Handset shipments by Taiwan's brand vendors and ODMs totaled 14.59 million units in the fourth quarter of 2019, up by a single-digit rate from the previous quarter but fell 35% from a year earlier, Digitimes Research has found.For all of 2019, Taiwan's handset shipments reached 56.16 million units, decreasing 32.2% from a year earlier.The Foxconn Group remained the top maker in the fourth quarter thanks to increased feature phone orders from HMD Global.Arima Communications surged to second place, buoyed by orders from clients in North America, while three- to fifth-place makers Asustek Computer, HTC and Compal Electronics all suffered sequential declines in the fourth quarter.Digitimes Research also found that smartphone models shipped by the five makers suffered an annual decline of 60% to account for less than 30% of Taiwan's total handset shipments in 2019.

Taiwan's National Health Insurance (NHI) program under Ministry of Health and Welfare is using big data it collects to train AI in developing smart medical care solutions.NHI Administration director general Lee Po-chang said his administration focuses on three core concepts in using the big data: data management, clinical application of AI technology, and protection of privacy of personal data.Analysis of medical records can result in fast ICD-10 (10th revision of International Statistical Classification of Diseases and Related Health Problems) coding of diseases to reduce hospital staffs' workload of coding diseases, Lee said.For interpretation of medical images, the more NHI images are used, the better AI algorithmic models are trained, Lee noted. For preventive medicine, medical images, such as CT and MRI ones, have to be further classified and combined with diagnostic content and, in addition, related data such as blood lipid, age and sex should be included in analysis, Lee indicated.The administration appreciates the medical value of minimally invasive surgery but, from the viewpoint of NHI insurance benefit, has to evaluate whether the advanced technology can bring higher medical effects than conventional treatments and the cost incurred, Lee explained.The NHI database consists of various medical data uploaded by about 30,000 hospitals and clinics in Taiwan. The data are first incorporated into a database of which underlying architecture is based on Oracle system. They are stored in 32-digit codes for de-identification with a string of keys, which are crucial to protecting privacy, because there is no telling the linkage between the medical data and corresponding personal identification.NHI data have so far been available for academic and research organizations mostly, Lee said. But the administration is communicating with life insurance companies about using NHI data to help them design insurance products that better meet customers' needs, Lee noted.Lee Po-chang, director general of Taiwan's National Health Insurance AdministrationPhoto: Shihmin Fu, Digitimes, March 2020

To build a successful startup, it is essential to start with a domain which the founders are best at and then work out solutions that exactly meet clients' needs, according to Winnie Lee, co-founder and chief operation officer of Appier, one of Taiwan's only two startup unicorns.Founded in 2012 as an AI startup, Appier has managed to raise total funds of US$162 million and has developed four major solutions, CrossX, AiQua, AiDeal and AiXon, to help clients in diverse sectors carry out precision marketing. It has been recognized by Taiwan's National Development Fund as one of the country's first two homegrown unicorns.Lee told Digitimes that at the start it had been difficult for Appier founders, including CEO CH Yu and CTO Joe Su, to convince international venture capital firms of the prospects of AI startups, and that it had been even harder to persuade enterprises to incorporate the firm's AI solutions to address their problems. Lee said after developing eight unsuccessful products, Appier rolled out an AI solution that precisely addressed clients' long-unsolved problems. She continued that the success has justified their insistence on starting in the AI domain where Yu is an expert.The three founders have shared the view that Appier should develop into a global company with AI as infrastructure while working out solutions for business sectors that can generate big data. This is why the company has rolled out precision marketing platforms for e-commerce, advertising and other related online services providers, according to Lee.Appier co-founder and COO Winnie LeePhoto: Michael Lee, Digitimes, March 2020

