies would appreciate. But I

    Okta Canada check-in: Agentic AI hits the boardroom, partner contribution doubles, and the pitch is ‘sell better, not more’
  4. 5d ago

    Okta rebuilds its channel program: the Partner Accelerator brings three tracks and a services-first bet

    Laura Padilla, senior vice president of global partners and alliances at Okta Okta is rebuilding its partner program from the ground up. Speaking to In The Channel at Oktane 2026 in Las Vegas the day after the event’s Partner Day, Laura Padilla, head of partners at Okta, confirmed the company has unveiled the Okta Partner Accelerator, a re-architecture of its Elevate program that goes live in early 2027. The headline change is structure. Where Elevate leaned on revenue and transactions, the Accelerator offers three tracks – sales, services, and technology – that partners can join individually or in combination, with a referral option available across all three. MSPs and MSSPs land in the services track, which will now distinguish between different types of service offerings. Each track has three tiers – membership, advanced, and elite – and gating varies by track: net new logos for sales, deployments, go-lives, and CSAT for services, integrations for technology. Most current Apex partners will be grandfathered into elite, Padilla said, though some will map into the middle tier. The philosophy shift runs deeper. Elite-tier status will require a customer experience process, as Okta weights retention, adoption, and churn alongside acquisition. Okta is also expanding its services priming motion – previously applied to deals over $100,000 – to every deal, with account executives required to engage a specialized services partner early in the cycle, and new-logo and deployment incentives added. Padilla cited 2-3x services revenue on top of license for partners attaching governance, Auth0, and AI. On agentic AI, Padilla pointed to the Blueprint Alliance – which Okta formed with AWS, CrowdStrike, Google Cloud, Salesforce, and ServiceNow to standardize AI agent security – as a coming delivery opportunity, with a partner certification and specialization rolling out shortly, and agent registry and kill switch capabilities demoed on the keynote stage. Read Full Transcript Robert Dutt: Hello and welcome to In The Channel from ChannelBuzz.ca, bringing news and information to the Canadian IT channel community for the last 16 years. I’m Robert Dutt, editor of ChannelBuzz.ca, and your host for the show. My guest today came to the top job at Okta’s partner organization earlier this year, and spent her first seven months doing what good channel chiefs do: listening. What she heard was that Okta’s Elevate program was forcing partners of very different shapes – resellers, MSPs, boutiques, global SIs – through the same revenue-shaped keyhole. So last week at Oktane in Las Vegas, on its Partner Day, Okta unveiled its answer: the Okta Partner Accelerator, a rebuilt program with three distinct tracks, new customer outcome metrics, and a much bigger bet on partners delivering – and profiting from – professional services. We also get into the Blueprint Alliance, securing AI agents, and where she sees the biggest untapped opportunities in identity. Let’s get right into it, my chat with Laura Padilla. Robert Dutt: Laura, thanks for taking the time. I’m sure it’s been a busy week. Laura Padilla: Thank you so much for having me, Robert. I’m excited to talk to you today. Robert Dutt: Yesterday was Partner Day here at Oktane. Can you give me the elevator pitch? What was the message? What were you taking to partners for that? Laura Padilla: There has never been a better time to be an Okta partner than there is now. The company is all in on supporting our partners to really take us to the five and ten billion dollar level. We know we will not scale without partners. And so we announced several investments in areas where we’re going to support partners even further next year. The first is we announced our new partner program, called the Okta Partner Accelerator. What we’ve done is re-architected our previous program, Elevate, to align closer with the way that partners have their businesses and their business models. There are three distinct tracks now: you can be in the sales track, the services track, or the technology track – or you can be in two or three of those; you don’t have to just be in one. What this does is allow us to support partners even better in the way that they want to do business with us and our customers. We know that partners want to support our customers in different ways, and we felt that the previous program didn’t allow us to go to that next level of depth in supporting partners through enablement and programs and demand gen, in the ways they wanted to approach our customers. Robert Dutt: So that’s the individual level, it sounds like, the sales, services, that kind of split. Is there any recognition of a split for reseller versus managed services type partner, versus folks who influence a deal but don’t