Altron awarded Microsoft licencing provider contract

Microsoft has named JSE-listed technology company Altron [JSE: as a licensing solution provider (LSP) in South Africa.

The agreement comes as Altron is positioning its recently acquired subsidiary, Altron Karabina, to be the go-to partner for everything Microsoft, Altron Group chief executive Mteto Nyati said in a statement released on Monday.

In March JSE-listed IT company EOH [JSE:EOH] announced that it is no longer a reseller of Microsoft software licences.

Fin24 reported earlier that Microsoft issued a notice in February to terminate a contract with one of EOH's subsidiaries, EOH Mthombo. Before the contract was terminated EOH Mthombo was a Microsoft Channel Partner, meaning it sold certain Microsoft products or services.

At the time EOH said Microsoft did not provide reasons for the termination.

"This LSP contract will position Altron Karabina as partners to customers that embark on digital transformation. Customers invest in technology to increase sales; improve operational efficiencies; transform customer and employee experience; and drive innovation," said Nyati.

Being appointed as an LSP also ushers in an exciting time for Altron Karabina, according to Grant van der Wal, Altron Karabina's managing director.

"The LSP licence allows us to launch our software services division, adding to our Microsoft competencies in data and analytics, artificial intelligence, customer relationship management, ERP, modern workplace, Azure, and DevOps," says Van der Wal.

The software services division is launched at a time when there is a significant shift to cloud-based services, as seen following the recent opening of the Microsoft data centres, according to Altron.

"We will offer consumption billing to our customers as they unlock the strategic value delivered through the cloud. The new software services team will work closely with the consulting services team to serve customers in the best way possible," concluded van der Wal.

Altron, through its subsidiary, Bytes UK, is Microsoft's biggest LSP partner in the United Kingdom, a position the technology company plans to extend to South Africa. Altron Karabina is working closely with Bytes UK to duplicate their success locally, according to the statement.

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