As PC market shrinks, Acer eyes IoT opportunities

29 May

Acer, the world’s No. 5 PC maker, said Thursday “it will take cautious steps” to develop Internet of Things (IoT) applications as the global computer market continues to contract.

At an internal meeting, Acer chairman George Huang told employees that the company has not kept pace with “paradigm shifts” in the PC sector, Taiwan’s Central News Agency reported.

The global PC market expanded about 15 percent year-on-year from 2003 to 2010, but contracted over 10 percent on an annual basis between 2010 and 2013, according to the Central News Agency.

In 2014, Acer rebounded following three consecutive years of losses, posting a slim net profit of NT$1.79 billion (US$6.46 million). The company is now focused on maintaining profitability, which entails “exploring successful business models and looking at long-term operations as part of its revival plans,” Huang said.

As a new paradigm shift occurs in the ICT sector, with the transition to a “mobile connected world,” Acer will move prudently to avoid another failure, Huang added.

According to the Central News Agency, Acer plans to diversify its portfolio by stepping up development of cloud-related services and IoT applications. The company hopes to use its “Build Your Own Cloud”(BYOC) strategy to tap the smart medical, smart transportation and big data markets.

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