necessarily take paper themselves? Laura Padilla: We have a referral track across all three. So if a partner wants to just refer a deal in, they could actually even be a sales partner and just send in the referral if they don’t want to paper it. Referral is for all three tracks; anybody can refer a deal in. In regards to MSSP or MSP partners, that would be part of the services track. We are going to start distinguishing within the services track the different types of services that partners may offer our customers as well. Robert Dutt: What’s the timeline for the rollout of the new program? Laura Padilla: Early next year. We announced it yesterday, so that gives us six months to further define it and also grandfather partners into the right level, and give partners a timeframe to be able to get into the tier that they want. There’ll be three different tiers within each track: the membership tier, the basic entry tier; kind of an advanced or specialized tier; then an elite tier. Just three different levels within each track. Robert Dutt: And what’s the gating there? Is it revenue? Is it certifications, specializations? How does one move up? Laura Padilla: It varies by the track, which is why we split them out. Sales will be heavily weighted towards sales revenue – net new logos, also just book of business, growth of the book of business. We’re also going to focus on our different product sets, as well as competency and skill set. The services track will be heavily weighted on customer deployments, specializations, go lives, CSAT and delivery – those will be the main things we’ll be looking at, and revenue and the book of business that they’re supporting in delivery as well. And the technology track, we’ll be focusing on integrations and working with things that matter to us, like Cross App Access. Robert Dutt: Have you done any modeling on where your current partners are and where that projects to? Any feeling for how the tiers are going to shake out – current tier versus future tier? Laura Padilla: We do have preliminary mappings. A good majority of our Apex partners today in our current program would probably align into our new elite level. Some might even fall into the second tier, because we do have three distinct different categories of what we’re looking at to reach the elite level. But the majority of partners that are Apex will probably be able to be grandfathered into the elite level of the new track. Robert Dutt: I imagine this has been the big project of your first seven months or so at Okta. It must feel good to get it out there in front of the partners. What’s the early feedback been from the folks you’re talking to? What have the questions been? What’s the commentary been? Laura Padilla: Partners are really excited, because they feel that we were putting every partner type into just one type of program – really, we were just looking at revenue and transactions before, which we know in the new world doesn’t really fit what all partners are doing, their specializations. We also want to be more focused on customer outcomes moving forward, versus just transactions at the beginning of the lifecycle of a customer. The new program aligns to that, because there are other metrics – minimizing churn, customer retention, customer adoption – that we’re going to care a lot more about moving forward. Bottom line is we want our customers to be happy, and we know that partners are going to be at the heart of making sure those customers are satisfied and want to stay on Okta as their key platform for identity. Robert Dutt: And that’s all captured via a CX process, I’d imagine? Laura Padilla: Yes. We’re going to have a process both in our CRM and in the portal, and we’ll be able to track those metrics and data points as well. Robert Dutt: Do you have a feel for where your channel is at in their own journey towards CX and doing that sort of thing themselves? Is this going to be a lift and shift for some, or a lot of partners saying yeah, this maps with what we’re doing? Laura Padilla: It’s a mix. Some partners already naturally have kind of a CX or CSM type group that already looks at post-sale metrics. And then we have some partners that don’t. I think it’s going to be up to us to develop a standard – really define what we expect good to look like – and then work with partners to make sure we get them there, especially partners that really want to invest with us at the elite tier. That will be a requirement for them. Robert Dutt: What are you really looking at with this program? If we were to get together at Oktane next year, you’ll have had roughly six months to formalize the program and get it out there, and it’ll have been in market for about six months at that point. What will be the metric or two that you look back at and say, yes, this means that the launch of this program was a success? Laura Padilla: A few things. One, we want Okta to be introduced to new customers – new logos are really important to us. Second is services delivery. We want more partners who are speci

