Ingrian Networks' troubled European operations could be in jeopardy as its US parent company seeks additional funding to secure its presence on the continent.
In June the company admitted to a premature expansion when it cut its staff in Europe from seven to three people after only nine months.
But it attempted to renew its commitment to the UK and told vnunet.com's sister title CRN that it planned to bring in a dedicated UK head.
At the time, channel sources said Ingrian had overestimated the market opportunity for its e-transaction device, which is targeted at the financial sector.
Neil Ledger, director at Ingrian distributor equIP, said his company still has an agreement with Ingrian. "Ingrian is currently looking for funding," he said.
"We are not happy to continue with the relationship until we have confirmation that it has received the next round of funding."
EquIP is not the only company to be left in suspense. Reseller Hydra, which agreed to sell the vendor's product in June, is confused by the Ingrian's sudden change of direction.
Mark O'Hara, managing director of Hydra, said the firms had verbally agreed a relationship before Ingrian cut back its UK staff.
O'Hara added that the companies had met recently to discuss the vendor's level of commitment to the UK.
"We are looking at the product but we told Ingrian that until it has a good support network and it can demonstrate a UK commitment we are not going to commit," he said.
In contrast Doug Hoole, director of sales operations at Ingrian Authorised Reseller Gradian Systems, was positive about the future. "We are still working with Ingrian and are 100 per cent committed to it," he said.
Despite repeated attempts to contact Ingrian in the US, it was unavailable for comment.
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