Mitec Telecom Inc. announced today the consolidation of its research and development (R&D) activities into two site...
October 21, 2004
Mitec Telecom Inc. announced today the consolidation of its research and development (R&D) activities into two sites from the existing four.
All R&D activities at the Matawan, N.J. and Dunstable, U.K. centres will be migrated to Mitec’s principal facility in Montreal and its Asian center in Suzhou, China.
“Over the last two years, our customers’ needs have evolved from requiring discrete RF subsystems to more compact and efficient RF solutions, which require on our part a seamless integration of the various functional building blocks,” said Rajiv Pancholy, Mitec’s President and CEO.
Mitec said there will be no net change to the number of R&D resources, however, an estimated 25 employees globally will be affected by the transition.
The availability of technical talent and an attractive R&D tax credit regime in Canada were two of the reasons for re-affirming Montreal as Mitec’s main R&D center.
“We want to emphasize that Mitec is not exiting the U.S. and U.K. markets,” Pancholy said. “These are key for us and we will continue to maintain a strong sales presence there.”
Mitec, a designer and provider of products for the telecommunications sector, is taking a one-time charge of $1.5 million to effect the changes.