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Cost cutting at Arrow ECS as senior accounts bods exit

Arrow ECS is integrating its UK sales desk with the team at Computerlinks, and in the process has decided to trim costs by getting rid of some senior account directors. Sources tell us seven experienced hands including Mark Chippendale - who spent more than a decade covering key accounts - were recently made redundant by the …
Paul Kunert, 09 Apr 2015

Arrow CEO: Q4 was a 'record' quarter

In an alternative reality where one-off charges are meaningless, Arrow Electronics reported a healthy profit hike for calendar Q4 – however, in this (real) world, the picture was somewhat different. The distie colossus posted big sales of $6.39bn, up four per cent on the same period a year earlier, and this was without making …
Paul Kunert, 05 Feb 2015

Arrow Electronics buys Computacenter tech disposal biz for £56m

It may be cold outside, but Computacenter (CC) investors have got a warm glow this morning – they are to receive a £100m windfall, partly financed by the sale of the tech disposal and asset recovery biz. The London-listed tech supplier last night revealed to the City the sale of RD Trading (RDC) for £56m in cash to the UK arm of …
Paul Kunert, 03 Feb 2015

Arrow ECS UK sales director Johnny Ellis set to exit building

Distie veteran and colourful channel figure Johnny Ellis is to exit the UK and lreland sales director’s office at Arrow ECS with the intent of ploughing his furrow in another area of the industry. Ellis has been in tech distribution for more than two decades: he set up Open Computing before it was sold to PSL, which was then …
Paul Kunert, 28 Oct 2014

Shopping spree helps Arrow counter organic sales slump

Healthy organic sales growth has once again proved slippery for enterprise tech bellwether Arrow Inc to grasp, though demand for heavy duty software and hardware started to re-emerge. At group level, the tech distie reported revenues of $5.68bn, up seven per cent year-on-year as reported – but this was largely due to …
Paul Kunert, 30 Jul 2014
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Arrow steers boss of enterprise wing towards ops control room

A bit of top-level reshuffling at global distie Arrow has led to the recreation of a COO position. The slot will be filled by current president of the enterprise computing wing, Andy Bryant. The last person to sit in the chief operations role was current CEO Michael Long, and the appointment should free up the big boss to tinker …
Paul Kunert, 21 May 2014

Disappearing storage and server projects hit Arrow ECS

If ever proof were required that tanker sized distributors needs to keep acquiring to maintain growth levels then Arrow Inc's fiscal Q1 numbers provided the perfect test case. The Fortune 500 firm reported a five per cent rally in sales to $5.08bn but exclude the firms it hoovered up last fiscal year, including security distie …
Paul Kunert, 07 May 2014
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Arrow Electronics engulfs hefty data centre player in €230m gobble

Serial swallower Arrow Electronics has wolfed down security and network distie Computerlinks (C'links) in a deal valued at €230m (£198m). Word on the street was that US-based giant Arrow had been locked in buyout talks with the privately-owned, Germany-based player earlier in the summer, but the deal was only confirmed late last …
Paul Kunert, 28 Aug 2013
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Arrow's Computerlinks gobble - a vendor's perspective

One of the channel's worst kept secrets was finally outed last month as US behemoth Arrow Electronics agreed to snap up Munich-headquartered VAD Computerlinks for a cool €230m. In many ways it was a canny bit of business for Arrow and should give it access to some high-end customers, but the deal raises more questions than it …
Tim Ayling, 27 Sep 2013

Arrow: global macro still 'unsettled" as profits dip

Just when you thought it was safe to mouth the words distributor and expanding profits in the same breath, Arrow Electronics has rolled out financials for calendar Q3 that show some bottom line slippage. The numbers for the three months ended September weren't bad per se, but after CEO Michael Long said last quarter that "large …
Paul Kunert, 30 Oct 2013

Hark! Mark McHale hailed as new Arrow ECS UK boss man

Exclusive Arrow Electronic Computing Solutions has hoisted sales director Mark McHale to the UK manager's office as industry vet Steve Pearce moves to a European role. Pearce will remain as UK veep but drops country manager from his title as he takes on a bunch of project work including the development of the ArrowSphere cloud portfolio …
Paul Kunert, 18 Jan 2013

