Acer Inc (宏碁), the world’s second-largest personal computer vendor, needs to focus on retaining top talent in key markets and strengthen ties with distributors following the departure of chief executive and president Gianfranco Lanci, according to a Taipei-based research firm.
In 2009, Europe, North America and China accounted for more than 70 percent of Acer’s total sales and those markets benefited from Lanci’s leadership because of his sales expertise, Joanne Chien (簡佩萍), a senior analyst with Digitimes Research, said in a statement recently.
“The priority for Acer now is to keep an eye on Lanci’s subordinates who are in charge of these regional businesses to prevent them from being recruited by competitors,” she said.
That way, “the company will be able to maintain its good relationship with distributors that Lanci had stressed as the head of the major markets,” she said.
Compared with other leading PC brands such as Dell, Hewlett-Packard and Lenovo (聯想), Acer was late in entering the rapidly growing tablet PC market, as it focused on sales and marketing rather than research and development, Chien said.
The Taiwanese company, with chairman J.T. Wang (王振堂) now at the helm, will have to put more effort in the mobile device market and create a new business model that capitalizes on its existing advantages, Chien said.
Acer’s board of directors on Thursday approved Lanci’s resignation after different views emerged in recent months between the Italian manager and the board on several major issues.
There was widespread speculation that the main point of contention was Lanci’s push to increase market share at the expense of profitability.
A statement released by the company said differences existed over issues, such as “the company’s scale, growth, customer value creation, brand position enhancement, resource allocation and methods of implementation.”
Lanci had played a large role in the company, serving concurrently in two positions — CEO and president, as well as president of Acer’s Europe, Middle East, Africa, or EMEA, division. He resigned from both posts.
The company said the change would not affect current operations.
“Acer will continue to push for globalization, follow its multi-brand and channel business model, develop competitive products and services and foster closer relations with key vendors and channel partners,” the statement said.
‘BIG LOSS’: This year might see the last generation of Huawei’s Kirin chips, as their production would stop next month because they are made using US technology Chinese tech giant Huawei Technologies Co (華為) is running out of processor chips to make smartphones due to US sanctions and would be forced to stop production of its own most advanced chips, a company executive has said, in a sign of growing damage to Huawei’s business from US pressure. Huawei, one of the biggest producers of smartphones and network equipment, is at the center of US-Chinese tension over technology and security. Washington last year cut off Huawei’s access to US components and technology, and those penalties were tightened in May, when the White House barred vendors worldwide from using US
CORPORATE SCANDAL: Cathay Life has invested NT$13.3 billion in Bank Mayapada since 2015, but the latest loss of NT$8.8 billion has completely written off its investment Cathay Life Insurance Co (國泰人壽) yesterday said it would recognize an investment loss of NT$8.8 billion (US$298.1 million) in Indonesia’s Bank Mayapada Internasional Tbk PT due to concerns about the lender’s operations amid a corporate scandal. The company said it would revise its earnings result for June, from a net profit of NT$6.52 billion to a net loss of NT$520 million, its first monthly loss over the past 17 months. After booking an investment loss of NT$5.2 billion in Bank Mayapada earlier this year, Cathay Life has so far recognized total investment losses of NT$14 billion in the lender, executive vice president
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday reported that revenue last month expanded 25 percent annually, but fell 12.8 percent month-on-month to NT$105.96 billion (US$3.59 billion). In the first seven months of this year, the chipmaker’s revenue surged 33.6 percent to NT$727.26 billion, compared with NT$544.46 billion a year earlier. TSMC has said it aims to grow its revenue by more than 20 percent this year. The company has since May 15 stopped taking new orders from Huawei Technologies Co (華為), its second-biggest customer after Apple Inc, due to the US’ restrictions on exports containing US technologies. TSMC has no plans to
INCREASING PRESSURE: Pegatron chief financial officer Louise Wu said the merger would allow them to be more flexible when meeting customer needs Pegatron Corp (和碩), an Apple Inc assembly partner, yesterday said that it would fully absorb metal casing subsidiary Casetek Holdings Ltd (鎧勝) in a NT$14.5 billion (US$490.93 million) deal to improve the companies’ competitiveness in the phone assembly supply chain. When Pegatron and Casetek suspended trading earlier in the day, speculation swirled that a possible purchase by China’s Luxshare Precision Industry Co (立訊精密) might be in the cards, but the announcement of the merger dispelled any conjecture. The board of directories of each company agreed that Pegasus Ace Limited, a wholly owned subsidiary of Pegatron, would purchase Casetek in a reverse triangular