Stay-at-home needs triggered by the coronavirus-imposed lockdowns in many parts of the world have boosted demand for enterprise and educational notebooks and tablets. Taiwan-based notebook ODMs now expect robust shipment growth in second-quarter 2020. But many of them expect the growth to be shortlived for a mature market that can hardly support their long-term growth. They remain keen on developing non-notebook devices to shore up profitability. Also being propelled by stay-at-home economy is the memory sector, which has seen significant demand from the server, gaming, notebook and STB sectors.
Notebook ODMs eyeing robust shipment increases in 2Q20: Taiwan's notebook ODMs are poised to see strong shipments in the second quarter of 2020, particularly those of enterprise and educational models to meet massive remote work and learning needs amid the coronavirus pandemic, allowing them to raise shipment projections for the first half of the year, according to industry sources.
Taiwan ODMs stay keen on expanding non-notebook sales: Taiwan's ODMs including Compal Electronics and Quanta Computer will continue to generate more revenues from non-notebook segments for further profit improvement in 202 despite recent strong demand for notebooks, according to industry sources.
Memory demand propelled by stay-at-home economy: The coronavirus outbreak has spurred stay-at-home economy, driving demand for related applications such as servers, commercial notebooks, gaming consoles and set-top boxes (STB), according to sources at memory backend houses.