The new distribution model
Roy Vallee | As seen in Electronic News -- Roy Vallee, chairman and CEO of Avnet, sat down with Electronic News/Electronic Business to talk about consolidation among distributors, inventory management and what will cause the next downturn—and why it will be better than the last time. What follows are excerpts of that conversation.
Q: For the past three years Avnet has said that consolidation is complete in North America, yet it has acquired Memec and now GE Access. Is it really over?
Vallee: America is pretty highly consolidated. There’s not a lot left to do here. Europe is similar, although maybe not quite as consolidated. If America is in the eighth inning of consolidation, Europe is in the seventh. Asia/Pac is where a lot of consolidation is taking place now. Yosin (Taiwan) picked up the Surtech business that was part of Acer at one time, and Arrow picked up a company about a year and three months ago. We picked up Memec prior to that and World Peace (WPI) picked up SAC. The most active region is Asia/Pac. The least consolidated is Japan.
Full Story>>
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The 2006 top global distributors
Harley Feldberg | As seen in Electronics Supply & Manufacturing -- The distribution market overall fared well in 2006, despite softer demand in some end markets, continued concern about a semiconductor inventory overhang as the year drew to an end and pressure to comply with new worldwide environmental regulations.
Benefiting from hard lessons learned during the severe industry downturn at the beginning of the decade, electronic component distributors enhanced inventory management, optimized working-capital use and introduced a raft of specialty offerings, including supply chain management services. Those steps, applauded by Wall Street, paid off in improved sales, profits, earnings per share, days of inventory and other financial metrics.
Full Story >>
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AVNET, the AV logo and any other Avnet trademarks are registered trademarks of Avnet, Inc. Avnet, Inc. disclaims any proprietary interest or right in trademarks, service marks, trade names, brands or logos other than its own. Copyright © 2005 Avnet, Inc. All Rights Reserved.
Avnet Ink Online is published every other Wednesday by Corporate Communications. Questions and comments can be directed to Jan Jurcy,VP, Corporate Communications, Avnet, Inc.
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Latest News Coverage
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Avnet, Inc.
April 26, 2007
Avnet Shares Surge to Record After Profit Exceeds Estimates
Shares of Avnet Inc., a distributor of electronic components and computer chips, rose to a record after the company reported third-quarter profit that beat analysts' estimates.
Bloomberg
April 26, 2007
Avnet Profit and Sales Rise
AVT 's fiscal third-quarter net income rose to $105.2 million, or 70 cents a share, from $71.2 million, or 48 cents a share, in the year-ago period. Sales rose to $3.9 billion from $3.61 billion.
MarketWatch
April 20, 2007
Chamber Seeks Expanded Work Visas
One of the state's most influential business groups is joining its national counterparts in pushing for a dramatic expansion of a visa policy that would allow more foreign high-tech and engineering workers into the U.S.
The Business Journal of Phoenix
April 19, 2007
Bogle Junior High Students Dominate at Science Fair
Gifted students from Bogle Junior High dominated awards with winning projects at last weekend's Avnet Science and Technology Fair.
The Arizona Republic
April 18, 2007
Avnet Has Big Expectations for New Integration Center
Avnet on Wednesday broke ground for a new integration center in Chandler, Ariz.
CRN
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Avnet Logistics
April 17, 2007
Avnet Expands with New Integration Center in Chandler
Arizona’s largest publicly held company is expanding with a new integration center in Chandler, Ariz.
Semi Trends
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Avnet Electronics Marketing
April 27, 2007
Avnet Tapped to Market Applied's Product Line
Computer systems manufacturer Applied Data Systems announced Wednesday that it will promote its entire product line through Phoenix-based Avnet Electronics Marketing.
Techrockies
April 27, 2007
Bill Walker - Regional Vice President, Avnet Memec Northern Europe
Avnet Memec announced today that it has appointed Bill Walker to Regional Vice President, Northern Europe.
Evertiq, Sweden
April 23, 2007
Avnet Electronics Marketing Appoints New China Regional Prez
Avnet Electronics Marketing Asia, a distributor of electronic components and a division of Avnet Inc., has appointed Peter Wong as regional president of Avnet China.
EDN
April 19, 2007
EBV Awarded by National Semiconductor
European Distribution specialist EBV Elektronik, an Avnet Company, has received the "European Distributor of the Year Award 2006" for the best performance in Sales and Demand Creation in National's European distribution network.
Evertiq, Sweden
April 19, 2007
The Bridge to India (Under Construction)
There is no question that the electronics industry in India is growing. Revenue from electronics manufacturing in India will grow from about $10.4 billion in 2006 to $22.3 billion in 2010. A number of name-brand electronics companies, including Motorola, Dell, and Flextronics are manufacturing in India or have plans to.
