Taiwan to host online patent auction in October
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(InfoWorld) - A government-funded research institute in Taiwan has opened a patent Web site for an October fire sale of IT patents, hoping to match international sellers with Taiwanese buyers. TheÂ Web siteÂ aims to collect patents for a variety of electronics technologies. They include WiMax high speed wireless Internet connectivity LCD-TV (liquid crystal display television); 3G (third generation) and other telecommunications; and LED (light emitting diode) and a host of audio/visual technologies, including HD-DVD and Blu-ray Disc. "Many companies have an inventory of unused patents from shelved projects that no longer fit the company's business strategy or core business...However, an organization's unproductive patents may be very valuable to another company," the Industrial Technology Research Institute (ITRI) said in a statement on Friday. ITRI hopes to play matchmaker in such cases. The research group is encouraging companies globally to sell their patents to Taiwanese companies through the auction. It is collecting patent information at the Web site and will promote them ahead of the October auctionÂ in Chinese. The international side of the site is English-only, and ITRI is charging $100 per patent family listing, according to the site. Any organization listing more than 20 patents will be given a discount. Patents are listed under seven categories: IC Fabless (integrated circuit), TFT-LCD (thin-film-crystal-liquid crystal display), Digital TV, Digital Broadcasting, Wireless Communication & Networking, LED, and Audio/Visual. Taiwanese companies have been creating and buying patents for years, for many reasons. The main reason is to protect intellectual property and profit by licensing deals. Companies can also increase the number of patents they hold to enter cross-license agreements with major patent holders, instead of paying licensing fees. Such measures reducing business costs. Users tend to benefit from corporate cost reductions because stiff competition in most technology fields means companies must constantly seek ways to lower the prices of their products.
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Ministry of Economy Trade and Industry will consider company's open-source desktop suite for future bids.
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EBay Inc., which has been aggressively expanding in Asia, plans to increase its stake in South Korea's largest online auction company.
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(InfoWorld) - Four Taiwanese chip assembly companies have won finalÂ approval to invest in ChinaÂ amid a global shake-up that could see a new king crowned in the industry. The companies, which package and test chips before they are sold, can now move ahead with US$99.6 million in planned investments to China. The decision by Taiwan to allow the investments came more quickly than expected, amid rumors that a group of private equity firms may be building a global titan to compete with Taiwan's star chip assembler, Advanced Semiconductor EngineeringÂ (ASE). ASE was among the companies approved for the investments, and allowing it to build more factories in China will help it to stave off potential new rivals by giving it access to China's lower-cost labor market. The investments will also help the Taiwanese companies take part in China's growing chip industry. Taiwan granted permission for the investments to ASE, the world's largest assembly company, and three smaller rivals: Siliconware Precision Industries Co., Greatek Electronics, and Walton Advanced Engineering. Taiwanese companies are required to gain approval for high-tech investments in China because Taipei fears the technology may boost the military threat against the island. Taiwanese chip assemblers have been at odds with regulators for years over the slow pace of China investment approvals. Taipei appeared to give ground in the middle of last year, saying it would start allowing such investments, then continued dragging its feet on most applications. RecentÂ consolidation in the sectorÂ may have finally prompted regulators to act. Earlier this week, one of Taiwan's biggest financial newspapers, the Economic Daily News, reported that a deal by two private equity firms to buy Singapore's United Test and Assembly CenterÂ (UTAC) could result in a merger with the world's second largest chip assembly company, Amkor Technology, which could threaten ASE's dominance. Affinity Equity PartnersÂ and Texas Pacific Group Capital agreed to buy UTAC for around S$2.2 billion (US$1.43 billion). The Singapore offices of both investment firms declined to comment Thursday on the Amkor rumors, though the talk appears to have moved Amkor's stock price. Its shares have climbed 5.2 percent so far this week to end at US$15.44 Wednesday on the Nasdaq Stock Market, compared to a 0.6 percent rise in the Nasdaq Composite Index over the same time. Analysts say the chip assembly sector has