Intel may place OEM orders to motherboard makers

Intel may place OEM orders to motherboard makers

The move would help the company save R&D costs for its own-brand motherboards

Tuesday, June 23, 2009

BANGALORE, INDIA: The semiconductor industry is speculating that Intel might release ODM orders in place of OEM orders for the first time to Taiwan motherboard makers.

The grapevine says that Intel is gearing up place such orders with Foxconn Electronics soon. The chip making giant, meanwhile, has dismissed it as just speculation. However, the company said it is already into design and development of motherboards.

Industry reports said that the Intel move might help the company save R&D costs for its own-brand motherboards.

Intel, at the moment, boasts of annual shipments of around 4-5 million units. Intel, which has said that it would not stop making motherboards., makes use of its overall resources to meet the respective market needs.

Meanwhile, the 'speculative reports' added that Pegatron Technology, a Intel OEM partner for motherboards, will not be included in the new orders. Asustek Computer, an important client for Pegatron, is said to be increasing its outsourcing ratio to others maker to save costs.

This in turn stands to reduce Pegatron's motherboard shipments in 2009 to at least 25 per cent compared with the numbers recorded in year 2008.

©CIOL Bureau