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D-Link, Sojitz tie up in Japan, S.E. Asia networking/communication market.


Taipei, Aug. 17, 2009 (CENS CENS Censor
CENS Center for Embedded Networked Sensing (UCLA NSF)
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CENS Centre d'Etudes Nucleaires de Seclay
)--D-Link Corp. of Taiwan, a major networking/communication equipment supplier, recently signed an agreement with Sojitz Corp., an affiliate of Nissho Electronics Corp. (NELCO NELCO New England Laminates Company ) of Japan, to form a strategic alliance to develop markets in Japan and Southeast Asia in the next three years. Sojitz has 570 distribution points in 95 nations.

The partnership is expected to create additional business opportunities of US$100 million.

Tony Tsao, D-Link's CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board.  and president, pointed out that his company began deploying in Japan two to three years ago. Last year, the Japanese operation only contributed about 0.5% of D-Link's overall revenue, but the partnership with NELCO is expected to generate US$50 million in corporate revenue in 2010, accounting for 5% of the company's overall income.

The CEO and president explained that the partnership would focus on developing sales of enterprise network switches and wireless local area network (WLAN See wireless LAN.

WLAN - wireless local area network
) equipment to over-500-employee enterprises in Japan and Southeast Asia as well as the educational and governmental institutions in Japan. For China, Vietnam, Indonesia, Thailand, the Philippines etc., targeted products include WALN WALN World Association of Lebanese Neurosurgeons , IP, webcam, xDSL (x Digital Subscriber Line See DSL.

(communications, protocol) Digital Subscriber Line - (DSL, or Digital Subscriber Loop, xDSL - see below) A family of digital telecommunications protocols designed to allow high speed data communication over the existing copper telephone lines between end-users and
) etc. products.

NELCO's chairman Takao Tsuji stressed that his company has accumulated more than 40 years of experiences in information and communication technology (ICT) industry and thinks there is still great room for growth in SE Asia in the next five to 10 years.

D-Link has won orders from Japanese military units, aerospace industry and FTTH (Fiber To The Home) See FTTP.  (fiber to the home) industry, but Tsao said that currently the Japanese consumer market is too competitive to go in.

For the limited market share of Taiwan-made networking/communication products, Tsuji explained that most Taiwanese companies are unfamiliar with the overseas market and often adopt wrong marketing methods. In Japan, he stressed, NELCO has many big customers such as NTT Docomo, KDDI etc.

((QL)) (E)
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Title Annotation:D-Link Corp., Sojitz Corp.
Publication:The Taiwan Economic News
Geographic Code:9TAIW
Date:Aug 17, 2009
Words:311
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