The US and Taiwan have long been close partners in the IT sector.
Taiwan is a leading information technology producer and is the world's top producer of many types of information technology products. Although Taiwan is the world's third largest supplier of computer hardware, the local software industry is still heavily dependent on imported software.
For this reason, the software sector represents an excellent opportunity for cooperation between Taiwanese and American companies. Opportunities exist for sales of existing US products as well as for the localization, translation, and joint development of software.
As of 2001, Taiwan's software market was close to US$5 billion and growing. American vendors play a very important role and will continue to hold the lion's share of the software market in coming years.
Present US-origin imports include operation systems, networking software, suite software, program languages, Internet applications and software tools for workstations.
There is also strong demand for databases, middleware, content management software, enterprise application integration, wireless applications, software management packages, and Internet-related products including supply chain management, E-procurement, information security software and customer relations management software.
Many of Taiwan's IT manufacturers are expanding their production into information appliances, including thin-client computers, Net TVs, screen phones, game consoles and devices and smart handheld devices.
At present, Taiwan IA production accounts for 3 percent of Taiwan's overall IT hardware manufacturing output, totaling US$1.7 billion in 2001.
This volume is expected to exceed 25 million units in 2003 (30 percent of global output) and US$6.4 billion in 2005 (35 percent of global output).
To help US and Taiwan IA companies better understand each other and to help identify potential business partners, the Commercial Section of the American Institute in Taiwan, the National Information and Communication Steering Committee of the Executive Yuan (NICI/EY), Taipei Computer Association (TCA), Washington State Office of Trade and Economic Development (OTED) and Institute for Information Industry (III) organized an IA mission from March 31-April 6, 2002 to visit Seattle and California's Silicon Valley.
The main objective of this mission was to introduce US companies to the key players in Taiwan's IA sector to help them do business together, both in Taiwan and worldwide.
This mission also familiarized participating Taiwanese with US technology and expertise, enabling participants to seek suitable products or technologies to distribute or represent in Taiwan.
The mission helped participants better understand new IT technology trends and applications, and encouraged both sides to set up strategic alliances, meet industry decision-makers, and facilitate business partnerships.
The CEO-level Taiwan delegation led by Minister Tsay Ching-yen consisted of leaders in Taiwan's technology sector, both public and corporate.
The AIT Commercial Section believes this type of mission will enhance the growth of partnerships between US and Taiwanese Internet appliance firms in the constantly changing world of innovation.
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