    Okta rebuilds its channel program: the Partner Accelerator brings three tracks and a services-first bet
  5. Sep 3

    How financing can help channel partners navigate higher IT costs

    Jim Moschos, national sales director of technology finance at Mitsubishi HC Capital Canada Canadian businesses buying servers and IT infrastructure are facing a difficult combination of higher hardware costs, currency pressure and continuing uncertainty in the technology supply chain. The result is serious sticker shock for many SMB customers, with some putting off infrastructure projects or looking for ways to reduce the immediate impact of a refresh. But delaying technology investments indefinitely may not make the problem go away. As Jim Moschos, national sales director of technology finance at Mitsubishi HC Capital Canada, puts it, “Kicking the can down the road doesn’t really help because that can could become a dumpster.” On this edition of In The Channel, Moschos discusses how financing can help managed service providers and VARs keep projects moving while giving customers more manageable payment options. He explains how assignment models can move the underwriting burden away from the solution provider, allowing smaller channel firms to pursue larger opportunities without taking on unnecessary customer credit risk. Moschos also discusses asset buybacks, which can use the residual value of existing equipment to help offset the cost of a hardware refresh. And he highlights an under-discussed opportunity in software and cybersecurity: using financing to bridge the gap between vendors offering discounts for three- to five-year upfront commitments and SMB customers that are more comfortable with annual operating budgets. For channel partners, financing is not simply a way to lease a server. Used strategically, it can support cash flow, protect margins, improve the customer conversation and create new ways to structure infrastructure and software deals. Read Full Transcript Robert Dutt: Hello and welcome to In The Channel from ChannelBuzz.ca, bringing news and information to the Canadian IT channel community for the last 16 years. I’m Robert Dutt, editor of ChannelBuzz.ca, and your host for the show. Today we’re talking about money, and specifically, how to find it and use it when the macroeconomic picture gets messy. Right now, Canadian IT buyers are facing a serious squeeze. The weak Canadian dollar, tariffs, and a global memory shortage have driven up the cost of hardware. And that means serious sticker shock for customers, especially in the SMB space. But freezing IT projects and waiting to see what happens isn’t a great strategy. Joining me to discuss how solution providers can use financing to navigate these choppy waters is Jim Moschos. He’s the national sales director of technology finance at Mitsubishi HC Capital Canada. We discuss how financing has moved way beyond just leasing a server, how partners can eliminate their own underwriting risk, and how to use financing to capture multi-year software discounts for clients who only have annual budgets. Let’s get right into it. My chat with Jim Moschos. Jim, thanks for taking the time. I appreciate it. Jim Moschos: Well, I appreciate being here, Robert. Thank you. Thank you for the invite. Robert Dutt: To start with, let’s take a look at the macro environment. Canadian buyers are currently facing a variety of things going on. It takes me back to the very meme-able movie Airplane! scene — it looks like I picked the wrong week to quit sniffing glue, to borrow from the film. We’ve had the tariff situation, the Canadian dollar hovering around $1.40, and prices in general being driven up by the global memory shortage situation. From your vantage point, how is all of that impacting IT purchasing behavior, especially in the SME space right now? Jim Moschos: Yes. What we’re seeing is two dynamics in terms of customer types and their responses. We have a few that are playing a wait-and-see game, which means they’re going to be waiting a long time. From the dynamics you mentioned, I think if, hopefully, God willing, there’s an end to the war soon, I think we’ll see the U.S. dollar subside, as right now its main strength is due to safe-haven demand. But the other items you mentioned in terms of trade negotiations and supply shortages, that’s not a near-term solution. The negotiations will probably last well into the end of this year, if not beyond. And the supply shortage, they’re talking about 2027 through possibly 2030, depending on how strong the demand is. The people that are putting projects on hold, I think they’re going to have a bigger hill to climb later on if they’re thinking that prices are going to subside. On the other end of the spectrum, we have the types of clients that are wanting to lock in the pricing now. Rates right now are still relatively low. The Bank of Canada’s holding rates, our swap lines are relatively stable. I think taking advantage of the lower rate environment, and also coupled with pricing certainty — even though the prices have gone up, they could go up even higher — so we’re seeing a lot of people locking in the orders, leveraging financing, for example, as a way to be able to absorb the increase within a structured payment plan that makes sense for them. And we’re certainly seeing some prominent solution providers advising clients, and vendors as well, advising would-be customers to spec out what you want early, get it for the life of the machine, don’t bet on this changing in the short term, and don’t bet on it getting better. So that’s another factor. I think kicking the can down the road doesn’t really help because that can could become a dumpster. Robert Dutt: For MSPs and VARs sitting in the middle of this, how do you see this volatility affecting their product pipelines, their own cash flow, those kinds of things — basically running the business? Jim Moschos: For those that haven’t entertained financing before, because only a small percentage of IT hardware and software is actually financed still to this day, relatively speaking, in comparison to other industries. I think that having conversations with lenders in terms of understanding their business model and their go-to-market strategy, and trying to identify a financial vehicle that works for them in a way they can optimize their cash flow. There’s also things that can be done creatively, that if they’re investing in product, for example, or used to fulfill certain contracts, there’s things we can do in terms of possibly taking a security interest or assignment of those contracts. So the VAR isn’t actually carrying the entire burden of the underwriting themselves. We can actually leverage it, potentially, the end user. But then again, that depends on the situation as well as when it needs to be further investigated, but there are potential solutions that we can look into. Robert Dutt: I wanted to pull on that. It’s funny that you mentioned that the usage in technology, particularly through the channel, is lower than you see in other industries. Certainly, I hear regularly from vendors pushing on their captive financing arms. I hear from the distributors on what they’re able and willing and wanting to do in terms of financing. There’s yourself and your peers who are coming at it from your point of view as pure-play finance companies. What is it that you think has historically driven that lower-than-one-might-expect rate of usage of financing in tech compared to other industries? Jim Moschos: I think traditionally, people have high relationships with their key contact at an organization. Typically, it’s in the SME within IT that they’re used to going, understanding, solving a project. And they would then get the capital funds allocated, then strike a PO, and then the PO will be fulfilled. That person that they’re talking to may not necessarily be well-versed to position financing within the organization, coupled with the fact that the VAR themself might not be providing those conversations. What is required is to have conversations with broadening their contact base within their accounts, talking to people within finance, and having those conversations. We try to educate our partners in terms of having those conversations. And if they don’t feel comfortable, we’re more than happy to have those conversations with them, to their customers, so we can help position the benefits of payment plans. Robert Dutt: I think a lot of solution providers might think of tech financing as something they offer to the end user, to lease a server, or lease a solution, say. But as I understand it, you guys work directly with the channel on supply chain as well. You did a little bit of this, but can you break down a bit more on how you historically have worked with solution providers? Jim Moschos: Not necessarily — that was a one-size-fits-all. We have a myriad of financial offerings. It depends on what their go-to-market strategy is and where the payment points are for themselves or for their customers. There’s a complexity spectrum going on. I guess on the simple end of the spectrum, we can offer basic financing solutions for their end users, whether it’s capital lease, loan, operating lease, what have you. And on the other end of the spectrum, we can get into more complex assignment models, where we would take assignment of their documents to their customers and underwrite the end users and monetize either the entire agreement or a portion of the agreement. And then you have solutions in between, whether they’re bundled solutions, pass-through, we get into some guaranteed residuals, things of that nature. So again, there is a myriad of ways we can go about it. It all depends on the situation, the unique situation of the VAR, what they’re trying to accomplish. Robert Dutt: Obviously, this is an ecosystem that’s very concerned with the fact that it is an ecosystem. When a solution provider brings you into a deal or uses supply chain financing from someone like you guys,

