The Xbox 360 manufacturers Flextronics

Flextronics had been the fourth largest EMS company when it began working on the original Xbox 2000. It grew rapidly through the late 1990s and 2000, but sales flattened as the technology market softened. The company continued to gain market share, however, and in the first quarter of calendar 2002, Flextronics passed Solectron (the company providing after-sales service for Xbox) to become the largest EMS. By the time it began work on the Xbox 360, all Xbox production had been transferred to Flextronicsí industrial park in Doumen, China. In addition to manufacturing, Flextronics had developed a substantial business in providing engineering services. It provided services for a wide range of industries, such as telecommunications and computers.

In the fiscal year ended March, 2005, Flextronics had revenues of $15.9 billion, with net income of $340 million. It had 82,000 employees worldwide.34

Wistron

Wistron was a Taiwanese EMS, which had been owned by Acer, a Taiwan PC manufacturer. In 2001, Acer spun off the company, maintaining about 40 percent ownership. Wistron offered a wide range of engineering and manufacturing services to its customers, primarily in the computer business. In 2004, Wistron had revenues of $3.7 billion, suffering a small loss.35

Celestica

Celestica began in Canada in the early 1900s when it was created by IBM to make parts. As IBM grew, Celestica developed as a manufacturing organization, providing circuit boards, memory devices, and power supplies. IBM sold Celestica in 1996, and two years later it went public through an IPO. Celestica became one of the world ís leading EMS companies, with sales in 2005 of $8.5 billion, while losing $47 million.36


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