Star partners in the IT channel are in a strong position going into 2026. What will define success for value-added resellers (VARs), independent software vendors (ISVs), and managed services providers (MSPs) in the IT channel this coming year? Rising IT spend, growth in subscription-based software, and expanding demand for vertical solutions all point to one of the strongest years for the IT channel in a decade.
Macro trends are positive. Gartner predicts worldwide IT spending will increase 9.8% from 2025 to reach $6.08 trillion in 2026. The IT services market is also growing, with Grand View Research reporting a CAGR of 9.4% from 2025 to 2026, reaching $2.59 trillion. For IT channel partners, these indicators suggest sustained opportunity rather than short-term recovery.
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What Is the IT Channel in 2026?
The IT channel, comprising VARs, ISVs, MSPs, and other technology integrators, looks very different from what it did a decade ago. Today’s IT channel partners do far more than sell hardware. They design, deploy, and support complete technology ecosystems that combine software, integrations, and ongoing services.
This modern channel model aligns closely with Star Micronics’ hardware portfolio, cloud printing technologies, and partner ecosystem. Reliable, cloud-ready hardware remains foundational to these deployments, especially in retail, restaurant, healthcare, and other multi-location environments.
In 2026, IT channel organizations continue shifting toward recurring services, cloud-based deployments, and specialized vertical markets. According to the Retail Solutions Providers Association (RSPA) Retail IT Channel KPI Study, VARs and ISVs have rebounded from a flat or worse 2024. About 80% of the POS channel now reports growth, with 9.4% seeing revenue growth of 40% or more. These trends are setting the stage for a strong year ahead.
Key Predictions for the IT Channel in 2026
Based on market data and channel performance trends, several themes will define success for IT channel partners in 2026:
- Continued growth in recurring, service-driven revenue models
- Increased demand for cloud-ready, multi-location hardware deployments
- Expansion into regulated and emerging verticals such as healthcare, cannabis, and senior living
- Greater emphasis on simplifying infrastructure while enabling scale
Partners that can deliver reliable hardware while reducing operational complexity will be best positioned to capitalize on these shifts.
More Insights from the Retail IT Channel KPI Study
The RSPA’s Retail IT Channel KPI Study took a deep dive into the state of the channel, examining key performance indicators (KPIs) that IT channel partners, including VARs, ISVs, and other solutions providers, use to measure business health. One of the most telling indicators is revenue per employee.
1. Growing Revenue per Employee
Among RSPA member VARs and ISVs, 38.1% report $200K in revenue per employee, a long-standing benchmark for a healthy organization across both the POS channel and the broader IT channel. This figure represents a 5.6% increase from 2023 and an 11.8% improvement compared to 2022, signaling stronger operational efficiency among IT channel partners.
RSPA views this improvement as evidence that IT channel partners are succeeding even as competition from VC-backed providers continues to grow. The study also shows that VARs and ISVs are increasingly effective at pairing high-value services with IT hardware and software. Approximately 55% of respondents report that 10% to 29% of their revenue is recurring from services, while about 6% generate more than 60% of revenue from services.
Star partners are among the POS channel organizations benefiting from these trends. By combining managed services with hardware bundles such as printing, labeling, kiosks, and cloud-connected POS peripherals, they are well-positioned to meet evolving market demand and sustain long-term growth.
2. Near Record Profit Margins
In addition to revenue growth, the POS channel is seeing higher profitability. Only 1.2% of RSPA survey respondents reported a loss, while 64.7% reported profit margins between 20% and 60% or more. These results point to a healthier, more resilient channel overall.
3. Expansion into New Markets and Niches
Another key finding from the study is that IT channel partners are expanding beyond traditional retail and restaurant markets. Respondents reported growth in areas such as:
- Wine, beer, and liquor (44.1%)
- Ethnic grocery or restaurants (32.1%)
- Cannabis (19.1%)
- Garden and nursery (16.7%)
- Hardware retail (16.8%)
- Entertainment and recreation (15.5%)
In addition, many VARs and ISVs are setting their sights on healthcare (14.3%), medical office and senior living (13.1%), and non-profit organizations (11.9%). With broader solution portfolios, including cloud-ready hardware and printing technologies from Star, partners can confidently expand into these verticals.

4. Emerging Opportunities
When asked about emerging opportunities, IT channel partners consistently pointed to larger customer profiles, expansion into enterprise accounts, and growing demand for specialized, vertical-focused software. Many also cited advancing technology as a key growth driver.
As end customers seek to operate more efficiently and deliver better experiences, IT channel partners are increasingly positioned as strategic advisors. Simplifying infrastructure while enabling cloud-based, multi-location deployments is becoming a defining competitive advantage.
