AI Revolution: The Inflection Point Where People and Technology Meet
Life-altering moments are generally easy to identify. The emotional reaction their impact elicits becomes a part of who we are and where we’re going. Other watershed moments are far more subtle as they slowly take hold, and only in hindsight do we appreciate their gravity. Artificial intelligence (AI) falls into that category.
Certainly AI is a powerful solution and a handy tool, but while possibilities abound, it’s also fraught with peril. Approach it as you would a strange dog. It can be bent to do your bidding, but you must meet it halfway. As Facebook/Meta mogul Mark Zuckerburg once observed, “We are entering a world where we will learn to coexist with AI, not as its masters, but as its collaborators.”
The AI phenomenon sits atop this year’s Top 10 list, but suffice to say, it’s been an eventful year with no dearth of jaw-dropping developments. Some were good, some we could’ve done without. Here they are, in no particular order (except perhaps for AI).
AI EXPLOSION. Last year, we led off with artificial intelligence as one of 2024’s top stories. We had absolutely no idea how much it would take off, even though it’s hardly a shiny, new technology. Last year it was more of a curiosity for most companies, particularly dealers, within our business ecosystem. But as 2025 unfurled, more and more industry players began investigating how they can best leverage AI to not only eliminate mundane, repetitive tasks but also assist sales and marketing in myriad ways, from campaign creation to client/prospect research and market analysis.
As we look ahead to 2026, generative and agentic AI are no longer fringe concepts. Rather, they’re becoming central to how dealers operate and how end-users engage with technology. For the office technology channel, this shift brings both opportunity and disruption. On the upside, AI is accelerating service diagnostics, automating proposal generation and enabling hyper-personalized customer interactions. Dealers who embrace these tools can deliver smarter, faster and more proactive support.
But there’s a flip side. AI’s efficiency can flatten differentiation, especially when every competitor has access to similar tools. The human element—relationship-building, consultative selling and nuanced service—risks being overshadowed if AI becomes the default interface. Dealers must strike a balance between automation and authenticity.
Looking forward, agentic AI will be the real game-changer. These systems won’t just respond—they’ll act. Imagine AI that autonomously manages service fleets, anticipates supply needs or even guides strategic decisions based on real-time data. For dealers willing to invest in thoughtful integration, AI will do more than streamline operations, as it’ll redefine value. The challenge is staying ahead of the curve without losing the personal touch that built this channel in the first place.
A special thanks goes out to Microsoft Copilot, which wrote the final three paragraphs of this passage while using my editorial voice.
NOT SO TARIFF-IC. The idea that President Trump wanted to implement tariffs as a way to balance the scales of international commerce came as a surprise to no one. It was one of the talking points the president leaned on during his 2024 campaign. What raised eyebrows was the manner and timing of the announcements. President Trump would make public statements as to how much of a levy was being imposed on countries such as China, Canada and Mexico, which put the U.S. on the offensive in negotiations with its largest traders. It was a back-and-forth shoving match that largely played out during most of 2025, pitting reciprocating tariffs against tariffs. Deals were negotiated with a number of countries, which provided some trade certainty. On the whole, however, tariffs were increased, lowered, put in a holding pattern and raised again in a constant rinse-and-repeat policy whiplash.
In terms of how equipment-buying end-users reacted, they generally fell into two categories as spring turned to summer. Some had already delayed upgrades in the aftermath of the pandemic and were keen to move forward with equipment purchases. Others were spooked by the yo-yoing news out of Washington, D.C., and sat on their proverbial hands. While some dealers felt that ultimately the tariffs would be positive for the U.S., most observers were frustrated with the uncertainty caused by the president’s negotiating style.
Fate smiled on some companies, particularly the dealers who stocked up on inventory ahead of the announced rates, enabling them to hold the line on costs for at least the short term. Others, including the OEMs, weren’t so lucky. In our October channel insight report, Toshiba CEO Larry White noted that two equipment shipments arrived from China during the peak tariff rate (about 150%), which took a huge bite out of the company’s profitability. Most manufacturers have passed on at least some of the rate increases; others are pushing the entirety of the increased costs to dealers and their customers.
