Fujitsu enters into tie-up with Fedtec

Circuit EC / Mumbai

Fujitsu Microelectronics and Federal Technologies (Fedtec) have entered into a strategic partnership to strengthen their presence in the digital television applications space. Fujitsu Microelectronics is a major supplier in the microelectronics and flat panel display industry, while Fedtec, a Bangalore-based original design manufacturer, is a player in digital television technologies and in particular in the set-top box designs and products space.

Under the agreement, Fujitsu Microelectronics will provide Fedtec with essential development tools, data sheets and technical information on Fujitsu Chipsets for its designs. The agreement will also enable Fujitsu Microelectronics to render quicker response on technical support and impart training on new hardware platforms to Fedtec. In addition, Fujitsu Microelectronics will also support Fedtec’s engineering and design group by sharing product roadmaps from time to time.

Ronnie Lau, vice president of Fujitsu Microelectronics Asia Pte said, “Fedtec brings expertise in the digital television field and customised set-top box solutions that the market requires. This strategic partnership will be a ‘win-win’ relationship for both companies. We will be able to leverage on each other’s strengths and capabilities especially for the design of set-top boxes”.

The agreement also allows both companies to adopt a flexible business model. Fedtec will have the right to buy key components from Fujitsu Microelectronics for the manufacture and sales of set-top box products using these components. Fedtec will sell original design end-products made according to customer’s specifications, manufactured out of a third party facility in India or elsewhere, to any customer in the world.

Rathan Kumar, chairman & CEO of Federal Technologies said, “Fujitsu Microelectronics Asia Pte is a leading supplier in the semiconductor industry with pace-setting technologies and highly reliable products.

With our assistance, Fujitsu Microelectronics will be able to make inroads into the huge Indian market. As for Fedtec, we will be able to gain from the transfer of the latest technologies and the backing of a reputable brand such as Fujitsu Microelectronics”.

The potential demand for set-top boxes in India is substantial, as there are more than six million cable-connected households in Indian metros. Assuming 25 percent opted for pay TV in the first year of CAS implementation, 1.5 million set-top boxes will be needed. This figure excludes the requirements of the 37 millions cable-connected households in the rest of the country.