Intel is set to cut back its channel distribution following the closure of major partner Datrontech earlier this month.
A number of partners, both national and international, have been linked with the cull. Graham Palmer, Intel UK press representative, declined to comment on specific cases. "When any company goes out of business we have to look at the market again to see if changes need to be made," he said.
However, Fiona Squires, former Datrontech product marketing manager, who was in charge of the Intel account, confirmed that the chip giant had found itself over-distributed.
Squires said: "The processor side of the business has been stretched for a long time. Even the company's networking division has gone through a lot of internal reorganisation and been in a bit of disarray.
"I expect Intel will ask some international partners to centralise into core warehouses and trade from their home countries. This can be good for both parties, but it tends to benefit Intel more than the distributor."
Julian Klein, managing director of Computer 2000, agreed with Squires.
"Most vendors will take the opportunity to review their distribution strategies after a partner goes under. Would Intel benefit from cutting back? The answer has to be yes. Microsoft, for instance, has confirmed it will not look for another OEM to replace Datrontech," he said.
Alex Tatham, communications director at Ideal, was also not surprised at the news. "Over-distribution has always been the case with Intel. It has never driven the channel to distribute chips properly," he said.
However, Tatham suggested that a deal for high-end Intel products may still be passed on.
First published in Computer Reseller News
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