ABSTRACT
This chapter begins with a discussion on the development of Taiwan’s information electronics (computers and peripherals) segment of the industry. It examines the formation, growth, and national strategy of the upstream electronic parts and components segment of the industry. The chapter addresses the issue of the growing popularity of forming strategic alliances and industrial groups among domestic electronic products manufacturers and foreign MNCs. The development of Taiwan’s computer or information electronics industry can be categorized into four distinct stages: the embryonic stage (1978 to 1985); the growth stage (1986 to 1989); the turmoil stage (1990 to 1992); and the large-scale investment stage (1993 to 1996). The prosperous growth of Taiwan’s information electronics sector would not be possible without the successful development of the semiconductor segment of the electronics industry. The focus shifts from the downstream computer-related products to the upstream electronic components and building the national technology infrastructure.
