[nasional_list] [ppiindia] China making great leap forward in tech
- From: rahardjo mustadjab <bapakjewel@xxxxxxxxx>
- To: apakabar@xxxxxxxxxxxxxxx, ppiindia@xxxxxxxxxxxxxxx, Niken Franks <nikenfranks@xxxxxxxxxxxxx>
- Date: Sun, 20 Feb 2005 10:55:18 +0000 (GMT)
** Mailing List Nasional Indonesia PPI India Forum **
February 18, 2005
China making great leap forward in tech
Richard Shim, Staff Writer, CNET News.com
SANTA CLARA, Calif.--China's growth into a nation that
leads in the use of broadband technology, and the
changing role of its manufacturing companies from just
assemblers to designers, were among the trends
analysts discussed at a conference here Thursday.
Research firm iSuppli hosted the event, and its
analysts warned against the mistaken notion that China
will remain a relatively unsophisticated country when
it comes to the use of technology.
The ability of Chinese companies to make computing and
electronics gear has made them longtime favorites of
firms looking to lower manufacturing costs. Once the
guts of products are made, they're shipped back to
companies who add design touches and specialized
features and sell them.
But in the coming years, Chinese companies will do
more and more design work, said Joe Abelson, vice
president of emerging markets at iSuppli, a
development that could threaten companies who can't
compete with China's manufacturing prowess.
"We disagree with the impression that China is not a
player in design," Abelson said. "If you're resting on
the belief that design will continue to only be done
in Europe or the states, you may need to reconsider
that."
Abelson pointed to cellular handsets as an example.
Many of the major manufacturers of handsets are
Chinese companies, but in 2002 only 10 percent of
handsets made in China were designed in house by the
companies that made them. That figure will increase to
40 percent by 2008.
The change isn't limited to handsets. Chinese
television makers are also designing their own sets
and have even begun to sell them directly in U.S.
stores.
The technology transformation will also take place in
the use of broadband Internet access, speeding the
flow of information. Chinese telecommunications
companies will increase the installation of broadband
technology to spur use of their wired networks. The
result will be that by 2008, China will be the leading
user of broadband technology in homes.
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