The Development of Taiwan's personal computer industry

This paper traces the development path of Taiwan’s personal computer industry. Four groups of firms are identified: decedents of the TV industry in the early 1970s, decedents of the calculator industry in the late 1970s, new entrants that pioneered Taiwan’s PC industry, and follow-up entrants that concentrate on PC peripherals. The technology roots of each group of firms are examined and their roles in the industry are discussed. Vertical disintegration and de-technology are two important strategies that allow small and medium enterprises to play a central role in the industry.