There’s no official word on the matter, but it’s being floated around that powerhouse ASUS is looking into shutting down both its LCD and Eee Stick departments. While ASUS is becoming more of a global leader in the computer and component spaces, competition elsewhere is fierce.
For all the makers you can name that produce laptops and desktops, there are probably ten times that number putting out displays and ten times that number putting out peripherals. Given recent shifts in ASUS sales strategies like spinning off Pegatron and reorienting its market priorities, it wouldn’t come as much of a surprise to see them make the move.
While ASUS has apparently managed to completely clear out its LCD inventories and place more orders for the displays that ship with its desktop computers, the effort doesn’t come cheaply&mdsh;the company is still taking losses. Even though we’ve found that ASUS makes decent quality displays, sales of the Eee Stick have been limited at best, and it’s hard to say how much of an effect, if any, a shutdown like this would have on the market at large. Unsurprisingly, ASUS is denying that it’s closing down either department.