Good Morning Sonny and ALL! Article...Intel shakes up Taiwan's Fast Ethernet Market.
japanbiztech.com
Taiwan, Foreign Firms Team to Counter Intel
May 27, 1997 (Taipei) -- To counter Intel Corp.'s entry into the local network products market, Taiwan's three leading network companies have forged alliances with large international partners.
CNet Technology Inc. kicked off the trend in 1996 by signing an agreement to act as the Taiwan agent for IBM Corp. network products. Accton Technology Corp. entered into a similar agreement with 3Com Corp. And D-Link Corp. is a reseller for Cisco Systems Inc.
Last week, CNet signed a second agreement to serve as Taiwan agent for Japan's Allied Telesyn International.
Intel already has created waves in Taiwan's network industry by introducing a low-priced Fast Ethernet card. The company now is working on a motherboard with a built-in Ethernet card. This innovation will pose an even greater threat to its competitors, market watchers said.
The alliances formed by Taiwan's three leading network companies with foreign partners should enable them to acquire new technology, cooperate in production and expand the scope of their network services.
CNet General Manager Simon Chang said his company's cooperative agreement with ATI will enable better vertical integration and bring in higher-level products.
Under the cooperative deal between Accton and 3Com, Accton will serve chiefly as Taiwan agent for 3Com's Corebuilder products. These products are to be marketed mainly to corporations for building virtual private networks, virtual local-area networks or asynchronous transfer mode networks.
D-Link will market a variety of Cisco products, including routers and switches. D-Link has established extensive marketing channels throughout the Asia-Pacific region, especially in Chinese-speaking areas.
On the other side of the equation, foreign companies plan to increase OEM/ODM purchases from Taiwan manufacturers. Bay Networks, Cisco Systems and Intel reportedly have entered into such deals with local partners.
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Looks like DEC is not the only one freightened about Intel's latest venture.
Michael |
