Philips and its Chinese distributor Dalitek have ended their partnership.In a recent statement, Philips highlighted three major reasons behind the termination:

1. Starting from Jan. 1, 2016, Philips Dynalite has terminated its partnership with Dalitek, and Dalitek is no longer an authorized distributor of Philips Dynalite.
2. Philips lighting control brand Dynalite is no longer related in any way with Dalitek.
3. Dalitek’s recent analyses and announcements regarding Philips Dynalite’s smart lighting strategies does not represent Philips perspective or actual distribution strategy.

Philips statement about its terminated partnership with Dalitek. (Philips/LEdinside)

Dalitek’s services currently cover smart lighting, smart homes, smart living rooms, and smart agriculture. To fill in the smart lighting control gap, Philips has been rumored to be seeking strategic partners to solve the issue. In 2009, Philips fully acquired Australian smart lighting control company Dynalite’s, which was founded by John Gunton. The new company was rebranded Philips Dynalite that has been focused on dimming controls. Philips Dynalite services cover hotel public dimming, hotel rooms lighting controls, commercial, public buildings and spaces energy management, and smart building installations.

In response, Chinese distributor Dalitek also released a statement announcing ending its partnership with Philips Lighting.

Dalitek has imported Dynalite’s lighting control products to China since 1995, and successfully acquired high market shares. After Philips Lighting acquired Dynalite in 2009 to become Philips Dynalite, Dalitek remained the brand’s largest distributor in China.

It has been confirmed as of Feb. 1, 2016 that Philips Lighting will be spun-off from Philips group. Following the carve out of Philips lighting business there are many uncertainties as to whether Philips Dynalite will be able to maintain good quality services including Dynalite’s future production, R&D, and component supply developments.

After analyzing all the pros and cons, Dalitek announced it will terminate its partnership with Philips Lighting, and asked clients not to confuse Dalitek with Philips Dynalite. The company also announced it will continue to provide maintenance services for Philips Dynalite products purchased before the announcement.