eChannel 1 July 2001

  • E-Mail
By  Mark Sutton Published  July 1, 2001

Editorial Leader|~||~||~|Dear Colleague,

So Compaq has decided to quit production and development of its own chips, and to switch to using Itanium in its high-end servers. While Intel is doubtlessly overjoyed, where does the decision to get out of the chip game leave Compaq and the rest of the high-end server market?

Compaq’s Michael Capellas recently warned employees that they have just 180 days to save the farm. He wants to see the company shift from reliance on hardware to generating one third of revenues through software and services in the next six months.

Divesting themselves of the Alpha is a start. The company was spending hundreds of millions on chip design, which in the current climate, it can’t really afford, and why bother anyway? Just how much it can’t afford it is hidden in the financial details of the deal.

Neither party is revealing if any cash has been exchanged. Intel will offer Compaq’s Alpha engineers new jobs as soon as they have finished what they are working on at the moment – but will they really want to switch to the other side? Apparently the last time Intel acquired an entire design team, Digital Equipment’s StrongARM group, all 25 of them walked out.

Of more importance to Intel is getting some of Compaq’s technology to work, particularly the compilers. Licensing this technology to Intel would be a shrewd move on Compaq’s part; selling it to Intel would suggest that Compaq may have more of a cashflow problem.

Most interestingly is the position now of the remaining RISC manufacturers. IBM has hedged its bets relying on both its own RISC-based Power chips and the VLIW (Very Long Instruction Word) design of the Itanium. There isn’t room to debate the various merits of RISC over VLIW here (OK, I haven’t got a clue, answers to the address below please!) but Compaq resellers have pointed out that they have been pushing RISC and Intel based lines for different purposes in different markets – RISC for high-end number crunching data storage and Intel for email and NT servers.

Sun Microsystems, however, is solely based on the RISC-based UltraSparc. Sun says by producing its own chips it can improve the chips without requiring software companies to completely rewrite their software, competitors say they can concentrate on building better servers without having to worry about chip design. But it Intel delivers with Itanium in the long run, Sun could find it has taken a big risk relying on RISC.
||**||News|~||~||~|Compaq abandons Alpha, commits to Itanium
Compaq has announced that it is to exit the chip design market, as it phases out its Alpha-based server range. The company will switch to Intel’s Itanium for its high-end servers, leaving just three main chip designs in competition.

The Alpha chip design will be phased out, after the delivery of a final generation of improvements. Processor technology tools and resources will be transferred to Intel, and the two companies have agreed to work together on engineering of new high-end computing technology. The first Itanium-based Intel machines will be part of the ProLiant range, due in the third quarter of this year, with the Alpha phased out by some point in 2003.

“Compaq has invested five years in our 64-bit industry-standard server technology, the first result of which will be our forthcoming Itanium-based ProLiant server,” said Hamid Hassan, enterprise business group manager, Compaq Gulf & Levant. “Now the industry is readying itself to enter the next stage of a multi-year transition that will bring the benefits of 64-bit to industry standard architectures.”

The move is seen as being more significant for Intel, IBM and Sun Microsystems than it is for Compaq. The Alpha-server was only ranking at a weak fourth place in the high-end server market, against Unix-based systems. Although the divestment of Alpha technology allows Compaq to focus on hardware development over expensive and complex chip development, Intel is seen as the real beneficiary. Not only is the move seen as a big vote of confidence in the Itanium architecture, but Intel will gain some much needed technology from the move, most notably compiler software. Compiler software allows developers to create applications that make full advantage of the chip features. Compaq has expertise in the area, and Intel needs compilers for Itanium as a matter of some urgency.

The only stumbling block for Intel is that Compaq’s engineering staff may not be as keen to join them as they would like. The move leaves just IBM and Sun backing the RISC architecture in the market, and many RISC engineers are vehemently opposed to Intel’s Itanium architecture. The pool of talent and expertise that will be released by Compaq, which they hope will go to Intel, represents an attractive target for its RISC rivals. “Chip designers will be naming their price,” said Brad Day, an analyst with the Giga Information Group.

The move also has implications for HP. Hewlett-Packard was seen as the preferred partner for Itanium with Intel, having taken the idea to Intel in the first place. While the addition to the Itanium camp will be welcome, the close relationship between Intel and Compaq will likely mean that HP is under more pressure to develop its own Itanium migration strategy.

