Hitachi Ltd. and NEC Corp. plan to form a joint venture company in October that will produce network routers and switches for corporations and telecommunications carriers, the two companies said Friday.
The joint venture, which has yet to be named, will supply backbone routers and switches to Hitachi and NEC for the two companies to sell on to their own customers, said Isao Ono, executive vice president of Hitachi, at a Tokyo news conference. It will also sell the products through distributors under its own brand name and could supply them on an OEM basis to other network equipment vendors, said Ono.
The joint venture expects to market its first product before March next year, said Ono, although he did not specify the product. The company's broad market will be demand for mid-to high-end routers and switches of the type used by telecommunications carriers and corporations in mission-critical applications. The new company hopes to achieve sales of