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CRN Exclusive: ScanSource CEO On How Consolidation Is Impacting Distribution

Value-added distributors are in many ways becoming more like broadline distributors, even as broadline distributors are becoming more like value-added distributors, ScanSource CEO Mike Baur told CRN.

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Consolidation And The Value-Added Distribution Business

ScanSource, the Greenville, S.C.-based value-added distributor, has in the last 21 months acquired Intelisys, a provider of telecom services through master agents, and POS Portal a distributor of point-of-sale services for SMB merchants. In addition to expanding the breadth of product offerings that ScanSource provides its channel partners, the distributor has also expanded the company's channel to include traditional solution providers, telecom agents, MSPs, and ISOs (independent sales organizations).

But even as ScanSource's product and channel breadth increases, so does the level of competition. Broadline distributors like Tech Data and Ingram Micro are also making acquisitions that are bringing them increasingly into the valued-added distribution business that has been ScanSource's focus.

Mike Baur, ScanSource CEO, recently sat down with CRN to discuss his company's business and changes in the distribution arena that are impacting all of his company's peers. Turn the page to learn more about how consolidation is impacting the value-added distribution business.

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