WatchGuard and Unipalm split

Security appliance maker and distributor end three-year relationship

Security appliance maker WatchGuard and distributor Unipalm have ended their three-year relationship after deciding to refocus their businesses.

Changes to Unipalm's strategy, combined with the extension of WatchGuard's portfolio, meant that resources would be better spent elsewhere, the companies said.

Dave Ellis, director of e-security at Unipalm, said that despite good sales the distributor has been running its WatchGuard stock down.

"We have always been a top performing distributor for WatchGuard, but we decided to focus on a number of new areas, such as Check Point managed services," he said.

The move follows Unipalm's decision to drop e-business vendor Macromedia last month, after describing it as "a high maintenance vendor" (CRN, 12 May).

Ellis said distributors need to review their vendor partners on a regular basis, because the security appliance market is becoming crowded.

"Not all the vendors around today will still be there in two years' time and it is important for us to back the right horses," he said.

Richard Roberts, UK manager at WatchGuard, said the vendor wanted increased focus from its distributors following the recent broadening of its product offering.

This includes a low-end wireless product and a high-end gigabit appliance, which, Roberts said, "was no longer the right partnership".

He added: "We need distributors that are willing and able to focus more on our products. We will now increase our focus on our remaining distributors."

The vendor sells through Wick Hill, Ingram Micro, Northamber and Azlan.

Ian Kilpatrick, general manager at distributor Wick Hill, said the need for commitment is changing the security distribution landscape.

"There are a lot of players in the security arena, and vendors and their channel partners are looking for focus because the customer is buying on more than price," he said.

Kilpatrick added that a significant number of vendors in the security space will be out of the market in a year. "Those that can build a market share and brand name will succeed," he said.