New warehouse expands Rectron assembly line

New warehouse expands Rectron assembly line

Components distributor, Rectron, has spent $3 million on a new warehouse in Victoria as part of plans to boost its PC assembly capabilities.

Managing director, Jimmy Lu, said the larger premises in the suburb of Mulgrave would be about 2.5 times the size of its current warehouse in Melbourne, expanding its storage space to 2600sqm.

The distributor also maintains a property in Sydney. The move is expected to be completed by the end of March.

The additional room would help the distributor keep more stock of its core product lines including PC casing, monitors and barebone systems, he said.

Rectron is also increasing its supply of digital home-related hardware, such as TV tuners, to capitalise on the media centre market.

"We think that MCE [Microsoft Media Center] should really start to become popular in the market next year," Lu claimed.

Rectron was also planning to put more focus on its assembly line and would ramp up its production of complete PC systems, he said. This included producing a selection of notebooks based on Gigabyte components for resellers. They would be branded with the Gigabyte logo.

Previously, Rectron has only supplied barebone PC units from Gigabyte.

While many other PC assemblers have cried out against plummeting prices in the hardware space, Lu was confident Rectron could provide resellers with enough margin on products by customising notebooks for individual customer orders.

All products were expected to come with a two-year warranty from the distributor.

Rectron is also working on additional website functionality to make it easier for resellers to choose their own specification requirements.

"We will be building to order - we don't want to compete with the HPs as it's too hard to make margin," he claimed. "Gigabyte is a good option for us because it is a high exposure brand."

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