FSC confirms price rises

Falling value of the pound forces firm to rethink price freeze strategy
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Fujitsu Siemens has confirmed that it will be forced to raise its prices from tomorrow after it said that it could no longer sustain costs inflicted by rising material costs and the falling pound.

The firm was among the few vendors that publicly stated they would not be upping their prices at a time when HP and Acer had confirmed they would be, as reported by PC Retail.

As a result, the vendor's entire portfolio of products will see price rises, although FSC is still to announced the details of the price rises and the impact they will have on distributors, resellers and retailers.

Speaking to CRN, FSC's Ian Newell moved to reassure its partners that the rises would be implemented in such a way that it would allow it to "keep its competitive edge".

He did point out that there was a positive side to the move: "This is a fantastic opportunity for resellers. The industry has been crying about ASP erosion for years and this increase in prices is a fantastic opportunity for them to increase their top line and margins too."

However, when questioned if customers were likely to accept price rises in the current climate, especially as disposable incomes drop, he replied "they will have to.

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