Resellers React to Capstan LG Statement

Following last weeks’ news that Horsham based LG-Nortel importer Capstan Telecommunications is to go direct to resellers at the end of the year two resellers have contacted Comms Business Magazine to put over their views on the announcement.

Glamorgan Telecom, believed to be one of LG’s largest resellers in the UK in recent years, say they were “astounded” by Capstans recent claims in a letter sent to all LG resellers.

Managing Director Neal Pughe, told us, “We have been very concerned about the presence of Capstan in the market for some time and the suggested transition of their business. As a long established reseller of LG, we have started to become aware of the quality and lack of product development in VoIP and applications, hence we are now gradually moving more towards convergence and IP centric vendors. Crane has supported us for many years and we look forward to strengthening our working relationship with then via their other vendors products.”

Tracy Jackson at reseller ETS commented, “I am extremely surprised (at the announcement) after Crane supporting the product and building the Channel in the UK that LG management supports this decision. This seriously will make us consider what products to move forward with. I am positive that Crane will source another product range that will address the small to medium size market space and will be happy to continue working with them.”

Crane has strongly hinted in their reaction to the Capstan announcement that they are set to make an announcement of their own, probably later today, that they are to begin distribution of a replacement range of systems.

Crane Chairman David George commented on his company web site last Friday,

“As you know Crane’s goal is to clearly establish our company as the No. 1 IP Telephony and Convergence supplier. We do not consider that LG is strategically important in meeting this goal. We believe their products are weak in comparison to major competitors in the area of IP Telephony, applications, data convergence and scalability. Next week we expect to announce a new and exciting partnership with a global vendor who absolutely meets our criteria for success.”