Handheld market still growing, despite market slump
Despite a 45% drop in this year’s worldwide shipment of handheld devices the market is still strong, according to a report from IDC. The analyst house predicts that shipments will increase to 71 million handhelds by 2005.

Currently, the U.S. market represents the largest opportunity for handheld device vendors, accounting for 49% of worldwide shipments in 2000. However, U.S. shipments will grow slower than the overall market, and by 2005 U.S. share will decline to 38%. Shipments in Asia/Pacific will increase the fastest, earning a 2000-2005 compound annual growth rate of 60%.

"Just six months ago, handheld devices were the bright spot amid dismal expectations for other types of personal technologies such as PCs and mobile handsets. However, handheld devices have proved they are not immune to the economic slowdown," said Kevin Burden, manager of IDC's smart handheld devices research program. "Still, no one is saying the handheld industry is circling the drain. In fact, we are quite optimistic about the future of the market."

In terms of devices, personal companions are the most popular. IDC estimates they will represent 83% of worldwide shipments in 2001. "Increased diversity of personal companion models across price bands and feature sets, new applications, and new uses are creating appeal for these devices in new market segments," said Alex Slawsby, analyst for IDC's smart handheld devices research program.

"The evolution of technology in the entire smart handheld market is beginning to enable devices to bend to the usage, needs, and wishes of their users instead of the traditional paradigm of the user bending to the interface and device requirements, and this is increasing acceptance among users," Slawsby added.

Acer introduces notebook warranty programme

Acer Middle East has introduced "Acer Plus," a product warranty plan, for all of its notebooks covering them for up to three years for
parts and services. The new offer, which is available across 13 countries within the region, will enable Acer notebook users to extend their standard, one-year warranties to either two or three years, depending on customer preference.

“We supply notebooks to the Middle East’s most active mobile executives, and they demand long-term reliability from all their business tools,” said Suhas Bartar, director, Customer Service Division, with Acer Middle East. “The new Acer Plus warranty plan will enable the Middle East region’s ‘road-warriors’ to focus on business, and not on the serviceability of the notebooks which enhance their productivity and communication.”

The company outlined the customer benefits of the new warranty plan, including: a fixed, one-time cost of $110 for the one-year extension and $150 USD for the two-year extension; certified maintenance and original parts replacement; and coverage across 13 Middle Eastern countries, including Bahrain, Cyprus, Egypt, Jordan, Kuwait, Kingdom of Saudi Arabia, Lebanon, Morocco, Oman, Pakistan, Qatar, United Arab Emirates, and Yemen. In addition, the Acer Plus Warranty Plan– which can be availed of up to 90 days from the date of purchase, rather than 30 days as is the case with most similar IT warranty schemes – provides a discount of $20 on the purchase of a second battery.

“This warranty plan brings real value and greater peace of mind to our customers,” said Suhas. “Notebooks are important investments for many executives and businesses, and, through the Acer Plus initiative, we’re extending the lifetime and serviceability of these business tools.”

Kuwaiti construction company raided for unlicensed software

The Kuwaiti Ministry of Information has raided a local construction company, uncovering 45 computers all loaded with unlicensed software. More than 250 illegal copies of software were found at the company's premises in the Shuweikh Industrial Area, including software from Symantec, Microsoft and AutoDesk.

The raid is the latest in a long line as Kuwait tries to combat software theft, a crime that cost the country more than $8 million in revenue last year.

Jawad Al Redha, regional director of the BSA, believes that construction companies are particularly prone to software theft because of the costs involved in deploying industry specific applications.

“Because of the larger investments needed to deploy applications used in the construction business, companies have the tendency to postpone or give a blind eye to legalising on software use,” he said.

“What companies do not realise however is that, by using unlicensed copies of software, they are not only violating the law, but also causing themselves losses in productivity that far exceed their investments in legal software copies,” added Al Redha.

Any company planning to take the illegal software route best watch out as Al Redha explained that Kuwait has a clear mandate to stamp out software theft as it aims to create a strong IT industry within the country.

“By enforcing the law and therefore helping to build a strong, viable local technology market, the government is leading the way to the creation of new opportunities, jobs and enterprises in Kuwait,” concluded Al Redha.

||**||Dealer Incentives|~||~||~|
Special Discounts on Symantec products from Aptec

Special promotions throughout Q2 2001 could earn you $$$ thousands.