Taiwan-based startup Velodash has developed an app to allow cyclists to plan cycling routes and arrange group rides as well as to provide management system, including route planning and real-time tracking of cyclists,for cycling event organizers. It has recently raised NT$21 million (US$698,300) in an angel round of funding.Company co-founder and CEO Molly Huang talked to Digitimes in an interview about Velodash's outlook and plans.Q: The Singaporean government adopted Velodash's app for recording participants' performance in a cycling event at the Singapore National Games in late July-early August 2018. What's Velodash's progress since then? What is Velodash's next step?A: At the event, Velodash noticed the need to precisely meet clients' demand, as event organizers have to be responsible for participants' safety. But the app at the time could only display the locations of all participants but did not provide management functions for assigned tasks. Velodash, inspired by the observations at the event, has developed Staff, an app functioning as a smart control center for tracking all participants and displaying locations of rescue resources such as ambulances, and the statuses of incidents that are being handled. Staff will be launched later in 2020.By virtue of cycling events, the number of Velodash app users has increased from over 3,000 in August 2018 to more than 30,000 at present. Velodash has expanded the user base from B2C (individual users) initially to also include B2B (enterprises and event organizers).The fund raised in the angel round will be used to expand workforce from eight staff members currently to 15. Velodash will tap overseas markets in Asia, with Japan to be the first one. In addition, Velodash plans to further raise funds in mid-2021 or 2022 for taping additional overseas markets such as the US.Q: Are B2B clients mainly professional cycling events such as Tour de France?A: Professional cycling events usually adopt customized apps due to confidentiality. Velodash focuses B2B clients on organizers of amateur events or bicycle vendors who organize their own cycling teams for sales promotion.In fact, amateur cycling teams and people fond of cycling make up the largest demand. Members of amateur cycling teams, mostly aged above 35, usually go on cycling in group during weekends and they need mutual care.Q: Will Japan-based Nippon Platform Group, one of the angel investors, help Velodash tap markets in Japan and other Asian countries? Is it in strategic cooperation with Velodash?A: Nippon Platform Group has not asked for strategic alliance despite its angel investment, but will maintain cooperation with Velodash.Q: What are the business opportunities in the Japan market? Are there competing products?A: Japan is the largest market in Asia. In view of concentration of international tourists in main cities, the Japanese government has been making efforts to divert tourists from big cities to rural areas. However, public bus services in rural areas are very infrequent and thus bicycles become an ideal transportation tool. Local governments in Japan are also inclined to sponsor cycling activities or events in rural areas. Therefore, Velodash's sales promotion in Japan will begin in rural areas rather than in big cities. Besides, as there are various folk festivities, such as carrying of sedan chairs, on many traditional festivals in Japan, Velodash plans to provide a common platform for activity organizers to create content on demand.Q: In addition to GPS, AI-based algorithm and IoT, what other technologies will Velodash adopt?A: Besides collection of data on location, Velodash plans to use GPS to establish its own map system, tentatively dubbed VeloMap. Because Google Map contains much unnecessary information for cyclists, our map system will focus on information really needed by cyclists such as locations of coffee shops for taking rests, repair stores and restrooms, and allow users to edit and update information. Velodash will encourage store operators to join the map system.Q: How can Velodash maintain users' stickiness?A: Velodash encourages users to create unique content. For example, Velodash-developed route planner enables cyclists to recommend their favorite cycling routes for sharing.Velodash co-founder and CEO Molly HuangPhoto: Shihmin Fu, Digitimes, February 2020

The server sector has been almost unscathed by the coronavirus outbreak that has spurred stay-at-home economy. There has been strong demand for servers to support e-commerce, video streaming, e-sports, teleconferencing and collaboration platform applications for people avoiding leaving home or undergoing quarantine. Memory demand from the server and datacenter sector has also been strong, with vendors expecting prices to go up this year. For others in the ICT industry, such as the handset industry, the outbreak has wreaked havoc. But Apple reportedly will still be launching a new entry-level LCD iPhone that has already come to its final stage of verification at its manufacturers. Server sector unscathed by coronavirus outbreak: The PC and handset supply chains are being hard hit by the ongoing coronavirus outbreak, but the server sector has been almost unscathed, as the epidemic has spurred stay-at-home economy and in turn fueled demand for servers, according to industry sources.Memory demand for servers and datacenters surges: DRAM and NAND flash memory demand for server and datacenter applications has started picking up and surging recently, despite weakness in demand for PCs and consumer electronics products, according to sources at channel distributors.New entry-level LCD iPhone reportedly enters final verification stage: Apple's new entry-level LCD iPhone, tentatively dubbed iPhone SE2, has entered the final stage of engineering validation in Zhengzhou, China, where the vendor's major manufacturing partners Foxconn Electronics and Pegatron run assembly lines, according to industry sources.

TSMC is unqestionably the global leader in the pure-play foundry, but it is also gearing up efforts expanding its presence in the backend sector. Its advanced wafer-level packaging capacity is set to enjoy rising utilization in second-quarter 2020. TSMC has not been much affected by the coronavirus outbreak, unlikely many other manufacturers in the IT and semiconductor sectors. But Foxconn has disclosed that it expects to resume normal production in China by the end of March. The outbreak may be hitting hard the hadnset market, but Samsung and Huwaei have been keen to roll out their foldable devices featuring flexible AMOLED screens. Rising popularity for flexible AMOLED is expected to benefit BOE Technology, a major supplier of such displays.TSMC advanced packaging capacity utilization to climb: Pure-play foundry TSMC has been expanding its presence in the advanced wafer-level packaging field, and is set to enjoy rising utilization of its backend capacity starting the second quarter of 2020, according to sources at dedicated OSAT companies.Foxconn to resume normal production in China by end of March: Foxconn Technology, the world's largest EMS provider, expects to resume normal production in China - where the majority of its manufacturing facilities are located - by the end of March, and forecasts its revenues for the first half of 2020 to stay flat as compared with a year earlier, according to company chairman Young Liu.BOE making headway in flexible AMOLED: BOE Technology is expected to continue to enhance its presence in the flexible AMOLED panel sector as handset brands including Samsung Electronics and Huawei remain committed to rolling foldable smartphones this year despite the impacts of the coronavirus outbreak, according to industry sources.

