3Com has canceled an agreement that allowed Dell to sell its line of networking switches, becoming the third supplier to end deals with Dell as the PC giant moves into new markets.
Dell said it was notified Wednesday night of 3Com’s decision. 3Com follows in the footsteps of Cisco, which ended its reseller agreement with Dell earlier this month. In July, HP also canceled a deal with the company after Dell confirmed its intent to enter the printer market. A 3Com representative was not immediately available for comment. (full story)
My spin: Dell has said in its annual statements that its suppliers are crucial to its business model. With its suppliers starting to nix agreements…what does this mean and what will Dell do. Obviously private labeling and sourcing their own products is an option…or simply finding other partners.
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