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Acer’s Shih Talks Digital Convergence

Acer Chairman and CEO, Stan Shih, shares his thoughts on the convergence of PCs with digital home devices, at the opening of the Computex Taipei show.  In his keynote, Shih questions whetherdigital home devices will derive from PC-centric or TV-centric products.  The TV has been the hub of home audio-video devices for a long time but lacks innovation, while home PCs are becomingincreasingly popular but are still considered too complex for all the family members to use, and are unreliable.

Shih believes that audio-video devices must become digitized to connect to a media and network management center, while PCs require improvement on their ease-of-use and dependability.  Hence, both consumer electronics (CE) and PC companies have the potential to capitalize on the current opportunities.

What consumers need for a digital home are devices that are also powerful, expandable, and able to connect wirelessly with other digital devices, software and content.  Consumers demand a greater level of service such as on-site after-sales support, a trustworthy brand name whose products are widely available.  PC and CE companies must overcome these challenges; they can take reference from the Japanese companies who dominate the CE market with high brand awareness and almost no competitor, advises Shih.

Taiwan has much strength to offer to embrace the digital home opportunities; it holds leading positions in the global PC, semiconductor industries and key component technologies for the digital home.  Many Taiwanese companies can offer speedy, flexible services, and engage in successful ODM partnerships with global brand players.  The main challenges faced by Taiwanese companies are their lack of ability in developing innovative software, and insufficient knowledge of the consumer markets.

Shih concludes by highlighting that in order to grasp the digital home opportunities and foster more home-grown global brands, Taiwan needs to leverage its strengths in key component supply, aggressively roll out more innovative software and hardware products, and manage its supply channel more efficiently.  Acer’s digital home vision is to provide customer-centric solutions with end-to-end consideration; these include empowering technologies and products, with user-friendly interfaces, and professional on-site after-sales logistics services.

Source: Acer’s press release.

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