Texas Instruments has given Avnet notice that it will end the companies’ distribution relationship by the end of next year.
It is thought that the agreement represents 10% of Avnet’s total revenues.
The termination affects Avnet Silica and Farnell in Europe.
The two companies have been channel partners for over 40 years.
Avnet said in a statement – “While Avnet and Texas Instruments (TI) have had a long-standing relationship, TI made changes to its distribution strategy and is moving toward selling directly to its customer base. As a result, Avnet and TI will be ending their distribution relationship by December 31, 2020. We respect TI’s decision and we will continue to work together through this transition.”
As the statement indicates, TI has moved to using broadline distributors for fulfillment while using its own resources to work directly with its customer base.