Major networking player Cisco is expected to drop Frontline Distribution and sign Ingram Micro this week, despite its worldwide commitment to Computer 2000.
Sources say Ingram Micro has finalised a deal with Cisco after lengthy negotiations (PC Dealer, 21 February) but admitted that the situation is delicately balanced.
Peter Rigby, manager at Frontline's internetworking division, admitted the distributor was 'talking to Cisco about our contract' at the UK level. 'We have had nothing official from Cisco and we still have a relationship until we are told of Cisco's intention to the contrary,' he said.
Bill Gretton, UK managing director at Ingram, said he could not comment on the state of his company's negotiations with Cisco.
Rigby said Computer 2000 and its US subsidiary, Ameri-quest, have made major commitments to Cisco. But a source close to the networking company claimed Frontline has sold less than a quarter of its quota for Cisco Pro and said: 'It was Frontline's market but they didn't do anything with it.' If it loses the contract, Frontline may continue to buy Cisco from Computer 2000 but would incur additional cross-border supply and support costs. Cisco had made no comment as PC Dealer went to press.
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