Monday, September 14, 2009
Canon & HP "Two MFP GIANTS for an Alliance"
One of the Print4Pay Hotels predictions for 2009 came full circle today. In a press release dated today, Canon announced that that HP will now resell Canon branded MPF's!
The terms of the deal were not disclosed however it was noted that HP will sell the Canon brand now and in the future the model and name will shift to HP.
Many questions will need to be answered such as:
Will HP be able to sell the entire line if imageRUNNERS?
Will they also have access to imagePRESS?
Will HP be able to provide traditional type MFP service and be good at it?
How will HP compete in the after market, will they be more aggressive or less aggressive with cpc's.
Since HP is HP, will they place Canon MFP's in MPS engagements and just charge a cpc and nothing for the hardware?
Many, may ripples will come out this huge deal!
What will Canon dealers do when HP resells the Canon MFP equipment at 10% margins or less, better yet how will Canon Business Solutions be able to compete with HP with their own products?
There's an old saying, "what comes around goes around". For years Ricoh dealers had complained about the saturation of the market for Ricoh, Savin, Ikon, Lanier, and Direct Branches. Now the same could be true for Canon, anfter the Ikon acquisition by Ricoh, Canon set it's focus on signing more dealers and feet on the street had them putting on many disgruntled Ricoh Dealers. So, Canon has added more dealers across the nation, lost Ikon, but has now added a GIANT that is in every ones market.
Is the beginning of Canon making a play to buy HP? We seen crazier things right?