Microsoft Corp. will set up the world's first Internet of Things (IoT) center in Taiwan, a globally linked platform that Premier Mao Chi-kuo said will incorporate Taiwan's soft and hardware industries to develop new products and services, build an IoT industrial supply chain, and explore blue ocean opportunities.
At the ceremony where Microsoft and the Ministry of Economic Affairs (MOEA) signed a memorandum of understanding (MOU) on the IoT center, the premier stated that IoT will become the strongest driver of future industries. With regard to IoT policy, the government will focus on three areas: developing key technologies, promoting industrial alliances, and cultivating talent and research and development (R&D) for systematic products.
Presently the government's Productivity 4.0 policy for industrial transformation is based precisely on the IoT. It can be applied not only in industry, but also in agriculture, commerce, health care, transportation and everyday products—bringing about major changes in people's lives, he said.
Microsoft's market savvy and R&D capabilities combined with Taiwan's unique industrial strengths will enable the nation to swiftly develop globally competitive systems, products and services, Mao emphasized. Capitalizing on Microsoft's global reach, Taiwan can market products and services across the world and create a win-win relationship.
MOEA's Vice Minister Shen Jong-chin stated that in the past personal computer (PC) era, the PC value chains formed between Taiwanese industries and Microsoft played a decisive role in the global PC market. In this IoT era, the IoT center will use Microsoft's cloud platform and big data analytical tools and work with domestic industries to develop value-added services. In this way, Taiwan's businesses will shift from simply selling hardware to providing sustainable value-added services, creating a new model for transformation and upgrading, raising their competitiveness and developing new opportunities.
Mike Neil, corporate vice president for the Enterprise Cloud Group at Microsoft, remarked that IoT is a global trend and the next technological revolution. He hopes the collaboration between Microsoft and Taiwan will duplicate the PC industry's success and develop easy-to-use IoT systems for the global community.
Chris Phillips, general manager for the Enterprise Cloud Group, stated that Taiwan's strengths lie in design and manufacturing capabilities, as well as its quality products. Investing in Taiwan is definitely the right move.
An official of Microsoft Taiwan remarked that the IoT center will focus on internationalization, intelligence and integration of products and services, particularly in the manufacturing, health care, homecare, smart retailing and public services sectors.
Director Kin W. Moy of the American Institute in Taiwan remarked that the MOU will speed up the development of IoT solutions and smart applications, generating innovation and growth. It exemplifies the long-term information technology collaboration between the United States and Taiwan while demonstrating the value-added partnership. The Microsoft investment will generate new opportunities and resources, facilitate U.S.-Taiwan business partnership, and usher in a new era for global economic growth, Moy said.