Abit mulls withdrawal from the motherboard market

— 10:23 AM on May 27, 2008

Another second-tier motherboard maker may soon bite the dust. Former enthusiast sweetheart Abit may pull out of the motherboard market if its future P45-based mobos don't sell well.

Quoting its anonymous channel sources, DigiTimes paints a disheartening picture of Abit's current situation. The firm hasn't competed up to the standards of its parent company, USI, against both fellow second-tier mobo makers and first-tier behemoths like Asus. To make matters worse, Abit's shipments have reportedly gone down this year, despite its purported plans to raise shipments from 2-3 million in 2007 to six million in 2008.

DigiTimes explains that Abit's business outlook hinges on its upcoming motherboards based on Intel's P45 chipset. If the boards sell well, Abit may survive in its current shape at least for another round. If not, the company may leave the motherboard market and start selling other products under the Abit brand. The report says Abit officially maintains it will continue developing motherboards, however.

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