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ALi: Veering Away from Mainboard Chipsets

by Anna Filatova
04/29/2002 | 10:16 PM

Having suffered a total fiasco in the desktop chipsets market, ALi Company keeps moving to the multimedia chipsets and controllers business (such as IDE-to-USB controllers, for instance). Actually, they feel quite alright about it: the total margin in the first calendar quarter of the year 2002 made 38% (the major parameter of the business profitability) while the sales reached 1.47 billion Taiwanese dollars ($42.26 million), as we read over here.

It is remarkable how this profit got split between different market segments: the share of “non-system” chipsets has already reached 51% having left only 49% to ALi’s former major. Moreover, if we consider system chipsets only, we will see that 82% of the profits were obtained from the notebook solutions, and only 18% from the desktop solutions. By the way, most mobile chipsets sold this quarter were intended for Pentium III/Celeron processors. Pentium 4-M chipset from ALi hasn’t yet become very widely spread.<%BANNER[article]%>

The company is going to keep reducing the share of system chipsets later as well. For example, in the second half of this year it should drop down to 40%.

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