become more attractive to investors due to steadier profits. In other deals this year, Singapore's Temasek HoldingsÂ made a S$2.4 billion (US$1.56 billion) bid for Stats ChipPac. The Carlyle Group, another private equity firm, in AprilÂ scrapped a US$5.5 billion deal to buy ASEÂ after the two companies failed to agree on a higher offering price. ASE displaced U.S-based Amkor as the world's largest chip packaging and testing company at the end of 2003, highlighting the exodus of chip production to lower-cost Asian countries. But since then Amkor has been making investments in China, while ASE has been largely held back by Taiwanese regulators. Analysts view China as an important location for chip investment because of its lower costs and growing clout in the industry.Â Intel announced a planÂ in March to spend US$2.5 billion on a plant in China to take advantage of lower production costs there. Taiwan's chip makers say the heavy regulations they face at home have put them at a disadvantage in China. Labor makes up a significant portion of the costs in chip assembly -- around 20 percent, compared to around 5 percent for actual chip fabrication. Fabricators etch transistors and other components on chips, while assemblers package the chips inside protective coating. Taipei's approval on Thursday gives ASE the green light to invest US$21.6 million for a 60 percent stake in a venture with NXP Semiconductors in Suzhou, China. Regulators also approved investments of US$30 million by Siliconware and US$18 million by Walton in the same place. Greatek received permission to invest US$30 million in Jiangsu, China. "We are happy to see the news. We have been waiting for this," said Janet Chen, a spokesperson at Siliconware. Taiwan and China remain enemies after splitting in 1949 amid civil war, the reason Taipei remains wary of allowing certain high tech investments to the mainland. Despite their strained relationship, China remains the favored destination for Taiwanese investment due to their shared language and culture, as well as China's lower costs and incentives for building factories. As part of their China applications, the four Taiwanese companies all included plans to continue investing at home. In all, they pledged to invest NT$75 billion (US$2.29 billion) in Taiwan over the next three years, including NT$40 billion from ASE, NT$20 billion from Siliconware, NT$10 billion from Greatek and NT$5 billion from Walton. Â
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Taiwan is seeking to dominate the world's orchid industry, and its government plans to bring heavy public spending into the effort.
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(InfoWorld) - The surest sign marketing hype surroundingÂ Apple's iPhoneÂ has outdone itself is that a small island on the Pacific rim is abuzz over the device, despite the fact it won't be on sale here until next year at the earliest. Part of the reason for the excitement is the number of technology savvy users in Taiwan who want to get their hands on one. The most popular Internet auction site on the island, run by Yahoo Taiwan, boasts six different iPhone sellers. One auctioneer is offering the smartphones at NT$32,000 (US$975), on pre-order. At a rival Web auction site, Ruten.com.tw, one seller has a 4GB iPhone for NT$25,000. Most of the sellers are up-front about the fact users may not be able to use the iPhone for phone calls in Taiwan, for now. "You may only be able to use the camera and music player function of the iPhone," writes one seller. That may not deter buyers. Not only is the iPhone viewed as a status symbol, many Taiwanese often travel to the U.S. for business, and a number of people own second homes in places such as California. They could sign an AT&T iPhone service agreement on a trip to the U.S. The popularity of the Apple product is easy to see every day, in newspaper headlines and on the cover of magazines, including Business Next, which says a lot about the other reason the handset is so popular in Taiwan. Taiwanese companies play a vital role in the production of the device, and rumors of which company is making what component on the iPhone are moving stock prices daily in Taiwan. Apple is sourcing a number of parts from the island, and has asked iPod manufacturer Hon Hai Precision Industry Co.Â to assemble the iPhones in China, analysts say. In fact, the stock market boom that has taken hold in Taiwan recently has been attributed partly to iPhone hype. Stock traders hope the iPhone sells millions of units, because companies on the island stand to win from every handset sale. Largan Precision Co., for example, supplies camera lenses and modules for the iPhone, according to CLSA Asia-Pacific Markets in Taipei. Foxconn Technology Co.