ASUS and Gigabyte Form New Joint Venture

Gigabyte will own a 51% stake in the company, with Asustek picking up the other 49%. HKEPC (English) reports the deal is valued at approximately $244M USD, and that the new joint venture will become official January 1, 2007. Neither company would comment on the effect of the joint venture on existing manufacturing, claiming that only the legal proceedings to start the company have been publically announced at this time. The joint venture will also get a new name, but both companies are also tight lipped about that as well.

It’s not looking like this huge mergers are going to stop anytime soon. This will be an interesting one to watch though. Both companies bring a lot to the consumer table.