Mar. 09, 2001

The Mitac Computer Group plans to establish a PC maintenance center in Shanghai, China to offer cheaper after sales services for its OEM PC clients.

The Mitac Computer Group consists of four main affiliates, namely Mitac Inc., Mitac International Corp., MTC Corp., and Synnex Technology International Corp. The first three are manufacturers while the other is the largest distributor of PCs, PC peripherals, and telecommunication equipment in Taiwan.

Maintenance of PCs is labor-consuming work, costing as high as US75 per PC in the U.S. and as low as US% in China on the average. Mitac's Shanghai center is expected to maintain three million PCs in three years after beginning operation.

Although the growth in global PC demand is forecast to drop from 16% to 10% this year, the Mitac Computer Group expects its revenue this year to hile by 30% from last year. The group sold 10 million PCs for a global market share of 7%. If 3% of the PCs need after sales services, the volume comes to 300,000 PCs based on the sales volume of last year.