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Notebook makers diversify into IoT

 

 

From:fudzilla

by on19 FEBRUARY 2016

 
 
 

 

Notebook ODMs are trying to balance the loses in their industry by expanding into the Internet of Things (IoT) industry.

According to Digitimes, Compal and Pegatron have established teams to specifically handle related development. Wistron has been seen writing out cheques to  IoT players to build cooperation.

The logic is that as notebook sales have falling the IoT market has become a new front where notebook ODMs are looking to gain profits.

However the problem here is that IoT-related devices don’t have a clear business model, standards, or even a set position in the market.

The word on the street is they appear to think that this year will be the key year for IoT development – although none are particularly clear why.

Compal worked with Taiwan's Chang Gung University to develop smart clothes and healthcare devices for hospitals.

Apparently it got so excited by the idea that it has re-organized its business structure and separated into two major business groups: PCs and smart devices. The company also established several new departments for the IoT, healthcare and car electronics businesses.

Compal president Ray Chen previously noted that the company's wearable and IoT device shipments will grow significantly to 5.6 million units in 2016.

It also invested in industrial PC (IPC) player Avalue hoping its experience in healthcare system development and clients can benefit related businesses. Compal has also invested in General Life Biotechnology to acquire an over 50% stake and cross into the biotechnology sensor industry

Wistron is also looking to new investment targets that focus on IoT technology.

 

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