Sources: Handset component makers to see January revenues decline on slow orders from Motorola

Two leading Taiwan handset component makers – Taiwan Green Point (TGP – chassis) and Silitech (keypads) – saw January revenues decline sequentially by a larger margin than expected as new orders in January from Motorola, the primary client for both firms, were not as strong as expected, according to sources at the makers.

Both companies declined to comment on the news and questioned the reliability of the sources.

Sources at TGP noted that Motorola’s January orders for new handset chassis did not meet forecasts, while orders for last year’s models were declining as the vendor was phasing out some units.

Silitech sources noted that some Motorola orders in January were delayed, especially orders for high-priced metallic keypads. The company expects its revenues to start rising in February and expects first-quarter revenues to be declining just only 5% from the peak season in the fourth quarter of last year.

January revenues for headset maker Merry and keypad and flexible PCB maker Ichia declined slightly from the previous month as expected, according to sources at the companies.

Source: Companies, compiled by DigiTimes, February 2006

Article translated by Steve Shen and edited by Eric Mah