August 2, 2000

Taipei - - Taiwan's Abit Computer Corp. recently announced that it will launch new products, including high-end home theater accessories and Internet classroom equipment in August, while decreasing it's staple line of motherboards from 90% to approximately 80% of capacity, Wang Jan-tseng, the company's president, announced in Taipei.

The new prodcuts are the first of Abit's diversification into the often talked future oriented information appliance (IA) business, the president said. Abit will begin cultivating capabilities in system design and assembly this year and later rapidly diversify into IA production by acquiring needed wireless telecom technology know-how from strategic alliance with technological partners. For the targeted IA products, Abit last year began developing Linux-compatible operating systems for handheld devices.

Abit was founded in 1989 and become one of Taiwan's top ten motherboard manufacturers within the first five years. In the first half of 2000, the firm delivered approximately one million motherboards, slightly below forecast. The total of this year was predicted to be 2.5 to 2.8 million motherboards.