'Muryo-pa',hey I like this 'pa'.
Vertex Link to Distribute Free PCs with 30 Companies in Japan
Pat,now here is a viable 'Free PC deal' I heard Dell is working on something similar like this, hopefully to be announced soon.As you can see this is a collaborative effort by various participants including the the recipient of the 'free pc',I like this.
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June 17, 1999 (TOKYO) -- Vertex Link Corp., a PC wholesaler in Japan, will collaborate with about 30 companies starting in August to distribute free PCs to consumers.
Internet marketing combined with the distribution of free PCs is becoming popular in the United States, but the Vertex Link project is the first of its kind in Japan.
The 30 partnering companies include DDI Corp., IBM Japan Ltd., The Daitokyo Fire & Marine Insurance Co., Ltd. and DLJdirect SFG Securities Co., Ltd.
IBM Japan will provide PCs and maintenance services, and Hakuhodo Inc. will take care of project advertisements. The project also involves DDI as the Internet provider, Citibank and Sumitomo Bank Ltd. as the financial institutions, The Daitokyo Fire & Marine Insurance as the insurance company, DLJdirect SFG Securities (the Japanese arm of DLJdirect Inc. of the United States) as the brokerage on the Internet, Yamato Transport Co., Ltd. as the transporter, IBM Japan as the system developer and Marui Co., Ltd. as the expert in the mail-order business.
The project is named "Free PC Project," and its nick name is "Muryo-Pa." Vertex Link will start to accept applications by phone and through its Web site (http://www.VertexLink.co.jp) on June 18. It plans to distribute 10,000 units in August as the initial stage, and 30,000 to 50,000 units within the year. It will accept applications by phone until the end of June and through the Web site until the end of the year.
The PC to be distributed in August is IBM Japan's Aptiva 10J, an all-in-one desktop model. It has a K6-2 380MHz microprocessor, 64MB of memory and a 6GB hard drive. It also comes with a 56kbps modem, a 15-in. monitor and Lotus Super Office 98 software.
A user is asked to make a maintenance agreement for a monthly charge of 1,800 yen with IBM Japan when filing an application. The user is entitled to have a free PC on the condition that he or she is monitored for three years. The user can purchase the free PC for 5,000 yen when the three-year period has expired, or replace it with the latest model by renewing the agreement. The user also can terminate the agreement after six months.
Vertex Link is considering distributing PCs other than IBM PCs. It aims to distribute 300,000 units in fiscal 2000, and 1,000,000 units for three to five years.
A user who gets a free PC has to apply to DDI for Internet provider services and subscribe to a credit card from Credit Saison Co., Ltd. or Sony Finance International Inc. With these two contracts, the user can enjoy Internet shopping and financial services provided by the sponsoring companies.
The user has to conclude more than one contract with the following four. (1) Internet banking contract with collaborating companies, such as Citibank, Sumitomo Bank, Sanwa Bank and Fuji Bank, (2) Internet trade contract with collaborating companies like DLJdirect SFG Securities, (3) Contract under which the user has to make a purchase of more than 10,000 yen every month for two years, and (4) Purchase of a printer by Seiko Epson Corp. or Hewlett-Packard Japan Ltd.
Apparel makers, such as Toray Industries Inc. and Renown Inc., will participate in the Internet mall to be established by Vertex Link. Geo Co., Ltd., a video and music CD rental company, and Aucnet Inc., which markets automobiles on the Internet, will also be among the participants. Recruit Co., Ltd. will run ISIZE services in its own shop in the auction mall. The Daitokyo Fire & Marine Insurance will set up a damage guarantee system to cover damages caused by illegal usage of a password.
The objective of the project is to construct an infrastructure for the future expansion of the Internet business and improve customers' data, said Kazuo Kanayama, director of Vertex Link. Vertex Link and sponsoring companies will get precise customers' data for more efficient marketing, lower marketing costs and improved customer satisfaction by connecting corporations directly with customers.
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