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Presidio Grows Portfolio — And Customer Base

By Jennifer Bosavage, VARBusiness
12:00 AM EDT Mon. Apr. 30, 2007
From the April 30, 2007 issue of VARBusiness

The M&A fervor continues as $216 million (2005 revenue) solution provider Presidio Networked Solutions (2006 VARBusiness 500 No. 150) has combined forces with Atlantix Global Systems and (Solarcom (No. 111). The $800 million triad will be called Presidio, and the two acquirees will be subsidiaries. Each will keep its president and its own profit and loss statement. The combined entity will offer customers a comprehensive portfolio of solutions.

When all is said and done, Presidio will be run by experienced local management teams, says Rudy Casasola, divisional president of Presidio Networked Solutions, Greenbelt, Md. The new entity's largest "piece" is the network division, and the entire company will serve commercial, enterprise, education and government (federal, state and local) customers.

The newly formed company is positioning its offerings as focused on "life cycle solutions for advanced technologies." That means Presidio is hoping to offer clients cradle-to-grave network solutions, emphasizing unified communications (including VoIP), security, wireless, optical, telepresence and storage, as well as supporting network architecture, systems architecture and Microsoft infrastructure solutions.

"We're experts in the VoIP space, and our customers know that," Casasola says. "Our advanced technology business is growing at 37 percent. That includes wireless, more applications to provide different layers of security and VoIP." So, with Presidio Networked Solutions as the network lead, Atlantix and Solarcom will be well-positioned to support the customer base.

Atlantix, which provides asset management to customers, is one of the industry's largest resellers of midrange computer hardware. When a Presidio customer wants to upgrade its phone system, it can basically trade in its old one through the Atlantix subsidiary.

"Clients want you to take their old PBXes off their hands," Casasola says. "We can help them move to VoIP, and they can get a credit for old equipment, which is sold to other companies through Atlantix." In a sense, this is a high-tech version of a recycling-reuse program.

That equipment is then processed through Atlantix's engineering and refurbishing center, and is turned around and sold to other customers. Atlantix's considerable buying power, combined with the fact that the systems are preowned, means it can offer the refurbished hardware to customers at a savings. The company is not locked into one manufacturer or family of systems, allowing it the flexibility of providing the best possible solution, Casasola adds.

"Asset management allows us to give value to clients for old equipment," he says. "And having Solarcom means we'll have customized financing options available for all solutions."

Solarcom is part VAR, part financing company. Created in 1976, it started as an IBM midrange systems reseller and gradually broadened its vendor base to include strategic partnerships with the major IT manufacturers and best-of-breed specialty firms. Today, Solarcom represents Cisco, EMC, IBM, Microsoft, NetApp, Nortel and Sun, among others. The company expanded into financing and grew last year into a $315 million solution provider.

As far as Casasola is concerned, Solarcom represents the final piece of the puzzle. Customers that come to Presidio for a solution can trade in old equipment (or buy refurbished hardware) and explore financing options, including leasing, to help them grow their businesses. Most important, he says, this value-added style of life cycle management helps Presidio keep customers satisfied.

"We don't manufacture anything," Casasola says. "Customer satisfaction with our services is huge for us. It takes a long time to build a reputation, but you can lose it overnight. We're particularly proud of our Cisco customer satisfaction score, which is 4.6 out of 5."

Engineers with certifications from Presidio's vendor partners make up more than 40 percent of the company's workforce. More than half of its customer base consists of Fortune 5000 players, and the company supports a number of major federal agencies, including the Department of Homeland Security, Department of Commerce, Treasury, Air Force and Navy.

 

 

 

       
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