The Northampton printer/print manager, which won the multi-million pound Vodafone account in January this year (PrintWeek, 29 January), will, however, remain a print supplier to the mobile phone group.

"Due to a reorganisation Vodafone has reverted to the commercial model," said The Print Factory managing director Steve Brundle. "We look forward to continuing to be a valued supplier."

In a statement Vodafone confirmed it had terminated the print management agreement, and it is understood to be weighing up whether it will look for another print manager or keep the buying function in-house.

"Further to an internal review, Vodafone will no longer be using The Print Factory for print management. Vodafone is currently reviewing its strategy in light of this," it said.

Vodafone staff are understood to have been contacting printers directly in recent weeks in order to establish a new supplier roster.

The Print Factory landed the Vodafone deal which industry sources suggest is of a similar size or larger than its 10m-a-year contract for BSkyB after muscling its way into the pitch at the final stages. It fought off competition from some big-name print management groups to secure the contract.

Prior to awarding The Print Factory the contract, Vodafone had handled its buying in-house.

Story by Lauretta Roberts