03.07.2001
Talents slipping out of ACM's grasp

• Acer Communications and Multimedia (ACM, 2352 'Ming Ji') reports that at least 30 R&D staff members, mainly from the radio frequency (RF) design and software division, have left the company since the beginning of the year. The departees were likely wooed by other Taiwan handset makers willing to pay more for the limited supply of talent in handset research.

• We believe the effect of the departures will be limited in the short run, but may hurt ACM's bargaining power in securing future business. Major international handset makers tend to outsource more ODM than OEM.

BennyLo@Primasia.com +886-[0]2-2547-8869