The ultimate fate of tariffs remains a question mark. At press time, the Supreme Court was reviewing the question of whether the president exceeded executive authority in imposing broad-based tariffs under emergency powers. It will provide fascinating watching in 2026.
IN MEMORIAM. The industry said goodbye to several iconic personalities, all beloved figures who left an indelible mark on their companies and the office tech community as a whole. Tom Fleming, who earlier in his career was a typewriter salesman and would go on to found Distribution Management, passed away in late March. He opened the distributorship in 1972, and over the next 50 years would shape the company and its core values into one of the top providers to the industry. Company President and CMO Greg Welchans observed Fleming was “a leader of men with a profound heart for his employees. His legacy is one of integrity, compassion and unwavering dedication.” Nephew Sean Fleming has served as CEO for the past 15 years.
Mike McGurk, a colorful and respected dealer executive who logged 40-plus years in the industry, passed away following an illness. Perhaps best known as the president of ProCopy of Tempe, Arizona, from 2010 until his retirement in 2022, McGurk embraced a servant mindset. He served as president of the Business Technology Association West and sat on the national organization’s board, in addition to participating on Ricoh’s National Dealer Council and his local chapter of the Better Business Bureau. Away from the office, he dedicated time to Junior Achievement and Big Brothers/Big Sisters. He struggled to make it as a salesperson early in his career but remained relentless and undaunted. “It is grinding away, nibbling away at a lot of little things that turn into big things,” he once told ENX Magazine. “For me, it is not forgetting where I came from but also not losing sight about where we are going.”
Bob Smith, who passed away this summer, was another industry lifer whose roots trace to a mature technology—in this case, calculators. When his employer was sold to a large corporation, he sensed a negative change in leadership styles. That sparked him to open Copiers Plus, a staple of Fayetteville, North Carolina, for 40 years. Smith cultivated a reputation for honesty, integrity and an unwavering dedication to customer satisfaction. He once wrote, “I’ve always believed a committed employee is the most valuable asset a company can have. Through our passionate and loyal team, we will always be there for our customers.”
MASTER AND COMMANDER. One of 2025’s most notable characteristics is the number of major dealerships (and a manufacturer) that saw changes at the top of the executive chain. Pacific Office Automation (POA), a $500 million megadealer from Beaverton, Oregon, appointed Adam Pritchett to the CEO post. He’d served as a regional vice president for 20-plus years. Another dealer at the top of the food chain, Marco of St. Cloud, Minnesota, saw Doug Albregts transition to board chair, with Bryan Wyatt taking the helm as CEO. Wyatt served as a top executive at several technology companies where he spearheaded significant growth.
Visual Edge IT brought in James Hwang as CEO to replace Austin Vancheri, who transitioned into the role of executive chair for the board of directors. Hwang, a former U.S. army officer who took over for the North Canton, Ohio, dealer in early July, held leadership roles for HPE, AlphaWorks and NexusTek. At Impact Networking, it was a changing of the guard as CEO Frank Cucco and President Dan Meyer gave way to a new leadership team led by new CEO Mike Lepper and COO Anthony Cucco. The elder Cucco and Meyer assumed roles on the board of directors for the Lake Forest, Illinois-based dealer. Lepper is no stranger to the company, having spent 15 years there in a number of capacities.
Steven DeMaayer was appointed as CEO of Nashville, Tennessee-based Novatech, with former company head Dan Cooper slotting over to the board of directors. DeMaayer previously held chief services roles with Blue Mantis, Carousel Industries and Dimension Data. Longtime Donnellon McCarthy Enterprises President Jim George added CEO to his responsibilities as founder Jim Donnellon settled in as board chair.
