Eindhoven, The Netherlands - The Board of Lite-On IT Corporation ("Lite-On IT") resolved that Lite-On IT will acquire 49% share of Philips & BenQ Digital Storage Corporation ("PBDS") from BenQ Corporation ("BenQ") of Taiwan. PBDS, a joint venture company of Royal Philips Electronics ("Philips") and BenQ, will be renamed as Philips Lite-On Digital Solutions Corporation ("PLDS"). The operations of PLDS will include Design, Development, Sales and Marketing of Digital IT Optical Disc Drive products, while Lite-On IT will be responsible for the manufacturing process.
For Europe, this means that all operations currently handled by Lite-On IT BV in Eindhoven (The Netherlands) will be continued under the new joint venture PLDS. PLDS will continue to provide channel partners superior Lite-On branded optical disc products and support as Lite-On IT did. With the new PLDS joint venture between Lite-On IT and Philips, Lite-On IT demonstrates its desire and ambition to solidify its global leadership position in the manufacturing and sales of optical storage products.
This alliance is expected to be completed in the first quarter of 2007, subject to the normal regulatory approvals and conditions.