Dell procurement in Taiwan will amount to more than US$12.5 billion in 2006, according to company CEO Kevin Rollins, who started his visit in Taiwan on May 8. In addition, the US vendor intends to enhance the R&D capability at its Taiwan Design Center (TDC) by increasing the staff to 330 employees by the end of this year, said Rollins.

Dell expects to maintain its long-term partnership with contract makers in Taiwan, said Rollins, noting that the company will inevitably add new contract partners to meet strong market demand in the future.

Dell’s procurement in Taiwan grew 25% on year to US$10 billion in Taiwan in 2005, with the total only trailing Hewlett-Packard (HP) at US$19 billion, sources at Taiwan notebook makers indicated. HP should continue to maintain its lead this year, with its estimated budget reaching more than US$20 billion, the sources stated.

The number of staff at Dell’s TDC, which focuses on development of notebooks, single-slot servers and storage-related products, increased from 50 employees in 2002 to 330 this year.

HP also has a Product Development Center (PDC) in Taiwan, and the company stated last year that the number of staff at the PDC should reach about 240 by the end of 2006, up 50% from 160 in 2005. HP’s Taiwan PDC chiefly develop industrial-use servers, enterprise-use desktop PCs, consumer notebooks, handheld computers and consumer desktop PCs.

By: DocMemory
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