Author: Andrea Petrou

Logitech axes staff

axeLogitech’s newly appointed CEO is making his position known, grinding the axe and getting the pink slips ready.

In an announcement today the peripheral company has said that it will be cutting approximately 140 positions, around five percent of its worldwide non-direct-labour workforce.

Bracken P. Darrell, who look over the head honcho job at Logitech last month said the chops were as a result of the company taking on an “organisational alignment” and making “strategic priorities” in a bid to make cost savings of approximately $16 to $18 million in operating costs in Fiscal Year 2014.

These include increasing focus on mobility products, improving profitability in PC-related products and enhancing global operational efficiencies.

The axe wielder said the job cuts would help with the new plan by “delivering additional cost savings that will contribute to improved profitability”.

Logitech is trying to turn around its flagging business which has faced increasing competition from the smartphone and tablet market.

Last month the company also announced that it would be flogging its Harmony remote business unit following a “disappointing quarter”.

Microsoft: resellers coming around to cloud

clouds3Traditional resellers have been slow in embracing the cloud, with many predicting the technology was “just a hype,” a Microsoft spokesperson has told ChannelEye.

However, according to Clare Barclay, director of SMB at the company, two years later resellers are embracing market changes.

“Traditional resellers are in a competitive market with younger companies evolving far quicker,” she told ChannelEye. “Two years ago they put Cloud down to just a hype and continued with their business as it was. However, they are now changing.”

Microsoft believes cloud has changed the way resellers and the market operates, eliminating the need for cumbersome software and hardware. Savvy SMBs have also set up their business using this technology to make them appear bigger and offer their customers more services.

“Most SMBs have now realised that they need to capitalise on cloud, and offer services that put them in a position with their competitors,” said Barclay.

She also pointed out that Office 365 was enabling the company’s partners to offer more services to their customers.

“Three to four years ago customers were worried about buying into a cloud based model but now this is aggressively growing we’re seeing a number of partner engaging in monthly based subscriptions,” she said.

Microsoft said it is trying to seduce resellers into cloud confidence by offering training and events programmes to outline the benefits.

ARM turns to Avnet to push development tools

avnettsARM is turning to enormous distie Avnet in a bid to push its gear.

The company has teamed up with old school dealer Avnet Electronics Marketing to make available its embedded development tools on the Embedded Software Store (ESS).

Launched in 2011 by Avnet Electronics Marketing and ARM, the online ESS is said to offer services in the embedded software community, providing software that supports ARM architecture.

The portfolio includes ARM Development Studio 5 (DS-5) tool chain, DSTREAM debug and trace unit, MDK-ARM microcontroller development kit and ULINK family of debug adapters.

In addition, Avnet has also signed on the dotted line to become its new pals authorised distributor for ARM developer tool products meaning it’s reps can now flog ARM products to their clients.

Mutual customers will also be able to access ARM’s embedded tools from ARM online, which the company said would help “accelerate engineers to develop robust and highly optimised embedded software for ARM devices.”

Steljes teams up with Microsoft

stelBusinesses are investing in unified communications to help increase productivity and reduce costs. However, many aren’t embracing their return on investment in this technology, according to Steljes.

Coincidentally the distie has has now decided to show off the recently announced SMART Room System, a turnkey hardware system designed by SMART Technologies to bring Microsoft Lync into the meeting room at this year’s UC Expo at London Olympia on 5-6 March.

First launched at the Microsoft Lync conference last week in San Diego, this is claimed to be the first time that the service will be shown in Europe.

Steljes has also joined forces with Microsoft to discuss how clients can get the most out of their investment in Microsoft Lync and visual collaboration services from SMART Technologies.

The seminar will be presented by Wayne Perkins, Head of Business Solutions, Steljes & Nick Combellack, Lync Technical Specialist, Microsoft in the Microsoft UC Theatre on Tuesday 5th March at 11.50.

Tourists flock to UK high streets

highWhile Brits are clutching tightly onto their purse strings, their foreign counterparts seem to be happy to splash the cash on the UK high street.

In a survey, VisitBritain found that overseas visitors had splurged a record £18.5 billion during their visits to the UK,  up seven percent year-on-year from 2010.

The organisation said that this amounted to 25 percent of all expenditure by overseas visitors on the UK’s high streets.

The figure was a refreshing change from the doom and gloom spelled out in recent retail surveys, which continue to show Brits are reluctant to splash their cash on shopping.

Most recently a survey from CBI suggested that seven percent of retailers saw an increase in their volume of sales in the year to February and 29 percent reported a reduction.

However, it doesn’t seem dismal weather and high inflation are putting holidaymakers off.

