Impact of mobile industry on connector manufacture

Author：Danny / time：2018-07-19 / The number of clicks：401

In recent years, Taiwanese companies have penetrated the mobile phone manufacturing industry, believing that the industry is growing and market demand is gradually strengthening. The mobile phone industry is aspiring to become a market opportunity. Strictly speaking, Taiwanese connector manufacturers that entered the mobile phone connector manufacturing industry have become more of a disadvantage than an advantage.

This is not difficult to see when comparing Taiwan's mobile phone industry with the PC industry. Taiwanese companies have entered the mobile phone industry rather late, and the market has since entered a maturing period. Most Taiwanese companies rushed into the mobile phone industry due to saturation of Taiwan's PC industry, making them weak and less experienced. In terns of timing, it is not easy to enter the mobile phone industry. The mobile phone industry lacks an assembly market. Taiwanese mobile phones are sold as products to end users, meaning there is neither an assembly market nor production and processing capacity.

Compared with the PC industry, which has no pressure in establishing a brand name and retail systems so that SMEs can boldly participate in the operation, the mobile phone industry obviously has higher obstacles in this respect. The lack of flexibility on parts and components is also a major drawback of the mobile phone industry. Manufacturers of mobile phone parts use different welding techniques and splicing methods. Some of them have even welded internal parts of mobile phones, making maintenance very difficult. In addition, the PC system is relatively independent, which consists of a number of modular products, such as motherboards, expansion slots, etc., which have high standards. These parts are flexible and have convenient benefits to both manufacturers and consumers. Connector manufacturers can reasonably change parts according to different consumer requirements, and consumers can also have more reliable protection in product maintenance. The inconsistency in mobile phone architecture is the same as the inelasticity of parts. Mobiles phone are a closed system. If the architecture is not consistent, then there is no singular design, which brings greater obstacles to Taiwanese companies.

Early entry into the reserve-price period has become a major challenge to product development. For the PC industry, which has entered a saturation period, entering the low-price period is necessary to ease pressure. Low prices have led the PC industry to re-examine itself and continue innovation in research and development. However, for the maturing mobile phone industry, low price is a form of pressure. Not only does it impact the external market, but it also limits its own capabilities. For Taiwanese businesses that have just joined the mobile phone industry, a trend in low prices is not only synonymous to throwing a wet blanket, but it may also result in downfall. This is precisely due to the rapid development of the mobile phone industry, intensifying competition in Taiwan and other regions, and offering a huge challenge to corporations that are transforming the mobile phone industry. For corporations to gain advantage, obtaining funding is not enough.

In short, Taiwan's mobile phone  connector manufacturers are under tremendous pressure and challenges as they face Taiwan's PC industry with great effort.