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EMC extends partner incentive program, sees increased revenues

Data-storage device maker EMC has seen a major jump in revenues in the first quarter of 2010, helped, in part, by an enhanced channel incentive program.

The company recently extended its Velocity incentive program for channel partners into 2010. The program provides incentives for partners selling to previously underpenetrated markets.

The extension of Velocity combines with a trend toward increased demand in the tech industry to boost the company’s performance. EMC reported revenue of 3.9 billion in the first quarter of 2010, an increase of 23 percent from the same quarter one year ago.

Shares of the Hopkinton, Massachusetts-based company rose 2.3 percent $19.85 last week. EMC expects adjusted earnings of $1.18 a share for 2010.

CFO David Goulden said that the company “saw customers move forward with increased confidence, focusing not only on cost-cutting initiatives, but beginning innovative projects in their traditional and virtual data-center infrastructures.”

Technology Business Research storage analyst Greg Richardson said that EMC is “getting comfortable” in the midmarket. He said that the extension of the Velocity incentive program was an effort for the company to better position itself for midmarket growth.