Asus and Gigabyte today announced the establishment of a joint venture to produce "Gigabyte" branded motherboard and graphics cards.
The new company is scheduled to become operational on January 1, 2007, with details of the operations to be revealed later this year, including the company's name, according to Asustek and Gigabyte at a press conference on August 8.
The Asustek-Gigabyte joint venture will be established with an initial capital of NT$8 billion (US$244 million), with 51% of the company being controlled by Gigabyte and 49% by Asustek. Under the agreement, the chairman of the joint venture will be appointed by Gigabyte, as well as three directors and one supervisor on the board of directors of the new company. The remaining two seats on the company's board will be assigned by Asustek, according to the companies.