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Electronics Production | November 21, 2008

Alcatel takes back some production from Flextronics, Sanmina & Celestica

Alcatel Lucent is pulling back parts of its production from EMS-giants Flextronics, Sanmina-SCI and Celestica.
William Stein, analyst at Credit Suisse is cited in a barrons report in saying that Alcatel Lucent is pulling back most parts of the outsourced production from EMS-providers such as Flextronics, Sanmina-SCI and Celestica to produce back in-house. Alcatel is reported to transfer the production to its own plant -the Alcatel Shanghai Bell facility in China. The analyst predicts that the loss of these orders will cut revenue and profit for all three EMS-providers during 2009.

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