Arrow tightens belt yet another notch, vows to shed $75m in costs in 2013

The powers that be at Arrow have found another $35m worth of savings to lop off this year as it tries to match costs with the market realities. One of the big four global wholesalers - Ingram Micro, Tech Data and Avnet Inc constitute the others - Arrow reported a one per cent decline in calendar Q1 sales to $4.85bn. Flat is the …
Paul Kunert, 02 May 2013

Enterprise tech market returning, says Arrow CEO Long

Enterprise tech buyers may have started to shake off the residual effects of the recession, judging by the fortunes of sector bellwether Arrow Electronics, whose numbers came in at the high end of expectations. Turnover for the second quarter of fiscal 2013, ended 29 June, went up three per cent to $5.3bn. However it was the …
Paul Kunert, 25 Jul 2013
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Another year, another $40m: Arrow Electronics to cut costs AGAIN

Arrow Electronics warned that it needs to hack out $40m of costs amid concerns of significant shrinkage in economies on both sides of the Atlantic. The enterprise distie took the covers off full-year 2012 numbers that showed a 15.4 per cent year-on-year slide in net profits to $506.3m and a 4.6 per cent dip in turnover to $20. …
Paul Kunert, 07 Feb 2013
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Enchanted Lenovo uses StorMagic spells for hyper-convergence

Lenovo and StorMagic are offering three hyper-converged configurations from Arrow partners that are channel-integrated, pre-tested and ready to plug-and-play for less than $5K. The entry level is a two-node cluster (without hypervisor) starting at $5,000, significantly less than Nutanix, SimpliVity and EVO: Rail hyper- …
Chris Mellor, 19 Aug 2015

Arrow profits quiver as Q1 sales misfire

Arrow Electronics' Q1 profits have been derailed by restructuring charges and weaker than expected sales of components in Europe and Asia. The enterprise distie giant reported a bottom line of just $113.6m (£70.1m), down 16.6 per cent compared to the same quarter a year ago, on the back of sales of $4.9bn (£3.02bn), a drop of 6. …
Paul Kunert, 01 May 2012

Arrow aims at IT, finance bods to shoot down $20m in spending

Arrow Electronics hopes to save a further $20m in overheads as it battens down the hatches for a "period of slow growth". The global distie heavyweight saw sales decline seven per cent to $5.15bn (£3.28bn) for Q2 ended 30 June as profits sank by more than 26 per cent to $114.4m (£72.8m). The company's Enterprise Computing …
Paul Kunert, 31 Jul 2012
For Sale sign detail

Distie giant Arrow acquires Ireland's Altimate for €48.1m

American distie Arrow Electronics has scooped up smaller Irish-owned rival Altimate Group for €48.1m. Channel-bestriding behemoth Arrow bought the distributor off Irish financial holding company DCC. Altimate is DCC's Enterprise distribution business and in 2011 reported a yearly operating profit of €3.7m on €257m of global …
Anna Leach, 03 Apr 2012
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Oracle takes an arrow to the EPS: It's that darned strong dollar... again

Oracle is claiming a $9.3bn haul of revenues, up 4 per cent year-on-year, in its third quarter of fiscal 2014 – but that fell short of Wall Street analyst earnings expectations. The company said that on the quarter it saw GAAP earnings per share of $.56, up 8 per cent and just short of the projected 10 per cent increase. Overall …
Shaun Nichols, 19 Mar 2014
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Arrow ECS gets in on cloud aggregation game

Arrow ECS has lifted the covers off a cloud services aggregation and brokerage platform for resellers, ISVs and SIs. The mid-market infrastructure distie, which usually rides the crest of emerging tech, has been sceptical about cloud in the recent past, instead claiming data centre transformation was the major opportunity for …
Paul Kunert, 04 Jul 2012
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Arrow Electric CEO: Sales dip, profits fall but it's no 'overall disaster'

