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Philips Plans To Reorganize Business Products Group

By Edward F. Moltzen, CRN
March 12, 2004    3:49 PM ET

Philips Consumer Electronics of North America plans to launch a significant

reorganization of its business products group, a move the company said is designed to focus more attention on its branded monitor business.

As part of the reorganization, Philips will move its Atlanta-based PC monitor operations to Colorado Springs, Colo., currently the base of operations for its OEM monitor business. The move is scheduled to occur next month, according to the company.

Also under the restructuring, Matt Gill, senior vice president and general manager of Philips Business Solutions, will leave the company on May 1. Gill oversees the business solution division's channel operations.

 
>> Matt Gill, who oversaw the Philips Business Solutions channel, is slated to leave May 1.

 
Gill cited personal reasons for his decision to leave Philips, noting that he recently moved his family to Atlanta. John Nielson, general manager of Philips' North America OEM display activities, will take over his role in directing the business solution unit's channel operations. There will be no substantive changes in Philips' reseller operations, Gill said.

"Unlike all of the transitions prior to this, where a new general manager came in and established a brand-new strategy, the commitment to the professional channel is totally unchanged," Gill said.

"We really need Philips to stay very focused in this area to build trust," he added. "We're excited that the [reorganization] will not bring a change in strategy."

Philips has quadrupled its number of active resellers since 2001, but the vendor still faces an uphill battle against more channel-established brands.

"We don't sell too many of their products," said Paul Wolking, administrative director at Omega Multimedia, Orlando, Fla., which became a Philips partner about a year ago. Though Philips' pricing and technology "is OK," the company hasn't been as active in engaging the channel as other vendors, such as ViewSonic, Wolking said.

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