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React turns back on Wi-Fi after claims of rivals 'buying business'

React Technologies is moving away from its core wireless business after claiming its competitors have been forced to buy business as margins erode. Skip related content

The firm was founded in 2003 and swiftly became Aruba Networks first UK partner. It also works with vendors including Motorola, Ruckus Wireless and BelAir Networks.

But managing director Jess Thompson-Hughes revealed he has retrained all his staff and invested in storage and virtualisation technologies. When we started, (the wireless market) was Aruba, Trapeze and Cisco - now there is every man and his dog, he said.

He claimed that losing a wireless opportunity with the Royal Devon & Exeter NHS Trust had been the final straw.

We created the opportunity, did two years work and went in at less than 10 per cent margin, he said.

A competitor then went in at one per cent but we were both eventually beaten by five per cent.

Manny Pinon, managing director of Vanix, which won the deal, said: We bid for the project on the basis of it being profitable.

He added that Reacts vendor diversification may have impacted margins.

We have continued to focus on Aruba and our margins have increased this year, he said.

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