Monday, April 18, 2011

HP fine-tunes new notebook orders to ODMs

WorldWideTech & Science. Francisco De Jesús.


Hewlett-Packard (HP) has reportedly fine-tuned again the release of its new notebook orders, raising the ratios of orders to Compal Electronics and Wistron, while lowering the portions to Quanta Computer, Foxconn Electronics (Hon Hai Precision Industry) and Inventec, according to industry watchers.

Compal and Wistron both declined to comment on market reports.

But the sources indicated that the ratio of notebook orders from HP to Wistron's total notebook orders has climbed to 10-15% recently compared to a single-digit rate previously.

Wistron has managed to win more orders from HP after the ODM moved its business unit it set up to work with HP exclusively from Xizhi, New Taipei City to Neihu, Taipei City, indicated the sources, noting that Wistron's office in Xizhi is located in the same building as Acer's headquarters which might have made HP reluctant to give more orders to Wistron previously.

Quanta shipped 5.7 million notebooks in March 2011, of which over 50% were shipped to HP, the sources indicated.

For April, Quanta and Foxconn will each have 40% of HP's notebook orders, with Inventec, Flextronics, Wistron and Compal sharing the remaining 20%, the sources revealed.

But with Foxconn planning to begin shifting its production for HP's notebooks from Shanghai to Sichuan in May, HP has adjusted the policy for the distribution of its new orders to ODMs due to concerns of production capacity at EMS firms, the sources observed.

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