RIDGEFIELD PARK, N.J. — Samsung Techwin America announced today it will sever ties with its master distributor GVI Security Inc. effective Jan. 1. Distributors and systems integrators will now be served through Samsung Techwin America’s Ridgefield Park, N.J., headquarters.
In a statement, Samsung said the move will help the company become a “significant contributing partner” to the distributor and systems integrator marketplace.
“We want to be an integral part of our channel partners’ business strategy,” says Frank Defina, senior vice president for sales and marketing, Samsung. “And we will continue to expand our product offering to provide our customers with the best performance and value proposition.”
Samsung Electronics sold its video surveillance business in 2009 to Samsung Techwin America, a subsidiary of Korea-based conglomerate Samsung Group. GVI Security, which helped to initially establish the brand in the United States, remained Samsung’s strategic partner for the distribution channel for all branded video surveillance and security products.
In a separate statement today, GVI explained channel conflict, in part, necessitated the two companies parting ways.
“When Samsung merged their two security divisions ... we structured an agreement with [Samsung Techwin America] whereby we could mutually serve the Americas. Unfortunately, we have found that, despite our best efforts and intentions, the approach introduced too much conflict and did not work effectively for our customers and our companies. Therefore a mutual decision was made to terminate our agreement.”