According to VisitBritain, the majority of the shopping spend was on clothes, with an estimated £2.3 billion generated by fashion-conscious foreign tourists. Many visitors also bought souvenirs, gifts and household goods, accounting for around £1.6 billion.

Of the 18 million visitors, the French were the  most prolific shoppers with over two million trips, followed closely by 1.63 million Germans, 1.63 million Americans, 1.3 million Irish and 1.1 million Spanish.

Avnet makes Erin Lewin its chief pleader

Erin LewenAvnet has named Erin Lewin as its new senior vice president and general counsel.

Lewin, who has been praised by the company as “demonstrating her ability to effectively guide a global team,” will report to Avnet Chief Executive Officer Rick Hamada and serve as a member of the Avnet Executive Board and Global Executive Council.

She is responsible for leading Avnet’s global legal team and providing advice and guidance to the company’s business leaders.

Lewin first joined the distie in 2007 and, before her promotion, served as vice president and general counsel, Americas,  where she gave legal advice and the rest to Avnet’s businesses in the Americas.

Before this she was Avnet’s chief ethics and compliance officer for two years, overseeing all aspects of Avnet’s ethics and compliance program globally. Avnet did not give a general description of its ethics at press time.

Lewin said she looked forward to contributing to the success of the comoany’s individual team members and the organisation as a whole.

She succeeds David Birk, who retired after serving as Avnet’s top lawyer since 1989.

Markitx offers buying and selling of used IT equipment

Hands across the waterA Chicago based startup offering the opportunity to buy and sell used IT equipment within the enterprise sector has been launched.

However some resellers have stressed that the new model could account for a demise in sales from traditional channels as well as encourage the buying and selling of stolen goods.

MarkITx claims to enable enterprises to make more money from their used equipment through a buying and selling site where a pair who agree on a transaction remain anonymous to each other.

It said that this could help sellers make more money from items which are traditionally traded in or sold at rock bottom prices as company’s are in a rush to get rid of this stock.

The exchange is said to work by buyers posting what they want and what they are prepared to pay for a particular item and sellers respond with a post about what they have and the quality the product is in.

MarkITx said it also acts as a mediator, recommending prices that the stock should be sold at to ensure buyers get a fair deal.

However resellers aren’t convinced.

One told ChannelEye: “I’m not entirely sure how this works but from first glance it looks to me like its just another way to drive resellers out of the market further.

“This marketplace will clearly offer cheaper priced items, whether second hand or not, which can be sold on to consumers and businesses at a cheaper price than many of us could offer.”

Another added: “Nice idea but it sounds to me like an excuse to pick up knock off gear. Is there certification of where this came from?”

Tesco depot staff face job losses

tescoTesco’s “You shop, we drop” strapline, seems to have taken on a more sinister meaning after the company announced that it would be axing at least 150 jobs.

The company has said the cuts come as it aims to transfers 2,000 depot jobs in a  restructuring effort after it announced that it would be closing three centres in its distribution sector.

The depots facing the closure are Harlow, which has 800 workers, Barlborough near Chester, which employs 400 people, and Weybridge in Surrey with 650 staff.

The company’s site in Magor in Monmouthshire, which employs 800 people, has also admitted that it will be cutting 150 staff.

The supermarket has said that it will aim to transfer some jobs to its new shiny depots in Berkshire and London where it said 2,000 would be created.

It also claimed that it would aim to give staff in the closing down depots new jobs within the company.

However,  local workers have spoken out, telling the Harlow Star that many won’t be willing to uproot their families to move to the new locations.

This isn’t the first time this year that the company’s distribution sites have been in the news. Earlier this month ex Tesco warehouse staff and forklift drivers spoke out, claiming that they were forced to wear armbands so Tesco could monitor their work efficiency and the amount of time they took for breaks.

At the time Tesco denied that the bands were used for staff monitoring, claiming that they were only used by drivers to scan the stock they collected from supermarket distribution points and send it out for delivery. It said this meant staff didn’t have to worry about carrying around pads and paper.

However, workers claimed that they had been used to spy on them with some saying they had been called in front of management if they took unscheduled toilet breaks.

Over in the company’s marketing department, however, the story is completely different – with reports that the supermarket is looking to fill 40 vacancies.

Jobs going include head of online marketing for F&F and marketing manager for Clubcard, as the company aims to drive its online and internal communications initiative.

Primark and Domino’s do well

domsIt seems the current economic climate hasn’t got in the way of fast food fans, with Domino’s Pizza announcing that our appetite for the “treat” will help it generate 1,500 jobs this year.

The news comes after the cheesy chain, which promises to deliver within 30 mins, announced that it had sold 61 million pizzas last year, resulting in its 2012 annual profits rising by 11 percent to £46.7 million.

However, it admitted that on average its serving area was small, estimating that on average 19 percent of households were customers.

