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Cisco's China R&D center will not affect relationship with Taiwan.


Thursday, October 7, 2004

Taiwan makers will continue to play an important role in Cisco Systems’ supply chain after the vendor’s new R&D center in China begins operation in its third fiscal quarter of 2005, according to Larry Chai, country manager of Cisco Systems Taiwan.

Cisco company president and CEO John Chambers had earlier announced a plan to invest US$32 million in an R&D center in Shanghai over the next five years.

Cisco intends to maintain strong relationships with Taiwan-based makers, including its four major contract makers, Foxconn Electronics (the registered trade name of Hon Hai Precision Industry), Quanta Computer, Inventec Multimedia & Telecom (IMT) and Taiwan Semiconductor Manufacturing Company (TSMC), Chai said. Products such as switches, blade servers, IP phones and power supplies are manufactured by the four contract makers, Chai added, and Cisco will continue to receive those products from them.

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