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Sandler Partners Acquires

X4 Solutions

In a move that reportedly creates the

second largest distributor of telecom and

cloud services in the nation, Sandler Part-

ners announced that it has acquired X4

Solutions, a master agency based in the

Midwest. Together, the companies serve

more than 4,000 sales partners in the

West, Northwest, Southwest and Midwest.

The combined company will

generate approximately $65 million

in revenue this year. Terms of the

deal, which closed July 21, are not

being disclosed.

With X4, Sandler Partners is adding

about 30 new providers for a current

total of 140 direct relationships with pro-

viders of voice, data, connectivity, cloud

computing, cloud communications, mo-

bility, security and more.

Sandler Partners says it’s welcom-

ing all X4 employees into the company

with no planned layoffs. X4 president

Curt Allen will become president of

channel for Sandler Partners, while co-

founder and CFO D.J. Fioretti will re-

main with the company as a consultant

overseeing the financial integration of

X4 into the Sandler Partners organiza-

tion. X4 co-founder and CEO Steve

Braverman reportedly will provide ongo-

ing assistance in the transition of mar-

keting platforms and events as well as

being available to key partner contacts

as an ambassador to the new Sandler

Partners organization. Steve Snure,

X4 co-founder and CIO, reportedly will

provide ongoing assistance with the

integration of back-office systems.

Agents will not be asked to sign

new agreements with Sandler Partners,

but there may be situations where they

might want to update their agreements,

said the company. Sandler Partners

currently has more than 3,400 agent

partners, and X4 has 1,200 for a total

of more than 4,600. The crossover in

partner bases is less than 3 percent, and

partners that work with both companies

can continue to work with whom they

choose, said Sandler executives.

Through the economies of scale,

Sandler believes the combined agen-

cies will be able to better meet the in-

creasing needs for partner training on

ever-changing solutions and enhance

the ability to serve enterprise accounts.

“X4 is a respected company in

our space that shares our values of

personalized service and support for

our sales partners,” said Alan Sandler,

founder and managing partner for

Sandler Partners. “This deal gener-

ates significant value for Sandler Part-

ners and X4 sales partners and their

customers, including stronger provider

contracts, a broader and more robust

portfolio, additional layers of support

and a larger footprint.”

“The combination of Sandler

Partners and X4 will be able to offer

sales partners even more resources

to deliver best-in-class telecom and

cloud solutions, packaged in partner

programs designed to fit each of their

unique business models,” Allen said.

“Our combined provider portfolio offers

more options for our sales partners to

deliver the cloud and connectivity solu-

tions their customers demand.”

“We’ve always grown organically,

and we still have a very strong organ-

ic growth engine that will continue to

power significant growth for our com-

pany,” added Sandler. “However, we

are actively looking for other compa-

nies and agencies that would benefit

the partner and customer ecosystem

and integrate with our culture.”

LSI Rolls Out Virtual

Office for SMBs

Line Systems formally announced

its Virtual Office product, a completely

cloud-based phone system solution that

integrates with the increasingly mobile

workforce within SMBs.

Providing a way for SMB orga-

nizations to manage and run their

business completely in the cloud, the

solution utilizes any broadband Inter-

net connection to access the feature

server, rendering full office product

suites and the functionality of a PBX.

Call routing can be configured to send

all calls to the mobile device of the

customer’s choice.

“In the past, small business orga-

nizations and home-based businesses

have struggled with balancing their

service needs and presence with as-

sociated budget constraints,” said

Bruce Wirt, LSI vice president of sales

and marketing. “Virtual Office allows

a central number, local or toll free,

to take inbound calls using a cloud-

based auto attendant, with prepro-

grammed extension options to deliver

phone calls to the device of the cus-

tomer’s choice.”

Virtual Office will be offered to the

market with an introductory rate starting

at $29.95, moving upward depending

on call volume packages and sub-

scribed extensions. LSI is also incenting

the indirect sales channel by offering a

$50 per instance spiffs for agents that

sell the product.

“This is another step in our effort

to expand our presence throughout

the nation,” said Warren Reyburn,

executive vice president at LSI. “This

product fills a need in the SMB/SOHO

marketplace, with a level of support,

functionality and ease of use that rivals

options enjoyed by upstream markets.”

Equinix Partners with

Datang in China

Equinix has announced a strate-

gic partnership with Datang Telecom

Group in China. As a part of the part-

nership, Datang Telecom, which cur-

rently holds a cross regional Internet

data center (IDC) license in Beijing

and Shanghai, will become the ser-

vice delivery partner for Equinix in

China, enabling Equinix to expand

further into the growing domestic en-

terprise market. On behalf of Equinix,

Datang will offer Equinix customers

in China a broad range of intercon-

nection services, including Equinix

Cloud Exchange.

This partnership comes as Equinix

continues to extend the reach of its

global platform to 145 data centers.

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July - August 2016