Acer Group Raises Stake in TSMC-Acer

-- Semiconductor International, 10/1/1999

With business focus shifting to the field of software and the Internet, Acer Group, maker of PC-related products, is dissolving its Acer Semiconductor Group (ASG), formed in August 1998. Group officials denied they will drop out of the semiconductor business, saying instead the company plans to increase its focus in TSMC-Acer.

After merging with TSMC, TSMC-Acer turned its focus away from DRAM making to foundry activities. To show its strong commitment in semiconductors, the company has decided to invest up to $3 B in TSMC-Acer. Acer plans to reorganize its four remaining semiconductor companies -- Acer Laboratories, Apacer Technology, Taiwan Semiconductor Technology Corp. and Acer Testing -- into a business unit. 'This move will allow the semiconductor companies the freedom to develop their core competencies and take more business opportunities,' said an Acer representative.

While disbanding ASG, Acer recently assigned other sub-groups, Acer SoftCapital Group and Acer Digital Service Group, to explore the emerging software and Internet markets, respectively.