Asustek Computer Inc (華碩) chief operating officer S.Y. Hsu (許先越), who oversees the company’s notebook computer business, reportedly tendered his resignation to the firm’s management after more than 20 years of service.
The departure is mainly due to his failed attempts to secure more resources for the notebook business from the management team in an effort to sustain Asustek’s competitiveness in a declining notebook industry, the Chinese-language Apple Daily said, citing unnamed sources at the company.
The report said Hsu had proposed several measures to secure Asustek’s position in the notebook industry, but his proposals were rejected.
Photo courtesy of Harvard Business Review
Asustek chief executive officer Jerry Shen (沈振來) and chief strategy officer Ted Hsu (徐世昌) are doing their best to persuade Hsu to stay with the firm, the report said.
Asustek yesterday declined to comment on the report.
A source at the company told the Taipei Times that Hsu is on leave after submitting his resignation via e-mail on Monday.
He also sent an e-mail to his team on the same day, the source said.
“Hsu’s resignation is not finalized, as management is still discussing the matter with him,” the source, who has direct knowledge of the matter, said by telephone.
“Hsu might change his mind and stay with the company if they can reach a consensus over what would be the best solutions to improve the notebook business,” the source said.
The source said notebooks are Asustek’s core business, contributing 66 percent of its overall brand revenue of NT$98.2 billion (US$3.25 billion) last quarter.
However, the company has been increasing marketing resource allocation to its smartphone business over the past two years, the source said.
The news of Hsu’s departure came one day after Asustek reported soft earnings results for last quarter and predicted an even poorer performance this quarter, anticipating weak demand for PCs and smartphones.
The source said it is certain that the pressure Asustek faces would be greater if Hsu indeed departs.
Hsu joined Asustek’s research and development unit in the 1990s and has been closely helping Shen to improve the notebook business over the past decade.
He played a major role in promoting Asustek’s first Eee PC in 2007, which helped the company to expand its global market share significantly.
Hsu was promoted to chief operating officer in December 2015.
He is also a director on Asustek’s board.
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