Gigabyte Calls It Quits on ASUS Alliance

Last fall on December 7th, Gigabyte and long-time rival ASUS announced a partnership where a new joint company called Gigabyte United would be formed of which Gigabyte would own 51% and ASUS would take the remaining 49%. No details had been revealed at the time of how the partnership would affect sales and manufacturing, and when and where a particular brand would be used.

This week during a press conference in Taiwan, both companies announced that the partnership in Gigabyte United was officially dissolved, while the branding and company would still be there, the two companies would no longer keep the partnership. Tomas Lee, marketing manager for Gigabyte, claimed Gigabyte decided to call off the partnership. "Gigabyte would have 49% less revenue from motherboard and VGA sales. For the amount that ASUS invested in, it didn't seem justified," said Lee. ASUS commented briefly on Gigabyte's decision and said that it respects it. Lee mentioned that the two companies will continue to compete with each other like they have always been doing.

News source: DailyTech

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