9/18/2008 11:02:00 AM
Clockwork Logistics to close its mobile business
Clockwork Logistics, formerly one of Nokia’s largest accessories partners, is closing its mobile business following the loss of its Nokia licence, Mobile can reveal.
The distributor sent a letter to all of its partners informing them of the decision. Losing its Nokia accessories supply licence proved too painful for the company, as it couldn’t secure a future without the leading manufacturer on board.
Company director John Gregory confirmed the closure: ‘Yes we are closing but I would like to stress that we have not gone bankrupt, and if you say we are I will sue you.’
Gregory warned observers that it would be wrong to assume the company was in financial difficulty, but declined to comment on the circumstances of the closure.
Clockwork and Kondor were the biggest losers of the tendering process, but Kondor had already spread its business beyond Nokia and into non-branded products.
Nokia awarded Data Select and 20:20 Mobile’s accessories arm, Dextra Solutions, with licences at the beginning of August.
All Nokia’s handset and accessories distribution had their licences removed and were told to tender as part of its biggest-ever licensing process.
Clockwork was established in 1999 at the request of Nokia, and had a client list boasting several big names, including O2, Vodafone, T-Mobile and DSG.
The accessories distributor is thought to have peaked between 2001 and 2004, but lost significant accessories deals with both O2 and DSG to Dextra in 2005. The O2 contract was thought to be worth £20m, and the DSG deal saw Clockwork miss out on the opportunity to supply DSG with 25,000 Bluetooth headsets in December 2005 alone.
Clockwork’s most recent companies’ house records filed in May 2007 for the 12 months up to December 2006 reveal a profit of £352,624.