Buy any Symantec Licenses from Aptec in Q2 2001 worth $4000, and get an AED 1000 voucher from Plug Ins at the Dubai City Centre

OR

Get an AED 1000 voucher from Aptec Mobiles

OR

Buy any Symantec Licenses from Aptec in Q2 2001 worth $10000, and get an Aptec 1001 Golden Partner Certificate which will entitle you to the AED 1000 voucher from Plug Ins at the Dubai City Centre

PLUS

A 2% rebate on Symantec Licenses Purchases at the end of Q2.

To qualify, please register with Aptec by fax at: +971 4 335 5941 or register online at: href="http://www.apteconline.com">http://www.apteconline.com

Cisco Rewards now on for big prizes

Cisco Systems will reward qualifying resellers with new Audi TTs, Breitling watches, stays at the Burj Al Arab, and other spectacular prizes, for their exceptional sales of Cisco equipment.

To qualify for prizes, resellers must register with Cisco by hitting the link below, and then accumulate points towards these stunning prizes.

A full breakdown of points and values, and all you need to start collecting is on the Web site once you hit the link below.

To enrol in Cisco Rewards, you will require a Cisco Connection Online (CCO) User ID and Password. To obtain this, you need first to be registered as a Cisco reseller.

For further details, click on this link: href="http://www.cisco.com/rewards/emea/how.html">http://www.cisco.com/rewards/emea/how.html

Join Mindware with Microsoft and Xerox for this special promotion
Buy Microsoft Office std. at the current market price of US$410, Mindware will give you a Xerox C8 Inkjet printer at no extra cost. There is a minimum order of 5 units.

Offer is valid while stocks last.

For more information, please contact Rabab Hasan or Anuradha Basu at Mindware Dubai. Tel: (UAE) 971 4 221 9789/224 6240, or email: sales@mindware.co.ae, rabab_hasan@mindware.co.ae, or anuradha_basu@mindware.co.ae

Join Saudi Business Machines for huge savings with IBM
SBM are offering a massive 50% discount on IBM RS/6000 servers: Top-rated Web server, High Density Packaging of Internet and Internet Applications, 64-bit performance and availability to handle your most demanding e-business, ERP, business intelligence and database applications.

For further information, email: Majeds@sa.ibm.com or Tel: (KSA) 966 2 660 007

Mindware and Intel Express Router Promotion
Join Mindware and Intel for excellent pricing on Express 8000 & 9500 routers.

Intel Express 8000 series routers:
Part numbers:
ER8100ST: 1 x 10/100 LAN, 1 x ISDN BRI
ER8100FR: 1 x 10/100 LAN, 1 x WAN serial port
ER8210EU: 1 x 10/100 LAN, 1 x WAN serial port, 1x console port

Intel Express 9500 series routers:
Part numbers:
ER9510ST: 1 x 10/100 LAN, 1 x ISDN BRI, 1 x Serial WAN, 1 x
console/Async
ER9515ST: 1 x 10/100 LAN, 1 x 10 Mbps LAN, 1 x ISDN BRI, 1 x
serial WAN, 1 x console/Async
ER9530EU: 1 x 10/100 LAN, 2 x Serial WAN , 1 x console port/Async
ER9535EU: 1 x 10/100 LAN, 1 x 10 Mbps LAN, 2 x serial WAN, 1 x
console/Async

For more information, email: ayten_polad@mindware.co.ae.

Tech Data & Novell: Small Business Suite 5 Offer
Tech Data and Novell are offering a special pricing on Small Business Suite 5. Small Business Suite 5 - unique market pricing is still available

Server + 5 user ONLY $372 (00662644339047)
Server + 10 user ONLY $533 (00662644339054)
Server + 25 user ONLY $904 (00662644339061)

For further details, visit: http://www.novellmoneymaker.com or Tel: 971 4 3346 952

Novell is also offering FREE Small Biz training. For further information, email: info_mideast@novell.com

Intel Network Interface Adapters pricing deal
Intel is offering IPIs a special pricing deal on Network Interface Adapters. This preferential pricing allows IPIs to buy a 20-pack at the same card unit cost as an 80-pack.

For more details, visit: http://program.intel.com/ipi/en/index.htm

Intel Server rebate offer
Increase your margins on Intel server products with extra rebates on the PRO/100+ Server adapter.

