Ericsson has added New Zealand company Zintel Group as its number two enterprise products distributor in this country.
Chris Pattas, director of the enterprise group at Ericsson Australia, said Zintel already shifted gear for Ericsson in New Zealand. Zintel was Ericsson's sole distribution, sales and support agent for enterprise products there.
"They're a listed New Zealand company who distribute us in New Zealand and recently started in Australia as well," he said.
Pattas said that Zintel had suffered from New Zealand's small market size.
"They're very good at providing and supplying to customers at the low end," he said.
Ericsson also used telecommunications specialist Damovo as an Australian distributor for its enterprise range and that relationship would continue, Pattas said.
Nick Gordon, MD at Zintel, said the New Zealand company had been shifting Ericsson gear for four years.
"We intimately understand the product and Australia is a logical expansion that we have been evaluating for some time," he said.
Zintel had looked at different possibilities for entering the Australian market as a distributor, but had finally decided to start up a new operation alongside its existing 1800 tollfree business here, Gordon said.
"This start-up will mean an investment in year one. While this will affect Zintel's profit, the company will still grow year on year to March 2005," he said.
Zintel was also considering making acquisitions in Australia, Gordon said.