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BenQ integrates two handset centers to cut cost

Apr 17, 2006

BenQ-Siemens, BenQ Corp.'s mobile-business group, has combined its two handset-development centers in Taiwan and Germany into one after suffering a loss of NT$9 billion (US$281 million at US$1:NT$32) in the fourth quarter last year.

The group's executives stressed the integration would help the company boost efficiency. They noted that the two centers dealt with both product development and marketing, running against the management laws that marketing and R&D should be independent from each other.

The two centers had handled product marketing in Europe, South America and Asia-Pacific region. After the integration, their marketing function has been taken over by BenQ-Siemens' German headquarters.

The combined center now dedicates to product development work, jointly led by the two centers' former leaders. The combination will help shorten the center's time in product development, BenQ-Siemens' officials said.

To make the mobile-business group's phones more eye-catching, the company will introduce different product themes every quarter beginning this year. Last quarter, its product theme was shinning look. It will promote products that highlight music-play function this quarter for summer shopping season. The group will promote slim phones featuring metal look next quarter and third-generation phones in the fourth quarter this year in conjunction with most of domestic 3G-service providers' high-profile starts.

According to the mobile-business group's Taiwan executives, the group's share of the Taiwan market surged to 3% in March from February's 2.6%, mostly thanks to outstanding sales of some low-end and middle-range phones.

The group will introduce 12 product models throughout this half and EF81 3G phone in June or July. It is testing EF91 3.5G phones outsourced by European service providers T-Mobile and Vodafone at Taiwanese service providers Vibo Telecom, Taiwan Mobile and Far EasTone Telecom. The phones are scheduled to hit market in the fourth quarter this year.

source & copyright: CENS

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