Microsoft reviews distribution partners

Microsoft has embarked on a business review with eight UK distribution partners and while rationalisation is not at the top the agenda, the software giant refused to rule out cuts. The evaluation of OEM distributors Enta Technology, VIP, Micro P and Northamber alongside fully packaged product whole

Microsoft has embarked on a business review with eight UK distribution partners and while rationalisation is not at the top the agenda, the software giant refused to rule out cuts.

The evaluation of OEM distributors Enta Technology, VIP, Micro P and Northamber alongside fully packaged product wholesalers C2000, Ingram Micro, Bell Microproducts and Westcoast should conclude this month.

"We are making sure these guys are prioritising their resources and investments in the right areas," said Gary Fowle, OEM director at Microsoft.

In June Microsoft decided not to give OEM partners VIP and Northamber the Office 2010 contract on the back of changes it made to the way the software is attached to a PC at the point of sale.

This latest initiative is a pure performance review and channel sources reckon it could lead to two getting the chop in the UK.

Fowle said this was definitely not the aim of the assessment but conceded, "Will we end up with the same or fewer distributors? That has not yet been decided."

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