Chaintech to exit motherboard business

[Take a Walk]

http://www.digitimes.com/news/a20050908PR206.html
[Thursday 8 September 2005]

Second-tier motherboard maker Chaintech Computer plans to phase out its
motherboard business and introduce a new memory module product line in
October, as IC testing and packaging house Walton Advanced Engineering
has become Chaintech’s largest shareholder with a 25% stake, according
to the Chinese-language Commercial Times report today.

Chaintech confirmed that the company is gearing up to launch memory
module products and will gradually phase out its motherboard business.
However, the launch date of the new product line has not been revised.
Despite its plan to exit the motherboard market, Chaintech will carry on
its graphics card business, which accounts for about 60% of its revenues
at present, the paper indicated.

In a company filing with the Taiwan Stock Exchange (TSE) yesterday,
Chaintech’s board of directors approved for Walton to take four director
seats and one supervisor seat on Chaintech’s board of directors.

[keith]

On Thu, 08 Sep 2005 14:29:32 -0500, Ed wrote:
http://www.digitimes.com/news/a20050908PR206.html [Thursday 8 September 2005] Second-tier motherboard maker Chaintech Computer plans to phase out its motherboard business and introduce a new memory module product line in October, as IC testing and packaging house Walton Advanced Engineering has become Chaintech’s largest shareholder with a 25% stake, according to the Chinese-language Commercial Times report today.
Strange. From one no-margin business, down the food chain a step or two.

--
Keith

[Tony Hill]

On Thu, 08 Sep 2005 14:29:32 -0500, Ed <spam@hotmail.com> wrote:
http://www.digitimes.com/news/a20050908PR206.html[Thursday 8 September 2005]Second-tier motherboard maker Chaintech Computer plans to phase out itsmotherboard business and introduce a new memory module product line inOctober, as IC testing and packaging house Walton Advanced Engineeringhas become Chaintech’s largest shareholder with a 25% stake, accordingto the Chinese-language Commercial Times report today.Chaintech confirmed that the company is gearing up to launch memorymodule products and will gradually phase out its motherboard business.However, the launch date of the new product line has not been revised.Despite its plan to exit the motherboard market, Chaintech will carry onits graphics card business, which accounts for about 60% of its revenuesat present, the paper indicated.In a company filing with the Taiwan Stock Exchange (TSE) yesterday,Chaintech’s board of directors approved for Walton to take four directorseats and one supervisor seat on Chaintech’s board of directors.

Hmm, that's unfortunate. I've been extremely pleased with my
Chaintech motherboard, I was actually planning on buying another one
to replace it in my next computer upgrade cycle. Their boards seem to
work pretty well and they are very reasonably priced.

Odd that they're planning on getting IN to the memory module business
though! Maybe things have changed in recent years with "premium"
memory modules, but traditionally that has been a total zero-margin
business.

-------------
Tony Hill
hilla <underscore> 20 <at> yahoo <dot> ca

[YKhan]

X-bit labs - Hardware news - Chaintech Denies Mainboard Business Quit.
http://www.xbitlabs.com/news/mainboards/display/20050909100012.html