To be honest it’s more like when 5 become 1 as Honemec… sorry a I mean Honeywell AIDC have been on a rugged buying spree over the past few years. A few days ago they announced their latest bid to buy out Intermec was approved and finalised. The deal was worth about $600M and marks a major shift in the rugged market landscape with Intermec being one of the top 3 suppliers with around $800M in annual sales.
What Honeywell say
“The acquisition of Intermec will add innovative products and solutions, as well as deep engineering expertise and a broad global sales channel that further demonstrates our commitment to provide our customers an increasing array of innovative technologies in the highly attractive AIDC industry,” said John
Waldron, president of Honeywell Scanning & Mobility.
Honeywell also go on to tell us that the transition will be smooth with their focus on customers throughout.
What we think
Buyouts are never great for customers. They take out competition and choice, the resellers have to fight harder to sell product and look for other things to sell and everyone internally is worrying about their job, not customers. Trust me I’ve been through the largest IT merger in history and I’ve seen it first hand. It also means you lose a valuable perspective in the market place.
I’ve personally sold a lot of Intermec over the many years I’ve known them but being honest this has been on the cards for some time now with rumours abound for years. One thing’s for sure though, I think Honeywell are on the up, their product range is now starting to make a lot more sense and this buyout will help them in the long run. In the short term I think there’s going to be a lot of re-organisation needed.