ASUS Reaffirms Commitment to Mobile Sector with Strategic Shift Towards AI
Summary:
- ASUS chairman confirms that the company will not launch new mobile phone models, while continuing to support existing customers.
- The strategic focus is shifting towards AI development and research, particularly in PCs and Physical AI equipment.
- ASUS projects significant growth in its AI server and e-sports sectors despite a challenging PC market.
In a bold declaration during its "AI Pilot" themed year-end party on January 16, ASUS Chairman Shi Chongtang addressed persistent rumors regarding the company’s potential exit from the mobile phone market. He stated unequivocally, "The mobile phone business will continue to serve its original customers, but it will not launch new models." This statement marks a pivotal moment in ASUS’s strategy as it pivots away from mobile devices.
Shi Chongtang emphasized that this decision is part of a broader effort to intelligently allocate research and development resources. The company aims to enhance focus on essential sectors, including PCs and various forms of Physical AI equipment. This strategic redirection is in line with the ongoing "Fourth Industrial Revolution," wherein AI technologies are set to transform industries and everyday life.
A Vision for the Future of AI
According to Shi, the future landscape will be increasingly populated with "artificial brains" capable of autonomous learning and adaptation. ASUS has positioned itself to sprint ahead in this dynamic field, fully committing to an "All in AI" strategy. This plan involves seamlessly integrating its product lines from cloud-based solutions to edge devices, ultimately enhancing user experiences in both personal and professional contexts.
Despite a lackluster outlook for the overall PC market in 2023, ASUS has demonstrated resilience and growth in specific sectors. The company has recorded impressive momentum in e-sports, AI server, and commercial computing divisions. Recent financial reports indicate that ASUS anticipates an annual revenue of NT$738.91 billion (approximately $163.3 billion) by 2025, representing a substantial year-on-year increase of 26.1%. This robust growth is particularly noteworthy in the AI server segment, which is projected to double in size this year due to a low base period for comparison.
Investing in the Future
ASUS’s strategic shift not only reflects changes in the mobile landscape but also aligns with the increasing demand for advanced AI technologies. As businesses and consumers alike seek more integrated, intelligent solutions, ASUS is strategically placing itself at the forefront of innovation. Key investments in AI infrastructure and technology will enable the company to respond proactively to market shifts, positioning it well for sustainable growth.
In summary, while ASUS steps back from new mobile phone launches, it is simultaneously sharpening its focus on the burgeoning fields of AI and e-sports. The company’s commitment to R&D in these areas not only promises significant advancements but also serves as a testament to its vision for the future. By adopting an all-encompassing strategy around AI, ASUS aims to influence how technology is integrated into our daily lives.
As the company navigates through this transition, stakeholders and consumers alike will be watching closely, eager to see how ASUS leverages its expertise and experience in the evolving tech landscape. The commitment to existing mobile customers, alongside a strong investment in AI, may well set the stage for a new chapter in ASUS’s storied legacy.
