Recent news from the Chinese language newspapers.
CMO to build additional 5G line
The company is thought to be planning a new 5G line, in addition to a new 5.5G line. CMO refused to confirm a new 5G line and only said the line is one of its future options. [Commercial Times, Sep 29]
Quanta Display invests additional US$32 million in China affiliate
The total capital the company has now invested in its Shanghai affiliate (which handles LCD-monitor assembly business) amounts to US$50 million. [DigiTimes]
Harvatek to license white LED technology from Osram
Harvatek will test and package LED chips from Opto Tech and Cree, while also processing the chips into white LEDs using patents from Osram, according to sources. The company said it is in talks with Osram, and the sources said the deal will be finalized within two months. [EDN, Sep 29]
Asus to outsource mobo orders to GBM
Asustek Computer will outsource mobo orders to GBM since Asus' Suzhou plant is currently running at full capacity, sources said. GBM confirmed the Asus orders, but claimed a cooperation plan remains uncertain. [DigiTimes]
Cypress: Inventory of USB 2.0 chips to ease by 1Q 2005
US-based Cypress Semiconductor indicated that inventory of USB 2.0 chips has been increasing on its customers' side since 2Q, which has led to reduced orders. The company expects the present inventory overstock to be eased by 1Q 2005. [Commercial Times, Sep 29]
Accesstek to start shipping three slim-type DVD burners from October
Sources indicated that Accesstek has gained validation from customers and will start volume shipments of its new DVD burners from October. The new DVD burners are targeting the performance segment in the US and Japan markets. [Commercial Times, Sep 29]
1.3-megapixel camera handset to accelerate CIS production
Industry makers predict that one third of the estimated demand for 600 million handsets in China will be equipped with camera functions. The rising demand for 1.3-megapixel camera handsets will lead to a replacement for CSP (chip-scale package) packaging in China. [DigiTimes]
Acer claims its new China distribution strategy a success
Acer reported its notebook shipments in August tripled over its monthly shipments from 1Q. With its stronger position in the channel, the company expects December's shipments to triple again over August. [Commercial Times, Sep 29]
Amid market downturn, Korean panel makers seize opportunity for lower material costs
Despite a bleak outlook for the panel industry, Korean panel makers are still following expansion schedules. Taiwan makers, however, are constrained by difficulties in raising funds during a downturn in the economy. [DigiTimes]
Leading PC makers in China to push Linux adoption
Seven leading PC makers in China, including the Lenovo Group, TCL and Tsinghua Tongfang, will equip their PCs with Linux from Hong Kong-based ThizLinux Laboratory. The PC vendors will also offer online software support. [DigiTimes]
Channel distributor Synnex: 'Back-to-school' demand boosts September LCD monitor and desktop PC shipments
Taiwan channel distributor Synnex will report monthly LCD monitor shipments of more than 40k in the 3Q and the company expects to ship more than 50k this month, a 60% jump Y/Y. Also, desktop shipments will outpace notebook shipments by 30%. [DigiTimes]
Taiwan passive-component makers setting up sales units in Europe
Industry players indicated that the trend for Taiwan passive component makers to set up sales units in Europe will keep rising, as players aim to extend their business in the communications, automotive and electrical appliance sectors. [DigiTimes]
Weak demand forcing Taiwan mid- to small-size testing and packaging houses to sell their machinery
Industry sources say mid- to small-size testing and packaging houses have recently started selling their equipment, as utilization rates are low and customers remain conservative in placing orders. Consumer electronics players are suffering the most. [DigiTimes]
China not adopting DDR2, say industry players
Industry players commented that the supply of DDR2 memory in the channel is limited in the China market, and they predict adoption will only start rising in 2005. [DigiTimes]
IC distributor WPI projects volume shipments of LTPS panel in 2005
The World Peace Group expects volume shipments of Toppoly Optoelectronics-made LTPS (low-temperature polysilicon) panels in 2005. Panels are mostly 1.8 to 14.1 inches in size, and WPI expects the small-to-medium-size panel segment to contribute US$20-30 million to revenues. [AppleDaily.com, Sep 27]
IC distributor WPG to acquire venture from partner Mitsui in 2Q 2005 via stock swap
Following the joint venture agreement made in August with Japan-based Mitsui, World Peace Group is now looking to acquire a majority of shares in the newly established venture, Teksel WPG, through a stock swap next year. [DigiTimes]
Tight supply of DRAM on the spot market to persist through 1Q 2005, say distributors
Memory distributors indicated that leading memory makers, including Micron Technology, Infineon Technologies AG and Samsung Electronics, have reduced their memory supply to the spot market, which will prolong the tight supply until 1Q 2005. [UDN.com, Sep 29]
Chang Wah to raise epoxy mold compound prices
Chang Wah Electronics will raise its prices in Taiwan for epoxy mold compound by 10-15% in the second half of October. Epoxy mold compound is a chemical material used in the IC packaging process. [DigiTimes]
Article edited by Michael McManus
