Grey Matter has rethink
VAR spins off distribution arm
VAR Grey Matter has spun off a value-add distribution arm and appointed a new managing director to steer the business forward.
The distributor, Sigma Software Distribution, will work with more than 500 software publishers. It already has a base of more than 250 resellers, including Computacenter, Fujitsu and MicroWarehouse, according to Graham Wooding, the new managing director.
Wooding, who was previously managing director of IBM Premier Partner Apex Computers and chief information officer at KPMG Consulting, said that he intends to run the two businesses separately.
"Although we operate out of the same premises, Grey Matter will treat Sigma as a distributor in its own right, and will operate a 'Chinese Wall' system with one side completely separate from the other. Grey Matter will not get any special treatment," he said.
He added that Sigma has 13,000 technical and development software products at its disposal.
Lesley Briddock, sales manager at Sigma, said: "There is a certain amount of disillusionment with mainstream distributors, particularly among newer vendors trying to get their products out there. We have the specialist knowledge to help vendors get product recognition."
Clive Longbottom, service director at analyst Quocirca, said: "This seems to be a good move for Grey Matter and Sigma. They offer a highly specialised service for certain vendors, and have a relatively captive market."
But Longbottom added that the firm must be careful to keep its two divisions separate.
"Sigma must treat Grey Matter as just another reseller and ensure there is a level playing field, not one with little hillocks for certain partners.
Sigma has to get that right to avoid contention with other partners," he said.