Taiwan PC Makers Woo Consumers with New Designs

Taiwan producers of computers and peripherals are retooling their factories to launch new, gadget-filled laptops and hand-held devices to satisfy a growing consumer lust for stylish computing.

Firms such as Asustek Computer Inc. that have been making products under contract for other global brands are now churning out new designs to win their own share of the lucrative consumer pie.

At Computex, the world's second-largest computer fair, Asustek showcased shiny, colourful laptops that can take pictures from a camera fixed on the top of screens. The notebooks are also equipped with tuners allowing users to watch television.

"PCs are moving toward a world that demands more entertainment and digital services, and it's a path that we must follow," Sunny Han, an Asustek marketing director, told Reuters.

Long a powerhouse for computer motherboards, the US$2.5 billion (1.4 billion pound) Taiwan firm has aggressively diversified into notebook PCs and cellphones to boost meagre sub-contracting margins.

Asustek's new VENTO 3600 case for powerful gaming computers is also grabbing attention as standard PCs fall out of style. The sleek cases look more like a sports car or space ship than a computer.

Asustek's strategy reflects a wider trend among Taiwan tech companies -- contract suppliers to multinationals such as Dell Inc