Eee PC maker Asus goes gadget

From CNET News.com: It made a splash with the Eee PC. Now Asus, once known chiefly as a components maker, is looking to make the leap to consumer gadget maker.
One of the largest manufacturers of motherboards for two decades, albeit it a largely unsung one, the Taiwanese company finds itself smack in the middle of a transition from components maker to serious contender in PCs and accessories. Asus (pronounced "ah-soos") is attempting to establish itself as a brand name worldwide while making new forays into software and design.

In addition to creating a new line of consumer products like TVs, VoIP phones, e-readers, and streaming Web video gadgets, the company's leadership has its sights squarely set on being the third-largest notebook manufacturer in the world by 2012, while remaining the world's largest supplier of motherboards. While it sounds somewhat ambitious for a company known more for nuts and bolts, there's precedent: Fellow Taiwanese company Acer was in a very similar position a few years back and was able to transition from microchip maker to one of the largest laptop producers in the world.

Could Asus could be another Acer in the making?

Repeating Acer's success is, no doubt, difficult. But the two companies have a lot in common: Both started as components makers in Taiwan, and made the leap into making PCs and smartphones (Acer acquiring E-Ten, Asus partnering with Garmin). Asus' very existence was also made possible by its rival--it was founded by former Acer engineers.

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