Taiwan-based technology firms will jointly fight against rising challenges from South Korean electronics giant Samsung Electronics Co. (SEC).
People in the circle disclosed that SEC grew fast in the fields of smartphones, DRAM chips, and displays in the past few years and this caused days of Taiwan-based manufacturers to be harder and harder. Hurt by uncertainties of the global economy, it saw sales drop and the situation took place in the South Korean market, too. The economy of Taiwan depended much on export and for fear that its market share would be continued nibbling by technology firms there, it attacked some Taiwan-based technology firms directly when promoting products. The malicious competitions would be investigated by the fair trade commission of Taiwan.
An industry observer pointed out that SEC had had no ability to control the technology industry of Taiwan as in almost all profit-making fields, Taiwan-based technology firms performed quite well currently. Actually, it should be development trend of the whole technology industry that urged it to do so. Taiwan-based technology firms knew that they should be efficient and keep a close eye on development trend of the market, or like Japanese electronics maker Sony Corp., they would see sales drop sharply. They saw export value hit USD 98 billion in 2012, accounting for 20 percent of the GDP of Taiwan.
He reiterated that in order to compete with SEC, many Taiwan-based technology firms entered into a strategic partnership with a US firm or a Japanese firm. And among the partners, US consumer technology giant Apple ranked No.1 in terms of comprehensive strength. In addition, the Taiwan government provided more supports to homegrown technology firms, an effort to let them cooperate with each other amid external competition. Taiwan saw economy depend much on export and the government knew clearly that it was impossible for any Taiwan-based technology firms to defeat SEC singly.
He added that Taiwan-based technology firms were encouraged to share suppliers resource in the initial R&D period. The government launched a pilot not long ago and in the pilot, smartphone maker HTC attempted to use more processors provided by homegrown firms. HTC still had been the biggest smartphone maker in the world by the end of last year and through launching the first smartphone with the Android operating system around the globe, it saw cash revenue rise largely. However, days of it was hard currently as its share in the smartphone market was continued nibbling by Apple and SEC.