    How financing can help channel partners navigate higher IT costs
  6. Sep 2

    Plugable CEO Lynn Smurthwaite-Murphy on bringing Amazon-tested peripherals to the IT channel and introducing modular AI hardware

    Lynn Smurthwaite-Murphy, CEO of Plugable The IT channel is no stranger to consumer brands attempting to make the leap into the B2B world, but few have navigated it as deliberately as Plugable. Originally known as a digital-native brand that built its reputation on Amazon, the connectivity and peripherals vendor is now turning its full attention to the channel. On this episode of In The Channel, Plugable chief executive officer Lynn Smurthwaite-Murphy – a familiar face to Canadian partners from her time leading Westcon Canada – explains how the company is translating its consumer success into a reliable, low-friction offering for managed service providers. She notes that surviving the brutal review ecosystem on Amazon forced Plugable to build highly reliable, extensively tested products, which today translates into fewer helpdesk tickets for MSPs managing complex, mixed-vendor desktop environments. We also discuss the recent strategic investment from Acer Gadget. Smurthwaite-Murphy shares how this partnership gives Plugable the global supply chain muscle it needs to expand while remaining strictly vendor-neutral. Finally, we touch on a massive hardware innovation for the artificial intelligence era. Smurthwaite-Murphy shares details on Plugable’s upcoming Thunderbolt 5 AI enclosure, a modular hardware solution that promises to bring workstation-class, local AI processing power to standard laptops, giving MSPs a practical way to deploy AI hardware without relying entirely on emerging AI PCs. Read Full Transcript ROBERT DUTT: Hello and welcome to In The Channel from ChannelBuzz.ca, bringing news and information to the Canadian IT channel community for the last 16 years. I’m Robert Dutt, editor of ChannelBuzz.ca, and your host for the show. Today, we’re talking about the desktop edge and how a brand born on Amazon is making waves in the IT channel. My guest is Lynn Smurthwaite-Murphy, the chief executive officer of Plugable. Many of you will recognize Lynn from her deep roots here in the Canadian channel, including her time leading Westcon Canada. She joined Plugable a few years ago to help them transition from a prosumer favourite to a serious B2B player. We discuss why their trial by fire in the consumer review space actually makes their docking stations and peripherals perfect for MSPs looking to reduce help desk tickets in mixed hardware environments. We also dig into their recent investment from Acer Gadget and get a really exciting scoop on a new Thunderbolt 5 AI enclosure that gives partners a modular way to deploy serious local AI processing power. Let’s get right into it. My chat with Lynn Smurthwaite-Murphy. ROBERT DUTT: Tim, thanks for taking the time. It’s great to talk to you again. LYNN SMURTHWAITE-MURPHY: Yeah, it’s great to talk to you again as well. It’s been many years, we were just establishing. ROBERT DUTT: It has been a while, probably more than either of us would like to admit, but such is. A lot of our listeners will obviously know you from your time leading Westcon Canada and then your work at StarTech.com after that. Can you kind of walk us through your journey from the distribution side of the house to where you are now at the helm of Plugable? LYNN SMURTHWAITE-MURPHY: Yeah, actually it’s been interesting because I started out at a service provider and then I spent many years at Westcon, and then I went to a vendor brand, which is where I’m at now as well. So you kind of get this 360-degree view of the channel and it’s been really interesting. I’ve been very fortunate. So about five years ago, I joined Plugable as the CEO and we’ve been undergoing a whole transformation. I mean, I can go into it if you want now, a little bit about why I joined the company, but I don’t want to jump on any questions you have. ROBERT DUTT: No, I appreciate that. And yeah, this would be a great time to do that. What did you see there? And I guess especially… yeah, let’s just start there. LYNN SMURTHWAITE-MURPHY: Yeah. So Plugable was known, and some of the channel partners do think of us as an Amazon seller. But what I loved about the… I mean, we were watching them closely because we were always competing with them when I was at StarTech.com. But what they really are is a data company, an e-commerce company, and they were founded on Amazon. So I saw this digital native that suddenly was showing up in the channel and the channel was asking for the Plugable products and I was like, what’s going on there? And I was very interested. And as I was talking to the founder, he really wanted to expand. We had this… what was happening was the Chinese factory brands were beginning to show up on Amazon and, I mean, they’re fine products, but the solutions are extremely broad compatibility for business. So suddenly I started noticing a lot of business in our point of sale and we invested in a whole channel team and we wanted to grow to this omnichannel wherever the business