Short sighted Samsung in channel U-turn

European division ends liaison with healthcare resellers

In a move described as short-sighted by the channel, Samsung Data Systems Europe (SDSE) has ended its brief liaison with healthcare resellers following a reassessment of the buying needs of health authorities.

The Samsung spin off originally targeted healthcare resellers to sell its of digital diagnostic hardware and software, but surprised resellers with a shock U-turn.

"SDSE is going to sell its medical products directly because the NHS prefers to buy from larger companies," said Graham Wheeler, sales manager for healthcare at SDSE.

Dave Marriner, director of healthcare at reseller WIC, which recently became a supplier of choice to the NHS, insisted that this view is wrong.

"Both the direct and indirect model works for the NHS and it is narrow sighted to say that it does not use the channel in deals," he said.

"The channel can offer resources that a lot of organisations do not have. For example they can provide technical expertise when required rather than organisations having to pay for the skills in house, which they often cannot afford."

A spokesman for SDSE stressed that the company is still 100 per cent committed to the channel for its enterprise resource planning, business intelligence and smart card technologies.

SDSE launched a range of digital healthcare products in Europe at CeBIT earlier this year. It will initially focus on hospitals in Wales to make the best use of its small UK sales team.

Its medical products include the Raypax digital image archiving system, which takes away the expenses associated with developing and displaying X-rays, and its e-TeleHealth system that can perform diagnostic tests from remote sites while connected to a network.

"Wales is looking at putting in a single national system and it needs a company that can offer national products and services," explained Wheeler, who maintained that SDSE's digital offering fits the bill.

The Scottish health sector will be the company's next target market next year. SDSE will hold two road shows across Wales, in October and before the year-end, to demonstrate its equipment to hospitals.

The company confirmed that over half the hospitals in Wales are sending a total of 24 representatives.