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Compal Electronics aims to make 10 mil. tablet PCs

TAIPEI, Taiwan -- Compal Electronics, Inc. has sharply raised its manufacturing target to between 8 million and 10 million tablet PCs this year, a goal much higher than the actual output of 1.6 million units in 2012.

Ray Chen, president and CEO of the Taiwan-based original design manufacturer (ODM) of notebook PCs, said yesterday that the company will strive to advance its design and manufacturing operations to meet the challenge of continuously falling prices of tablets by lowering production costs.

He said that Compal's market share of tablets was rather low last year, but the company is catching up with an accelerated pace.

In addition to continuously improving production efficiency, new orders from some large international clients will also be a major factor for achieving the target of boosting tablet product volume up to 10 million sets in 2013.

Compal has already significantly increased the production of 7-inch tablets for Taiwan's Acer Group by securing orders from Dell Computer.

Industry sources reported that Compal has also garnered large shipment orders for Kindle Fire tablets from Amazon, the American online retail giant.

Analysts said that the steep lift in output target by Compal at the beginning of the new year signals the company's new strategy of shifting more resources to tablets from other traditional product lines.

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