■Info tech
Sales in Taiwan increase
The local buying offices of foreign information and communication technology (ICT) companies procured US$86.8 billion worth of ICT and electronics goods in Taiwan this year, a 6.9 percent increase from a year earlier, the nonprofit Institute for Information Industry (III) reported on Friday. The foreign companies bought US$48 billion worth of notebook computers from local manufacturers this year, making it the backbone of foreign high-tech outsourcing in Taiwan. Nine foreign companies have each made over US$2.5 billion in purchases in Taiwan through their local buying offices this year, the III said. Ten foreign firms procured between US$400 million and US$2.5 billion this year, it said.
■labor
Trade Unionists rally
Some 30,000 workers protested yesterday against moves to revise protections for part-time and temporary employees, police and organizers said. Trade unionists gathered at a park in Seoul to rally against plans to re-draw a 2006 law forcing bosses of “irregular workers” to hire them as permanent staffers or fire them after two years. The ruling conservative Grand National Party and the labour ministry plan to extend the period to four years, sparking protests from opposition parties and labour unions. There were no immediate reports of any clashes during the rally.
■finance
Capital flow under threat
The global financial crisis risks causing a 50 percent slide in capital flows to developing nations in Africa, Asia and Latin America next year, according to the World Bank’s chief economist. “We must intensify our efforts to catalyze and leverage private capital in support of development,” including the use of public-private partnerships, World Bank Senior Vice President Justin Lin (林毅夫) said in a statement prepared for delivery yesterday to a UN development conference in Doha, Qatar. Lin’s statement said developing countries are entering a “danger zone” where economic growth could slow to 4.5 percent next year from an average of 7.8 percent in 2006 and last year. Every percentage point decline will push 20 million people into poverty, according to his statement.
■Banking
Commission blocks plan
The European Commission is blocking the French government’s plan to bail out its six largest banks by insisting that state funds can not be used for commercial lending, Britain’s Financial Times reported on Friday on its Web site. According to the report, EU Competition Commissioner Nellie Kroes has rejected pleas by French Finance Minister Christine Lagarde to approve the French 10.5 billion euro (US$13.3 billion) plan. In the French plan, the government would subscribe to subordinated five-year debt issued by the six banks. In exchange, the banks committed themselves to increasing their loans to individuals and companies by 3 percent to 4 percent next year.
■internet
Icahn increases stake
Corporate raider Carl Icahn increased his stake in Yahoo following the decision of co-founder Jerry Yang (楊致遠) to step down as head of the Internet firm, documents filed with the Securities and Exchange Commission (SEC) showed. Icahn acquired 6.77 million more shares of Yahoo stock from Monday to Wednesday for US$67 million, taking his stake in the firm to 5.4 percent, up from the 5 percent he owned previously, the documents filed with the SEC and dated on Wednesday showed.
Quanta Computer Inc (廣達) chairman Barry Lam (林百里) is expected to share his views about the artificial intelligence (AI) industry’s prospects during his speech at the company’s 37th anniversary ceremony, as AI servers have become a new growth engine for the equipment manufacturing service provider. Lam’s speech is much anticipated, as Quanta has risen as one of the world’s major AI server suppliers. The company reported a 30 percent year-on-year growth in consolidated revenue to NT$1.41 trillion (US$43.35 billion) last year, thanks to fast-growing demand for servers, especially those with AI capabilities. The company told investors in November last year that
Taiwanese suppliers to Taiwan Semiconductor Manufacturing Co. (TSMC, 台積電) are expected to follow the contract chipmaker’s step to invest in the US, but their relocation may be seven to eight years away, Minister of Economic Affairs J.W. Kuo (郭智輝) said yesterday. When asked by opposition Chinese Nationalist Party (KMT) Legislator Niu Hsu-ting (牛煦庭) in the legislature about growing concerns that TSMC’s huge investments in the US will prompt its suppliers to follow suit, Kuo said based on the chipmaker’s current limited production volume, it is unlikely to lead its supply chain to go there for now. “Unless TSMC completes its planned six
Intel Corp has named Tasha Chuang (莊蓓瑜) to lead Intel Taiwan in a bid to reinforce relations between the company and its Taiwanese partners. The appointment of Chuang as general manager for Intel Taiwan takes effect on Thursday, the firm said in a statement yesterday. Chuang is to lead her team in Taiwan to pursue product development and sales growth in an effort to reinforce the company’s ties with its partners and clients, Intel said. Chuang was previously in charge of managing Intel’s ties with leading Taiwanese PC brand Asustek Computer Inc (華碩), which included helping Asustek strengthen its global businesses, the company
TikTok abounds with viral videos accusing prestigious brands of secretly manufacturing luxury goods in China so they can be sold at cut prices. However, while these “revelations” are spurious, behind them lurks a well-oiled machine for selling counterfeit goods that is making the most of the confusion surrounding trade tariffs. Chinese content creators who portray themselves as workers or subcontractors in the luxury goods business claim that Beijing has lifted confidentiality clauses on local subcontractors as a way to respond to the huge hike in customs duties imposed on China by US President Donald Trump. They say this Chinese decision, of which Agence
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