To gain a stronger hold on driver IC supply, AUO has decided to acquire more stakes in Raydium and Data Fast, who are currently rather small makers. No immediate impact is expected on the maker's other existing suppliers. However, it is believed that AUO has plans to help the two respectively become its major driver IC suppliers for large panels and for small and medium panels.

 

AUO holds over 50% ownership of Raydium which has a monthly capacity of one million units, less then 10% that of AUO's overall demand. Raydium's shipments to AUO are comprised primarily of gate ICs, but will begin including some source ICs in the fourth quarter of 2005. Novatech presently supplies all of AUO's small and medium panel driver ICs, and most of that for large panels.