Video Weekly News: Why the Sudden Consolidation Within the Industry?

CI takes a look into the recent manufacturer and integration mergers and suggests a few reasons behind the sudden uptick of acquistions in the industry.

CI Staff

Another big acquisition occurred this week when Mitel acquired Polycom for $2 billion.

Consolidation among manufacturers seems to be a growing trend in the industry lately, with close to a half-dozen occurring in the last couple of months.

MORE: Almo Acquires IAVI, Becomes Industry’s Largest U.S. Distributor

So, why has there been a sudden uptick in mergers and acquisitions?

In this week’s Video Weekly News, CI‘s editor-at-large Craig MacCormack suggests market correction is the reason behind the sudden mergers.

CI‘s editor-in-chief Tom LeBlanc adds that it’s often companies that are very strong in a particular niche that get acquired because large companies tend to struggle to fill those niches on their own.

Check out the video below to hear more of what Craig and Tom have to say about the recent acquisitions from both the manufacturer and integration sides of the industry: