Computer firm in receivership

Press, 17 February 1984, Page 9

Computer firm in receivership

By

NEILL BIRSS

The volatility of New Zealand’s growing computer industry has been underlined with the apparent collapse of a national distributor, Access Data Corporation, Ltd, throwing about 20 people out of jobs. NZI Finance, Ltd, which had a debenture on the company undertaking of Access Data, put the firm into receivership on Monday. Access Data had a Christchurch office, with four employees (before Christmas there were about six). They lost their jobs when the receivership was announced. As with most workers in the computer industry, they are not union members and they do not yet know whether they will receive severance pay.

Access Data distributed an American portable computer called the Access, from an unrelated company, but its main line was Altos multi-user microcomputer systems. It is believed that a representative of Altos is on his way to New Zealand to arrange continuity of supply and support.

A new, New Zealandmade microcomputer, the SAMBO, had just been launched by Access Data. The big electronics firm, Autocrat Sanyo, Ltd, holds 80 per cent of the shareholding in Access Data. It increased this in October from a 50 per cent holding. Before October the other 50 per cent was held half each by the two founders of the

firm, Messrs Thomas and Phillip Ellis. They had set up the firm in Hawke’s Bay before moving the headquarters to Auckland. Autocrat Sanyo also has a sizeable holding in Barsons, the New Zealand distributor of the BBC microcomputer which Access Data at one time handled. Mr F. N. Watson and Mr K. D. Stotter of Peat Marwick, Mitchell and Company of Auckland were appointed receivers of the company on Monday by NZI Finance. The receivers said in a statement yesterday that they had taken possession of the company’s assets and were reviewing the company’s position. A further statement would be made in 10 days.

There has been extreme volatility in the high-growth microcomputer industry in tfie United States, wellknown brands such as the Osborne crashing; the big electronics firm, Texas Instruments, losing millions of dollars before withdrawing from the home market; and Warner Brothers losing heavily on its subsidiary, Atari.

Some of the reasons for failure are fierce cost cutting for market share and the fast pace of product development making some new machines whose marketing or distribution is slow become obsolete before sales have a chance to peak.