Microsoft to Pour 90% R&D Resources Into Cloud Computing

Taipei, Oct. 28, 2010 (CENS)--There are many opportunities for Taiwanese OEMs/ODMs (original equipment /design manufacturers) in the "cloud computing" era, due mainly to strong demand for data-center construction and hardware such as servers, according to Zhang Yaqin, corporate vice president of Microsoft and chairman of Microsoft's Asia-Pacific R&D Group.

In addition, Zhang said, Taiwanese information technology (IT) hardware makers have enjoyed strong advantages in making terminal products.

In the future, Zhang said at a recent IT industry trend forum held in Taiwan that major battlefields of the IT industry would lie in platforms, cloud computing, and portable devices. Any company that wins in the three fields would be the next-generation leader, Zhang said.

Zhang said that about 40% to 50% of Microsoft's R&D staffers are working on cloud-computing-related projects, and by the end of 2010. In terms of future platform competition, Zhang said, Microsoft's core competitive edge lies in its ample resources and technologies developed for the end market, as well as its big number of customers and the open (cooperative) business model.

The R&D head also pointed out that some Taiwanese OEM/ODM makers worry about a future decline in the demand for terminal devices resulting from increasing web-based services, but a previous worry about the disappearing personal computers (PCs) in 10 years finally led to a tripled PC market demand however. Zhang said that he believes there would be a multiplied development of terminal devices in the future.