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High-staking Connector Systems enters local cloud marketplace

04 Nov 13

Connector Systems has purchased a 50% stake in local cloud service provider AO New Zealand, a move which positions the local tech distributor ahead of its distribution competitors.

Terms of the deal will see the networking, security and wireless and cabling distributor offer cloud computing, internet access and related services at a wholesale level.

“This is a strategic move that equips Connector’s channel partners with a broad range of cloud & internet connectivity solutions to resell and derive additional annuity based pro-services revenue streams” says Dale Smith, Managing Director, Connector Systems.

According to Smith, the partnership means that AO is effectively the vendor supplying its extensive range of cloud services to Connector Systems’ reseller channel.

In addition to AO providing cloud services, the business also offers a comprehensive list of telco services from Fibre connections to the VoIP calling that runs over it - which is part of their end to end solution approach.

“The best experience & service levels can be achieved for our solutions like Cloud Backup by also having the end users connectivity provided by AO," explains Jeff Herbert, founder of AO.

Herbert has also developed significant intellectual property around how to quote, configure and implement these wider telco and cloud solutions - and over time the business will expand into Australia to offer Connector’s Australian channel partners the same offering.

Key points of the deal include:

- AO’s cloud & telco services will be offered to Connector Systems channel partners.

- Services currently include Cloud storage, backup & computing, security as a service, BYOD secure wireless, as well as Telco services like Fibre, ADSL, VoIP trunks etc.

- Customer data is stored in New Zealand, while an Australian datacentre is planned. Thus avoiding data sovereignty issues.

- AO NZ operates a channel only model.

AO provides a range of Cloud Computing service-based solutions for customers, addressing existing business problems and creating the opportunity to for organisations to innovate, with the company based in Auckland.

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