What Makes a Star Partnership So Valuable?
Partnerships enable VARs, ISVs, and MSPs to deliver the products, solutions, and services their markets demand. Star Micronics supports partners with an exceptional breadth of hardware, cloud technologies, and flexible deployment options designed for modern IT channel business models.
> Star’s Portfolio
Star Micronics offers one of the industry’s most complete portfolios of POS and labeling hardware, including receipt, label, and multifunction printers, cash drawers, scales, tablet stands, and scanners. This breadth allows VARs and ISVs to build standardized, scalable solutions across retail, restaurant, and emerging vertical markets.
In addition to hardware, Star provides cloud technologies and services that support modern deployment models:
- CloudPRNT Next is Star’s next-generation cloud printing technology built into compatible printers. Using MQTT-based communication, it enables fast, reliable, and scalable direct-to-cloud printing for ISVs that choose to manage their own cloud infrastructure.
- StarIO.Online is Star’s fully managed cloud printing service. It allows ISVs to send print jobs to CloudPRNT-compatible printers through REST APIs while Star hosts and maintains the cloud infrastructure. StarIO.Online also provides real-time printer status visibility and centralized configuration related specifically to cloud printing workflows, helping partners reduce infrastructure complexity and support multi-location deployments more efficiently.
- Star Micronics Cloud Services (SMCS) includes cloud-based tools and APIs that extend the value of Star hardware. SMCS provides developer-facing APIs that enable ISVs to build their own dashboards or workflows for printer status monitoring and connectivity. It also includes end-user tools such as PromoPRNT and Label Builder, designed to help merchants manage promotional content and customized label designs.
Together, these options give VARs and ISVs flexibility in how they architect, deploy, and support cloud-enabled printing solutions at scale.
> Vertical-Specific Solutions
Star supports a wide range of industries, with hardware designed for retail and restaurant environments, as well as for growing sectors such as healthcare, medical offices, senior living, and non-profits. Star’s experienced team provides the industry expertise needed to support partners as they expand into new verticals.
> Opportunities to Build Recurring Revenue
VARs, ISVs, and MSPs can package software and services around Star’s technology to build recurring revenue streams. By supporting cloud-first offerings and Software-as-a-Service (SaaS) models, Star makes it easier for partners to create predictable, scalable revenue while reducing long-term support complexity.
Make the Most of a Great Year for the IT Channel
In 2026, the IT channel will favor partners who simplify infrastructure while enabling scale. Star Micronics helps VARs and ISVs do exactly that, with cloud-ready POS hardware and a fully managed cloud printing service that removes friction for both partners and their end-user customers.
FAQs for VARs and ISV Partners
What trends will matter most for the IT channel in 2026?
Growth in cloud-based platforms, vertical specialization, and scalable hardware deployments will shape the IT channel in 2026. VARs and ISVs that simplify infrastructure and support multi-location environments will be best positioned to grow.
Why are VARs and ISVs expanding into new vertical markets?
Competitive pressure and maturing retail and restaurant markets are driving channel partners to explore healthcare, cannabis, senior living, and specialty retail. These industries demand reliable, purpose-built hardware and cloud-ready printing solutions.
How does Star Micronics support VARs and ISVs as they scale?
Star Micronics provides a broad portfolio of POS and labeling hardware, cloud-ready printing technologies, and a partner ecosystem designed to support multi-location deployments without unnecessary complexity.
What’s the difference between StarIO.Online and Star Micronics Cloud Services?
StarIO.Online is Star Micronics’ fully managed cloud printing service. Star hosts and maintains the cloud infrastructure, allowing ISVs to send print jobs to CloudPRNT-compatible printers through REST APIs without managing servers or middleware. StarIO.Online also provides built-in printer status visibility and cloud-printing-related configuration through Star’s managed dashboard.
Star Micronics Cloud Services (SMCS) provides developer-facing APIs that allow ISVs to build their own dashboards and tools for printer status monitoring and related functions within their own platforms. SMCS also includes end-user cloud tools such as PromoPRNT and Label Builder, which are designed for merchant use and are not embedded into ISV platforms.
Some partners use both: StarIO.Online to offload cloud printing infrastructure, and SMCS APIs to build customized monitoring or workflows on top of Star’s hardware ecosystem.
Do partners need to use Star’s cloud services to work with Star hardware?
No. Partners can choose the architecture that fits their business. ISVs may manage their own cloud infrastructure using CloudPRNT Next or opt for StarIO.Online, if they prefer a fully managed cloud printing service hosted by Star.










