Q&A: "Cellnet approached" Avnet

CRN: How did Avnet come to buy Cellent's local IT division?

Costigan (pictured): We were approached by Cellnet. It wanted to exit the IBM server and storage distribution space and saw Avnet as a company that had skills around selling, marketing and servicing IBM solutions. This is not an acquisition or a takeover.

CRN: What does Avnet get from the buy? 

Cositgan: Avnet will look to add in key Cellnet staff to our existing business. The added staff will complement our team to ensure that we remain as a solutions distributor for IBM. 

CRN: What will happen with Cellnet's current IBM resellers?

Costigan: We will also be able to work with existing Cellnet customers and offer them customer service.

CRN: How does the buy fit in with Avnet's portfolio? 

Costigan: Avnet and IBM have a relationship that spans over 20 years from a global perspective and almost 10 years from an Australian viewpoint. Avnet will build upon our position in the IBM System x and Storage space.

More importantly, we will be able to offer more IT solutions to our current and new business partners.  

CRN: How does the buy fit in with Avnet's expansion plans?

Costigan: If you look at our history you will see that the Technology Solutions side of the business has acquired many organisations over the years as well as established many organic business units. 

The underlying aspect for Avnet is that it must be profitable growth.

CRN: What does Avnet want to achieve in the next financial year?

Costigan: It is one of our key goals as we head into FY10 that we become a complete solutions distributor for our business partners and suppliers. 

Accelerating time to market, building channels and taking cost out of our suppliers and business partners business will be our goals.