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The following has been pasted in it’s entirety, original posted by Jay McBain:

Any company that is building a serious, global go-to-market must consider distribution as a foundational building block of that strategy. Of the total tech/telco hardware and software purchased by businesses and governments around the world each year, distribution represents 25% of the total ($405 billion).

With the amount of consolidation and M&A activity in this space over the past few years, the Top 15 distributors now represent 64% market share. To round out the list, Canalys will be publishing a list of the top 500 global distributors later this year.

The year-on-year growth for the total IT distribution market in the previous year was 6.1%.

Some key insights:

1. Some distributors saw declines in US$ revenue due to local currency weakness against the US$, but many continued to see local currency revenue growth. Some major distributors saw declines as a result of ongoing geopolitical friction.

2. Distributors have seen growth shift to high-value technologies, including cybersecurity, software and infrastructure (as supply improves), while consumer business and client devices have declined. Volume distributors are refocusing on “value” distribution for growth.

3. Distribution is undergoing a fundamental transformation with the move to SaaS, subscriptions, cloud and marketplaces. Distributors will act as orchestrators of multi-partner ecosystems as partners increasingly play specialized roles within complex solutions delivery.

4. Specialist distributors in cybersecurity, networking and cloud are outperforming volume players and expanding rapidly through both organic growth and M&A activities.

Also, of important note, the majority of these top distributors (at the CEO level) will be at the Canalys forums this year in Q4 - Barcelona, Palm Springs, and Bangkok. https://canalys.com/events

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