Jan. 21, 2002

Apple Computer of the U.S. has officially decided to assign all OEM orders for making the new generation iMac notebook computers to Quanta Computer with an annual volume of 600,000 units each year, according to local sources.

The iMac PC will have 15" LCD monitors that will be produced by Hon Hai Precision Industry Co. Hon Hai's production volume of the monitors for Apple Computer will increase to over one million units this year from 600,000 last year.Quanta has been producing Powerbook notebooks for many years and has won ever stronger confidence from Apple Computer due to continuously improving functions and rising sales. Output of Powerbook reached 400,000 units last year.When including the iMac notebooks, Quanta's delivery to Apple Computer will hit the one million mark this year.In addition to Apple Computer, Quanta has been supplying PCs to other leading computer giants, including IBM, Dell Computer, Hewlett-Packard, and Compaq. The combined orders from these companies will increase to over 5 million units while revenues will rise to US$5 billion in 2002.Industry sources said that Hon Hai Precision has started manufacturing iMac desktop PCs with CRT monitors for Apple Computer. Its delivery of PCs to the U.S. company is expected to increase also to more than one million units this year from 600,000 units last year.

Big supplier to Gateway as well

In related news, Quanta had already confirmed in December that it would replace LG-Philips LCD of South Korea as the sole OEM supplier of notebook PCs for Gateway of the U.S., starting this year.

LG-Philips is the major OEM partner of Compaq, IBM, and Gateway. The South Korean counterpart now produces on an OEM basis about 40% of all notebook PCs demanded by Gateway, while Quanta display handles the remaining 60%