Asus Motherboard Outlook Improves, Still Predicting a Decline in Shipments

Paul Lilly

Things are looking a little brighter for Asus, and according to company president Joe Hsieh , motherboard shipment growth for the second quarter is no longer expected to decline quite as sharply as previously thought. Asus had originally predicted a 10-15 percent sequential drop in motherboard shipments, but has now adjusted its outlook to a 5-8 percent decline.

The reason for the revised outlook is strong demand in China. Asus claims a 30 percent share in China's motherboard business, and according to Hsieh, continued strong demand will help the company ship more boards in the coming months.

On the consumer side, don't be surprised if motherboard prices start to rise. Raw material prices are getting more expensive, prompting Hsieh and Co. to evaluate charging more for motherboards, while other mobo makers are in the same situation.

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