For more details, visit: http://program.intel.com/ipi/en/index.htm

Are you offering any special promotions?
Do you have a special promotion that you want to inform the channel about?

We would be happy to include any incentive programmes or special promotions that you are running each week in eCRN.

For more information - please send full details to Dealer Incentives.

For more information on the Middle East IT Reseller Channel - visit Computer Reseller News Online TODAY.
||**||Training Diary|~||~||~|ARE YOU HOSTING A RESELLER EVENT?
Do you have any events for the industry that you would like to see listed here?

If so please send a message to Events Diary today and we will add the listing in a future edition of eCRN.

Cairo

July 1-3: ISS Real Secure Training, Cairo. For further information contact ISS on +202 760 70 11, or see http://www.iss.net

July 4-5: ISS System Scanner Training, Cairo. For further information contact ISS on +202 760 70 11, or see http://www.iss.net

July 8-9: ISS Internet Scanner/Database Scanner Training, Cairo. For further information contact ISS on +202 760 70 11, or see http://www.iss.net

August 5-7: ISS Real Secure Training, Cairo. For further information contact ISS on +202 760 70 11, or see http://www.iss.net

August 8-9: ISS System Scanner Training, Cairo. For further information contact ISS on +202 760 70 11, or see http://www.iss.net

August 12-13: ISS Internet Scanner/Database Scanner Training, Cairo. For further information contact ISS on +202 760 70 11, or see http://www.iss.net

September 2-4: ISS Real Secure Training, Cairo. For further information contact ISS on +202 760 70 11, or see http://www.iss.net

September 5-6: ISS System Scanner Training, Cairo. For further information contact ISS on +202 760 70 11, or see http://www.iss.net

September 9-10: ISS Internet Scanner/Database Scanner Training, Cairo. For further information contact ISS on +202 760 70 11, or see http://www.iss.net

Riyadh

July 2: The Banking & Finance Technology Roadshow with Arabian Computer News. Join ITP for the latest debates and developments in the financial IT sector. For further information, visit: http://www.itp.net/events/index

||**||Recruitment|~||~||~|Are you looking to hire experienced channel people to expand your business? Why not advertise your positions to over 3,000 registered members of the Middle East reseller channel for FREE every week in eCRN?

If so please send a message to Recruitment today and we will add your job listing to the next edition of eCRN. And please don't forget to notify us once the vacancy is filled.

EMPA Middle East FZCO: Regional distributor of Intel and Quantum

Wanted: Sales Engineers with channel experience & knowledge of the North Africa and/or Middle East region.

Must be able to travel frequently.

APPLY NOW: Please send an email attaching a CV to recruit@empa-me.com

Aptec Saudi Arabia

Wanted: Young, educated people willing to work in a fast moving company.

The following positions are open to appropriate candidates:

Retail Sales Specialist
A sound knowledge of the retail business would be appreciated.

The candidate should have very good communication skills and a good command of English.

His job is to create his own channel while passing up leads, giving time and support to his customers through daily visits or/and daily telephone contacts.

The position is based in Saudi Arabia.

The company will provide training on products.

Retail Business Developer
The position needs a previous experience in the retail market, ideally in IT, distribution or both.

The candidate should be holding a degree in Commerce or IT from a valuable university.

The candidate should have a very good command of English and should position himself as the Retail Office of the company.

Daily contacts with both customers and vendors, accuracy in reporting and development of marketing activities around his brands are required.

The Retail Business Developer will have to break into the market with major brands and to manage his Sales Specialist and his channel.

The position is based in Riyadh, Saudi Arabia with regular visits paid to customers/users Kingdom wide.

Networking Sales Specialist

A sound experience in selling networking products is needed here.

Understanding the end-user market is a must as it drives the sales to our second tier partners.

The candidate should have very good communication skills and a good command of English.

His job is to create his own channel while passing up leads, giving time and support to his customers through daily visits or/and daily telephone contacts.

The position is based in Saudi Arabia.

The company will provide training on products.

Telesales (two to three positions available)

We would like to invite here all people interested in the IT business.

People with experience in sales, in IT, or juniors are welcome.

Candidates have to speak English.

Dedication to customers is the rule. Your daily contacts, permanent follow-up on quotations and 100% availability will make the difference, willingness and happiness will do the rest.

Positions based in Riyadh, Saudi Arabia.

Oracle Product Manager

The candidate must hold a degree in Commerce from a valuable University.

