Connect with us


USI Signed Joint Venture Agreement with Cancon to Jointly Establish a Server Component Company

Zoltán Tűndik



Reading Time: 3 minutes


SHANGHAI, Sept. 1, 2018 – On March 25 this year, USI, a giant electronics designer and manufacturer in the world (SSE: 601231), and Cancon Information Industry Co., Ltd. (hereinafter referred to as Cancon) announced to sign a Memorandum of Understanding on establishment of a joint venture. On August 31, Universal Global Technology (Kunshan) Co., Ltd. (hereinafter referred to as USI-Kunshan), a wholly-owned subsidiary of USI, signed the Joint Venture Framework Contract and Shareholder Agreement with Cancon, to formally launch the joint venture project. The two parties would jointly invest 220 million yuan to establish a joint venture, with Cancon holding 51% of shares, and USI-Kunshan holding 49% of shares. Cancon is a share-holding subsidiary of Dawning Information Industry Co., Ltd. (SSE: 603019, hereinafter referred to as “Sugon”) that holds a 30.2% stake in Cancon.

In the future, USI and Cancon will deepen their cooperation in the R&D, design and production of safe and controllable high-performance server products, and integrate the industrial resources of USI and Sugon to provide solutions that conform to network security and related standard products for customers in the domestic market.

“To grasp the current market opportunities, we offically sign a joint venture with USI and cooperate deeply in the field of secure and controllable high-performance server products. At the right time, we will integrate the respective advantages of the core technologies, products, markets, R&D, intelligent manufacturing, and supply chain etc. In the future, I hope to use this as an opportunity to promote the comprehensive cooperation between Sugon and USI,” said Nie Hua, President of Cancon.

Jeffrey Chen, Chairman of USI, said, “I am very pleased that today USI has signed a contract with Cancon. USI is a reliable partner in the electronics manufacturing service industry and is currently accelerating the pace of ‘expansion’. Sugon has good growth and potential in the field of independent security and controllable high-performance server products. Through joint ventures and strategic alliances, it could benefit both parties to jointly expand the market and business growth.

After formulating the “Expansion” strategy in early 2018, USI has signed a joint venture agreement with Qualcomm to establish a joint venture in Brazil, and acquired a 60% stake in the Polish subsidiary, Chung Hong Electronics Poland SP.Z.O.O., of Taiwan Lead Data Inc.. Its expansion plan and plan to invest in the establishment of a new factory in Shanghai, Kunshan, Mexico, and Taiwan are also in progress. USI has accelerated its steps of “globalization” to respond to the adjustment of customers’ needs for product delivery and strives for more business opportunities.

About Cancon

Dawning Information Industry Co., Ltd. (hereinafter referred to as “Sugon”) is a national high-tech enterprise established under the vigorous promotion of the Chinese Academy of Sciences and based on the major scientific research results of the National “863” Plan. On September 12, 2017, the Kunshan Municipal Government signed a Cooperation Agreement on “Security and Controllable Information Technology Industrialization Project of Chinese Academy of Sciences” with Sugon. The Chinese Academy of Sciences Holdings Co., Ltd., Sugon and Kunshan Hi-tech Group Co., Ltd. jointly initiated the establishment of China Science and Technology Controlled Information Industry Co., Ltd., and established the National Advanced Computing Industry Innovation Center and the Chinese Academy of Sciences Security Controllable Information Technology Industrialization Base. The main project base is located in the Kunshan National Hi-tech Industrial Development Zone. In 2018, is planned to build a National Advanced Computing Industry Innovation Center, a national integrated circuit major project, Security Controlled Chip R&D industrial, with an annual output of 1 million sets of security and controllable high-performance computer server.

About USI (SSE: 601231)

USI is a leading global D(MS)2company providing design, miniaturization, material sourcing, manufacturing, logistics, and after services of electronic devices/modules for brand owners. USI is a member of ASE Group and has been listed in Shanghai Stock Exchange in 2012. It has many years of experience in the electronics manufacturing services industry and leverages the industry-leading technology of ASE Group, which enables USI to offer customers diversified products in the sectors of wireless communication, computer and storage, consumer, industrial, and automotive electronics worldwide. Through the sales service network in North America, Europe, Japan, Mainland China, Taiwan, and manufacturing sites in Mainland China, Taiwan and MexicoUSI has about 17,000 people worldwide. For more information, please visit the website


Thank you for reading my articles and engaging with the hand picked PICANTE News!

Here are a few things you should know about me!

After accumulating enough experience by launching and building a successful media and events organizer company in the gaming industry, the opportunity to also move into more verticals just came naturally.

I've started writting in 2009 and thanks to my webdesigner skills, managed to develop some recognized review portals in several industries.

In 2015, I have moved deeper into journalism and media by co-founding a B2B publishing and events organizing company which we run in parallel with PICANTE New. My experience has lead me to move into the B2B sector and write about compliance updates and report around the happenings of the online and land based gaming sector.

In 2018 I've been invited to speak at a local TEDx event about Global Reputation Management in the Digital Era. You can view my talk on the following link on YouTube:

I have hunger for knowledge and always curious about what happens in tech and this is one of the reasons I've started writing and publishing news about several industries, such as AI, VR / AR, Blockhchain, Fintech. Came to realize there are many new things that are often overlooked in the busy media streams, thus would like to bring you some news about some of the newest releases and happenings.

But enough about me, I am sure you are interested in reading the news :)

You can find my articles and hand picked B2B news in the following categories:


You can get in touch to discuss interviews or possible article submissions by contacting us.

Let's also connect via social media! You can find me on LinkedIn.

Font Resizer


Subscribe to PICANTE via Email

Enter your email address to subscribe to PICANTE and receive notifications of new posts by email.

Follow us on Facebook

Follow our Tweets


Please turn AdBlock off