Fujitsu fights reseller warranty claims with silence

Imagine the anger you could feel as a reseller if you had lost millions of dollars of business due to a flawed series of hard drives – and for several years your suppliers neglected to tell you about a warranty credit system applicable to those faulty products.

You will only be a fraction as angry as Rob Paul, managing director of NSW-based reseller Webster Computer Systems, or Greg Williams, director of SA-based reseller Lincoln Computer Systems. And there are sure to be others.

Both resellers are among those that are able to stay open for business trade despite their disastrous fling with Fujitsu and its MPG series of hard drives, but try telling them to look on the bright side. Both have lost hundreds of thousands - if not millions - of dollars in revenue from failed products and subsequent lost customers. And both just found out that Fujitsu, through its distribution partners and warranty claims partner CSSI, has been for some time offering a warranty credit system for the failed drives. But neither the vendor nor its distribution partners, no CSSI, has ever had the courtesy to tell them about it.

Webster Computer Systems used Fujitsu MPG-series drives in 550 systems sold to one customer alone. Of these 550 systems, more than 400 hard drives failed.

As of February 2004, Webster Computer Systems had returned 900 drives for repair, many for the second time.

The company could have had a much easier run of things if its distributors, or its vendor partner for that matter, had told the reseller about a warranty credit scheme which, according to Fujitsu Technology Product Groups’, Michelle Tan, has been offered for several years.

Webster could have been receiving a credit of $US52-$US54 per failed drive, rather than continually send drives in to be repaired – drives that tend to ultimately fail again.

“Surely Tech Pac, who we purchased the drives from, or CSSI, who repaired them, could have advised us of the possibility of these [warranty credits],” he said. “We were not told about it.”

Williams said he too had never been proactively advised by Fujitsu distributors Tech Pacific, TodayTech and Hallmark, nor by Fujitsu or its third party warranty supplier CSSI, that warranty credits were an option.

“There must have been 50 or 100 opportunities for them to have offered that – we would definitely have jumped at the dollars,” he said. Webster Computer Systems to date has been footing the bill itself for these failed drives.

“The failures would have cost us $200,000 in our engineer’s time alone to go out there and replace the drives,” Paul said.

Webster has since lost its preferred supplier status with the University of Western Sydney. “We are talking a loss of business of about $1 million annually,” Paul said.

Paul said his company had sent the failed drives to Fujitsu’s outsourcing partner CSSI – who in turn was paid to repair and send back the drive. Several resellers have complained that CSSI makes it very difficult to make a warranty claim.

A spokesperson for Tech Pacific said that he was confident that his predecessor (handling the Fujitsu relationship) would have been informed of the warranty credits and that resellers would have been made aware in due course. “There’s been no issues with it since I have been with the company,” he said.

Representatives at Hallmark Computer said they discontinued its relationship with Fujitsu over two years ago.

Representatives from Fujitsu were unable to be contacted prior to this story going to press.

For the full story, see this week's ARN.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.
Show Comments

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Aysha Strobbe

Microsoft Office 365/HP Spectre x360

Microsoft Office continues to make a student’s life that little bit easier by offering reliable, easy to use, time-saving functionality, while continuing to develop new features that further enhance what is already a formidable collection of applications

Michael Hargreaves

Microsoft Office 365/Dell XPS 15 2-in-1

I’d recommend a Dell XPS 15 2-in-1 and the new Windows 10 to anyone who needs to get serious work done (before you kick back on your couch with your favourite Netflix show.)

Maryellen Rose George

Brother PT-P750W

It’s useful for office tasks as well as pragmatic labelling of equipment and storage – just don’t get too excited and label everything in sight!

Cathy Giles

Brother MFC-L8900CDW

The Brother MFC-L8900CDW is an absolute stand out. I struggle to fault it.

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Featured Content

Product Launch Showcase

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?