Acer advances Saudi PC production plans

IT hardware giant Acer plans to establish a joint venture desktop production facility in Saudi Arabia alongside local manufacturer Advanced Electronics Company (AEC). Rival vendor HP has already enjoyed huge success with its Saudi PC plant and Acer’s move underlines the growing importance of local assembly in the Kingdom.

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By  Stuart Wilson Published  February 1, 2006

IT hardware giant Acer plans to establish a joint venture desktop production facility in Saudi Arabia alongside local manufacturer Advanced Electronics Company (AEC). Rival vendor HP has already enjoyed huge success with its Saudi PC plant and Acer’s move underlines the growing importance of local assembly in the Kingdom. The new facility, which will be located in Riyadh, is expected to produce approximately 120,000 desktop PCs in its first year of operation and will form part of AEC’s import substitution programme. Acer hopes that the new venture will allow it to tap into the Saudi corporate desktop market and also pave the way for participation in PCs for homes initiatives. Acer has long expressed an interest in setting up a joint venture facility in Saudi Arabia and has been searching for the right partner. HP’s Riyadh-based local assembly facility has played a pivotal role in its ability to supply thousands of desktop units for contracts with clients such as the Ministry of Education and also allowed it to take part in PCs for homes initiatives in the Kingdom. Emanuele Accolla, VP Europe, Middle East and Africa (EMEA) at Acer, claims that the deal demonstrates the company’s confidence in AEC’s manufacturing capability and also underlines the vendor’s commitment to the Saudi market.

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