Asus' Q1 Lead in Business Desktop PC Continues in Taiwan
2014/07/31 | By Quincy Liang
Asus has been the leading brand in Taiwan's business desktop PC market in the past five years and continues to pull ahead of counterparts in Q1. Some institutional investors said that replacement demand has been triggered by Microsoft's stoppage to offer technical support to Windows XP operating system (OS).
W.K. Chung, V.P. of open platform business of Asus, said that the company's user-friendly PC designs provide smart, high-efficiency, reliable and durable features in a wide product mix. The company has achieved initial success in branding and user experience, and will continue to leverage its advantages to further build on its brand.
Asus registered consolidated revenue of NT$30.84 billion (US$1.03 billion) from own-brand business, down 8.26% month-on-month (MoM), but a 3.37% growth year-on-year (YoY). Its consolidated brand-business revenue for Q2 was NT$95.46 billion (US$3.18 billion), down 4.79% quarter-on-quarter (QoQ), but up 6.46% YoY. Asus attributes the sliding brand-business revenue in Q2 to lower-than-expected shipments of all major product lines.
The PC vendor estimates its Q2 shipments of notebook PCs at 4.6 million units, down 6% QoQ, but up 12% YoY; tablet PCs 2.8 million units, up 33% QoQ and 40% YoY; computer motherboards 5.2 million units, on par from Q1 and up 4% YoY; cellphones about 1.5 million units. All the shipment volumes fell short of Asus' original goals for the period.
However, institutional investors note that the coming Q3 peak season and Windows XP replacement demand should drive demand for business desktop PCs in the second half of the year.
Asus says that its cellphone shipments lag original expectations, and the company is solving problems in the parts supply chain.
| Top Vendors in Taiwan's Desktop PC Market (Q1, 2014)
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| Rank
| Vendor
| Market Share
|
| 1
| Asus
| 32.6%
|
| 2
| Acer
| 27.1%
|
| 3
| HP
| 12.1%
|
| 4
| Lenovo
| 6.3%
|
| 5
| Dell
| 4.7%
|
| Source: IDC Taiwan
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