Garmin-Asustek ties remain steady despite Nuvifone delay

The current cooperation between Garmin and Asustek Computer remains steady despite Garmin's announcement that the launch of its Nuvifone handset, manufactured by Asustek, has been delayed. The two companies are now sticking to a revised schedule which will see the Nuvifone begin to roll out early next year, according to sources from Taiwan's handset industry.

According to Garmin, the launch of its Nuvifone handset has been postponed to the first half of 2009 due to specification changes requested by its carrier clients. However, some market sources in Taiwan have claimed that the delay was caused by Asustek's lack of experience in the development of touch panel handsets.

Market rumors also speculated that Garmin is likely to seek alternative production partners in the future due to the slower-than-expected R&D progress at Asustek.

The sources argued that the delayed launch of the Nuvifone will affect sales of the 3.5G GPS handset in the future since Apple has already launched its GPS-enabled 3G iPhone and High Tech Computer (HTC) may start marketing the HTC Touch Diamond in North America soon.