GSS offloads distribution arm to CMI
Security VAR admits hybrid model spooked some of Prodefence's resellers
David Hobson: Too busy to give distribution business the time it needs
Security VAR Global Secure Systems (GSS) has offloaded its distribution arm to CMI Labs after admitting some resellers were jumpy over its ownership.
GSS set up Prodefence in 2000 after it began distributing kit it was importing from the US to other UK resellers.
The distributor specialised in firewall vendor GTA, back-up outfit Idealstor, and email archiving specialist Jatheon Technologies.
David Hobson, managing director of GSS, confirmed that the vendor contracts and one sales employee had been transferred to CMI this week. He admitted the GSS hybrid model had been a source of anxiety for some of Prodefence’s 50 reseller customers.
“Prodefence is a decent little business," he said. "It gets frustrating when you play with a straight bat and you still get some [resellers] who aren’t sure and won’t deal with you just in case. There was never any conflict of interest.”
Hobson said Prodefence accounted for a minority of GSS’s £11m sales last year.
He added: "I am too busy doing other stuff to give the time to distribution that it needs, and it fits with CMI's portfolio very well."