Arrow Electronics stopped well short of saying the recession has bottomed out as its components arm continues to wrestle with a tough biz climate, but an air of optimism hung over senior management. Sales at the distie titan fell 4 per cent to $4.96bn, but this excluded $176.5m of services contracts now to be recognised on an …
Paul Kunert, 01 Nov 2012
Ocean yacht

Dot Hill sails along with the glass indicating profit set fair

Dot Hill is getting the trade winds behind its sails. The OEM disk array supplier continued its comeback with another quarter showing annual revenue and profits growth as new OEM customers like Teradata and Quantum took its arrays to market. The company reported $61.1 million revenues for its first 2015 quarter, 27 per cent …
Chris Mellor, 08 May 2015
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Arrow Electronics sales and profits up in Q3

Distribution juggernaut Arrow Electronics ploughed through Q3 with sales and profits up by double digits. The US firm, which recorded an 11 per cent rise in turnover to $5.19bn (£3.26bn) and an 11.5 per cent climb in profits to $132.2m (£83.1m) for the period ended 1 October, is now planning to beef up its vendor and services …
Paul Kunert, 26 Oct 2011
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Seagate bleeding sales as PC downturn starts to hit hard

Just like QLogic, Seagate sales figures have taken a dive along with the PC sales downturn, and it's had to issue preliminary results to warn the market. For its fourth fiscal 2015 quarter, instead of the expected $3.2-$3.3bn, it thinks it will make just $2.9bn. It expects to report unit shipments of approximately 45 million …
Chris Mellor, 13 Jul 2015
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Arrow warns on tightening component sales

Global distributor Arrow Electronics has warned Q3 forecasts will fall short of analyst expectations as it is anticipating a slowdown in components shipments. The distribution heavyweight today reported a 20 per cent hike in sales to $5.54bn, up 6 per cent sequentially for Q2 ended 2 July, but excluding the currency headwind and …
Paul Kunert, 27 Jul 2011
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Intel's tablet CPU share to DROP: analyst

Researchers at Taiwan's Digitimes have bad news for Intel: it just isn't going to sell many chips for mobile devices. Intel's thrown a lot of time, money and effort at mobile devices, but its efforts have resulted in red ink, a re-org to combine mobile and desktop products, and rumours of imminent layoffs. Digitimes now says …
Simon Sharwood, 09 Jul 2015
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Apple goes to crapple in stock plunge kerfaffle: $113bn wiped off in days

Peak Apple Apple is in the midst of a stock drop that has caused the Cupertino giant to lose as much as $113bn in market cap. Since posting its last quarterly numbers, Apple (Nasdaq:AAPL) has seen its stock price drop from $125.22 per share to a low point of $112.10. Wary that Apple's meteoric growth from recent years is slowing down as …
Shaun Nichols, 05 Aug 2015
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Sales up, profit up, but no champagne corks popping at Rackspace

The gods of tech sales finally smiled on Rackspace in calendar Q2 of 2015. But the biz isn't celebrating just yet, because it's public cloud arm is stuck in first gear. The cloud server-hosting biz reported an 11 per cent year-on-year growth in turnover to $489.4m (£314.2m) in the three months ended 30 June. Total costs and …
Paul Kunert, 11 Aug 2015
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Tired tablets don't tickle the imagination, so sales fall again

Box-counter IDC's latest Quarterly tablet tracker has more bad news for fondleslab fans: sales are down and the market is fragmenting. The firm's preliminary data for 2015's second quarter finds 44.7 million fondleslabs and typoslabs shipped, down seven per cent on 2014's shipments. Q2's never a cracker – it contains no major …
Simon Sharwood, 30 Jul 2015
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Booked that expensive holiday yet Mr Server Maker? Maybe just a day trip for now

The EMEA server market is on fire, but not in a good way – both shipments and factory revenues declined in Q2 amid the currency issue and uncertain business climate. Unit sales dropped 5.6 per cent year-on-year to 523,800 servers, and the money coughed for them dipped 2.3 per cent to $3.1bn, abacus fondlers at Gartner have …
Paul Kunert, 26 Aug 2015
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Industry vet rocks up at Phoenix Software

