Acer and ASUS have increased the tablet orders from Chinese ODMs, according to sources close to the Taiwanese supply chain makers. Acer handed over 70% of its tablet production to Taiwanese ODMs and 30% to Chinese ones last year, but the latter proportion will increase this year.
Taiwanese vendors have also placed more orders with Chinese makers of components, such as connectors and cable assemblies, simply because their quotes are a bit lower than the ones of the Taiwanese makers. Other big brands have also shown interest in Chinese ODMs, like Dell and HP, who increased their orders towards the same direction.
This means that the other companies, such as ASUS and Acer may get fewer orders in, if the other big brands step in. Luckily, the market is big enough for everyone and China has a lot of companies to accomodate such high demand. I’m curious when other Asian markets or the Indian market will become competitive or cheap enough to put pressure on Chinese ODMs…
