Tag Archives: Quanta

Heads in the Cloud

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DigiTimes is reporting that companies like Quanta are working with cloud computing developers to offer turnkey solutions, selling storage space to design and manufacturing customers.

What DigiTimes did not report, however, is that such arrangements extend to PCB CAD tool providers. In fact, Quanta is offering one major CAD tool vendor’s PCB software via the cloud. Users can access the tool on a fee for use basis.

What’s scary about this arrangement is the potential for havoc should a dispute arise between Quanta and its customers. Access to designs — in process or legacy — is critical, and if a design needs to be respun at 11 PM on a Sunday night, and the OEM doesn’t have easy access to the server for whatever reason, that’s going to be a problem.

The Chinese Diaspora

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In what might be the most fascinating labor development to come out of China this year, major ODMs are relocating workers west due to labor shortages.

One major reason companies in Shenzhen packed up their factories and moved inland (with the government’s blessing) was to chase a larger supply of lower-cost workers. Shenzhen had become too expensive, and migrants from the western farms were no longer so eager to move to the Southeast coast to take jobs. The diaspora was supposed to resolve both

But today the news out of China is much different. Quanta Computer and Compal Electronics reportedly have moved employees from east to west to support factories in Chongqing City, a municipality with a population of more than 28 million (!), due to short labor supplies.

Even in a country of 1.3 billion people, cheap, effective workers apparently are hard to come by.

The Chinese Diaspora

Posted on by

In what might be the most fascinating labor development to come out of China this year, major ODMs are relocating workers west due to labor shortages.

One major reason companies in Shenzhen packed up their factories and moved inland (with the government’s blessing) was to chase a larger supply of lower-cost workers. Shenzhen had become too expensive, and migrants from the western farms were no longer so eager to move to the Southeast coast to take jobs. The diaspora was supposed to resolve both

But today the news out of China is much different. Quanta Computer and Compal Electronics reportedly have moved employees from east to west to support factories in Chongqing City, a municipality with a population of more than 28 million (!), due to short labor supplies.

Even in a country of 1.3 billion people, cheap, effective workers apparently are hard to come by.

Chong-where?

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Where in the world in Chongqing? If you don’t yet know, you’d better grab an atlas as the ultra-dense (population: 31.4 million) central China municipality is fast becoming the next major hub for electronics manufacturing.

A reported $43 billion worth of foreign investment is pouring into western China, with more than 550 companies taking flyers on the region. Foxconn is on board (to the tune of $1 billion), and Quanta is reportedly considering a similar deal to open a PC assembly plant.

Be forewarned: the Three Gorges Dam, which in many experts’ opinions is a disaster waiting to happen, is nearby. And the crime so rampant in Shenzhen is making its way to Chongqing as well. But there’s no stopping the pursuit of cheap labor — even if it costs billions to save pennies.