SoftCom offers domain name management, Web hosting and cloud infrastructure services for SMB organizations. Based in Toronto, SoftCom is best known for its cloud aggregation and Web solutions including Mail2web.com and Myhosting.com.
The acquisition is in line with Ingram Micro's strategy of increasing its services capabilities for fast-growing markets through partnerships and acquisitions. Last year, the company partnered with Netmagic Solutions to sell its managed hosting and cloud services, and it bought mobile service provider BrightPoint Inc. to extend its mobility capabilities.
According to Paul Edwards, director of infrastructure channels at IDC, Ingram Micro's acquisition of SoftCom speaks to Ingram Micro's push to be more competitive in emerging technology markets. Edwards said, "All the trends going on in the market – [cloud, social media, mobility, big data] -- are going to make up around 70% of growth in the market [over the coming years]. So distributors as well as vendors want to be able to maximize their play in those markets."
For example, in July 2012 Ingram Micro secured the Cisco Systems Cloud and Managed Services Advanced Certification, a seal of approval indicating that the distributor can offer and deliver cloud and managed services to its channel partners globally.
So, what is Ingram Micro's cloud services strategy overall? According to Edwards, it's similar to other distributors in that it wants to aggregate cloud services for its partners. Edwards said that Ingram Micro is trying to encompass as much of the cloud as it reasonably can to continue to add value to its resellers.
"In this case now, they're not just being an aggregator in terms of the marketplace, they're actually now offering … white-label hosting … as well. So their strategy really is to try to maximize the ability of their end customers … to take advantage of cloud opportunities in the market," he said.
SoftCom will operate as a wholly owned subsidiary of Ingram Micro. CEO and co-founder Turker Sokullu will continue to lead SoftCom as executive director, reporting to Ingram Micro's executive vice president for global business process and cloud computing, Nimesh Dave.
Dig deeper on IT Distributors-Wholesale Providers