Purchasing
April 17, 2007
Local Firms Among Lockheed's Top Subcontractors
Lockheed Martin Corp.'s Orlando missiles unit ranked five Central Florida companies, including the Avnet Electronics Marketing location in Winter Park, among its latest Top 10 subcontractors in Florida.
Orlando Sentinel
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Avnet Technology Solutions
May 1, 2007
IBM Starts to Walk Its Talk in the Channel
IBM anchored its 2007 PartnerWorld event with the announcement of a new communications strategy to the channel that seeks to unify the company's current patchwork portals and Web sites for channel partners.
The Channel Insider
April 30, 2007
Partners Say IBM's Rules Impede Their Global Growth
As IBM encourages its business partners to expand globally, some business partners attending PartnerWorld 2007 in St. Louis say the company's terms and conditions conspire against their worldwide growth plans.
CRN
April 30, 2007
Avnet To Offer Bundled IBM Software Solutions
Avnet Technology Solutions announced a new initiative to help solution providers sell products and services wrapped around IBM software solutions at IBM PartnerWorld in St. Louis on Monday.
CRN
April 30, 2007
Avnet Integrates Its Sun Business
Avnet has untethered itself from the bounds of being a single vendor distributor following the integration of GE Access into its Partner Solutions division.
Computing, UK
April 30, 2007
Avnet Taps Azaleos For Exchange Management
Avnet Technology Solutions said that it will provide Avent's IBM value-added reseller partners with Azaleos products, including Azaleos OneServer, BladeMail and OneStop Managed Services.
Northwest Innovation
April 30, 2007
Avnet To Offer Azaleos E-mail Managed Service
Avnet Technology Solutions plans to distribute Azaleos e-mail appliances and managed services offering, becoming the 3-year-old company's first distributor as it moves to a channel sales model.
CRN
April 23, 2007
Avnet Recognized as AMD’s Global Distributor of the Year for 2006
Avnet Technology Solutions, Americas, announced that its Computing Components business unit was recently recognized as AMD's top-performing global distributor for 2006.
E-ChannelNews
April 23, 2007
Sun Distributors Face More Unrest
Sun expects further shake up in its distribution channel, despite halving its number of distributors over the past 18 months.
CRN UK
April 20, 2007
Avnet Ambil Alih Azure Technologies
Note: Please refer to the attached PDF for the full text of the article.
Berita Harian Malaysia
April 19, 2007
Avnet Gets a Leg-Up in Asia
Avnet Technology Solutions has acquired Asian IBM distributor, Azure Technologies.
ARNnet, Australia
April 18, 2007
Avnet Technology Solutions Nomme un Président Emea
NOMINATION Deux jours avant l'annonce de l'intégration d'Access Distribution dans Avnet Partner Solutions, Dick Borsboom a pris la présidence d'Avnet Technology Solutions Emea.
France CRN Express
April 13, 2007
Avnet Erweitert Angebot Mit MRV
Note: Please refer to the attached PDF for the full text of the article.
CRN Germany
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Latest Press Releases
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Avnet, Inc.
Press Release:
April 26, 2007
Avnet, Inc. Reports Record Third Quarter Net Income and Earnings Per Share
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Avnet Electronics Marketing
Press Release
May 2, 2007
Avnet Time Named Best Performing European Distributor of the Year 2006 by FCI
April 30, 2007
Avnet Wins Best IBM Semiconductor Solution Award
April 25, 2007
Avnet Recognized as Northern Illinois Food Bank's Volunteer Corporation of the Year
April 25, 2007
Avnet Electronics Marketing Now Distributing Applied Data Systems Embedded Computer Systems
April 24, 2007
Avnet Electronics Marketing's X-Fest Explodes into Action in China
April 19, 2007
EBV Elektronik named "Distributor of the Year 2006" by National Semiconductor
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Avnet Technology Solutions
Press Release
May 1, 2007
Avnet Technology Solutions Expands Enterprise Mobility Solutions with Vangard Voice Systems
April 30, 2007
Avnet Technology Solutions Helps IBM Partners Identify, Sell and Deliver Bundled Software Solutions
April 30, 2007
Avnet Technology Solutions Teams with Azaleos for Managed E-mail Appliances and Services
April 24, 2007
Avnet Technology Solutions to Present at 2007 Server Blade Summit
April 23, 2007
Avnet Recognized as AMD's Global Distributor of the Year for 2006
April 23, 2007 Avnet Wins AMD's Distributor of the Year 2006 Award for Asia Pacific
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