IBM has hit out at small system integrators and claimed they cannot compete. It also predicted that middle tier PC suppliers will be squeezed out of the mainstream market.
David Winn, who runs the IBM PC Company's Emea region, said: ?The price wars have little to do with large accounts and are a fact of life. It?s hard to find small and medium sized businesses and to know what they really want."
"Among our major competitors are no-name assemblers,? he added. ?In the desktop space there are a lot of clone assemblers. Small businesses are not necessarily concerned with the total cost of ownership. The value add-on assembling the hardware is very small, less than 10 per cent.?
?It?s possible you?re seeing a segmentation between tier one and low end clone companies and the middle band may suffer,? Winn said.
There is a place for assemblers, however, he said. The smart people will find solutions that midrange PC vendors cannot explore and that will ensure they can never be destroyed, he added.
?People in small businesses don?t buy hardware, they buy a solution to their business needs,? Winn claimed.
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