Industry and distribution veteran Johnny Ellis has crossed into reseller land for the first time, rocking up as sales and marketing director at York-based Microsoft enterprise licensing partner Phoenix Software. Ellis, who only exited Arrow Enterprise Computing Solutions at the end of November, will also control the S&M …
Paul Kunert, 05 Dec 2014
Giant burger

Rigby Private Equity stuffs its face with a slice of Wick Hill

Security and storage value-added distributor Wick Hill is the first piece of channel real estate that Rigby Private Equity has invested in, with the proceeds to be used to fund wider expansion in mainland Europe. As The Channel exclusively revealed last week, the Midlands-based tech dynasty has incorporated a private equity …
Paul Kunert, 06 Jul 2015
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EMC: We're not sitting on the fence anymore. We love disties

The new man sitting in EMC’s channel chief’s chair wants to apply the well worn strategy of working very closely with disties to up its sales programmes and subsequently volumes, something it has singularly struggled to do. Fifteen-year company vet Russell Poole took over from Terry Beale in the summer, adding the UK channel …
Paul Kunert, 09 Oct 2014
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Rackspace posts double-digit jump in sales and profits

Cloud purveyor Rackspace clocked up sales of $1.79bn (£1.16bn) for its full-year 2014, a 17 per cent increase on 2013, while net income rose 28 per cent to $110m (£73.1m). Fourth-quarter net income at the cloudy firm was particularly strong, increasing 80 per cent to $37m (£24m) on revenue up 16 per cent to $472m (£306m). But …
Kat Hall, 18 Feb 2015
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VMware tells partners, punters, to pay higher prices (probably)

VMware has almost certainly increased the prices it charges to partners and customers. News of the increases is dribbling out after Virtzilla wrote to users and resellers over the last few days. In this Reddit thread VMware users report price hikes of between one and five per cent. Blogger and VMware-watcher Aidan Finn on …
Simon Sharwood, 27 Mar 2015
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ISP Level 3 goes TITSUP after giganto traffic routing blunder

ISP Level 3's customers have been left without internet access since this morning, after the provider seems to have leaked routes to a Tier 1 transit provider in Malaysia. An incident report from CloudFlare said that while "the Tier 1 transit provider of the ISP leaking routes appears to have stopped accepting these …
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Tech Data leaps into professional services pool

Distie Tech Data has crossed the Rubicon into end-user land – ruffling a few feathers in the process – by acquiring North American data centre and professional services outfit Signature Technology Group (STG). The deal was made public last night and reseller customers are digesting the implications, which range from potential …
Paul Kunert, 28 May 2015
Angry old man

Order and shipping woes to hit Juniper in early summer, warns distie

If you have a sudden urge to buy Juniper Networks kit around the beginning of July then you better get your orders in now to "avoid any shipping delays", we're told. Juniper distributor Arrow ECS has contacted the great unwashed in its UK reseller/integrator customer base to warn of the potential void as the switch and router …
Paul Kunert, 12 May 2014
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Memory market climbs out of toilet: ASML reports beefy financials

Shares in semiconductor production equipment maker ASML hit a record high this morning after it beats analysts’ top and bottom line forecasts, suggesting the sector’s no longer stuck in the U-bend. The numbers for the Dutch biz are moving in the right direction: sales came in at €1.49bn, versus €1.32bn in the prior quarter. …
Paul Kunert, 21 Jan 2015

Another IBMer rolls into distribution

Arrow ECS has lured veteran IBM man Ian Jeffs to run its Big Blue franchise in the UK, say our chatty sources. This follows the exit of previous incumbent Allister Richardson who, according to his LinkedIn and Google + account, has since become EMEA boss at iSys Capital Technologies. Jeffs will use his near 20 years experience …
Paul Kunert, 12 Aug 2013
£10 notes. Pic: Howard Lake

