Foxconn to become biggest motherboard maker?

As of the 1st January of 2008, Asustek Computer was split into three separate companies each targeting their own directions. Asustek Computer will continue to operate its Asus brand business, which involves a broad lineup of products, including computer mainboards and add-in-cards, notebooks and smartphones, servers and communication equipment as well as multimedia and consumer electronics devices. The newly formed Pegatron Technology Corp. will produce PC-related devices, such as mainboards and add-in-cards for third party customers, whereas the newly created Unihan Technology Corp. will produce computer cases, various modules as well as take over non-PC contract manufacturing business.

Last year Asustek Computer shipped roughly 59 million of computer mainboards, 46 million of which were shipped to its partners, including large system vendors, while 13 million were supplied under Asus brand-name, reports Economic Daily News (EDN) news-paper (which article was partly translated by DigiTimes web-site). Meanwhile, motherboard shipments of Foxconn Electronics reached about 45 million units.

After Asustek spins off its contract manufacturing, it will remain among the largest producers of mainboards, though, it will be behind companies like Elitegroup Computer Systems (ECS), Gigabyte Technology and MicroStar International (MSI). Therefore, Foxconn Electronics’ main rival will be the newly formed Pegatron Technology.