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EMC and ECS Enter into Distribution Agreement for Singapore and Thailand
Deal to capitalise on burgeoning information management opportunities in the SMB sector
Singapore - Tuesday, October 10, 2006
Under the agreement, ECS will distribute the entire range of EMC CLARiiON® networked storage solutions and EMC Insignia hardware and software products, to ECS' extensive network of resellers in both Singapore and Thailand.
The EMC-ECS partnership agreement comes on the heels of a newly refreshed EMC Velocity2 Partner Program in Asia Pacific launched in early September 2006. EMC's Velocity2 program, in which ECS is a member, offers its partners world-class products, system support, financing, certification programs and financial incentives for them to succeed in all markets and provides mutual benefits to both EMC and the partners who commit to EMC.
"Frankly, we are heartened by the enthusiasm among the reseller community for EMC's newly refreshed Velocity2 Partner Program. It has only been six weeks into our Asian launch and already we've signed our first major distributor partner, ECS, under this new program. Partners are clearly the key enabler for our growth and profitability in Asia Pacific," said David Elliott, Director of Alliance and Partners, EMC South Asia.
"ECS is continually on the lookout for opportunities to strengthen our relationship with top IT vendors and to tap the growing IT trends across the region. As the market for enterprise storage in the SMB sector expands, we are happy to partner with EMC to tap this exciting opportunity using Singapore and Thailand as an initial launch pad. Our strong relationship with resellers puts us in a good position to help EMC acquire increasing market share as the opportunities for enterprise storage increase," said Jansen Ek, Group Chief Operating Officer of ECS.
Elliott emphasized, "The EMC and ECS partnership is highly synergised as we are leveraging each other's strengths to tap into the SMB sector, one of the fastest-growing segments in information today. EMC has the strongest Information Infrastructure technology and service offerings in the market, and ECS has an extensive customer base and reseller network in the region. Together, EMC will further strengthen our channel presence in Singapore and Thailand with a view to helping more SMB customers manage their critical business information. EMC is committed to driving more than 65% of our business in the region through partners by making it not only easier but also more profitable to be an EMC partner. It's about accelerating benefits to our partners, resellers and ultimately our customers."
Ek said, "We recognise EMC's desire and commitment to its partners and believe that the partnership will be mutually beneficial. Our appointment as a distribution partner under the newly launched EMC Velocity² Partner Program adds a new dimension to our current enterprise offerings. Hence this relationship becomes important as we continue to improve margins by concentrating on the sale of higher margin enterprise products against a stronger economic outlook and higher ICT spending in the region."
According to IDC's Asia Pacific Quarterly Disk Storage Systems Tracker Q2 2006 (September 2006), Asia/Pacific (excluding Japan) entry level storage is expected to reach US$831.81 million in 2010, growing at a 2005-2010 CAGR of 14.6%, and mid-range storage systems is expected to reach US$1.59 billion in 2010, growing at a 2005-2010 CAGR of 11.6%.
IDC's Asia/Pacific Quarterly Disk Storage Systems Tracker Q2 2006 (September 2006), Asia/Pacific (excluding Japan) also indicated that in Singapore, entry level storage is expected to reach US$22.14 million in 2010, growing at a 2005-2010 CAGR of 3.6%, and mid-range storage is forecast to reach US$58.57 million, growing at a 2005-2010 CAGR of 2.5%. According to IDC Asia/Pacific, in Thailand, entry level storage is expected to reach US$18.06 million in 2010, growing at a 2005-2010 CAGR of 7.6% and mid-range storage is forecast to reach US$35.99 million, growing at a 2005-2010 CAGR of 4.6%.
As SMBs expand their operations, they tend to migrate from entry-level systems to mid-range storage solutions. These companies find that their information infrastructure becomes more of a critical success factor for supporting their expansion plans and thus seek better performance storage systems with higher functionalities.
The EMC Velocity² Partner Program will effectively support all EMC partners, regardless of business model or origin (software and hardware) and confirms EMC's commitment to providing a world-class partner program that focuses on accelerating benefits to all its partners. As an EMC Velocity Distribution Partner, ECS will provide a host of services to second-tier partners that provides for reseller partners' sales and pre-sales, training and development, set-up of demo labs and logistics, integration and services capabilities.
Earlier this year, EMC launched a complementary worldwide channel program - EMC Velocity SMB Partner Program — for solution providers serving small and medium businesses.
Designed for a range of partners, the program ensures success by helping partners work within their preferred business models. The addition of EMC Velocity SMB to the overarching EMC Velocity2 Partner Program ensures that partners carrying the EMC Insignia line are rewarded for their commitment and investment.
EMC Insignia is a line of hardware and software products that enable SMBs and branch offices to store, manage, protect and share their vital business information. Further information on EMC Insignia products is available on www.emcinsignia.com.
About EMC:
EMC Corporation (NYSE: EMC) is the world leader in products, services and solutions for information management and storage that help organizations extract the maximum value from their information, at the lowest total cost, across every point in the information lifecycle. Information about EMC's products and services can be found at http://singapore.emc.com.
About ECS Holdings Limited:
Listed on the Main-board of the Singapore Exchange since 2001, ECS Holdings Limited ("ECS") is a leading ICT products and services provider, serving and supporting a wide regional customer base. The Group has 32 offices in six countries namely China, Indonesia, Malaysia, Singapore, Thailand and the Philippines.
The Group's three main businesses are Enterprise Systems, IT Services and Distribution. Its Enterprise Systems Division designs, installs and implements IT infrastructure for companies, while its IT Services Division provides a comprehensive range of professional, technical support and training services. Leading IT vendors use ECS' network of over 17,000 channel partners in the region to distribute their products.
The Group has a consistent profit track and a management that is focused on operational excellence to achieve sustainable profit growth and enhance shareholder returns. For FY2005, the Group recorded a net profit after tax of S$17.3 million on revenue of S$2.0 billion.
For more information, please log onto: http://www.ecs.com.sg
| Verdayne Nunis EMC South Asia Tel: +65-6427-1741 Email: nunis_verdayne@emc.com | Sharon Boh-Friberg ECS Holdings Limited Mobile: +65-9180-8062 Email: sharon.bohfriberg@ecs.com.sg |
| Inn Lin Vital Communications Tel: +65-63272013c Email: inn@vitalcoms.com | Mona Leong or Reshma Wad Jain WeR1 Consultants Pte Ltd Tel: +65-6737 4844 Email: monaleong@wer1.net reshma@wer1.net |
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