Computex 2025, which spans during May 20 and May 23, spotlights "AI Next" and "AI in Action" as its central themes. This year's exhibition emphasizes AI robotics, edge computing applications, next-generation technologies, drones, future mobility, and AI data center solutions. Exhibitors are unveiling cutting-edge AI technologies, underscoring the resilience and prowess of Taiwan's supply chain.
Taiwan's ICT sector to advance generative AI
Taiwan's information and communications technology (ICT) sector is rapidly advancing into areas including generative artificial intelligence, high-speed communications, edge computing, and sustainable data center infrastructure. This strategic shift corresponds with the broad adoption of generative AI, which is driving significant changes across various industries.
On the application front, Taiwanese firms are concentrating on AI vision and robotics, 3D AI inspection systems, intelligent robotics, chip inference architectures, electric vehicles, and drones. These solutions span smart manufacturing, smart cities, AIoT (AI of Things), and future mobility, showcasing the multifaceted nature of Taiwan's AI-driven transformation.
Challenges in transitioning to an AI-centric era
As industries transition from computation-driven models to a new era defined by virtual-physical integration, intelligent applications, and human-machine collaboration, Taiwan's ICT sector confronts significant challenges: Can its established AI supply chain mirror the successes it achieved in traditional ICT? Current bottlenecks cast doubt on that possibility. While advancements in generative AI and large language models (LLMs) depend on refining algorithms, AI agents, physical AI, cybersecurity, and multimodal AI, they also rely heavily on the availability and quality of vast datasets—an area where Taiwan still faces significant hurdles.
Beyond technical challenges, Taiwanese companies venturing into AI innovation, new business models, and service development must navigate evolving regulatory frameworks, talent shortages, and global market dynamics. Issues such as forward-thinking cybersecurity protocols, robust digital privacy measures, and comprehensive regulatory knowledge demand concurrent attention.
Structural limitations of Taiwan's ecosystem
Taiwan's economy, traditionally focused on ICT hardware exports, has emphasized hardware production over software development and manufacturing over service industries. The limited availability of Traditional Chinese data—especially when compared to the larger datasets for English or Simplified Chinese—restricts the scope of local AI model training, often confining progress to niche areas like legal applications. These limitations affect Taiwan's ability to compete on a global scale. Furthermore, challenges in developing skilled talent and the absence of proactive regulatory policies present considerable barriers to advancing the country's overall capabilities in artificial intelligence.
Navigating global risks
Despite ongoing geopolitical tensions, tariff changes, and currency fluctuations, Taiwan's leading ICT companies, including Foxconn, Quanta, Pegatron, TSMC, and Delta Electronics, are positioned to maintain a strong presence in the AI hardware and component sectors. Their established expertise equips them to continue benefiting from developments in these markets.
Pegatron chairman T.H. Tung recently highlighted the importance of achieving economic balance rather than focusing solely on export-driven growth, calling for a structural recalibration. He noted that this approach is equally relevant to the development of artificial intelligence. As Taiwanese companies capitalize on the expanding AI sector, their perspectives offer a uniquely forward-looking view of this rapidly evolving industry.
A call for collective leadership
Structural transformation requires concrete action beyond mere rhetoric. Industry leaders in Taiwan have the chance to move past competitive tensions and develop collaborative approaches. By building consensus, establishing ambitious targets, and offering strategic direction, these executives can advance Taiwan’s artificial intelligence ecosystem and enhance its global standing.
Such concerted efforts would represent a meaningful way for enterprises to give back to the fertile ground that nurtured their growth. Should this vision materialize, Taiwan’s emergence as a major AI powerhouse may soon become an attainable reality.
Article translated by Sherri Wang and edited by Jingyue Hsiao
