After the first major OEM acquisition of the post-pandemic era was consummated, the prevailing theory was that it would trigger more action among the office technology industry’s primary OEMs. However, Xerox’s acquisition of Lexmark last December didn’t light any fuses, it did cause more jockeying for position on the A4 front.
The $1.5 billion plunked down by Xerox to acquire the Kentucky-based A4 specialist was essentially a stand-alone M&A strategy. Other manufacturers opted for the “why buy the cow” philosophy, led by Ricoh, which ironed out an agreement to offer Brother International’s Workhorse Series of A4 units. Xerox then doubled down by taking on Kyocera’s high-speed cutsheet inkjet production printers. These agreements are fairly common.
In Xerox’s defense, the deal wasn’t just about adding A4 firepower. It garnered more distribution capability and presence in geographies such as the Asia-Pacific. Xerox now counts nearly a quarter of a million clients in 170 countries, with its manufacturing and distribution fleet spanning 125 facilities across 16 countries. Given the vagaries of international trade, taking a global view is important.
Can we expect an arms race on the A4 front? Nah. Still, while most OEMs have some level of A4 production, expect more agreements that will help fill in geographic voids as opposed to full-on assimilations. Besides, manufacturers don’t want to be pigeon-holed as purveyors of boxes.
Think about some of the focal points from 2025. As an example, Toshiba, is making considerable headway with thermal label printers and its burgeoning Elevate Sky menu of solutions. Sharp continues to build upon its AV catalog, in addition to industry veteran Dino Pagliarello captaining the OEM’s production print efforts.
Thus, as we think about 2026 and how manufacturers will be positioning themselves, the traditional downstream catalog offerings will continue to bubble to the surface. In an age when dealers seek to diversify their offerings, OEMs are clearly listening to their reseller partners. The boxes will take care of themselves.
Nominate your dealership today!
