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Foxconn exits own-brand graphics card biz

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CIOL Bureau
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TAIPEI, TAIWAN: In a significant move towards realignment of business operations, the Taiwan based Foxconn Electronics has exited manufacture of marketing graphics cards under its own brand.

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It may be recalled that Foxconn’s Channel Service Division (CSD) had very recently included white-box net book and smart book businesses under its operation, and is now also expected to take a conservative attitude toward its own-brand motherboard business.

According to a report quoting Young Liu, special assistant to the CEO of Foxconn, the company has since rearranged its CSD and has redeployed a majority of its 9,000 employees working in the production division.

All the 9000 staffers have been asked to join its OEM division. Meanwhile, as many as 500 employees in the divisions related to sales and marketing would remain with the Channel Service Division.

With the motherboard business intact, the company is looking forward to ship close to 7 million own-brand motherboards this year. This might happen after the current staff redeployment. The expected seven million could mean that the number takes a leap from the five million shipped in 2008.

In the meantime, OEM shipments are expected to touch 30 million units, sad the company sources. At the same time, the company has preferred to be silent on its e-book reader plans.

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