Confed approves Elcot-channel deal

After a week of uncertainty, Confed-ITA Executive Committee has finally approved the Eloct-channel deal from its side. The tie-up came under a cloud of doubt when last week partners in a few upcountry regions of Tamil Nadu opposed the deal with Elcot and showed their apathy openly. The partners had expressed their dissent with Acer, who was supplying one-lakh laptops to Elcot at very low prices. Some partners went to the extent of stopping billing of Acer products in their regions.

The Confed Executive Committee meeting, held in Tirunelveli on July 13 gave the green signal for the tie-up after nine of the 14 associations affiliated to Confed-ITA voted in favor of the Elcot tie-up. Madurai, Coimbatore, Tirunelveli, Vellore and Tirupur were the associations who stayed away from the tie-up. “As a majority of associations and partners voted in favor of the Elcot tie-up, we decided to take the deal forward accordingly,” informed S Karthikeyan, President, Confed-ITA.

He also said that the decision to go the tie-up was up to the channels, as Confed didn't get any response from Acer or any other vendor on its queries. “No vendor, including Acer, showed any interest in replying to my mails on their participation with Elcot, when the government agency advertised for the tenders. Over the phone, Acer informed that they are not participating in the Elcot tender. However, they are supplying one-lakh notebooks to Elcot. But we must abide with the decision of our channel partners and hence we have gone ahead with the majority's decision,” Karthikeyan informed.
This move wouldn't restrict partners in the association who have abstained from the tie-up to be a part of it. “Confed is doing everything in the interest of channel partners. We are not forcing anyone to join the Elcot deal or to oppose it. We have left everything to their decision and hence all interested members would be allowed to join the Eloct-channel deal from all 14 associations,” Karthikeyan averred.

PN Prasad, VP, Confed-ITA also informed that the distribution of laptops would take place through the 14 associations under Confed-ITA. “Once Confed-ITA has approved the deal, all its members under the 14 associations can participate and it will definitely benefit both the dealer community and student community,” Prasad said.
He also said that the Elcot tie-up could offer a solution to the market, which has been drastically affected due to Acer. “Even though the scheme is entitled only for students, it can be easily claimed by anyone, as every household would have a student. The tie-up with Elcot alone can save dealers from a huge setback,” Prasad averred.
S Prakash, Secretary, Confed-ITA informed that further particulars on the tie-up would be discussed with Elcot in the coming week.