Compal Electronics and Sitronix Technology will establish a joint venture to design touch controller ICs specifically for use in tablet PCs.

Compal will invest over NT$40 million (US$1.3 million) for a stake of less than 50%, with Sitronix to be responsible for operating the venture, Compal senior vice president and spokesman Gary Lu pointed out. The investment is motivated by the global market potential which is expected to take off in 2011, Lu indicated.

Among notebook ODMs, Compal has led in developing touch controller solutions and has been cooperating with several vendors, including Acer, Toshiba and Dell, to develop tablet PCs. Sitronix has developed touch controller ICs for handsets.