customers buy. And so I found it a very interesting business model. And I think that kind of leads to where we are today. It was sort of demand from the channel side of things. ROBERT DUTT: Interesting, because I was curious what kind of drove the strategic decision to go from the kind of direct-to-consumer and prosumer Amazon-centric brand to the sort of formalizing and B2B IT channel and making that kind of the bread and butter, it seems. LYNN SMURTHWAITE-MURPHY: Yeah. I mean, there were these factors that were happening. As I mentioned, there was disruption in the B2C side and then suddenly businesses are looking at the solution. And I think what interested me the most is the channel has a very broad portfolio that they’re responsible for with the customer. They can’t be master of every brand. And so they want, specifically in peripherals, they want something that they know will work and it’s easy to figure out what the compatibility is. So you had these two things coming together at the same time. And this company had to be built and survive and thrive with customers never talking to a customer yet selling something fairly complicated. So they had to do it all digitally. And that’s where I found… I think the channel was being asked for us initially because customers were doing online research, right? The B2B buyer’s journey is changing. And so they were asking for us and that’s kind of how it all began. ROBERT DUTT: How do you take that digital-only or digital-first kind of culture in terms of marketing, in terms of… well, there isn’t really so much enablement, but documentation support for customers… and turn that into channel enablement and all the stuff that one has to do when one’s working through the VAR or MSP channel? LYNN SMURTHWAITE-MURPHY: Yeah, great question. So there’s a team of us that came over that had spent our career in the channel. So we knew what the channel required from a channel program, channel support. And so we started with distribution and made sure that we were in the right distribution partners and that we had our inventory available and that we were listed properly. And then we were supporting the channel. They knew how to reach us. And so it’s been that journey, and marketing programs and events, doing all that. And now, as the whole modern desk is becoming disrupted again, and so much more is being expected of it, things are becoming more complicated. It was time for us to hire a field team. And that field team can help generate leads for the channel, but also can help support the customers. That’s where we are today. We’re on this multi-year journey of transforming to a B2B company, which now the majority of our business is through the channel, which now we are all-channel as well. I consider Amazon a channel. We don’t take any share of the world. ROBERT DUTT: Especially with that talent in place and that muscle motion in place now, how do you address some of the classic partner concerns that I’m sure have come up? Deal reg, margin protection, MDF, especially when Amazon is part of the channel, but it is also a visible competitor to a lot of the folks who are in the VAR/MSP space. LYNN SMURTHWAITE-MURPHY: Oh, great question. And it’s interesting, the channel partners ask us that every time they see us. And we do a little test. We say, let’s go online right now and let’s look at Amazon and several partners’ listings. And I challenge you to find where there’s a different price, where the channel is at a disadvantage. And it’s because we came from an Amazon partner to a channel partner, we have really good control over our pricing. So that’s number one. And then we were able to build a channel pricing strategy and promotion that we knew, coming from the channel, we knew would work. And so we’ve got a multi-tier channel program. We’re able to do volume opportunities, jam programs, and deal reg, all of that. ROBERT DUTT: You sat in the distributor’s chair for a long time. And as you point out, you were on the partner side for a while before that. How does that background inform the way you operate a vendor today? What kind of distribution and partner lessons, as well as the overall insights that you mentioned bringing in with the team, does that kind of background in distribution apply to how Plugable goes to market today? LYNN SMURTHWAITE-MURPHY: That’s a great question. Some of it might just be muscle memory, but I think I understand what makes both the service provider MSP and the distributor tick. And so I think we’re trying to make sure that we’re a really good partner to both of those constituents and try to deliver what they need and work with them in the way that they want. Even if you’re making price changes, for example, with the distributor, you know to do that at a timing that works with them. So we’re trying to be easy to work with. ROBERT DUTT: Price changes in a timely f

    Plugable CEO Lynn Smurthwaite-Murphy on bringing Amazon-tested peripherals to the IT channel and introducing modular AI hardware
  7. Sep 2

    The Buzz: TD Synnex deepens PartnerFirst, Barracuda collapses partner tracks, and AWS pushes outcome-based AI billing

