Ideal Hardware is set to lose its exclusive UK distribution deal with storage area networks (SAN) manufacturer Gadzoox Networks.
Peter Coleman, technical manager for Gadzoox, admitted last week that it was planning to bring in additional distributors and sign up partners on a country-by-country basis.
He said: 'We want one more distributor within the UK, but no more than two because we don't want to over supply the channel. This is still a developing market.'
Michael Printz, director of international sales at Gadzoox, added: 'OEM business was great. It guaranteed a steady stream of income and allowed the company to grow. But it doesn't give strong brand recognition and margins are low. Also, it doesn't give a good profile of customers, in the way the the channel would.'
He conceded that Gadzoox was still a relatively small company in the storage market, but it had laid the foundations for growth by adding field sales offices and more than 60 channel partners to its global operations in 14 countries.
'About 65 per cent of our revenue comes from OEM agreements at the moment, but we aim to change that,' Printz added. 'In the next 20 months, we want to achieve a 50:50 split.'
Storage software specialist Veritas has appointed Storm as a distributor in the UK.
Storm will join distributor Transformation in a push to recruit more resellers through Veritas' recently launched accreditation programme.
Infrastructure provider says international sales now make up 51 per cent of its revenue
Suzanne Chappell of TMS plans sailing venture after selling Oxfordshire-based TMS to acquisitive Chess
Withdrawal of credit insurance by some providers a 'reflection' of current challenge facing IT sector, according to MD Steve Soper
SMART's UK managing director joins Lenovo to boost SMB business