On the manufacturer front, Xerox President and COO John Bruno departed, paving the way for Louie Pastor’s appointment to both roles. An executive at Xerox since 2018, Pastor previously served as deputy general counsel at Icahn Enterprises and an associate’s role at Simpson Thacher & Bartlett. Meanwhile, Chenyi Chiu was named CEO of Katun Corporation.
FAMILY & FRIENDS. The year also brought us the execution of a number of family succession plans in addition to some familiar faces in new places. Big Apple heavy hitter Atlantic Tomorrow’s Office saw longtime president, CEO and occasional stand-up comedian Larry Weiss move into the board chair role, with sons Jason (CEO) and Adam (president) providing the leadership segue. Systel Business Equipment honcho Keith Allison did likewise, with daughters Janene Aul (CEO), Jacqueline Smith (president) and Cara Spencer (vice president) guiding the Fayetteville, North Carolina, dealership into the future. Rob Woodhull became president of Woodhull LLC, joining his mother (and founder/CEO) Susie Woodhull in the corner office.
Aaron Dyck, a well-known industry figure who had stints with LMI Solutions, Digitek (Arlington), Clover Imaging Group and Impact Networking, brought his marketing and business development chops to IN2communications, where he’s now a vCMO and partner alongside Rick Lambert. Meanwhile, MPS Monitor had the good fortune to engage Kevin Tetu as senior vice president of sales and partner alliances. It was Tetu who founded FMAudit, an MPS software development company later acquired by ECI Software Solutions.
FIRST DOMINO FALLS. Every year, industry observers assert that M&A activity among manufacturers is a fait accompli simply because there are more manufacturers than the office dealer space can support. That was never truer than in 2024 when Katun Corp. and FUJIFILM North America joined the party, with Avision also a newer player from a couple years ago. The prognostication finally rung true this year (technically, December 2024) as Xerox shocked the industry by announcing it was acquiring noted A4 manufacturer Lexmark for $1.5 billion, including debt. The deal closed in early July.
While some may question whether Xerox took on too much debt in annexing the manufacturer or if the acquisition was the optimal fit, the Lexmark community should breathe a sigh of relief to be free from the albatross that follows Ninestar everywhere. As you may know, Ninestar investors held a 62% stake in Lexmark, and when the former ran afoul of human rights violations, it became a PR nightmare.
We’ll keep this recap brief: two years ago, Ninestar unwittingly found itself on the Uyghur Forced Labor Prevention Act (UFLPA) Entity List for alleged participation in business practices that, per the Department of Homeland Security, targeted members of persecuted groups in China, among them Uyghur minorities. Polite terminology for slave labor. The case is currently bouncing around in international court, but Ninestar remains banned. Although Lexmark operated independent of the parent (and even dropped Ninestar as a supplier after the news broke), shedding the ownership/association was the only way to effectively unhook the truck from that dumpster fire.
MANUFACTURER ALLIANCES. The number of OEM partnerships swells with each passing year, and 2025 was no exception. Ricoh USA etched out a deal with Brother International that adds the latter’s Workhorse Series of business class A4 MFPs and printers. According to Scott Dabice, Ricoh’s vice president, commercial strategy and operations, “Ricoh found in Brother the perfect ally to bring our customers more cost-effective, secure print solutions that seamlessly integrate within existing print infrastructures.” The addition complements Ricoh’s IM C320F and P C375 A4 units.
Not long after the ink on its Lexmark agreement had dried, Xerox turned to another manufacturer, Kyocera, to offer its high-speed cutsheet inkjet production presses. Xerox will spice up the big boxes with the integration of its Xerox Production Ecosystem, including Xerox FreeFlow workflow automation software, finishing and remote service. Terry Antinora, senior vice president and head of product and engineering at Xerox, saw the agreement as a pivotal moment. “Our re-entry into the cutsheet inkjet market allows us to diversify our portfolio, meet growing client demand for speed and efficiency, and reinforce our commitment to leadership in digital production,” he added.
