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Palit to buy Galaxy?

Posted on Monday, February 25 2008 @ 02:10:12 CET by


DigiTimes heard Palit is in talks to acquire graphics card vendor Galaxy:
Palit is a leading OEM graphics card maker, but, according to industry reports, the company has found itself carrying excess Nvidia graphics chip inventory after miss-estimating market trends and over-ordering. However, to preserve the health of its own pricing, Nvidia has a strict rule prohibiting Palit from selling the chips to other companies. The move to acquire Galaxy, which does not have its own production facilities, will allow Palit to pass the chips to the new subsidiary, mitigating its losses, the sources explained.

Galaxy was established in Hong Kong in 1994 and became an add-in board (AIB) partner for Nvidia in 1999. The company has established sales in Europe, Southeast Asia and the US, and entered the China market in 2003. In August 2007, Galaxy extended into the motherboard market.
Palit ships more than 10 million graphics cards a year and owns the Gainward and Vvikoo brands.


 



 

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