Via says demand may not improve until September

By Bloomberg, Singapore.CNET.com
Tuesday, June 05, 2001 01:30 PM
TAIPEI--Via Technologies Inc, Taiwan's biggest chip designer, said demand has fallen lower than expectations and it won't know until September whether it will rise, possibly boosted by more computer orders when the new school year starts.

Slumping demand for computers had also caused demand for its central processing unit designs, the brains of the computer, to slide from the second quarter, Richard Brown, the director of international marketing at Via, said.

"The market is very competitive," Brown said at the Computex technology trade fair. "We have been quite aggressive on pricing." He declined to say how much Via has cut the prices for its products.

Via's May sales fell 16 percent from April to NT$2.7 billion (US$79 million) as competitors such as Intel Corp. snagged some of Via's customers and demand for computers slipped.

Via's shares fell NT$7 (US$0.21), or 2.7 percent, to NT$251 (US$7.36) yesterday. The stock has fallen 33 percent in the 12 months to date compared with the 44 percent decline in Taiwan's key TWSE Index.


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