Mon, Jan 28, 2008 - Page 12 News List

Quanta pulls out of TV business, staff moved to Techview

By Lisa Wang  /  STAFF REPORTER, WITH AGENCIES

Quanta Computer Inc (廣達電腦), the world's biggest contract notebook computer maker, yesterday said it had ended its TV business late last year and transferred some of the 100 employees working in the unit to a computer monitor subsidiary.

The Taoyuan-based company's comments came after a report said that Japanese consumer electronics maker Sanyo Electric Co Ltd planned to dissolve a joint venture with Quanta by the end of this month.

"The joint venture has been suspended for a long time. Quanta has dissolved its TV department," a Quanta public relations official told the Taipei Times by phone yesterday.

Sanyo and Quanta Computer announced in March 2006 they would set up a venture to produce and market flat-screen TVs. Five months later, however, Quanta said the cooperation would be limited to parts procurement and TV model development, adding that a deeper partnership had proved too complex.

Quanta hired about 100 employees for its TV operations, the official said. Late last year, a major part of the employees were relocated to the company's liquid-crystal-display (LCD) monitor and TV manufacturing arm, Techview International Technology Inc (達裕).

Techview is a joint venture between Quanta Computer and Pou Chen Group (寶成集團) and was established in November 2003, the company's Web site said.

Pou Chen is a manufacturer of shoes for some of the world's top sports apparel brands.

Quanta and Sanyo's joint venture, Sanyo Visual Technology, was established in October of 2006 with a capitalization of ¥100 million (US$937,000). Sanyo owns 81 percent of the venture and the remainder is controlled by Quanta.

The Nikkei Shimbun said the decision to end the venture would be announced officially on Wednesday.

A Sanyo spokesman said the company was considering a wide range of options to expand its TV business, but had not reached a decision on the future of its joint venture with Quanta.

Sanyo, which has been shedding its non-core assets to focus on mainstay operations such as rechargeable batteries, said last Monday it would sell its cellphone business to electronics maker Kyocera Corp for between ¥40 billion and ¥50 billion.

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