As a result the company has baked a plan to create more franchise-run stores as part of a drive for around 1,200 outlets, which it hopes will expand its customer waistlines, reach.

More than half of sales were made online, with 56 percent accounting for internet orders  compared to 44 percent a year earlier.

The chain said the rise was as a result of a range of factors. This included store openings, online demand, new stuffed-crust products and a busy summer of sporting events.

Its UK franchisees opened 57 new shops – taking the total to 727.

However 2013 had seen a flat start as a result of the snowy weather which  forced 498 UK stores to close at some point during the first seven weeks of the year.

And it’s not just Domino’s which is raking in the cash, with Associated British Foods claiming it will see a rise in its profits this year as a result of its clothing arm Primark riding high on the highstreet waves.

The company said sales at the cheap clothing chain had risen by 25 percent in the last six months and by seven percent from shops which had been open at least a year.

Over this period the company had opened 15 new stores, including a second store on London’s Oxford Street.

Intel Ultrabooks are the “Titanic of the 21st Century”

Der Untergang der TitanicResellers have lit into Intel Ultrabooks likening the range to the “the Titanic of the 21st Century,” and calling the products a “sinking expense.”

The comments come as resellers are still seeing bleak sales  for  these products, with some saying they can’t see a light at the end of the dismal tunnel.

Intel’s slim line babies had been touted as a lighter way to work, however, according to recent research by IDC, the company’s emphasis on its skinny form factor did it no favours as the price tag is still sky high.

However, it seems the stubbornness of the company, and its reluctance to cut prices, have angered resellers.

“Ultrabooks have really been the Titanic of the 21st Century. A disaster, and sinking expense,” one told ChannelEye today.

“It seems to me that whatever Intel does, and however much it throws at this brand, it’s just not going to take off unless it reduces prices for these ranges significantly.

“However what we’ve heard from the company hints that this isn’t going to happen, meaning we’ll once again be left with surplus stock and low margins as a result.”

Others agreed, claiming that the price point was the thorn in Intel’s side.

“Ultrabooks still aren’t doing as well as we would have liked. No one wants an overpriced laptop at the moment and the slim USP it’s got going on just isn’t attracting consumers,” another reseller told ChannelEye.

“There are cheaper, but bigger laptops that offer similar features that just make purchases more justified.”

Others have also pointed out that although the company could cash in on the upcoming holidays, consumers again would be reluctant to opt for this product with tablets offering a better price point.

“We’re hoping to see a rise in Ultrabook sales as the summer holidays come around, but it’s market. Some families who are going away will be looking for a light device that can keep kids occupied on a plane as well as act as a virtual mag/book.

“Although an Ultrabook would be perfect for this, the reality is the price points will push many to a tablet,” he added.

Windows 8 touch screens fail to thrill

msTouch-screen Windows 8 portable PCs are still failing to cut the mustard in Europe with cpeople preferring to spend their cash on tablets.

That’s the latest from IT market research company Context, which has said that this could lie in the fact that at the October Windows 8 launch last year, there was no significant support from leading hardware vendors for touch screens in portable PCs.

It added that at the time only 1.1 percent of all the Windows 8 portable PCs selling through distribution at the time of the launch were touch screen-enabled. By the end of January this year, this had only risen to 2.4 percent, while tablet sales had increased “significantly” over the same period.

However, the momentum is still upbeat with hardware vendors surveyed by Context claiming that they are anticipating some uptake in sales of touch screen enabled portable PCs by the third quarter of 2013 in time for the end of year holiday season.

The company warned that with the price of 15-inch and higher touch screens still expensive, making the portables a high-priced item, the cheaper tablets could potentially dampen touch screen sales.

Ingram Micro creates new business unit

IMIngram Micro has merged its recent BrightPoint purchase to make a new business unit in the company.

The distie announced at Mobile World Congress that it had created Ingram Micro Mobility, which had been made up of its existing mobile group and BrightPoint, which it bought in October last year.

It claimed the new division will give customers more options as a result of the combined capabilities and reach of both companies.

Ingram Micro Mobility is said to offers a complete end-to-end service for the lifecycle of mobile devices – moving mobile products from manufacturing, providing customisation services, fulfilling through all channels, managing transportation and logistics, and providing complete integrated reverse and recover services.

It claimed the services would also support moving and selling mobility products through markets across the globe with a single partner.

Ingram Micro Mobility vendors are also claimed to be given better benefits and services through the new division as they can apparently further optimise their supply chains with BrightPoint’s experience in device lifecycle services.

BrightPoint product vendors also get advantages with claims that they can gain access to new selling channels as BrightPoint’s product portfolio is cross-sold into Ingram Micro’s sales channels.