Â is a provider of metal casing for the handsets, while Unimicron Technology is supplying printed circuit boards for the device and Cheng Uei Precision Industry is making its chargers and cables, the investment house says. The stock prices of many of these have soared in the months leading up to its launch, but are in a holding pattern now as investors wait to see how the iPhone fares in the market. Estimates of iPhone sales vary widely. Citigroup Research, a division of Citigroup Global Markets, estimates iPhone sales will reach 3.5 million in 2007 and 8.5 million in 2008. That's ahead of Apple's own prediction of 10 million over the same period. Deutsche Bank is even more positive about the iPhone. The investment firm expects 7.5 million of them to ship this year and 12 million in 2008, according to a report dated June 22. An even more optimistic forecast comes from financial services company Credit Suisse, which predicts iPhone shipments will reach 5 million this year and 15 million next year. "Apple's iPhone, expected to launch at AT&T on June 29, is clearly the most widely anticipated product the industry has seen for many years, potentially ever," wrote Credit Suisse analyst Michael Ounjian, in a June 5 report on the device. Lehman Brothers offered a more conservative estimate, saying Apple's own 10 million figure "may be difficult to reach" but that the figure "is achievable" in a June 21 report. The investment house believes Apple will start offering the iPhone in Europe sometime in the last three months of this year, and that it will begin sales in Asia in 2008. Apple has not said when it will start shipping the iPhone overseas. The iPhone, a smartphone with built-in iPod music player functions, goes on sale in the U.S. at 6 p.m. Friday. Apple is offering two models, a 4GB model costing US$499 and an 8GB model at US$599. Users will have to sign a two-year contract with AT&TÂ for phone service. Â
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Web auction leader eBay Inc.   said on Monday it has agreed with Sanook, a Thai online portal,  to launch a Web site in the country that will enable  cross-border trade through eBay's global Web sites.
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The US Department of Defense has notified Congress that it plans to sell Taiwan missiles worth 421 million US dollars, which would help boost the island's defenses against rival China.
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Auction site will offer radio spots, in a rival to a similar Google service.
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(InfoWorld) - If you've ever dreamed up an ingenious new invention and then wondered if someone else has already made it, Google's new patent search offering is for you. The new site, www.google.com/patents, lets anyone search for U.S. patents by keyword, patent number, inventor, and filing date. Users can view a scanned image of the original patent and zoom in on pages. The main search page displays five different random patents each time the page is visited. Recent inventions that popped up include toy skunk, pocket protector, toupee, and doll having delayed wetting and crying action. The U.S. Patent and Trademark Office (USPTO) already allows anyone to search its site for patent documents. But Google's offering may have some advantages. "The existing Web sites have patents that you can view so it's not that the information isn't there. The problem is finding it and that's where Google's expertise comes in," said Mike Overy, secretary for the Wessex Round Table of Inventors, an inventors club in England. Overy formerly developed products for Nokia and is now a freelance inventor. Google said that like its Web search technology, the patent search site uses a number of different signals to evaluate how relevant each patent is to a user's query and then determines results algorithmically. The USPTO is not the only patent office to offer an online patent search facility. The European Patent Office also hosts such a service, covering patents from European countries, the U.S., Canada and other patent authorities. Overy finds that database good but not very user friendly, he said. Discovering existing patents is extremely important for inventors, Overy said. While Google's new offering may ease what is often an incredibly tedious job, it may not be able to fully solve the problem, he said. One issue inherent in new inventions is naming them. "If you've invented what you think is the first gizmo whatsit and you type that into a search engine, you won't find much because the other person who invented it called it something different," he said. Google's patent search covers 7 million patents. The database doesn't include patents issued in the last few months but Google "looks forward to expanding our coverage in the future," according to the frequently asked questions section of its site. Although Google's database only lists U.S. patents for now, the company said it hopes to expand the patent offices it includes and languages it supports. Presumably the site will one day allow users to save and print patents too: a note at the bottom of a posting about the new service on the Google blog says that a reference to saving and printing has been removed since Google is still working on the capabilities.
