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HP-Compaq merger: Channels react positively

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DQC Bureau
New Update

Channels have reacted positively to the HP-Compaq merger. Carly Fiorina, CEO and Chairman of the new company, had commented that it will be business as usual in both companies' channel programs. However, she added that "it was too early to discuss exactly how the integration of their respective channels would occur."

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According to Rakesh Seth of Cyborg World, a Compaq reseller, this merger will definitely be beneficial for channels of both the companies. "Compaq has been extremely strong in the notebook, desktop and server market, while HP is a leader in the peripherals segment. Post-merger, I will now we able to offer my customers the entire range of products under one roof."

Appreciating the development, AK Pandey, CEO, Miraj Infotech says, "As these companies were going ahead with major cost cutting plans, this merger will bring a lot of new price effective efforts from them. It will also curb a lot of marketing costs involved in eating away each other's share.

"It's a very positive and exciting news," says Alok Gupta, MD, Samtech InfoNet adding, "They will have to manage a cultural transition successfully and build up on their services portfolio."

Dinesh K Gupta, MD, Digitronics Infosys, showed surprise when he said, "One leader taking over another is quite shocking but again when everyone is struggling hard to survive during this downturn, it is an intelligent decision. Compaq is the No 1 vendor in the PC market and HP has fantastic market presence and acceptability in the market. So their uniting would give both better stability and tougher competition to IBM and Dell. All in all the amalgamation should come out very strongly."

Rajesh Aggarwal, CEO, Micromax Technologies feels the merger will create a lot of new opportunities for the resellers. Ranjan Chopra, CEO, Team Computers says, there can never be too many good players in the market. It has been a very bold step by the management. "I am personally very positive about this merger. "

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