Canadian phone-equipment maker Nortel’s sudden bankruptcy filing on Wednesday sent ripples through local contract manufacturers yesterday.
Wistron Co (緯創) released a statement on the Taiwan Stock Exchange yesterday to announce a possible loss of NT$200 million (US$5.99 million), or NT$0.13 per share, related to Nortel Networks Corp’s collapse.
Wistron said it had been in business with Nortel for many years, and it was currently in talks with Nortel to collect due payments.
Since Wistron’s main product focus lies in personal computers, its stock only slid NT$0.70 or 2.85 percent to close at NT$23.85.
Nortel is seeking bankruptcy protection in Canadian, US and UK courts, the company announced on Wednesday. The company also saw revenues drop due to fierce competition in Internet-related equipment and traditional telecom systems.
In Taiwan, several suppliers of telecom components to the company with varying exposures saw their stocks decline yesterday.
Alpha Networks Inc (明泰科技) and Accton Technology Corp (智邦科技), which focus on the manufacturing of wireless adaptors/routers and WiMAX customer premises equipment, dropped NT$0.43 and NT$0.38 yesterday to close at NT$16.05 and NT$7.35, respectively.
While D-Link Corp (友訊科技) isn’t a direct supplier to Nortel, its stock suffered a 6 percent drop on the day to NT$18.90 due to its 38 percent ownership in Alpha Networks.
Hitron Technologies Inc (仲琦科技) closed down limit to NT$6.15.
The government yesterday approved applications by Alphabet Inc’s Google to invest NT$27.08 billion (US$859.98 million) in Taiwan, the Ministry of Economic Affairs said in a statement. The Department of Investment Review approved two investments proposed by Google, with much of the funds to be used for data processing and electronic information supply services, as well as inventory procurement businesses in the semiconductor field, the ministry said. It marks the second consecutive year that Google has applied to increase its investment in Taiwan. Google plans to infuse NT$25.34 billion into Charter Investments Ltd (特許投資顧問) through its Singapore-based subsidiary Fructan Holdings Singapore Pte Ltd, and
Micron Technology Inc is a driving force pushing the US Congress to pass legislation that would put new export restrictions on equipment its Chinese competitors use to make their chips, according to people familiar with the matter. A US House of Representatives panel yesterday was to vote on the “MATCH Act,” a bill designed to close gaps in restrictions on chipmaking equipment. It would also pressure foreign companies that sell equipment to Chinese chipmaking facilities to align with export curbs on US companies like Lam Research Corp and Applied Materials Inc. The bill targets facilities operated by China’s ChangXin Memory Technologies Inc
Singapore-based ride-hailing and delivery giant Grab Holdings’ planned acquisition of Foodpanda’s Taiwan operations has yet to enter the formal review stage, as regulators await supplementary documents, the Fair Trade Commission (FTC) said yesterday. Acting FTC Chairman Chen Chih-min (陳志民) told the legislature’s Economics Committee that although Grab submitted its application on March 27, the case has not been officially accepted because required materials remain incomplete. Once the filing is finalized, the FTC would launch a formal probe into the deal, focusing on issues such as cross-shareholding and potential restrictions on market competition, Chen told lawmakers. Grab last month announced that it would acquire
SECOND-RATE: Models distilled from US products do not perform the same as the original and undo measures that ensure the systems are neutral, the US’ cable said The US Department of State has ordered a global push to bring attention to what it said are widespread efforts by Chinese companies, including artificial intelligence (AI) start-up DeepSeek (深度求索), to steal intellectual property from US AI labs, according to a diplomatic cable. The cable, dated Friday and sent to diplomatic and consular posts around the world, instructs diplomatic staff to speak to their foreign counterparts about “concerns over adversaries’ extraction and distillation of US AI models.” Distillation is the process of training smaller AI models using output from larger, more expensive ones to lower the costs of training a powerful new
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