The distie will also target new markets including Vietnam, Philippines, South Africa, China, Hong Kong, France, Latin America and Canada, which can access Ingram Micro’s and BrightPoint’s joint capabilities.

Here’s the lowdown on the Oscars 2013

redIt was a night of fun, glitz and fashion as Hollywood’s A-listers stepped out to celebrate and show off their frocks at the 2013 Oscars.

And this year the red carpet was awash with pale colours, giving the event a vintage, old school glamour theme.

Jennifer Lawrence, who admitted she was “starving” – a feeling we imagine is quite common for many celebs – went for a white and pale pink strapless Dior gown with a full skirt and ruffled hemline.

Amy Adams opted for an Oscar de la Renta ballgown, which was a stark contrast to the her usual statement column dresses, while Anne Hathaway kept the colour tone light with  simple pale pink Prada column gown, which she claimed had been chosen just hours before the event.

Jessica Chastain, also gave a nod to vintage Hollywood with a shiny copper Armani Prive dress and gold was also the colour of choice for Catherine Zeta-Jones who rocked up in a Zuhair Murad number.

However, some celebs opted for bolder hues in a bid to stand out from the fash pack. Jennifer Garner chose a strapless magenta ruffled back  Gucci gown, while Reese Witherspoon also broke the pale mould turning up in a bold blue column dress.

Sequins, which we thought had been put away along with that Christmas tree also reared their sparkly heads, with a number of celebrities opting for this style. Adele wore a black, sequinned Jenny Packham frock, Naomi Watts went for a gunmetal sequin Armani gown and Nicole Kidman was a sequin queen in a gown by L’Wren Scott.

Over in the male clothing camp, one thing that stood out amongst the huge range of designer tux was the sheer number of celebs sporting facial hair.

This generation of the Brat Pack including Bradley Cooper, Tommy Lee Jones, George Clooney, and Ben Affleck all went for beards, while it was mustaches for Jason Schwartzman and Chris Pine.

PAC calls back to work scheme “extremely poor”

Jobcentre-plus-The Public Accounts Committee (PAC) has slated a hefty priced scheme aimed at helping the long-term unemployed get back into work.

The MPs have called the  Work Programme “extremely poor” after its research found that in the 14 months of the scheme being up and running only 3.6 percent of those involved moved off benefits into sustained employment.

PAC said that the performance was also “so poor” that it was “actually worse” than the Department for Work and Pensions (DWP) own expectations of the number of people who would have found work if the Programme didn’t exist.

It also pointed out that the Programme was particularly failing young people and the hardest-to-help.

Margaret Hodge, who chairs the committee of cross-party MPs, said: “It is shocking that of the 9,500 former incapacity benefit claimants referred to providers, only 20 people have been placed in a job that has lasted three months, while the poorest-performing provider did not manage to place a single person in the under-25 category into a job lasting six month.”

The programme was introduced in June 2011, at an estimated cost of between £3 billion and £5 billion over five years. However, PAC said that none of those contracted to help place workers had met their targets and their performance “varied widely”

It said that it was also concerned that some providers were focusing on people more likely to generate a fee, and sidelining jobless clients who required more time and investment.

“Given the poor performance across providers, there is a high risk that one or more will fail—either they will go out of business or the Department will cancel their contracts,” the report added.

This isn’t the only DWP scheme that has caused recent controversy. Back in January the department came under fire after French benefit assessment company Atos ordered 50,000 disabled Scots to go back to work.

The company was hired by the UK Government to help cut the welfare bill by assessing whether those on disability benefits were actually eligible for work.

Atos’s Work Capability Assessments aimed to do this by asking benefits claimants to complete a long questionnaire and attend an interview with an Atos employee.

BAE sharpens Axe for 3,500 US staff

axeThe pink slips could once again be rearing their ugly heads.

This time staff at BAE Systems’ US ship maintenance business are reportedly facing job cuts as a result of the government’s military spending cuts.

The British arms producer could reportedly be making 3,500 – around 70 percent – staff redundant as a result of the US’ navy putting a halt on maintenance work on 13 ships. However, according to Bloomberg the cuts could also have a domino affect on on the company’s suppliers.

It has not been a good week for BAE.

Yesterday the company, which employs around 93,500 across the world, announced that it had made a loss in 2012.

Underlying profit fell six percent to £1.89 billion in the year, while pre-tax profits has dropped to £1.4 billion from £1.5 billion.

It was also bad news for sales, which fell seven percent to £17.8 billion from £19.2 billion in 2012, which the company said was a contributing factor in the failure to a merge with European defence firm and Airbus owner EADS.

The company said the losses were as a result of US defence cuts, as well as reduced military activity in Iraq and Afghanistan.