Gigabyte and ASUS in joint venture

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Harper

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http://www.crn.com.au/story.aspx?CIID=57971&eid=4&edate=20060810
Component giants Gigabyte Technology and ASUSTek Computer have established a joint venture that would see a newly established subsidiary produce Gigabyte-branded motherboards and graphics cards.

The new company would have an initial capital of NT$8 billion with 51 percent of the organisation being controlled by Gigabyte and 49 percent by ASUS. The joint venture would commence operation in January 2007.

Gigabyte said in a statement that in the slow developing motherboard market, it established the joint venture with ASUS to increase its efficiency.

Quoting the Institute of Information Industry, Gigabyte said in a statement that the leading PC manufacturers have enlarged their market share, causing the market share of the motherboard channel to decline dramatically.

The Institute of Information Industry, US$8.9 billion worth of motherboards were produced worldwide in 2005 at a growth rate of only 2.2 percent on 2004.

For the first half of 2006, around US$3.67 billion worth of motherboards were produced worldwide, down from US$3.75 in the same period a year ago, the Institute said.

2 weeks ago, AMD baught out ATi. Now we got both Gigabyte and Asus joining forces.
I am a fan of Gigabyte motherboards. However ASUS does have a better range, but I have experienced too many RMA with their entry level motherboards.
 
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