Universal Electronics, an American provider of smart home technology, is scheduled to open its first factory in Vietnam in the third quarter of 2022.
The company designs, develops, manufactures, ships and supports sensor and control technology solutions and a broad line of universal control systems, audio and video accessories, and smart wireless security and smart home products used by the world’s leading brands. in the markets for video services, consumer electronics, security, home automation, air conditioning and household appliances.
Although Universal Electronics operates factories in the People’s Republic of China, Brazil and Mexico and expects to start manufacturing operations in a new factory in Vietnam in the third quarter of 2022, third-party manufacturers located in Asia continue to manufacture a portion of its products.
The company also expects future cash flows from operations to be affected by the impacts of the Covid-19 pandemic, specifically in relation to logistical issues.
For the first half of 2022, Universal Electronics projects that component shortages will continue to have an adverse effect on cash flows, with some relief starting to come in the second half of the year.
Additionally, it expects to start manufacturing operations at a new factory in Vietnam in the third quarter of 2022, which, in the short term, may lead to manufacturing inefficiencies.
Its channel strategy is to partner with clients that are leaders in their respective industries: in consumer electronics, it counts Samsung Electronics, Sony Group Corporation and LG Electronics as long-term accounts that represent a significant part of its industry; in video services, Comcast Corporation, Liberty Global and Vodafone Group are among the largest providers of video services in their respective markets; in climate control, Daikin Industries Ltd., is the market share leader in the global HVAC industry; and in home security, safety and automation, Vivint Smart Home and Hunter Douglas are channel leaders in their respective connected home markets.
Distribution methods for your control solutions vary by sales channel.
The company also distributes remote control devices, integrated circuits, home security sensors, connected thermostats and AV accessories directly to OEMs and video and security service providers, both domestically and internationally.
It also distributes home security sensors and connected thermostats to professional security installers and hospitality system integrators in the United States and Europe through a network of national and regional distributors and dealers.