Datatec`s Westcon Group has taken a step towards dominating the voice-data convergence technology distribution market by acquiring two major Lucent voice product distributors, Inacom Communications (for about $23 million), and CCA Technologies (for about $14 million).
The acquisitions will be funded in cash from Westcon`s internal facilities, but are still subject to various US regulatory approvals and further formal agreements. Westcon will merge the acquisitions into a new division to be called Voda One, which will become one of three vendor-focused distribution businesses in the Westcon Group.
Westcon has organised its divisions by vendor association in order to send a clear message to its customers and partners, and to best support its products: Voda One will have a Lucent focus, Westcon, a Nortel Networks focus, and Comstor, a Cisco Systems focus.
The Voda One division has projected revenues of over $200 million for the 2001 financial year, making Westcon the largest Lucent voice distributor in the industry. Westcon also holds a global distribution agreement with Lucent covering the Enterprise Networks Group`s Cajun Campus high-performance LAN switches and Lucent`s WAN solutions.
"Westcon has been targeting an advantageous market position as the industry evolves toward a broader convergence, or communications, space," says Alan Marc Smith, VP and COO of the Westcon Group.
"Yet the products have only recently come to market to let us realise this goal. Our strategy solidifies Westcon`s status as the first distributor with a true spectrum of convergence offerings, as the ongoing confluence of voice and data technologies are cultivated."
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