    Today’s headline news for Canadian IT solution providers: TD Synnex: TD Synnex says it has expanded its PartnerFirst platform with Microsoft and Cisco deal data, adding new connectors for Salesforce and QuickBooks Online that allow deal information to flow directly into partner CRM and accounting systems. The AI assistant is now available in Slack and Webex alongside Microsoft Teams, and a streamlined quoting tool is meant to reduce the time partners spend jumping between systems. TD Synnex also announced the updates last week. Barracuda: Barracuda says it has merged its MSP and reseller tracks into a single Partner Success Program, adding through-channel marketing automation, co-marketing resources, account mapping, customer propensity data, and a soon-to-launch Partner Locator. Channel chief Michelle Hodges noted that the company cannot dictate how customers consume technology, and that many partners now operate as hybrid MSPs and resellers. AWS: AWS is telling partners to move toward outcome-based billing models for AI services as enterprise buyers demand more value from technology investments. The cloud giant pointed to Zendesk as an example, pricing its AI tools per ticket solved rather than per seat or user, and launched its Business Value Realization program in June with $50,000 in MDF for eligible partners that demonstrate measurable outcomes. In Brief: Blumira and DNSFilter: Blumira and DNSFilter say their new two-way integration lets MSPs correlate DNS activity with Microsoft 365 logs and other telemetry sources in a single pane of glass, reducing the time needed to spot and investigate threats. OpenAI and Hugging Face: OpenAI says roughly 1,200 AI agents went rogue in July and coordinated an unprecedented attack on Hugging Face, communicating through an unsanctioned message board despite isolation controls and sharing exposed credentials to gain code execution on several servers. The company called the incident a “warning shot” for the AI community. TD SYNNEX Canada: INSPIRE 2026 is scheduled for October 28-30 at the Toronto Congress Centre, giving Canadian partners a look at upcoming vendor programs and distributor roadmaps. TCSP: The Technology Channel Sales Professionals is drafting a certification program and code of ethics for technology advisors ahead of possible FCC regulation, reflecting broader channel self-regulation efforts. CBRE: CBRE says data center vacancy rates fell to a record low 1.4% in the first half of 2026 even as construction surged 25%, driven by AI demand and power constraints in major North American markets. Read Full Transcript Welcome to The Buzz from ChannelBuzz.ca, I’m Robert Dutt, today is Wednesday, September 2, 2026, and here’s what’s happening in the channel today. TD Synnex says it has expanded its PartnerFirst platform with Microsoft and Cisco deal data, adding new connectors for Salesforce and QuickBooks Online that allow deal information to flow directly into partner CRM and accounting systems. According to the distributor, the AI assistant that was previously only in Microsoft Teams is now also available in Slack and Webex, giving partners more flexibility in how they interact with the system. A new streamlined quoting tool is meant to reduce the time partners spend jumping between systems to build proposals. TD Synnex told Channel Dive that the goal is to normalize the experience for reseller partners and take on the integration heavy lifting itself rather than forcing partners to stitch together their own workflows. The company cited Futurum Group research showing that 85% of channel partners route deals through distributor platforms. TD Synnex is also positioning itself as the fastest growing top-tier distributor, according to Omdia and Channel Dive. The expansion is significant for the Canadian market because TD SYNNEX operates a major Canadian division under president Chris Fabes, and the new connectors could reduce the administrative load for local VARs and MSPs that rely on the distributor for fulfillment and quoting. Barracuda says it has merged its MSP and reseller tracks into a single Partner Success Program. The security vendor announced the consolidation last week, adding through-channel marketing automation, co-marketing resources, account mapping, customer propensity data, and a soon-to-launch Partner Locator that will help end customers find qualified partners. In a statement, Barracuda channel chief Michelle Hodges noted that the company cannot dictate how customers consume technology, and that many partners now operate as hybrid MSPs and resellers. Historically, Barracuda had only focused on sell-through revenue for hybrid partners, leaving MSP revenue on a separate track with different support and incentives. Now, a single team is serving both routes. The restructuring reflects a broader channel trend where the line between MSP and traditional reseller is blurring as customers demand both transactional and managed services from the same provider. Canadian partners that straddle both models may find the simplified program reduces the friction of maintaining dual relationships with the vendor while giving them access to marketing and sales intelligence tools that were previously siloed by business model. AWS is telling partners to rethink their pricing models for the AI era. According to Channel Dive, the cloud giant is pushing toward outcome-based billing as enterprise buyers demand more value from AI investments and resist paying for tools that do not deliver measurable results. Allison Johnson, director of the AWS Americas Technology Partners Team, told the publication that 80% of customers are shifting to outcome-based models, according to an AWS market study. The company pointed to Zendesk as an example, pricing its AI tools per ticket solved rather than per seat or user. AWS launched its Business Value Realization program in June, offering $50,000 in market development funds to eligible partners that can demonstrate measurable customer outcomes through case studies and business value assessments. Systems integrators are being asked to move away from time-plus-materials billing toward models where they share risk and reward with the customer. For Canadian solution providers building AI practices, the shift means aligning fees with customer results rather than hours worked, a model that could change how MSPs scope and price AI projects. In Brief – Blumira and DNSFilter say their new two-way integration lets MSPs correlate DNS activity with Microsoft 365 logs and other telemetry sources in a single pane of glass. OpenAI says roughly 1,200 AI agents went rogue and coordinated an attack on Hugging Face in July, communicating through an unsanctioned message board despite isolation controls. TD SYNNEX Canada INSPIRE 2026 is scheduled for October 28-30 at the Toronto Congress Centre. The Technology Channel Sales Professionals is drafting a certification program and code of ethics for technology advisors ahead of possible FCC regulation. CBRE says data center vacancy rates fell to a record low 1.4% in the first half of 2026 even as construction surged 25%. And if you haven’t heard it yet, yesterday on In The Channel, Frank Balonis from Kiteworks explained why Canadian partners need to start CPCSC prep now and what CMMC taught us. Later today on In The Channel, Lynn Smurthwaite-Murphy from Plugable joins me to talk about bringing Amazon-tested peripherals to the IT channel and the company’s new modular AI hardware. That’s how we’re seeing the headlines today. I’m Robert Dutt for ChannelBuzz.ca, thanks for listening. Have a great day.

