Hungarian electronics manufacturing service firm Videoton said it has formed an alliance with Concord, Mass.-based Manufacturers' Services Ltd. to offer customers broader services.
The privately held firm is based in Szekesfehevar, Hungary, and does plastics component molding at three Hungarian sites and one in Bulgaria. Videoton is a major supplier to the automotive, consumer electronics and household appliance sectors. It has six other units in Hungary handling such work as metal fabrication and assembly.
Videoton's U.S. partner operates 13 design and manufacturing plants in the United States, Mexico, Europe and Southeast Asia. It describes its services as build-to-order; configure-to-order assembly; printed circuit-board assembly, design and new-product introduction; support and complete product assembly.
MSL said its customers come from a wide range of industries, including commercial avionics, medical products, retail infrastructure, voice and data communications, computers, industrial equipment and network storage.
Each partner expects to benefit from the other's strengths. MSL can take advantage of Videoton's low-cost East European manufacturing base, as well as its local management and market expertise in that region.
Videoton aims to tap into MSL's global scale and supply chain management capabilities, improving its access to competitive materials and components worldwide.
In addition, MSL will offer its Hungarian partner access to its European product design and engineering center in Valencia, Spain.
``We've identified many ways to work together. ... Videoton's ability to provide local support and expertise in Hungary and Bulgaria is unmatched,'' according to MSL Chairman, Chief Executive Officer and President Bob Bradshaw.
Videoton's annual sales rose 15 percent in 2001, to 85 billion Hungarian forints ($374 million).