MILPITAS, Calif.-Solectron Corp. and Mitsubishi Electric Corp. formed a manufacturing partnership to compete in the North American wireless market. Under the agreement, Mitsubishi will transfer to Solectron the wireless telephone manufacturing assets of Mitsubishi Consumer Electronics America Inc.’s Cellular Mobile Telephone division located in Braselton, Ga. In addition, Mitsubishi Wireless Communications Inc. will establish a new U.S. design center.
Solectron, a worldwide provider of customized electronics manufacturing services to original equipment manufacturers, will provide a full range of manufacturing services, including new product introduction management, printed circuit board assembly and full systems assembly for Mitsubishi Consumer Electronics for the next five years.
“Mitsubishi Electric is the first Japanese electronics company to embrace this level of partnership and recognize the economic benefits of transferring its manufacturing assets to a global EMS leader like Solectron,” said Dr. Ko Nishimura, chairman, president and chief executive officer of Solectron. “This is a ground-breaking move by Mitsubishi Electric, and we hope that more will follow. Japanese OEMs are beginning to reposition themselves to better use their assets, reduce their internal cost structures and become more competitive in the global marketplace.”
