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November 29th, 2005, 15:46 GMT · By Bogdan Ionescu

Rumour: Asus Plans to Split

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Asustek, one of the world's largest manufacturers of mainboards, notebooks and other components is said to be up for restructuring plans. As reported, Asus is expected to spin off the Asus branded business and to concentrate on manufacturing. The new unit will possibly go public in USA.

The
Asus brand is expected to become a new and independent company, with its headquarters in Singapore. The new company will aim for listing on the NYSE (New York Stock Exchange) in the near future while the parent company will solely manufacture hardware components.

Asustek declined to comment on rumors, but the possibility that there is something going on at Asus is high, and the company might try to surprise the public.

For many years, the business at Asus went into different directions like manufacturing mainboards but also notebooks and graphic cards, that got more and more popular. As recently reported, the company also plans to enter the LCD TV market under its own brand name. Also, Asustek manufactured products for Apple and Sony.

Experts say that two independent companies, the brand oriented one and the manufacturing one will be more likely to have success than a fully integrated one, as is the current situation.

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