Press Release
3DLABS to Refocus its 3D Graphics Business on Portable Handheld Device MarketSub heading within a page
SINGAPORE - February 24, 2006 - - Creative Technology
Ltd. (NASDAQ: CREAF), a worldwide leader in digital entertainment products,
today announced that its subsidiary, 3DLABS?Inc., Ltd. will refocus
its 3D graphics business on the portable handheld device market and
de-emphasize its professional workstation graphics business.
3DLABS will transition from the
shrinking professional workstation graphics market to focus on portable
handheld devices which require intensive media processing for video,
audio and increasingly powerful 3D graphics. This will result in a workforce
reduction of approximately 100 3Dlabs employees.
As a result of the 3DLABS refocus, Creative expects to take a one-time
restructuring charge of approximately $9 million in the current fiscal
quarter and a non-cash impairment charge of approximately $25 million
for goodwill and intangible assets relating to 3Dlabs.
About ZiiLABS
ZiiLABS is a leader in media-rich application processors, hardware platforms and advanced middleware. Its products enable OEMs, ODMs, System Integrators and Software Developers to deliver industry-leading devices across a broad range of consumer electronics and embedded markets. Originally founded in 1994 as 3DLABS, the company re-branded and joined with the Personal Digital Entertainment group of Creative Technology to form ZiiLABS in January 2009. ZiiLABs with over 800 R&D engineers today has invested US$1billion and 10,000 man years in media processing solutions and has offices in the UK, China, USA and Singapore.
All brand and product names mentioned herein are trademarks of their respective owners and are hereby recognised as such.
