Gigabyte spins off server business unit, renaming subsidiary ‘Giga Computing’

Giga Computing GIGABYTE

Taiwanese original equipment manufacturer Gigabyte has severed its server division creating a fully-owned data center-focused subsidiary, ‘Giga Computing’.

According to a press release, the move will “leverage the Gigabyte brand to drive server business growth and innovation’. Giga Computing will focus on the development and sale of servers and server motherboards, while Gigabyte will concentrate on consumer electronics like GPUs, laptops, desktops, and other PC components.

The enterprise subsidiary has an estimated value of NT$833,600,000 ($27.2 million). As part of the move, Gigabyte will receive 83,360,000 common shares of Giga Computing at NT$10 per share.

According to the press release, the split should not impact customers, and they can expect business as usual with no ‘impact on the daily and financial operations of the parent company.’

“Gigabyte has been going through a transformation to elevate performance and return great value to our shareholders. This is just another extension of our long-term plan that will allow our enterprise solutions better react to market forces and to better tailor products to various markets,” said Daniel Hou, CEO of Giga Computing.

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