The Taipei City Government, via cooperation with Turing Drive, will begin trial run of autonomous electric buses on a designated road in the city at midnight in May 2020.The autonomous buses will run from 12:30 a.m. to 2:30 a.m. at 10-20km/hour during the trial on a bus-only lane.Turing in 2019 applied with Ministry of Economic Affairs (MOEA) for a one-year project to experiment technological innovations in unmanned vehicles, and obtained approval in February, the city government said.Turing is the coordinator in the project, which also consists of ThinkTron, which is responsible for establishing high-resolution electronic maps; International Integrated Systems for connecting the trail run with the city's traffic lights information system; AIMobile for installing cameras at road intersections; Tron-e Technology for making the autonomous electric buses; and Trillion Green Energy for designing a control system for the vehicles.In March and April will be preparation for the trail run, mainly readying two 6m-long autonomous electric buses and a 4m-long one, establishing high-resolution electronic maps and installing detection systems at intersections of roads, the city government noted.The three autonomous electric buses will be in POC (proof of concept) experiment to test their response to various scenarios during May-August, with technical staff members on board but no passengers. Based on results of the POC experiment, POS (proof of service) trials with passengers will be conducted from September 2020 to February 2021.A 4m-long autonomous electric bus that will be tested in TaipeiPhoto: Taipei City Government

With the coronavirus starting to widely spread in many countries outside of China, the semiconductor industry has grown concerned that its performance may be influenced; however, in China, the upstream supply chain there has gradually picked up their paces in production resumption with IC design houses expect their shipments to rise in March. Meanwhile, VisEra, a subsidiary of TSMC is setting up a new color filter plant in Taiwan and is striving for orders from Sony.Spread of coronavirus beyond China to impact 2020 semiconductor market: The spread of coronavirus beyond China is now a challenge that the global semiconductor market is facing this year.Taiwan IC designers eyeing shipments upturn in March: With labor return rates recovering in China, Taiwan-based IC design houses are expected to see shipments start picking up in March as the impact pressure of the coronavirus outbreak on fulfillment of orders was already largely eased in February, according to industry sources.VisEra to build new color filter plant to serve Sony: Color filter (CF) maker VisEra Technologies, a subsidiary of TSMC, will establish a new plant in Longtan, northern Taiwan and is eyeing new orders from Sony, according to industry sources.

Handset sales in China have plummeted in the wake of the coronavirus outbreak, which has hit hard both production and consumer confidence. The Chinese governmet reportedly is mulling measures to rejuvenate the handset market, including offering subsidies for 5G phone purchases. While many makers see diffulties returning to normal production, e-paper solution provider EIH says it expects full-scale production resumption in China by the end of March. And as the outbreak has convinced many companies of the need to move some of their production out of China, LED firm Epistar has plans to shift some of the production of its backlighting applications from Taiwan to China in order to hike overall production efficiency.China reportedly to offer subsidies to rejuvenate handset market: China's government and telecom operator are reportedly to join forces to rejuvenate its dwindling handset market by offering subsidies to consumers for the purchases of 5G phones, with related measures likely to be materialized by the end of the first quarter, according to sources from Taiwan's IC suppliers.EIH to see full-scale production resumption in China by end of March: E-paper solution provider E Ink Holdings (EIH) has said that about 600-700 out of its 1,000 employees have returned to its plant in Yangzhou, China enabling the facotry to resume about 40-50% of its production capacity currently.Epistar to hike production capacity for mini LEDs: LED epitaxial wafer and chip maker Epistar, optimistic about demand for mini LED applications, has disclosed it will allocate NT$3.5 billion (US$116.51 million) to expand production capacity for mini LEDs.

The coronavirus outbreak has derailed production and consumer demand in China - the biggest manufacturing base for mobile devices and one of the biggest markets for them.Operation at many major mobile device ODMs' China plants is still way below normal levels since work resumed around mid February after an extended Lunar New Year break in the wake of the outbreak. Further upstream at their materals and components suppliers, work resumption has been even much slower.Digitimes Research expects mobile devices shipments to see major declines in first-quarter 2020, and the full-year shipmet volumes will also be much lower than previously expected. And how bad the falls will be depends on the workers' return rates and the supply of materials and components.Global notebook unit shipments for the first quarter of 2020 are estimated to plunge 29-36% than the 17% projected earlier, as severe labor and components shortages and stagnant logistics arising from the coronavirus outbreak are stalling the supply chain in China, which commands over 90% of global notebook production, according to Digitimes Research's freshly published special report about the coronavirus outbreak's impacts on the productions and markets of notebooks, smartphones and tablets. Global smartphone shipments are expected to slip below 1.3 billion units in 2020, including less than 200 million units of 5G models, taking into account the impacts of the outbreak on China and around the world in terms of economic growth.Among IT product supply chains, the tablet sector has experienced less impact from the epidemic as most tablet factories had remained in production during the Lunar New Year holiday, while those located in regions less affected by the virus have begun resuming production since February 10. In general, the tablet sector is witnessing better capacity recovery than the notebook and smartphone sectors.