In Armenia’s IT market, many companies — and even government institutions — still make the same fatal mistake: they choose vendors based only on the lowest price. At first glance, it looks like cost saving. In reality, it becomes one of the most expensive decisions a business can make.
The Illusion of Cheap Deals
When a tender or procurement is awarded purely on price, it usually means: outdated equipment, no proper support, and no guarantee of compatibility. On paper, it looks like a win. In practice, the “cheaper” option leads to:
-
Endless downtime and maintenance costs,
-
A system that doesn’t scale with the business,
-
Weak cybersecurity protection, opening the door to attacks.
Saving today means paying double tomorrow.
The Risks Businesses Don’t See
-
Hidden Financial Drain
Poorly chosen IT solutions lead to higher electricity costs, frequent repairs, and premature replacements. -
Cybersecurity Threats
Weak or outdated security solutions create vulnerabilities. In Armenia, where businesses are already targets of phishing, ransomware, and DDoS, one wrong choice could mean full data loss. -
Reputation Damage
When government services fail or a private company loses client data, the damage is not just technical — it’s trust, and trust is almost impossible to buy back.
How to Avoid These Mistakes
Check Vendor Credentials
Work only with certified vendors and partners. Dell, Oracle, Fortinet, Palo Alto, Lenovo, Microsoft — all provide clear partner programs that show who is authorized and who is not.
Ask for Case Studies
Before signing, demand proof of similar successful projects. A trusted partner won’t hide this information.
Involve Certified Engineers
The best pricing means nothing if the team can’t properly implement or support the solution. Certified experts reduce risks dramatically.
Think Long-Term
Choose solutions that grow with your company. Scalability is more valuable than short-term savings.
The Role of Vendors and Distributors
Vendors must enforce fair play in the market — protecting the partner who actually brought the client and preventing distributors from abusing the system. Distributors should help partners grow, not sabotage them for their own profit.
The vendor’s responsibility is clear: make rules transparent, support partners directly, and ensure clients get the right technology for their needs.
Practical Advice for Armenia
-
Servers & Infrastructure → Dell, Lenovo.
-
Software & Databases → Oracle, Microsoft.
-
Cybersecurity → Fortinet, Palo Alto.
-
Cloud & Virtualization → VMware, Microsoft Azure.
Each of these vendors has certified solutions proven worldwide. The only mistake is ignoring them and chasing the lowest price.
Final Word
In Armenia, companies spend heavily on offices, PR campaigns, and branding — yet cut corners when it comes to IT systems, the very backbone of their business. That is a mistake no modern company can afford.
Choosing the wrong IT vendor is not just about money — it’s about security, reputation, and survival.
At SMMHub LLC, we know the risks, we work directly with global vendors, and we guide clients through the complexity of procurement so they get the best technology without hidden traps.
The wrong IT vendor is like a cheap parachute — it only fails you once, but when it does, it’s game over. Armenian companies must stop gambling on price and start investing in reliability.