Nortel resellers pledge support

VARs rally round troubled telephony vendor

By Sam Trendall

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23 Jan 2009

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Nortel HQ

A number of Nortel’s top UK partners have declared their support for the vendor’s decision to file for bankruptcy earlier this month.

Chief executive Mike Zafirovski claimed the move would be the quickest and most effective way of putting the company’s financial woes to bed. Having taken over the reins in 2005, his leadership has come under close scrutiny over the past year.

Michael Lloyd, managing director of VAR Unified Group, offered Zafirovski his support.

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“The decisions he has taken these past few months have impressed me,” he said. “So far we have not heard any negative things from customers and the product will not go bad overnight.”

Allan Gauld, managing director of reseller Intrinsic Technology, told CRN he expected a show of solidarity from most VARs.

“Nortel has our unwavering support,” he said. “Its partners are very loyal and we see the same faces on a regular basis. Knowing them as adversaries, I would be surprised if any of them leave the fold.”

Darren Boyce, managing director of VAR Applinet, claimed an increased focus from Nortel on its enterprise business would benefit its channel.

“Chapter 11 is the right choice for Nortel and it is a very commendable move,” he said.

“Some resellers will have a knee-jerk reaction, but it is important to stay calm. All the messages we are getting indicate they are focused on the enterprise and that is the future for Nortel.”

Boyce also claimed that the current climate could affect Nortel’s rivals and commended the company for its candid approach.

“Its competitors may go through this and will not be as open about it,” he said. “Nortel might be the first to do this, but I have a sneaking suspicion they will not be the last.”

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