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Asustek plans 20% hike in mobo production

Benefits from PC companies' outsourcing

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Taiwanese motherboard giant Asustek is to increase production by at least 20 per cent this year, according to a Taipei report by Bloomberg. The projected hike comes on the back of increased orders from customers including HP and Sony.

Asustek sales grew by 18 per cent to $2.4 billion in 2001, representing motherboard production of 15 million. Company deputy finace director David Chang told Bloomberg that 2002 production would reach 18 million, although the agency also notes a more ambitious 24 million reported in the Economic Daily News.

Company profits were marginally up on the previous year in its third quarter, to $3.5 million, indicating that although it is benefiting from outsourcing by the big boys, Asustek too faces tightening margins. ®

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