Accton Technology on January 9 announced a joint venture with China’s SVA Group to develop LAN and home networking equipment.
The companies will invest a combined US$18 million, with SVA taking a 60% shareholding and Accton 40%. Accton will manage the operations. Facilities are being constructed in the Pudong industrial district of Shanghai, and production should begin in the first quarter of 2002. SVA will handle the marketing using its own brand name.
The new company will begin by making LAN (local area network) products, then move into home networking equipment.
SVA Group is one of China’s top 10 home electronics manufacturers, and subsidiary Shanghai Automotive is the country’s largest automaker. SVA has already jointly invested with Sony in video camera and VCD player production. It has also partnered with Siemens on domestic mobile phone production, and other partners include Sharp, Toshiba, JVC, National, Motorola, Hughes and Samsung.
Article translated by Noah Sauve and edited by Richard So