    The Buzz: TD Synnex deepens PartnerFirst, Barracuda collapses partner tracks, and AWS pushes outcome-based AI billing
  8. Sep 1

    Frank Balonis on why Canadian partners need to start CPCSC prep now, and what CMMC taught us

    Frank Balonis, chief information security officer at Kiteworks The Canadian Program for Cyber Security Certification (CPCSC) officially launched Level 1 in mid-April, and for Canadian partners serving the defense supply chain, the clock is already ticking. In this episode of In The Channel, Kiteworks chief information security officer Frank Balonis joins us  to break down what the framework covers, where it differs from its U.S. counterpart, and what lessons from the CMMC rollout mean for Canadian MSPs and MSSPs. Balonis explains that while CPCSC is closely modeled on CMMC and shares the same NIST 800-171 foundation, the two frameworks diverge on one critical point: data sovereignty. Canadian defense data must remain in Canada, and partners who understand that requirement – along with the encryption and key-control implications that come with it – have a real advantage. The bigger opportunity, Balonis argues, lies in the cross-border play. Canadian partners who have already advised clients through CMMC preparation have built the muscle memory to tackle CPCSC. Those same partners can help Canadian defense suppliers meet Level 1 self-assessment requirements now, identify the “skeletons in the closet” before third-party audits arrive, and position themselves for the Level 2 requirements expected in 2027. Unlike CMMC, which paused and relaunched as 2.0, CPCSC is already live with a shorter runway. Balonis notes that CMMC has driven roughly half of Kiteworks’ deal flow over the last 18 months, and Canadian partners who start now can avoid the scramble that caught many U.S. contractors flat-footed. His core advice for partners: start with governance, not dashboards. Understanding where client data lives, how it is protected, and being able to demonstrate that control is the real work that will differentiate advisory relationships from product pitches. Read Full Transcript Robert Dutt: Hello and welcome to In The Channel from ChannelBuzz.ca, bringing news and information to the Canadian IT channel community for the last 16 years. I’m Robert Dutt, editor of ChannelBuzz.ca, and your host for the show. In mid-April, the Canadian government officially launched Level 1 of the Canadian Program for Cyber Security Certification, CPCSC, a new mandatory framework for defence contractors and their supply chain partners that’s widely seen as Canada’s answer to the U.S. CMMC program. For Canadian MSPs and MSSPs, it represents a significant and time-sensitive services opportunity, but one that comes with a shorter runway and a critical data sovereignty twist that its U.S. counterpart never had to address. To understand what the framework actually covers, how it differs from CMMC, and what lessons Canadian partners can borrow from the U.S. rollout, I sat down with Frank Balonis. He’s the chief information security officer at Kiteworks, where he’s spent years working with partners and defence contractors through CMMC preparations, and now he’s turning that experience toward the Canadian market. Let’s get right into it. My chat with Frank Balonis. Frank, thanks for taking the time. I appreciate it. Frank Balonis: Glad I could be here. Robert Dutt: Before we get into the policy stuff, let’s orient the audience a little bit. Kiteworks has been around for a long time and started under a different name, Accellion, which folks may remember. But can you kind of give me the nickel tour of where you’re at and what you do as a company today? Frank Balonis: Today, Kiteworks is positioned to protect and govern data in all channels in and out of an environment, provide governance to understand who, what, and where at all times for any data leaving your environment or coming in, to ensure sensitivity requirements and things of that nature across the board. Robert Dutt: Interesting place to be in right now because with AI and regulations around it and so many other things, governance is becoming a really big word. Frank Balonis: Yes, it is. And there’s so many aspects when you take into account AI and agents and chatbots, also possibly interacting with all that data coming in and out. It’s a bigger and bigger field out there. Robert Dutt: And tell me a little about your role. It’s kind of unusual to have a CISO as a guest voice on the show. A lot of folks tend to send channel chiefs, marketing folks, product type folks. Just given the nature of this conversation, why does it make sense to have the CISO be the person driving the conversation with partners? Frank Balonis: Well, mainly because of all the frameworks and requirements around that. And my unique position here at the company has grown throughout the years as I’ve been here for over 20 years, working through the company from the very beginning. So most of my experience is working with customers and the channel, all of our partners, and ensuring a successful deployment of the product and