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Home Market data

European IT distribution set for 2025 bounceback

Collective sales set to rebound 3.6% in 2025, according to CONTEXT

Oxygen staff by Oxygen staff
12 March 2025
in Market data, Distributor, News
European IT distribution set for 2025 bounceback

Image by Rudy and Peter Skitterians from Pixabay

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The European IT distribution market is set to rebound in 2025 following two years of “stagnation and decline”, an analyst has claimed.

2024 was another tough year for the channel’s middle tier, with the UK’s top 50 distributors seeing collective sales shrink 2.4% to £14.7bn in their latest periods, according to IT Channel Oxygen’s 50 Must-Know Distributors.

But the European IT distribution market is now “regaining in strength”, Anthony Frot, Research Director at CONTEXT said.

Collective sales will rise 3.6% in 2025, according to the market watcher.

Forecast growth for 2025
0 %
Growth in 2024
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Following a “slow start” in Q1, the second half of 2025 is likely to be stronger as businesses resume in infrastructure investments and governments push digital adoption, Frot said.

“The PC refresh cycle, AI-led infrastructure demand, and a more stable macroeconomic environment are setting the stage for sustainable growth. While challenges persist, the signs for 2025 are encouraging,” he said.

Two tough years

The European distribution market shrank 3.3% in 2023 before inching up 0.5% in 2024, according to CONTEXT.

The distribution space is also being disrupted by the rise of hyperscaler marketplaces, as well as consolidation and ownership changes.

Analyst house Canalys earlier this month said it believes AWS Marketplace will “soon” be a top five global distributor.

Westcoast Theale HQ

Some three of the UK’s top four distributors have either recently changed, or could be gearing up to change, ownership.

Ingram returned to public ownership in October, Westcoast’s acquisition by ALSO was cleared last month, and DCC wants to sell Exertis.

Tags: ALSOCONTEXTExertisfeaturedIngram MicroTD SynnexWestcoast
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