Collaboration with Arrow Electronics to Expand Infinidat’s Global Production Operations and Streamline Supply Chain
Infinidat, a leading provider of enterprise storage solutions, has announced a strategic partnership with Arrow Electronics, a global provider of product manufacturing services and value-added distribution. The collaboration aims to enhance Infinidat’s manufacturing capabilities and streamline its global supply chain, allowing the company to deliver compelling business and technical value to its enterprise customers worldwide.
Expanding Manufacturing Operations:
Prior to this partnership, Infinidat relied on a local contract manufacturing partner in Israel. However, the company recognized the need for a global transition to better support its growing customer base and respond to global demand. By partnering with Arrow Electronics, Infinidat gains access to a vast network of qualified Electronics Manufacturing Services partners across multiple continents, including the United States, which is home to its largest customer base. This expansion will provide Infinidat with greater purchasing power, manufacturing flexibility, and proximity to key markets.
Benefits of Contract Manufacturing:
Manufacturing in-house often requires significant working capital resources, management oversight, and supply chain overhead. By leveraging the expertise of a specialist contract manufacturer like Arrow Electronics, Infinidat can tap into the efficiencies and cost savings associated with large-scale manufacturing operations. Arrow’s global supply chain capabilities and experience navigating supply chain challenges, particularly during the ongoing pandemic, will enable Infinidat to better serve its customers and meet their evolving needs.
Phil Bullinger, CEO of Infinidat, emphasized the significance of this collaboration, stating that it will accelerate the delivery of leading cyber storage resilience, storage consolidation, autonomous automation, and a powerful return on investment (ROI) for enterprise customers worldwide.
Streamlined Supply Chain Management:
Arrow Electronics will not only serve as Infinidat’s manufacturing partner but also remain its primary commercial distributor globally through its enterprise computing solutions business. In addition, Infinidat will leverage Arrow’s intelligent solutions business for streamlined supply chain management, integration, and global logistics. This comprehensive partnership reflects Infinidat’s commitment to providing reliable and innovative storage solutions while harnessing Arrow’s integration services and global supply chain capabilities.
Anticipated Business Impact:
By collaborating with Arrow Electronics, Infinidat expects to achieve an overall positive business impact. The partnership will enable more efficient upstream supply chain processes, enhanced global logistics, and cost savings through Arrow’s broader scale and capabilities. These advantages will fuel Infinidat’s continued growth and expanding scale in the market.
Unusual Public Deal:
It is worth noting that contract manufacturers typically do not disclose their customers. However, Infinidat’s public announcement of its partnership with Arrow Electronics highlights the strategic nature of this collaboration. Unlike some competitors who have recently exited the hardware business, Infinidat’s partnership with Arrow reinforces its commitment to hardware-based storage solutions and its dedication to meeting the evolving needs of enterprise customers.
Conclusion:
Infinidat’s partnership with Arrow Electronics marks a significant step towards enhancing its manufacturing capabilities and streamlining its global supply chain. By leveraging Arrow’s expertise and global reach, Infinidat aims to deliver compelling business and technical value to its enterprise customers worldwide. This collaboration not only strengthens Infinidat’s position in the market but also showcases the importance of strategic partnerships in navigating supply chain challenges and driving continued growth in the technology industry.
