Prion last week ended months of speculation by announcing a distribution deal with Acer in what signals an attempt to concrete the vendor's channel strategy.
Prion predicts the agreement will bring home around $6 million in Acer desktop and notebook sales between March and December 2000.
The company said that until now, Acer has not had an effective national channel business.
In fact, the deal is billed as one of the most significant wins for Prion since it lost Compaq around a year ago and will be critical to Acer's attempt to fortify its channel after battling direct sales concerns in 1999.
Other key vendors for the company include HP, IBM and Toshiba.
The news comes after Acer told ARN in November it was in discussions with Prion. The deal itself has been around 12 months in the planning.
Michael Bosnar, Prion's managing director, said Acer will fill a gap in the company's SME market aspirations.
`They have lacked a national distribution to drive it into the channel,' Bosnar said of Acer's channel efforts.
He explained Acer's low-end desktops and notebooks will fit under its HP, IBM and Toshiba offerings.
One of the drawcards for the partnership is Acer's commitment to build PCs to order within 72 hours, Bosnar said.
Patrick Lin, managing director of Acer Computer Australia, said he believes Prion has moved into the top tier of national distributors.
`It now has the distribution muscle to assist Acer to reach a lot of new business customers throughout Australia,' Lin said.
Prion is in the process of installing new phones and IT systems, in part to meet the demands of the agreement.
The upgrade includes a Lucent phone system, Great Plains financials and Microsoft's Exchange 5.5 to support its networking requirements.
Bosnar explained resellers will be able to place orders and check order status online to the point where you can see if an ordered PC is in the process of being built.