Menu
No surprises if HP buys CGNZ

No surprises if HP buys CGNZ

WHILE both Hewlett-Packard and CGNZ remain mum on speculation that the vendor may snap up the consulting firm, industry experts say the move would make sense.

An article in Computerworld on Monday said CGNZ is a probable target for acquisition by HP.

But both companies still refuse to confirm or deny this, saying they do not comment on industry rumours.

Nevertheless, buying CGNZ would make sense for HP, or any other large IT services operation, says Jenna Griffin, analyst at research firm IDC.

In addition to IT services, CGNZ also provides business consulting, which is a field other players such as HP, IBM and Unisys are keen to expand into, says Griffin.

“Consulting work can be used as an advantage to win implementation work,” she says.

As an independent consultancy, CGNZ could be seen as a threat by larger organisations.

In fact Griffin points out HP’s standing in IDC’s annual Mindshare report was down across the board this year.

Other industry sources believe HP is on the acquisition wagon as it has been losing services business to the larger Gen-i group, which now incorporates Telecom Advances Solutions and Computerland.

Meanwhile, Griffin says the industry would lose an objective consulting practice if CGNZ is acquired.

“There are, however, other players without vendor affiliation looking at entering IT services. There is a market for what CGNZ offers,” she says.


Follow Us

Join the newsletter!

Error: Please check your email address.

Featured

Slideshows

Looking back at the top 15 M&A deals in NZ during 2017

Looking back at the top 15 M&A deals in NZ during 2017

In 2017, merger and acquisitions fever reached new heights in New Zealand, with a host of big name deals dominating the headlines. Reseller News recaps the most important transactions of the Kiwi channel during the past 12 months.

Looking back at the top 15 M&A deals in NZ during 2017
Kiwi channel closes 2017 with After Hours

Kiwi channel closes 2017 with After Hours

The channel in New Zealand came together to celebrate the close of 2017, as the final After Hours played out in front of a bumper Auckland crowd.

Kiwi channel closes 2017 with After Hours
Meet the top performing HP partners in NZ

Meet the top performing HP partners in NZ

HP honoured leading partners across the channel at the Partner Awards 2017 in New Zealand, recognising excellence across the entire print and personal systems portfolio.

Meet the top performing HP partners in NZ
Show Comments