The path of transformation

Business perspective in Europe

What’s the reason that the revenues in China and Taiwan are declining and how do you see business perspective in Europe?

Huang: The reason why the revenues are declining a little is the trade war between USA and China. Half of our factories are in China. A lot of manufacturing just moved out. People need time to adapt to the change and get their job done. China, Taiwan, Korea, and even Japan are affected – this is the current situation. We are still doing a good job in China because the government wants to avoid major damage so they are investing heavily in the infrastructure – we can still sustain our business.

What are the main business topics for Advantech in 2020?

Huang: From the technology point of view, Advantech is transforming from a platform provider to a solution provider. The key to it is to have a good software stack, to enable the success for market players. We are in a period of transformation. To get to the next level we need to be a solution provider. I think AI is the key to our success. We need to get our platforms ready, to accomplish the transfer from a hardware company to a services and solution company.

Do you think you can find the right people for this kind of business, for software development?

Huang: Unfortunately, we don’t have all the people on staff to develop this kind of software. That is why we have on the one side our ecosystem partners and system
integrators, and on the other side our software partners. We want to invite more and more partners to join this platform. We want to be the Apple of the Industry.

You have been ranked among Taiwan’s 5th best global brands two years in a row. What does this mean for you?

Huang: That means that we are successful in dedication. But more than that, people are starting to trust us as a brand. This is important for the customer side as well as for the business side. It even makes it easier to find new employees because we are a trusted trademark in Taiwan. We also want to become more attractive and get bigger in Europe, too.

Thank you for the Conversation!

1. The path of transformation
2. Security aspects
3. Business perspective in Europe