Welcome to AsiaBizTech Web Site

Top Page
Site Map
News at a Glance Member Services AsiaBizTech Resources

Advanced Search

(Nikkei BP Group)

(No.1 High-Tech News Site in Japanese)

  • [LCD/PDP International '98] Good Timing for Taiwan Makers to Move into LCD Industry: Acer
  • November 3, 1998 (TOKYO) -- Now is the best time for Taiwan manufacturers to tackle the liquid-crystal display industry, said H.B. Chen, president of Taiwan's Acer Display Technology Inc.
    Chen made his comments during a speech at "LCD/PDP International '98" discussing the time when Taiwan's makers should make inroads into the LCD industry.

    The seminar was held Oct. 28-30 at Makuhari Messe, Chiba prefecture, near Tokyo.

    According to Chen, there are two reasons why entering the market now is a good idea: One, capital investment by Japan and Korea has slowed, and two, the LCD industry is expected to have double-digit growth in the next few years.

    "It was too early for us to make an entry two years ago, but now six companies are eager to do so," Chen said.

    Asked what Taiwan enterprises have strong assets in the LCD industry, Chen said production of LCD panels is a volume manufacturing industry that taps the expertise of Taiwan companies.

    Also, Taiwan makers have a high degree of flexibility to handle customer needs. Taiwan enterprises are located near giant markets, including China. And, Taiwan encourages market entry and offers preferential tax measures for corporate players.

    However, there are four issues that need to be resolved, Chen added. They include the lack of infrastructure. It will take time to arrange the infrastructure of components and materials, but Taiwan makers would like to tackle that issue at any cost, he said.

    In addition, there is a shortage of human resources. Chen said that while the government so far has not moved on this problem, Taiwan companies will train people.

    Intellectual property also is an issue. According to Chen, Taiwan makers that cannot get Japanese or Korean partners will have a tough time in the market.

    There also is an issue with the threat of new technologies. Panels Taiwan makers plan to manufacture are amorphous silicon thin-film transistor (TFT)-LCDs, but their Japanese counterparts are developing new technologies such as poly-silicon TFT-LCD panels.

    "The technologies will not affect us for a coming few years, but we would like to examine them discreetly", he said.

    Related stories:
    � LCD Seminar '98 Focuses on Expanding Monitor Market
    � Sharp Executive Speaks on Future Role of LCD Industry

    (Nikkei Microdevices)

    <Visit News Center for more Asian news.>

    Copyright © 1997-98
    Nikkei BP BizTech, Inc.
    All Rights Reserved.
    Updated: Mon Nov 2 20:46:53 1998 PDT