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(InfoWorld) - Taipei may have to rethink its China investment policies in the wake of an offer by a foreign group to buy the world's largest chip assembly company, Taiwan's Advanced Semiconductor EngineeringÂ (ASE). Part of the attraction of the deal is that by changing ownership, the company would cease to be Taiwanese, and therefore be allowed to invest in China as it pleases, pundits say. The trouble for many Taiwanese chip makers in recent years has been the tight leash Taipei keeps on technology investment bound for political rival China. Taiwan and China remain enemies after splitting in 1949 amid civil war. The island fears China could use chip technology to bolster its military capabilities against Taiwan. Despite the strained relationship and tough investment rules, China remains by far the favored destination for Taiwanese investment due to their shared language and culture, and China's lower costs and huge potential market. The deal for ASE, a $5.5 billion offer from a consortium led by the private equity firm Carlyle Group, would be a huge positive for ASE, transforming it into a foreign entity and allowing it to build chip assembly plants in China, according to Fubon Securities. Currently, ASE has no chip assembly investments in China, despite the fact that earlier this year Taipei gave a green light to chip makers to invest in low-end chip assembly. Despite the apparent opening, not a single application has been approved by Taipei, and companies remain unsure of how to proceed with such investment. Analysts argue that the approval process remains very much subject to politics in Taiwan, due mainly to the rivalry with China. A foreign takeover such as the one Carlyle and ASE are discussing would remove such political pressures and put China investments on the fast track. Indeed, theÂ embattled former chairmanÂ of chip foundry giant United Microelectronics, Robert Tsao, was quoted by local media as saying the possibility of such buy-outs excited him, and that UMC would welcome similar offers. Tsao is a prime example of the difficulties Taiwanese tech companies and executives face when investing in China. He and another key UMC executiveÂ resigned early this yearÂ after beingÂ indicted by Taiwanese prosecutorsÂ over their alleged role in the establishment of Chinese chip maker, He Jian Technology (Suzhou). The court case is still being heard. The government began investigating UMC over He Jian a few years ago, and fined UMC for failing to apply for permission to work with He Jian. Taipei has also leveled fines on UMC and He Jian executives. Tsao and his colleagues maintain that they have done nothing wrong. For its part, the government plans to review the possible ASE deal over its potential impact on the Taiwan Stock Exchange, since the company would likely be de-listed if it is purchased by Carlyle. Economics Minister Chen Ruey-long on Monday said Taipei needs to keep on top of the issue in case it becomes a trend, because such purchases could have long term effects on the economic development of the island. The review has nothing to do with China policy, he said.
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(InfoWorld) - Earlier this year, members of Chinese and Taiwanese IT associations announced broad plans to work together to jointly develop and promote Linux as well as home-grown standards for certain IT components. The idea is to match Taiwanâs technology prowess with Chinaâs huge number of users as a base for a global Linux putsch, and to create new standards to compete with global initiatives from Blu-ray to CDMA (Code Division Mutliple Access). At an IT trade show in Shanghai, IDG News Service (IDGNS) caught up with Roger Liao, deputy director of international affairs at one of Taiwanâs biggest industry groups, the Taiwan Electrical and Electronic Manufacturersâ Association (TEEMA), to discuss progress on both fronts, in addition to other IT developments in China. IDG News Service: How is work on Linux progressing? Whatâs popular and whatâs not in Taiwan and China? Liao: It really depends on what kind of product youâre talking about. For example, China really wants to promote Linux as an OS, because itâs more stable. But Microsoft is by far the more popular OS here because people are used to it and it has a larger market share. Microsoftâs recent deal with Novell is another aspect thatâs very interesting, but itâs too early to say how that will affect Linux development and usage in China. Linux is still mostly used in servers and as embedded software in China and Taiwan. A number of Taiwanese companies have opened Linux development centers in China for embedded software development. Although Chinese engineers are less experienced, they are not expensive to hire, and they learn quickly. Even we (TEEMA) use Chinese engineers for all of our software needs, but thatâs mostly our Web site and e-commerce platform. IDGNS: What about the development of new technology standards? Weâve heard a lot about meetings between Taiwanese and Chinese IT associations to create new global technology standards. Whatâs been accomplished so far? Liao: Thereâs not a lot going on so far, just a lot of talking. Developing standards is very difficult, itâs actually a very political issue. Itâs something we (Taiwan-China) always talk about â we even held discussions at the recent APEC meeting (Asia Pacific Economic Cooperation, Hanoi, Nov. 18,19) â but nothing concrete has come from these discussions. Most of our members are manufacturers, contract manufacturers, so they normally wait and see what