Altron CEO Mteto Nyati. Picture: SUPPLIED
Altron CEO Mteto Nyati. Picture: SUPPLIED

JSE-listed technology firm Altron says it has been awarded a licence to sell products and service support to clients on behalf of Microsoft as it continues its push to fill the gap left by EOH.

The licensing solution provider (LSP) contract allows Altron and five other companies to enter into Microsoft licensing deals with large enterprises, the company said.

The contract is indefinite with an option to review it annually, Altron said. 

This agreement comes as Altron is positioning its recently acquired subsidiary, Altron Karabina, to be the go-to partner for everything Microsoft, Altron Group CEO Mteto Nyati said.

In August, Nyati said Altron planned to fill the void left by companies such as EOH.

The troubled technology company, whose own licensing agreement with Microsoft was terminated over governance concerns, particularly its work with the public sector through EOH Mthombo, has been struggling to rehabilitate its public image as a result.  

Altron has been named the Microsoft licensing solution provider in South Africa. CEO Mteto Nyati spoke to Business Day TV about what this means for the overall growth potential of the business.

Altron is positioning itself for a future where the bulk of its revenue will come from its digital segment driven in large part by cloud services and partners such as Microsoft and Amazon. Cloud services include data storage and software offered over the internet, often referred to as “the cloud”

“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. Altron Karabina will help them extract business value quicker,” Nyati said.

Through its subsidiary, Bytes UK, the company is Microsoft’s biggest LSP partner in that country. Altron is one of the few JSE-listed outfits that has had success in the UK in recent years. 

Altron plans to extend that position to its SA operation, with Altron Karabina working closely with Bytes UK to duplicate their success locally.

Altron Karabina MD Grant van der Wal said: “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, enterprise resource planning, modern workplace, Azure and DevOps.”

Gavazam@businesslive.co.za