After many years of technical cooperation with Japanese communications manufacturers, said Taicom President Chen Chia-yuan today, Taicom had earlier this year successfully processed a 60,000-set order for router placed by the Japanese giant Omron. Until the end of the first quarter 20,000 sets of the order had been smoothly delivered. Recently, Taicom had entered into a formal contract with yet another giant wireless manufacturer for supply of ISDN TA product, calling for shipment of over 20,000 sets each month. The deal will help Taicom more directly in its earnings. With a host of new cooperation projects developed at Taicom, the company is expected to easily meet its revenue goal of NT$2.5 billion this year.

Development of broadband market, a right opportunity for Taicom

Owing to the rapid development of Internet, demand for broadband equipment has been increasingly on the rise. Earlier this year, the management at Taicom reshuffled. Chen Chia-yuan became the new president and the new management team he organized over a period of several months is now ready for action. Meanwhile, Taicom has moved into the Internet retrieval equipment market with the hope of becoming a leader in the Internet retrieval equipment manufacturing industry in one of these days.

Broadband equipment is set to become Taicom's major products in 2001

After the reshuffle of the organization, pointed out President Chen, Taicom is to concentrate on division of labor and shall distribute its working force effectively. At present the major product on Taicom's production line is primarily the conventional 56K modem, accounting for 50% of the overall productivity while router accounts for some 15-20%. Since the order for ISDN TA placed by Japanese manufacturer carries a huge 20% ratio of growth, and, with the estimated increasing shipment of broadband equipment beginning next year, the ratio of router and ISDN TA in revenue is likely to increase. A mature product, 56K modem does not generate high gross profit. Nonetheless, shipment will not be lessened, but the ratio will.

Additionally, Taicom has been aggressively in the stage of research and development for products related to voice over Internet protocol (VoIP), which is expected to yield results in the third quarter of this year. On the drawing board now is the plan for production of digital subscriber loop access mux (DSLAM) used in ADSL. The product is scheduled to be rolled out of the production line in the first quarter of next year as negotiations with world-class trans-national manufacturers are in the closing stage at the time of writing.

Using its past telecom experience, Taicom is to specialize in multi-telecom integration business

According to Hung Hsiao-hsing, executive vice president of Taicom, Taicom has had abundant experience in telecom manufacturing in the past. It has the technology of manufacturing switches and the capacity of integration. The focus at the present is centered on the line of multi-telecom integration where Taicom positions itself manufacturer of WAN and Internet products. The company plans to march at full blast toward the area of development of broadband retrieval products.

Overseas market to show results in second half of the year

On the overseas market, acceptance of Taicom products in Japan has reached a certain level that allows the company a certain market share there and, in the European market such as France, Germany, and Great Britain, etc., name recognition of Taicom is gradually built up and an outstanding growth can be seen in the latter half of the year, believed optimistically Vice President Hung.