standard wins out, and then embrace the winner. Thatâs the way itâs been for years, and I donât see it changing anytime soon. IDGNS: Speaking of manufacturing, is the growth of China really hurting Taiwanese manufacturers? Liao: A lot of Taiwanese companies are already using China as a manufacturing base, so theyâre taking advantage of the low costs. But the other issue is quality. Even Chinese companies that are making components on their own, well their quality isnât as good as Taiwan. There are also more risks in doing business with China. Chinese companies will always say âcan doâ even if they canât, which is a problem if your business depends on their delivery. So overall, it may be less expensive on the surface, but other problems such as low quality and business risk in China can increase expenses over the long run, and then it doesnât seem so cheap anymore. Taiwan has been involved in international business for years, particularly in IT. China is rather new to the game, and they still have a lot to learn. Taiwan is actually the best partner for foreigners to approach using China as a manufacturing base and as a market. Japanese companies tend to prefer partnering with Taiwanese companies when entering China. They take advantage of Taiwanâs long experience in China as well as better communication skills (Mandarin is spoken in both Taiwan and China). Itâs more difficult for Japanese companies to do it on their own, the costs are much higher. They definitely can do it, but there is a learning curve and itâs expensive to climb. Taiwan still has a big advantage in know-how, the knowledge of the local people, the education, and the experience with international business practices and standards. (Liao was in Shanghai for a major electronics trade show in China, a three-in-one combo; the China Electronics Fair (CEF Shanghai 2006), Asia Electronics Exhibition in Shanghai (AAES 2006), and the 2006 International Electronics Expo (IEE Shanghai 2006).ADVERTISEMENTNEW IT SERVICES FROM IBM: EASIER TO BUY AND IMPLEMENTDiscover a simpler, more cost-effective way to get the solutions your company needs to grow more flexible and efficient.
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IBM will publish its patent applications online to share their details with the world and, perhaps, reduce the flood of patent infringement lawsuits.
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InfoWorld - The chairman of the world&#39;s largest contract electronics manufacturer, which assembles gadgets from Apple&#160;iPods to Nintendo&#39;s Wii game console, pledged NT$15 billion (US$454.4 million) to Taiwan&#39;s most prestigious university to build a new cancer ward and fund research against the disease.
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The device is part of the Taiwanese computer maker's ongoing attempt to re-establish itself in the U.S. market.
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TAIPEI : Taiwan has invited mainland China to send negotiators to Taipei to discuss direct charter flights for next February&#39;s Lunar New Year festive season.
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The Taiwan government will sign a memorandum of understanding next week to work on WiMax technology and product development with multinationals including Intel, NEC, Nortel Networks, and German WiMax tester Rohde &amp; Schwarz (R&amp;S).The initiative is part of Taiwan&#39;s plan to become one of the largest producers of&#160;WiMax equipment&#160;in the world. The island is already positioning itself to be one of the&#160;fastest adopters of WiMax wireless broadband&#160;Internet connectivity outside of North America. Officials see the technology as a good way to spread broadband Internet access throughout the island, which includes remote mountain villages and sparsely populated outlying islands.Taiwan often signs such agreements with multinationals to stimulate technology development on the island. Often, such deals offer incentives for companies to build R&amp;D centers on the island focused on a certain technology, such as tax-free status, research grants, rent-free space in science parks and more. Officials plan to release more details at the 2007 WiMax Forum Taipei Showcase and Conference next week.Earlier this week, officials pledged to spend $1.22 billion to build out Taiwan&#39;s WiMax network over the next five years, including $1 billion for a fiber optic backbone running down the length of the island and $220 million for WiMax base stations and other equipment.The island has been promoting its M Taiwan project, or Mobile Taiwan, to speed up Internet mobility and encourage companies on the island to invest more in building products for WiMax, 3G (third generation telecommunications) and other wireless technologies.NEC has already announced that its equipment will be used by Taiwanese WiMax license winner Tatung next week in an ambulance test. The companies will show how a patient&#39;s vital signs such as heartbeat and blood pressure can be sent ahead to a hospital before the ambulance arrives via WiMax, allowing hospital workers to better prepare for the incoming emergency. The trial will run Oct. 22 and Oct. 23, the companies said in a statement.Taiwan held a WiMax license auction earlier this year to six companies, three each for the north and south of Taiwan. The three winners of southern Taiwan licenses were&#160;Far EasTone Telecommunications, Vastar Cable TV System, and Tatung. For the north, the winners were Global On, First International Telecom, and a joint venture between Tecom and 3G network operator VIBO Telecom.&#160;