Mon, Sep 17, 2001 - Page 17 News List

FIC to establish R&D facility in Suzhou

COMPUTERS The Taiwan-based manufacturer is taking the unusual step of moving research operations across the Strait to capitalize on China's rapidly growing market

STAFF WRITER

First International Computer Inc (FIC, 大眾電腦), which designs and produces motherboards, PC systems, servers and notebook PCs, will establish a research and development center next year in China's Suzhou.

The center will develop notebook PCs for sale in the global market, a Chinese-language newspaper reported yesterday, citing chairman Chien Min-jen (簡明仁).

The goal for establishing a R&D center in China comes as demand for PCs in the biggest consumer market booms and China becomes attractive as a pool for high-tech manpower and not just a source for manufactured products. China expects its economy to grow between 7 percent and 8 percent this year, compared with 1.5 percent growth expected in the US and a minus 0.37 percent in Taiwan.

"I think the mechanism of collaboration across the [Taiwan] Strait has gradually expanded to the R&D field from manufacturing," Chien was quoted as saying.

FIC, who makes desktop and notebook computers for overseas clients such as NEC Corp, currently produces notebook PCs in Suzhou's export processing zone on a trial basis.

In the mean time, it is working to build new factories, hoping to start mass production sometime next year once the government of Taiwan gives the green light, the paper said.

In addition, the company is also currently Legend Holdings Ltd's (聯想集團) -- China's largest maker of personal computers -- biggest notebook PC supplier and has focused on the company as part of its growth strategy, local media reported recently citing an FIC official.

FIC currently has Taiwan R&D centers in both of its Taipei headquarters and Linkou factories, hiring some 200 workers. The company is planning to hire 300 workers at its R&D center in China when it is scheduled to start operation sometime in July-August next year, the paper said.

According to Chien, the planned R&D center in China will focus on developing product specifications which are most cost efficient. Indeed, amid cut-throat competition Taiwan companies including FIC have tried to ensure low contract prices for foreign buyers such as NEC, IBM Corp, Sun Microsystems Inc and Gateway Inc.

And this is particularly true in recent months as slowing worldwide economic growth has put added pressure on companies to cut costs, he said.

As for its R&D centers in Taiwan, Chien said FIC's local team will focus on the development of new product specifications for contract customers. They will also be responsible for high-end product development, he said.

This story has been viewed 3322 times.
TOP top