Foxconn to manufacture Asus-branded mobos?

— 10:55 AM on July 26, 2007

Earlier this month, Asustek announced plans to spin off its contract manufacturing operations into two new businesses separate from its Asus-branded products. DigiTimes now has word that Asustek may rely on third parties to manufacture Asus-branded hardware once the split goes into effect on January 1, 2008. Citing a report by the Economic Daily News, the site says Asustek is considering moving motherboard production to its current contract manufacturing rival Foxconn. Production of Asus-branded notebooks may also be outsourced to Quanta, the world's top notebook contract manufacturer. The paper says Asus normally outsources 20-30% of motherboard production in the "peak season," and that outsourcing to Foxconn could hurt future Asustek motherboard manufacturing spin-off Pegatron.

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