Microsoft finally names Authorised distributors

Microsoft finally ended its channel waiting game last week by unveiling its Authorised distributor line-up, but it dealt its three broadliners a stinging blow by revealing that one will be cut within six months.

The software giant has added Westcoast, Computers Unlimited, VIP, Blue Solutions, Northamber and Micro Peripherals to its coveted UK Authorised distributor list, bringing the UK total to 12.

However, Microsoft claimed that its decision to cut either Ingram Micro, Bell Microproducts or Computer 2000 (C2000) from the existing list next year is based on market demand for a more focused service.

Steve Haddock, partner group manager at Microsoft, told CRN that the unlucky broadliner will be chosen using varying factors, such as financial yield per sale.

“We need distributors,” he said. “But I don’t know if we need three broadliners.” However, Haddock stressed that the increase in distribution numbers will bring benefits for resellers and help fight piracy.

“Increasing the coverage of distributors that sell Microsoft will increase the number of VARs selling it,” he said. “It will also help resellers and give us more channel visibility.

Steve Lockie, managing director of C2000, told CRN: “There are elements of logic in what Microsoft has done, but we are waiting for further clarification on the decisions made this week.”

Darren Stokes, director at Blue Solutions, told CRN: “Increasing the number of distributors is likely to cause a price war because the new distributors are trying to prove themselves to Microsoft and the existing ones are fighting to retain sales.”

Andy Dow, commercial director of Westcoast, said: “The growth is in the OEM space. By making its software more readily available at the point of sale, Microsoft could help reduce piracy levels.”

Richard Love, director of marketing at Computers Unlimited, told CRN: “Specialised distribution is the way to go. Established distributors will see competition for sales.”

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