Advansus Corp., the company founded by Advantech and ASUSTek, clearly made an argument that they will partner with IPC manufacturers to form alliances, instead of bringing about competition in the industry. Philip Chang, AVP of Advansus therefore points out that the company will not pursue own-brand strategy. Meanwhile, it will position itself as a strong backup for its IPC customers.

Chang says that one of the features of the IPC market is the small volume, diversified products. Since a branded company has to establish a complete business operation including R&D, manufacturing, marketing & sales, and after-sales service, it may only target one market segment and therefore limit its business opportunities. As a result, Advansus has decided not to go for the road of brand name.

Being such a young company (founded in January, 2006), Advansus has turned loss into gain in 2007. After its initial orientation into the Industrial Motherboard (IMB) industry, it now plans to set up industrial server product lines and develop industrial computing Design & Manufacturing Services (DMS) and Electronics Manufacturing Services (EMS) with the core value service of Component Allied Procurement Service (CAPS). 'While IMBs, our standard products, are still accounting the most percentage of our sales, we are applying different marketing models to develop customized DMS businesses,' says Chang. 'And, industrial servers are surly our future direction of development.'

This kind of open development strategy not only satisfies medium and large economic demands of Advansus' customers on productivity, but also actively purchases components together in alliance, which effectively reduces the cost and raises production and sales benefits to provide the customer with more competitive products and service. Chang addresses that after the company successfully complete the full line of products, it will seek business opportunities in different applications in order to expand its product differentiation.

As for marketing strategies, Advansus will implement a marketing channel outsourcing strategy and form vertical upstream and downstream integration relationship chains via resources such as Advantech and strategy alliance partners. Chang revealed that in order not to directly compete with Advansus' customers, the company is asking a brand company called BCM Embedded Computer to sell Advansus' vertical integration solutions in surveillance applications.

The company officially released its estimation of the scale of operation to be NTD 2 billion this year, and its revenue goal for 2010 is NTD 5 billion. Chang notes that Advansus is predicted to have the biggest growth in KIOSK, surveillance and gaming markets this year.