Cheap China Production Lures Composite Technology
GTC Telecom Messes With Texas Phone Provider; Targus Plans to Boost Bluetooth Capability
TECHNOLOGY
Another technology company is lobbing work to China.
Irvine-based Composite Technology Corp., a maker of electric transmission cables, recently formed a venture with China’s Jiangsu Far East Group Ltd. The companies annually plan to make about 18,600 miles of composite core cables for electric transmission and distribution in China.
“We are excited to be working with Jiangsu to establish a Chinese presence for our advanced ACCC cable products,” said Composite Chief Executive B en ton Wilcoxon. “Our technology will play a major role in modernizing the Chinese power grid by increasing reliability and capacity.”
Composite initially will hold a 45% stake in the venture, with Jiangsu owning the rest. Foreign companies that want to do business in China must partner with Chinese companies.
The move takes advantage of China’s cheaper labor and production costs-something that Composite and other technology companies are keen to do.
Andrew Simons
Earlier this year, Composite consolidated its several operations here into a single 100,000square-foot space in Irvine.
The company combined its headquarters, production, administrative, research and development, and service and support operations in the move.
“Being able to consolidate and integrate all of Our operations and corporate offices in a single, centralized facility will enable us to better coordinate and implement our strategic planning, business and technology development, as well as our near-term production efforts,” Wilcoxon said.
“Moreover, this centralized location will provide us with economies of cost, time and scale that we’ll be able to apply to ongoing product development, commercial equipment design, technology demonstrations and future expansion,” he said.
Privately held Composite inked several rounds of funding in the past year. In spring, it closed a $1.5 million equity sale. The money is set to help the year-old company roll out its first products, according to Wilcoxon.
In December, the company closed on a separate stock sale worth $3 million.
Unlike cable with a heavy steel core wrapped in aluminum, Composite’s products use a fiber and resin core wrapped in aluminum. The newer lines have better performance than traditional lines, the company said.
More TransDimension
Irvine-based TransDimension Inc. wanted to correct a couple of points from our July 19 story on its recent $18 million round of funding.
Turns out Ping Liang no longer is chairman of the chipmaker, as the Business Journal reported. Liang, a former University of California, Riverside professor who founded the company, left TransDimension to pursue other interests, the company said.
TransDimension doesn’t name its board members on its Web site. Dirk Gates has been TransDimension’s chairman for several years.
TransDimension has raised a total of $34 million, with the latest round being led by Vantage Point. Englewood, Colo.-based iSherpa Capital LLC also participated. TransDimension has licensed its designs to several companies, including Qualcomm Inc., Motorola Inc. and NEC Corp.
Telecom Tolling
Costa Mesa-based GTC Telecom Corp., a long distance and Internet service seller, has signed a pact with Southwestern Bell LP, a unit of San Antonio, Texas-based SBC Communications Inc., to offer service in Texas.
The deal expands GTC services. Earlier this year, GTC started offering service in Florida.
Back in California, Verizon Communications Inc. said it’s linked about 100,000 homes in Southern California-many in Huntington Beach- with its “fiber-to-thepremises” service.
The technology uses speedy fiber-optic connections, instead of traditional copper wire, to homes and businesses. It’s faster than cable or digital subscriber line connections.
Local Products
Anaheim-based Targus Inc. recently unveiled a new mouse that connects to a computer via the Bluetooth wireless standard.
The company said it would expand Bluetooth connection capabilities to its keyboards, personal digital assistants and other gear.
Meanwhile, it looks like former eMachines Inc. chief Wayne Inouye’s leadership at Gateway Inc. is paying dividends on the retail front.
Gateway now will sell its computers at Best Buy stores. Inouye is a former vice president at Best Buy Co. The computer seller previously sold directly from its stores or Web site.
“Gateway’s products will be included in Best Buy’s advertising inserts, which reach over 50 million households a week, and we look forward to working with them to expand the distribution of our products, making them more widely available to millions of consumers,” Inouye said.
Gateway is set to move from Poway to Irvine this summer.
Copyright CBJ, L. P. Aug 2-Aug 8, 2004