Taiwan-based notebook maker Clevo has been operating in the global notebook industry for over 20 years, and although the company does not have the shipment scale of some of its first-tier competitors, the company does have the business experience and product innovation that has allowed it to find a successful niche within the market.
The niche the company has found is being a reliable and innovative notebook ODM for the smaller regional and channel brands in the global PC market. While first-tier notebook brands account for the lion's share of the global market in terms of shipments, regional brands still account for about 7-8% of annual shipments – which totaled more than 150 million units in 2009 – and these are the customers Clevo targets aggressively. The company's major clients are located throughout the world, including Brazil and other Latin American countries, Japan, China, Southeast Asia and Europe.
Talking with Clevo reveals that the company is much more than just a factory for its customers. The company pointed out that regional brands still like to compete with top-10 brands and therefore they value the support a company Clevo can provide. Clevo offers advance support as well as competitive and innovative products for these channel players, while helping them avoid price competition, and gaining a unique edge in terms of product differentiation.
This is also one of the reasons that the company has not pursued the branding route with its notebooks. While other smaller notebook makers have turned to own-brand sales to improve their shipment volumes, Clevo remains a pure OEM/ODM player. Clevo indicated that it has considered doing branded products in the past, but worries it will create conflict and competition with its notebook clients, and currently it has no plans to resurrect such a plan.
Clevo added that another way it helps its channel customers differentiate their products is through its launch of a product line called MOFA (Magic OF Film Art). MOFA is a printing technology that provides a quick method for producing tailored images for notebook covers and reduces lead times from the traditional in-mold roller (IMR) method of printing. The technology also allows for notebook covers to become exchangeable, thus helping customers differentiate their products further.
Clevo also pointed out that its channel customers often have an advantage in the enterprise notebook market, as they are flexible and have the experience and local expertise to support enterprise customers. Clevo is a strong partner for these customers as well. For example, during Computex Taipei 2010, Clevo will be showcasing an enterprise-based docking station, which can attach to a notebook for added functionality. The docking station integrates a backup hard drive, which allows users to back up their data, and an external graphics card, which allows better image output. The docking station also supports dual-screen output.
In addition to product differentiation, Clevo noted that it also provides its channel customers with the supply-side heft to successfully compete with top-10 vendors. Clevo has a close relationship with component suppliers such as Intel, AMD and Nvidia – just like the first-tier makers do – but the company has the flexibility to customize and tailor products for its clients, unlike its larger competitors.
Another key advantage the company has is innovation. Clevo noted that the notebook market has evolved in various directions, and suppliers need to be able to support demand for ultra mobile devices, mainstream notebooks, desktop replacements and full blow gaming machines. Customers can see this for themselves at Computex, where Clevo's design innovations will be on full display. New products include a gaming notebook that supports options such as multiple screen size choices, adoption of various CPU platforms including desktop CPUs, and dual-graphics card support.
Asked to elaborate about its dual-graphics card notebooks, Clevo explained that it is offering a notebook platform that targets gamers who want a mobile solution. The notebook supports dual 75W AMD ATI Radeon HD 5000 series mobile graphics, dual 75W Nvidia GeForce 400 series graphics or dual 100W Nvidia graphics. In addition, clients can upgrade their graphics solutions via support from Clevo.
Clevo added that all its mobile solutions that support desktop CPUs and/or dual graphics are designed with a complete thermal solution that takes all heating issues into account.
At Computex Clevo will also be showcasing a 3D notebook featuring Nvidia's GeForce 3D Vision technology and a 15.6-inch display. In the fourth quarter, Clevo will launch a Full HD-supporting 17.3-inch 3D notebook and will adopt Intel's next-generation notebook platform to boost the performance of the device.
On the opposite end of the size spectrum, Clevo will be highlighting its new netbooks and ultra-thin notebooks at Computex. Clevo will have a DDR3-supporting Intel Atom N455/475 netbook as well as Intel Calpella ULV-based ultra-thin notebooks.
As for tablet PCs and e-book readers, Clevo noted that these markets are just getting underway. Clevo does have the technology expertise required to produce a tablet PC or e-book reader, but it prefers to first observe how the market shapes up. If Clevo sees demand for tablet PCs from its customers, it will begin producing products.
However, Clevo noted that it will go its own way in the tablet PC market. While the current thinking among vendors is to target the consumer space, Clevo expects that when it does enter the market, it will partner with its channel customers to target enterprise solutions, such as devices that feature vPro technology for management and software for security, usability and connectivity purposes.
At this point, Clevo believes the all-in-one (AIO) PC market is more mature than the tablet PC market and Clevo will target this market during Computex. Clevo has prepared an Intel Calpella platform-based 19-inch AIO PC. As opposed to most other AIO PC makers who are building their systems around an Intel Atom processor or other entry-level CPU platforms, Clevo is looking to bring its AIO model a bit more upmarket. Clevo believes AIO PCs will also be treated as a TV display in the consumer market and therefore one of its AIO models also has an HDMI connector and TV tuner.
However, Clevo will target both the consumer and enterprise markets in the AIO space. For the consumer segment, Clevo will focus on developing models with displays larger than 19-inches, while its enterprise model will integrate Intel's vPro technology.
Clevo can be found at Computex 2010 at the Taipei International Conversion Center (TICC,T201C). In addition to showcasing its latest products and technologies, Clevo will be briefing existing clients about the company's upcoming products in the second half of 2010. Clevo is also looking forward to forming new partnerships during this year's Computex show.
Clevo notebook lineup
Photo: Company