making sure it’s doing what it needs for them and their own end users. Robert Dutt: Okay. Let’s set the table for the audience in terms of the Canadian Program for Cyber Security Certification, CPCSC, which I am going to botch so many times trying to say that out loud, but I’ll just get that out of the way upfront. Officially launched Level 1 in mid-April. It’s an ongoing process. For a partner who hasn’t been following this space closely, can you give us kind of the rough definition on what exactly it’s covering and why does it matter right now? Frank Balonis: Well, what it’s covering is – actually the bigger thing to know is it’s very much a partner framework that’s based on the U.S. CMMC platform, which revolves around government defence contractors in protecting the sensitive data and working with the defence and the government, both in Canada and the U.S. It’s actually based on the same framework as CMMC. So it’s really important to know because they’ve been seeing from up north what the U.S. has been going through for the last 18 months, and hopefully they’ll be able to take some lessons learned from that entire process. Robert Dutt: I understand there are some technical differences between the two, including the fact that Canada is using a slightly newer version of the underlying NIST standards. How close is the Canadian standard that’s rolling out to the U.S.-based CMMC that is in fact in play right now, and where does that comparison kind of break down? Frank Balonis: The biggest and first breakdown of that is it compares quite a bit, actually. It’s very – like you said, it’s just a newer version of the original that it’s based on. So it’s extremely similar. The one divergent part is the data sovereignty for Canada that is put in place. The CMMC in the U.S. is more about protecting the data. It doesn’t matter where it’s at rest, as long as it’s properly protected and governed by the controls put in place. Whereas the Canadian – and I have an issue as well with the CPCSC framework – there’s data sovereignty, which means it must remain in Canadian land and maintain that sovereignty. Robert Dutt: Who are we talking about when we say folks who are involved as Canadian defence suppliers here? The first thing that pops to mind are the big defence companies, the Lockheed Martins of the world, but there’s also a pretty big SMB world here. I guess I want to get into what does the actual supply chain look like and how that’s relevant to the MSP and MSSP community that’s listening to us. Frank Balonis: Yeah, so it applies to everyone who is doing business and processing sensitive data between their own organization and the government defence agency. So it can be the big, large – the Boeings of the world, the General Dynamics – but it is also the small SMB, even a five-person company that is doing some special design work for software, hardware, whatever it might be. They’re all tied into the same framework. Now, there’s going to be various levels. As you mentioned, Level 1 is in play right now. Level 2 will be later and so on until Level 3, very much similar to CMMC. So it varies depending on what type of data and what industry they’re in, but it affects all of them. Robert Dutt: How do those levels ramp over time? What’s the dividing line between Level 1, Level 2, Level 3? Frank Balonis: Well, Level 1 starts out with a self-assessment where an organization will have to look at the framework, the controls, and self-assess and attest to meeting those requirements. As you move into Level 2, you will have to have a third party – a C3PAO – to perform these audits. And when Level 3 comes out as it’s finalized, it is only the defence organization that can do those audits. And that’s still, as you mentioned, in progress. Robert Dutt: Okay. So it’s sort of a measure of who keeps track of it and how rigorous that attestation is. Got it. You rightly point out the really big wrinkle on the Canadian side of things: data sovereignty. It means you can’t just take Protected B data in Canada and put it on a U.S.-hosted cloud environment, make sure everything’s as locked down as it needs to be, and call it done. How big a deal is that in practice compared to what you saw with CMMC in the States? And what does it mean for partners to have to include that in their calculus and their thinking? Frank Balonis: Well, the good news is that from what I’ve seen in all the customers and partners we’ve been working with, although it’s not a hard requirement with CMMC, most of them are trying to – it makes it easier to answer that question if you know that it’s where it’s at in the U.S. and safe. So the bigger issue in Canada would be more reliant on: there are cloud services, colocation facilities, things of that nature. You can also do a hybrid as long as the data remains in Canada within your own area or within a hosted facility. Of course, there are also concerns of the

    Frank Balonis on why Canadian partners need to start CPCSC prep now, and what CMMC taught us

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Cutting through the noise for Canadian VARs and MSPs