THT Research, OEM, Procurement, Taiwan
THT Research releases IT OEM procurement data for 2005/2006
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THT Research, a leading research firm covering information technology contract manufacturing, today announced 2005 and estimated 2006 Taiwan procurement figures for the world's leading information technology and electronics companies.
Total procurement of information technology products from Taiwan reached US$66B in 2005, up nearly 20% from original expectations, with the majority of orders coming from the 20 largest international procurement offices. The top procuring firms (with over US$2.5B in procurement) in 2005 were HP, Dell, Lenovo, Sony, Apple, Toshiba, and NEC.
Companies showing significant increase in outsourcing include Apple (from US$3B in 2004 to US$3.9B in 2004, US$5.0B in 2005, and an estimated US$6B in 2006); Dell (from US$7.2B in 2003 to US$9B in 2004, US$10.2B in 2005 and a forecasted US$12B in 2006); and Hewlett-Packard (from US$16B in 2003 to US$19.5B in 2005 and a forecasted US$22.5B in 2006), according to THT Research data and forecasts.
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"In a continuing trend, the boundaries between OEM (original equipment manufacturing), ODM (original design manufacturing), and EMS (electronic manufacturing services) continue to blur," said YD Gordon of THT Research.
"Another interesting trend is the increasing independence of the China manufacturing arms of Taiwan companies - and the pressure this is putting on managers at headquarters in Taiwan," stated YD. "This year R&D decisions will increasingly be made by China offices and within a couple of years financial decisions will begin to be made there too. All of which means that IPOs will focus more on Shanghai, less on Taipei - something that was against the odds until recently. This is assuming that China continues its unsteady march toward a free, yet censored, economy."
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