GROWTH SPURTS. It was a good year for industry leaders to magnify their presence via facility expansion or product/service portfolio additions. Here’s a sampling of the capex investments:
DEX Imaging kicked off the year with the launch of DEXTEK, a managed IT services division. The new business is guided by Bill Wosilius, the former CEO of NexusTek, a $100 million managed IT/cybersecurity services firm. With the parent company offering a customer base of 86,000, DEXTEK was seen as a golden opportunity to address their managed IT needs.
Although it already had a presence in Fort Wayne, Indiana, Applied Innovation reinforced its quest to grow and serve the market by opening a brick-and-mortar location there. The new, state-of-the-arts digs offer enhanced customer engagement and collaboration. As company President Casey Lowery observed, “We believe it is important to be invested in the communities that we serve.”
Back east, Usherwood Office Technology doubled down (or would it be quadrupled down?) on its commitment to growth in Massachusetts with the addition of a Springfield office, the fourth in that state for the Syracuse, New York, dealer. According to Lindsay Usherwood, the company felt there was “a strong need for reliable and secure IT solutions in this region.”
Pulse Technology of Schaumburg, Illinois, created a separate audio-visual division and rolled out two new business offerings: CRaaS (conference room-as-a-service) and AVaaS (audio visual-as-a-service). Based on the software-as-a-service model, it covers digital signage, video walls (indoor and outdoor), LED walls and scoreboards, among others.
DEAL MAKERS. Few would argue that the volume of industry acquisitions has been in a three-year tailspin. However, some new and familiar names were cutting deals to acquire companies, and we’ve compiled a strong sampling of the activity since last December. Our Acquisition of the Year award, dealer division, goes out to Donnellon McCarthy Enterprises (DME) of Cincinnati, which essentially doubled in size when it purchased Ohio Business Machines—a major catalyst in its five-year growth plan.
Other deals include Doceo making multiple acquisitions: the copy and print division of Landis Office Center, Unison Business Solutions and the print technology division of Graffen Business Systems. CDS brought on Superior Office Products and IT Business Solutions. CFBT pulled off three acquisitions: Duplicating Consultants Inc., Buffalo Copier & Imaging Solutions Inc. and Ambind Corp. Atlantic Tomorrow’s Office acquired BrainSell and Interloop.
DOCUmation picked up a pair, PopSmart Technologies and Integrated Systems, while Fraser Advanced Information Systems’ subsidiary Watchkeep obtained Computer Management & Marketing Associates. Datamax acquired Wight Office Machines, and Levifi reeled in Xerox agency XDOS. Proven IT added Professional Document Solutions LLC, and Novatech onboarded longtime Elite Dealer United Office Systems. Kelley Create acquired Boynton Office Systems and its five locations, while Doing Better Business obtained McCleary Business Machines.
Nauticon Office Solutions picked up Annapolis Office Products, while Kelly Office Solutions snapped up KM Data. CPC acquired Best Copy Products, and Waltz Business Solutions added Starr Digital Solutions. NATIONAL Business Technologies obtained Kyocera Document Solutions’ New England Williston branch, and WiZiX Technology Group Inc. acquired Standard Business Solutions. Finally, Usherwood Office Technology picked up PIF Technologies.
OEM ADDITIONS. There were a few noteworthy moves on the manufacturer end, non-Xerox division. Sharp swung a deal for Allstar Business Machines in Florida. ECI Software Solutions picked up Davisware LLC, a provider of all-in-one business management solutions geared toward field service organizations. Toshiba America Business Solutions bolstered its cloud portfolio by obtaining Youmebee. Lastly, GreatAmerica Holdings, parent company of GreatAmerica Financial Services Corporation, signed an accord to purchase Heritage Bank, an Iowa state-chartered bank headquartered in Marion, Iowa. Heritage will be renamed GreatAmerica Bank National Association.
