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HP introduces locally assembled PC

Johannesburg, 17 Sep 2003

HP South Africa has partnered with Matomo Technologies to deliver an affordable and reliable desktop PC for small and medium enterprise (SME) customers. The d230 workstation now also boasts that a Proudly South African company undertakes the assembly, an indication that HP`s commitment to empowering South Africans is firmly on track.

With today`s SME customers striving to maximise their IT investment, the combination of low purchase price and consistent, reliable performance offered by the HP Compaq d230 provides value-seeking companies with an ideal platform choice.

"It is not just about reliable technology, though, it is also about the continued relationship we have with our clients - large or small - and with the local support that we can offer them after they have purchased our solutions that allows them to experience a true return on IT with HP," says Bradley Hopkinson, Director for HP`s Personal Systems Group (PSG).

This partnership essentially gives clients the best of both worlds: access to a tier-one brand, for reliability and international quality, along with the high-standards of local manufacture.

"In fact," adds Hopkinson, "a less than 1% failure rate is experienced to date among the over 65 000 machines manufactured locally."

Matomo Technologies, a subsidiary of the Matomo Group, also handles the local assembly of HP`s Evo D300V and 310V desktops, as well as the disc imaging and a stringent burn-in process for each unit. Thozamile Botha, Executive Chairman of the Matomo Group, states that HP has recently awarded the contract for all HP and Compaq bench repair work to ICSS (Independent Computer Support Services) a subsidiary of the Matomo Group, covering all warranty and post-warranty repairs for HP and Compaq machines nationwide.

"The partnership with HP highlights the abundance of solid local skills, and the larger the demand for locals skills and the higher our production becomes, the more previously disadvantaged people we can employ."

Hopkinson emphasises: "These locally assembled workstations now not only comply with international standards and enable HP to address segments of the market that are both price-sensitive and brand-aware, but also through Matomo Technologies` Proudly South African accreditation ensure that previously disadvantaged South Africans benefit from real empowerment."

Botha adds: "While a number of HP`s competitors have local assembly plants, most of them lack strong BEE programmes - they may produce locally, but they don`t transfer the skills. Not only does Matomo own the plant in its entirety, but there is transfer of skills and management capability from HP to us, so there is ownership and employment by blacks, which is true black economic empowerment."

"The strategic direction we have taken in this market, including our partnership with Matomo Technologies, has yielded excellent results," adds Hopkinson. "In Q3, HP continued its steady year-on-year growth both in the desktop and notebook markets of an average close on 60%. In fact, HP maintains number one position in the local notebook market holding the same market share as the combined share of the next three vendors."

According to recently released international statistics, HP remains the number one PC vendor in Europe, Middle East and Africa for the first half of 2003.

Hopkinson concludes: "The growth of the SME market, locally, and even globally provides HP with the opportunity to continue to grow the market and maintain a leadership position in this and other markets."

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HP

HP delivers vital technology for business and life. The company`s solutions span IT infrastructure, personal computing and access devices, global services and imaging and printing for consumers, enterprises and small and medium business. For the last four quarters, HP revenue totalled $70.4 billion. More information about HP is available at http://www.hp.com.

Editorial contacts

Werna du Preez
Kilimanjaro Communication Management Consultants
(011) 880 8556
werna@kcmc.co.za
Bradley Hopkinson
Hewlett-Packard SA
(011) 785 1000
Bradley.hopkinson@hp.com