The wildly popular Pokemon Go phenomenon is expected to catalyze demand for a number of Taiwanese suppliers, despite lingering concerns about the augmented-reality (AR) game’s ability to sustain players’ interest, Yuanta Securities Investment Consulting Co (元大投顧) said.
Taiwanese suppliers of mobile phone lenses, cloud computing applications, servers, heat dissipation modules, fast-charge ICs, battery packs and even convenience store chains are projected to benefit from “Pokenomics,” Yuanta analysts said in a recent note.
Largan Precision Co (大立光), a camera lens supplier for smartphones and tablets, is expected to benefit from rising demand, as its products are required for AR applications, along with solid-state image sensors and other optoelectronic modules, Yuanta said.
ASPEED Technology Inc (信驊), which makes chips used in servers supporting cloud computing technology, is likely to benefit from growing demand for cloud computing capacity that powers AR games running on mobile devices.
In May, the company acquired Broadcom Corp’s Emulex Pilot operation for US$30 million.
The acquisition of the US-based remote server management chip designer could bolster ASPEED’s market share, Yuanta said.
In addition, Realtek Semiconductor Corp (瑞昱) is expected to see its non-PC revenue rise from its involvement in broadband and router supply chains.
As server load is expected to rise to accommodate the influx of players, increasing demand is expected for server heat dissipation module suppliers such as Chaun-Choung Technology Corp (超眾).
Chaun-Choung has expanded into the smartphone heat dissipation market, which contributed about 8 percent of total sales in the first half of this year following contracts awarded by South Korean handset brands, Yuanta said.
The brokerage added that heat pipes are rapidly becoming a mainstream solution for smartphones.
Players of AR games will inevitably deplete their smartphone batteries during long gaming sessions with wireless broadband and GPS activated, leading to rising demand for external battery packs, particularly makers of fast-charge ICs for external battery packs, such as Silergy Corp (矽力杰) and On-Bright Electronics Inc (昂寶), Yuanta said.
As Pokemon Go forces players outdoors, they are likely to frequent convenience stores, such as President Chain Store Corp’s (統一超商) 7-Eleven chain, Yuanta said, adding that consumption might improve as stores implement tie-in campaigns with the game to attract more players.
However, Yuanta said that Google and Apple Inc’s mobile app store platforms would take the lion’s share of the Pokenomics windfall, as they each receive a 30 percent cut from Pokemon Go’s in-game revenue, followed by Pokemon Go developer Niantic Inc and Nintendo Co Ltd, Yuanta said.
STEPPING UP: The firm has also asked employees to work in split shifts from this week and to halt all but essential overseas business travel from next month Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) has implemented a remote work policy for employees not on production lines in an attempt to curb the spread of COVID-19, the world’s largest contract chipmaker said yesterday. This is the first time in the Hsinchu-based company’s history that it has launched a large-scale remote work policy, joining global technology companies, such as Apple Inc and Google, that encourage employees to work from home. The chipmaker has also asked employees to work in split shifts from this week, it said. As the number of virus infections continues to climb worldwide, TSMC has urged employees to halt unnecessary
Manufacturers are on a mission to produce desperately needed medical ventilators for the COVID-19 pandemic, even if it means converting assembly lines now making auto parts. Along with a shortage of masks and gloves, the spread of COVID-19 to almost every corner of the globe has highlighted a great need for specialized machines that help keep severely afflicted patients alive. “As the global pandemic evolves, there is unprecedented demand for medical equipment, including ventilators,” GE Healthcare chief executive officer Kieran Murphy said. The group has hired more workers and is making ventilators around the clock. Swedish group Getinge AB is also ramping up output
Facing the rapidly evolving global COVID-19 pandemic, Citibank Taiwan Ltd (台灣花旗) has proactively taken precautionary measures. “The health and safety of our colleagues and their families, as well as our clients and the communities we serve, are of the utmost importance. We continue to take proactive measures to preserve their well-being while we maintain our ability to serve our clients,” Citibank Taiwan chairman Paulus Mok (莫兆鴻) said in a statement yesterday. “We have local and regional contingency plans in place, and we have well-established business continuity plans for the firm. We are monitoring the situation closely, adjusting our operations accordingly,
UPGRADE AND TRANSFORM: Although the cross-strait trade deal might remain, the Ministry of Economic Affairs said businesses should prepare for any disruptions Taiwan might face a decline in foreign trade with China if the cross-strait Economic Cooperation Framework Agreement (ECFA) ends this year, Minister of Economic Affairs Shen Jong-chin (沈榮津) said yesterday. The agreement, which was signed and put into effect in 2010 to reduce trade barriers across the Taiwan Strait, is expected to end this year, despite not having an exact termination date. “We have not received notification [from China] that it wishes to terminate ECFA,” Shen told reporters prior to attending a meeting at the Legislative Yuan. “Even if we are notified, the agreement would only cease after six months.” While acknowledging the