No more NEC in Australian retail

Japanese vendor to cut 200 staff and cease offering laptops, desktops, whitegoods, consumer appliances, home entertainment products through retail

NEC Australia has announced a cessation of its retail operations commencing March 1, with 200 staff to be made redundant.

Laptops, desktops, whitegoods, consumer appliances, home entertainment products such as DVD players, consumer LCD and plasma TVs will no longer be available on Australian store shelves after the Japanese vendor announced restructuring plans. However, NEC will still continue to offer laptops and desktops through its business solutions division as it focuses solely on its IT/network communication solution offerings.

The vendor will also continue to supply digital signage displays and its commercial range of projectors and servers. NEC general manager of marketing, Craig Norton, said the retail component was important, but not a significant part of the business.

“The weakening Australian dollar has precipitated the decision for us and given us cause to think about where we need to have our focus,” he said. “We will now focus on the substantial part of our business, which is our core skills around IT/networking to business and government customers.”

Norton added NEC Australia was the last NEC company globally to offer consumer products.

“The future of our business in Australia is clearly in the business and government market,” he said. “This is actually the largest part of our business. We’ve got one of the biggest research and development centres in Australia on a 13 acre site, there’s still a tremendous amount we do in that space.”

As a result of the restructure, about 200 staff will be made redundant or leave voluntarily by the end of March. Prior to the announcement, NEC had 1200 staff locally.

The vendor will continue to provide warranty and extended support agreements to customers.

IDC PC analyst, Felipe Rego, wasn’t surprised by NEC’s decision to exit the retail space. In Q3 2008, NEC barely occupied one per cent of the total desktop and notebook market.

“NEC’s share of the PC market wasn’t very strong; the focus has always been in the business space,” he said.

Other vendors that have left the notebook retail space behind include Samsung and LG.

Join the PC World newsletter!

Error: Please check your email address.

Tags NEC

Our Back to Business guide highlights the best products for you to boost your productivity at home, on the road, at the office, or in the classroom.

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.
Julia Talevski
Show Comments

Essentials

Lexar® JumpDrive® S57 USB 3.0 flash drive

Learn more >

Microsoft L5V-00027 Sculpt Ergonomic Keyboard Desktop

Learn more >

Mobile

Lexar® JumpDrive® S45 USB 3.0 flash drive 

Learn more >

Exec

HD Pan/Tilt Wi-Fi Camera with Night Vision NC450

Learn more >

Audio-Technica ATH-ANC70 Noise Cancelling Headphones

Learn more >

Lexar® JumpDrive® C20c USB Type-C flash drive 

Learn more >

Lexar® Professional 1800x microSDHC™/microSDXC™ UHS-II cards 

Learn more >

Budget

Back To Business Guide

Click for more ›

Most Popular Reviews

Latest News Articles

Resources

GGG Evaluation Team

Michael Hargreaves

Windows 10 for Business / Dell XPS

I’d happily recommend this touchscreen laptop and Windows 10 as a great way to get serious work done at a desk or on the road.

Aysha Strobbe

Windows 10 / HP Spectre

Ultimately, I think the Windows 10 environment is excellent for me as it caters for so many different uses. The inclusion of the Xbox app is also great for when you need some downtime too!

Mark Escubio

Windows 10 / Lenovo Yoga

For me, the Xbox Play Anywhere is a great new feature as it allows you to play your current Xbox games with higher resolutions and better graphics without forking out extra cash for another copy. Although available titles are still scarce, but I’m sure it will grow in time.

Kathy Cassidy

STYLISTIC Q702

First impression on unpacking the Q702 test unit was the solid feel and clean, minimalist styling.

Anthony Grifoni

STYLISTIC Q572

For work use, Microsoft Word and Excel programs pre-installed on the device are adequate for preparing short documents.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?