Both are based in the Cardiff area and have worked together on a number of occasions in the past. But last week, SAGlobal snapped up M4 for an undisclosed sum, in a move which will create a £7 million turnover firm with around 500 staff globally.
It is the latest pair of Microsoft partners to merge. New Signature bought Paradigm, and RedPixie snapped up Cloudamour at the start of last year. The move is widely seen as a part of a general vendor consolidation which arrived about the same time that Vole moved onto a more cloud orientation.
This meant that vendors need to become more focused on their customer base. Taking another company’s contact list therefore makes a lot of sense. But many resellers are finding that with Microsoft’s cloud services there is less for them to do that Vole is not doing already. Resellers are scrabbling around looking for complementary services on top to replace the lost revenue streams.
Meanwhile Microsoft only wants resellers who offer something over and above what they offer themselves in their generic product.
The latest acquisition gives SAGlobal and M4 much needed scale and shows that the Dynamics channel is maturing.