Asustek, Realtek to Support Music Download Service – Report

by Anton Shilov
09/21/2006 | 01:16 PM

Asustek Computer, the world’s largest maker of mainboards, and Realtek Semiconductor, a leading designer of integrated circuits, reportedly plan to invest into a music service in Taiwan, which has plans to expand to mainland <%BANNER[article]%>China. The move may indicate interest of a leading manufacturer and a leading chip designer in expanding market of digital media download services and playback devices.

Citing Commercial Times news-paper, Digitimes web-site reports that Asus and Realtek plan to invest into an online music platform Kuro, which had been setup by PC audio chip solution supplier C-Media Electronics and Fashionow. It is claimed that the service currently works in Taiwan, however, it has plans to expand into mainland China.

The Wall Street Journal earlier reported that Sandisk and Samsung also pursue deals with online music stores, according to Reuters news-agency, which, along with Microsoft’s plan to launch its Zune music player along with a digital music store, indicates that manufacturers tend to invest into services in order to back their devices with a convenient music store.

Asustek has been trying to enter the market of consumer electronics since 2003, but without any massive success. Investments into a music store may demonstrate the company’s plan to enter the market of digital media players in China.

Neither Asustek nor Realtek commented on the news-story.