VARBusiness 500: The Methodology

The VARBusiness 500 is the definitive listing of the biggest IT solution providers, integrators and services companies in North America by gross worldwide revenue.

The VARBusiness 500 methodology changed for the first time in the list's 12-year history. In years past, the VARBusiness 500 included traditional resellers and solution providers, as well as the services arms of IT software vendors and manufacturers. This year, we segregated the vendor services into their own top 25 list, creating a purer listing of the 500 around solution providers, integrators and services companies.

Rankings were determined by 2006 fiscal year gross revenue generated by the sale of IT goods (software and hardware), software licensing, custom software sales, professional services and managed services.

Building the VARBusiness 500 was an elaborate process that began in February. The research team, under the direction of senior editor Jennifer Bosavage and research director Marilyn O'Hara, reviewed the financial performance of more than 800 companies. Private and public companies were invited to participate by the research team, and their financial data was vetted and cross-checked against independent sources, including Hoovers and DunBradstreet.

All companies reviewed for the VARBusiness 500 were asked to complete a survey on their business practices and performance. Nearly 55 percent of the VARBusiness 500 companies participated in the industry survey, giving us deep insight into their technology focus, peer and vendor partnerships, growth opportunities, staffing trends and vertical specializations. The CMP Channel Group, led by senior research director Monty Cornell, and Answers Research assisted in the data analysis.

This issue contains top-line analysis of the VARBusiness 500 companies and industry trends.