This article only represents the author's own views.
Corporate alliances are often a dime a dozen, frequently pairing companies in marketing and technology tie-ups based on the latest industry trends. But they can also sometimes act as much bolder statements of where companies see the future. The latter appears to be the case in a joint venture announcement last week between smart-hardware and optics-module maker Sunny Optical Technology (Group) Co. Ltd. (2382.HK) and contract manufacturer Goertek Inc. (002241.SZ).
Under the deal, Sunny Optical transferred the entire equity interest in its Shanghai OmniLight subsidiary to Goertek for 1.9 billion yuan ($267 million) in exchange for a stake in Goertek’s optical unit. Goertek Optical was then combined with Shanghai OmniLight as a joint venture, Goertek-OmniLight Optical Technology. Both firms will invest an additional 200 million yuan into the new venture, which will be 31.31% owned by Sunny Optical.