Computacenter UK giggles as cash rains on revived data centre ops

Computacenter’s UK sales team must be in self-licking mode after a barnstorming start to calendar ’15 – but revenue zapping currency conversions and an unsettled French operation hit the group’s top line. In a trading update, the London-listed services-based reseller said Q1 revenues reduced by two per cent as reported to £715. …
Paul Kunert, 23 Apr 2015
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Thought your dept was on budget this year? THINK AGAIN, matey

Tech buyers will likely need to revisit budget forecasts at the month's end with another price hike on commodity hardware to be pushed through by vendors in response to the relative appreciation of the dollar. Since last summer the US currency is up 15 per cent against the UK Pound (the impact on the Euro is even more pronounced …
Paul Kunert, 20 Apr 2015

Migration skills shortage looms as Server 2003 DEATH DATE approaches

A channel-wide migration skills shortage is a real danger this summer as stragglers strain available resources by making an eleventh hour dash to flee Windows Server 2003, distributor veterans are warning. Public and private sector organisation have 176 days to escape the software before extended support expires on 14 July, …
Paul Kunert, 19 Jan 2015

Westcon: 'What we need is a cloud brokerage biz.' One buyout later...

Tech group Datatec has hoovered up a second biz this week after confirming the $12m acquisition of US-based fluffy white services brokerage Verecloud. The buy will be bolted onto distribution subsidiary Westcon, days after Datatec’s integrator arm Logicalis hoovered up German software firm ituma. The cloudy rig that Veracloud …
Paul Kunert, 04 Sep 2014
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Lenovo posts an INCREASE in desktop PC and notebook sales

Lenovo, the world’s largest maker of PCs, saw its profits leap 24 per cent this spring. The China-based manufacturer reported first-quarter profits of $211m, compared to $170m for the year before. That was from revenue that jumped 18 per cent to £10.39bn. Earnings per share for the giant were up, from $1.65 to $2.03 for the …
Gavin Clarke, 14 Aug 2014
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White box switches out-sell Brocade, Arista in the data centre

Analyst outfit Gartner has noticed something interesting: white box switches destined for the data centre outsold both Brocade and Arista in 2013. Gartner's data covers 1G/10G/40G/100G port shipments and revenue. Counting sales of those sorts found market share for the blank boxen was 3.8 per cent, on sales of 1.8 million ports …
Simon Sharwood, 05 Sep 2014
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Can't flog software for love nor money? UK mega-reseller Softcat probably ate your lunch

Unstoppable reseller juggernaut Softcat has smashed through the £500m sales barrier in the most recent fiscal year ended July, meaning it has grown for the past 36 straight quarters. In the last four years alone, and in the middle of the worst financial crisis since the the 70s, turnover at the Marlow-based business jumped from …
Paul Kunert, 26 Nov 2014

Redcentric set to swallow InTechnology MS - sources

A For Sale sign has been pitched outside the HQ of UK firm InTechnology Managed Services for months and it seems CEO Peter Wilkinson is just days away from announcing a buyer. According to our sources, managed services outfit Redcentric has struck a deal with the Harrogate-based public company, whose shares are available to buy …
Paul Kunert, 17 Nov 2013
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TD Azlan set to rock up at EMC, murmur sources

EMC is to sign up TD Azlan as its third UK distie with a specific focus on the small biz space, The Channel can reveal. Distribution has been a tinker-free zone for EMC since it hauled in Arrow at the start of 2010: but with a raft of SME tech in the pipeline the vendor undertook a review of its roster. Sources close to the …
Paul Kunert, 25 Mar 2013
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Hyperconverged kit is SO HOT right now. $140m sound about right, Nutanix?

The hyperconverged system iron is so hot that there will never be a better time to strike. Nutanix's backers have done just that, handing the company another $140m of E-round funding just seven months after its VC backers gave it $101m. Virty storage giant VMware's validation of the hypercvonverged server/storage/networking …
Chris Mellor, 27 Aug 2014

Opinion

Trevor Pott

Why aren't you, personally, stopping the moronocalypse?
Star Trek Into Darkness

Chris Mellor

Federation fissiparousness to form co-ordinated divisions
iot_internet_of_things

Chris Mellor

EMC is ahead overall with HDS mounting an IoT catch-up

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