According to market sources, Taiwan IC distributor Kuen Chaang Uppertech (KCUC) has teamed up with LCD panel and system maker Innolux Display with the goal of offering one-stop-shopping solutions to players in China's white-box handset market in 2009.
Demand for mid- and small-size panels is much stronger than large-size panels in recent months due to the various competing applications such as handsets, digital cameras, portable devices or GPS devices, with related IC sales also driving demand at IC distributors, the sources added.
Mid- and small-size panel IC distributors include WPG Holdings, Professional Computer Technology (PCT), Zenitron, WT Microelectronics, Yosun Industrial and Supreme Electronics. KCUC, whose major products are handset chips from MediaTek, is also planning to enter the mid- and small-size panel market, the sources noted.
In addition, by working with Innolux, KCUC expects to be a complete handset display solution provider, offering panels and backend ICs, stated the company.
The sources also indicated that the performances of Innolux's major customer Motorola has been slowing in recent quarters, which has allowed Innolux to expanding the scope of its business to the China white-box handset market, offering customized mid- and small-size panels.
Article translated by Meiling Chen
