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Global Brands Manufacture Group Signs Agreement to Explore Power With IBM


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NEW YORK, NY - 31 Mar 2004: Global Brands Manufacture (GBM) -- part of China's highly-successful PouChen Group -- today announced it has signed an agreement with IBM to dramatically improve GBM Group's future product designs, especially when it comes to consumer electronics.

GBM Group said it will work with IBM's Engineering & Technology Services (E&TS) organization. E&TS will help GBM Group work on future designs that could leverage IBM's Power Architecture in everything from handheld systems to desktop computers, along with a variety of "connectivity oriented" applications, such as cell phones.

The products brought to market by GBM Group would be sold mostly in China, where the business has during the past four years invested more than $750 million (US) in building electronic design, development, manufacturing and distribution capability.

Under the terms of agreement, announced here today at an event called Power Everywhere, E&TS will guide and consult GBM Group on how to best utilize custom Power-based chip designs in a variety of products for China's fast-growing IT, pervasive and consumer electronic segments.

"The scalability and superior cost and performance of the Power Architecture will help us provide our customers with advanced functions and superior quality," said C.H. Tsai, chairman, GMB Group.

Reach Throughout China
The chairman said the agreement combines GBM Group's manufacturing presence, reach throughout China and other Asia Pacific countries and knowledge of consumer products with IBM's engineering design skills, vast portfolio of intellectual capital and what he called "the maturity and openness" of the Power Architecture.

GBM, located in DongGuan, China, with more than 22,000 employees, has several recognized first-tier technology customers manufacturing and selling everything from desktop and notebook computers to digital cameras to portable DVD's. It has a special focus on what it calls "consumer convergence products," such as mobile phones.

The GBM Group said it already has engaged with IBM technology design engineers who work at IBM's Power Architecture Center in China.

"Given GBM's strong presence in China, substantial investment in the electronics industry and its growing channels, this relationship has strategic importance," said Pat Toole, general manager, E&TS.

E&TS began operations in China less than a year ago as part of IBM's Greater China Group. Since then, it has been working with a variety of clients who design chips, sub-systems or systems to continue the tremendous momentum of the Power Architecture. "We believe the adoption of the Power Architecture will have a huge impact across all sectors of technology, especially on China and especially in consumer electronics," Toole added.

Financial terms of the agreement were not disclosed.

For more information on IBM E&TS visit: www.ibm.com/technology

For more on Pouchen Group, which holds GBM, as well as other companies, visit: http://w3ee.pouchen.com.tw/

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Power and Power Architecture are trademarks or registered trademarks of IBM Corp.

Contact(s) information

Cary B. Ziter
IBM Media Relations
(845) 892-5005
cziter@us.ibm.com