EquIP gears up to target carriers
Distributor creates new division for service providers
Security distributor equIP has accelerated its ambitious expansion plans by creating a new division to focus on the carrier and service provider markets.
Grahame Smee, who will head the as-yet-unnamed division, said: "This specialist division is geared to selling into the carrier and service provider markets through resellers. Although it sounds like a small niche market, there is a lot of business there, and it is growing."
As well as being customers, the carriers and service providers will be targeted as corporate resellers. The majority of sales will be infrastructure-based but there also will be opportunities in the security arena, Smee said.
Smee added that reasons for the expansion include equIP's new relationship with Juniper, which it developed after the networking vendor's acquisition of security appliance maker NetScreen. "It is also part of our shift towards services," he said.
EquIP, launched in 2000, has increased its turnover from £5m in its first year to £14m last year.
Gary Duke, sales director at reseller LAN2LAN, said the service provider and carrier markets have evolved and offer opportunities for resellers.
"We deal with these firms over infrastructure and security products," he said. "The problem before was lots of spending by service providers and carriers on network equipment but they lacked customers. When the slowdown arrived, these businesses struggled."
New firms have grown up using equipment available from liquidated firms. "Carriers and providers are selling hosting and managed services, and now that they are picking up customers as firms attempt to cut IT costs, they are spending again," Duke said.
In addition to setting up the new division, equIP has taken on former Teksys director Andy Travers as sales director to run the firm's reseller business.