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GBS is still a very small percentage of the overall business [$45 million in the first quarter], yet it's the only revenue you break out other than the overall distribution business. Can you envision it being a $1 billion business some day?
Murai: Certainly part of our vision is to operate a very large services company. Without giving anything away and pegging a specific number to it, I can say today it's $200 million [annually] and we have set our sights much higher than that.
On the analyst call, you talked about the consumer printer market being soft in both hardware and consumables. Does that also apply to the commercial sector?
Murai: Printers overall have been relatively soft. It's a little more pronounced on the consumer side.
What is causing the overall printing market to be soft?
Murai: Where we see a shift in printing, there's a lot of trends happening. Companies are looking to be more efficient and print less to save paper. We see some of those things, but where we see the printer market heading is really around managed print. That's likely where the market is going as a whole.
Speaking of managed print, is your PrintSolv business growing?
Murai: PrintSolv has been very a successful market for us. That's the way we are headed into managed print. PrintSolv is our captive solution. We believe it's the most successful non-OEM based managed print solution in the market.
Again speaking of print, what are your expectations for Hewlett-Packard combining its Personal Systems Group and Imaging and Printing Group into a single unit?
Murai: In terms of execution, that's hard to call. We have faith in HP's ability to execute. Overall, we see it as a positive move for them and it will drive more efficiencies into combining the businesses. HP has strong management to make it happen. Both parts of the business have been very strong supporters of the channel and use the channel and we expect that to continue.
How do you see the overall demand for IT in North America?
Murai: It's relatively stable as far as out as we can see, which isn't very far. My answer is not that different than four or five months ago. After coming out of the recession a few years ago where we saw relatively high growth in 2010, there is now more normalization through last year. Certainly we expect that to continue.
What are some of the drivers out there driving the growth?
Murai: There are drivers out there in terms of a refresh of PCs and notebooks and tablets and servers. It seems to be consistent with part of the overall demand. In addition, Windows 8 is coming out later this year. We expect incremental tailwinds around that. There's higher growth around cloud services and mobility. A lot of what we think about is what is the best way for Synnex to participate in that. We've made significant investments in CloudSolv, for example.