A sound understanding of the IT world, its moves its requirements and future trends would help the ideal candidate to step quickly in the driver seat.

Daily contacts with both customers and vendors, accuracy in reporting and development of marketing activities around his brands are required.

A good command of English is a must.

The position is based in Saudi Arabia (Riyadh) with regular visits paid to customers/users Kingdom wide.

Tech Data
Tech Data is a leading global provider of IT products, logistics management and other value-added services. A Fortune 100 Company, with over 8,000 employees in more than 30 subsidiaries across the world.

To support our continued growth and expansion in our Middle East operation we are looking for professional, self-confident and dynamic team players with excellent communications skills, for the following roles:

Sales Professionals-UAE
Ref: ISE/2
Working within our fast paced sales team your communication and telephone handling skills will be second to none. Proactive calling and receiving to profile potential and existing customers, solicit business in order to maximize sales to meet your individual and team targets. Tech Data will provide award winning customer support structures so that you can provide the best service to our resellers.

Business Development Managers - Bahrain/Kuwait/KSA
Ref: BDM/2
Based in country, we require exceptional candidates to further our growth in the above regions. Working closely with the Sales Teams, you will be responsible for developing and building on existing client relationships whilst pro-actively seeking new resellers for Tech Data. Ability to work independently is an essential requirement for this role.

Credit Controller-UAE
Ref: CC/1
You will hold an accounting qualification and have at least 2 years of experience in the credit functions of FMCG/distribution businesses. At Tech data you will be involved in complete credit cycle of our clients. Detailed and methodical, Arabic language is an advantage as is the ability to work under pressure.

Purchasing Controller
Ref: OPS/1
You will direct and control purchasing operations to achieve the company’s annual operating plan through the provision of products to Sales & Marketing teams at optimum prices. Stock management and inbound logistics form an essential part of the job. With relevant qualifications your strengths for this role will be in organisation, analytical and negotiation skills. Good working knowledge in logistics, freight rates and custom laws.

Product Marketing
With increasing Vendor focus and product profiles we need dedicated product specialists for the following areas:

Compaq Product Manager-UAE
Ref: PM/1
Working closely with the vendor and sales teams will ensure smooth flow of information in both directions. Analytical skills are essential so that opportunities are maximized in line with market developments. Experience in stock profiling and pricing skills are essential

Cisco Field-based Sales Specialist-KSA
Ref: BDMC/1
You will have previous working experience with CISCO products as well as an appreciation of customer care and retention. Working closely with the Dubai based CISCO Team, you will be responsible for developing and building on existing client relationships, whilst pro-actively seeking new customers to purchase CISCO products and services.

Oracle Sales Specialist-UAE
Ref: SSp/2
You will provide sales support to the product marketing and sales teams. Good working knowledge of Oracle products and solutions is essentials as you will be the center point for all information on Oracle products. Vendor relationships and client contact will form key functions in this role.

To apply please contact Tech Data's Human Resource Manager on fax: 00 971 4 335 9524, or email: careers@techdata.co.ae, in writing to Tech Data FZ LLC, PO BOx 50718, Dubai, United Arab Emirates, or see http://www.techdata.co.ae/aboutus/currentjob.asp

||**||Next Month|~||~||~|In Next Month's Computer Reseller News Middle East

AUGUST 2001 FEATURES

Serious Games
The Middle East games market is expanding, but there is a lot more to the segment than you might expect
Selling Linux
Developments in open source are making Linux a real corporate alternative-CRN gives you the lowdown on the penguin.
Grey Marketing
Grey market imports have made a mess of local markets-can grey be controlled?

Behind the Scenes: financial trends; who is winning and who is losing; company acquisitions, mergers, and sell-offs.

Fast Forward: finding new solution add-ons to increase your overall margins.

E-Business: technologies and trends in this emerging channel opportunity.

Logistics: logistics, shelf life, and product cycles and how they affect the channel.

Upstarts & Startups: companies bucking the trends and new technologists with no respect for the status quo.

Infrastructure: the big-project VARs and what they are working on now.

Dealers Wanted: information on all the new vendors looking for resellers in the Middle East.

If you think you have anything to contribute to one of the above features - we would be very happy to hear from you. Contact CRN editorial at mark.sutton@itp.net ||**||

Add a Comment

Your display name This field is mandatory

Your e-mail address This field is mandatory (Your e-mail address won't be published)

Security code