No more smartphones, for now: Acer's new strategy for Indian market

Taiwan-based company to focus on VR, wearables and gaming hardware, reports Tech in Asia

At a time when the shipment of PCs is trailing that of smartphones, Taiwan-based Acer has taken a rather unusual route in India — the fastest growing market in the world.

The company put its ailing mobile phone business on hold in December, and has decided to focus on hardware for new technology such as virtual reality (VR) and internet of things (IoT) instead, a top executive told Tech in Asia. The PC-maker wants to introduce its VR headsets, wearables, and gaming hardware in India by 2018-19.

Acer, which derives over 90 per cent of its revenue from PC sales, introduced a modest portfolio of mobile phones back in 2010. But it didn’t quite take off. In 2015, the company came back, launching two smartphones in India – the Liquid 630s and the Liquid 530 – at $160 and $100, respectively.

But fierce competition from phone manufacturers such as Xiaomi, Lenovo, Oppo, and Vivo stalled Acer’s progress in the country.

Banking on innovation

Acer products are already VR-ready, and the company wants to use the feature to promote gaming, says Chandrahas Panigrahi, senior director of Acer’s consumer business.

 

"Machine learning, AI, robotics, VR — all will be anchored around PCs. It will help in making PCs and laptops more relevant," Chandrahas says. Acer has joined forces with a VR company called Starbreeze, and has also tied up with IMAX to integrate the technology in its products.

The company recently forayed into IoT-enabled devices for elderly care, and cyclists. Acer is also developing a Garmin-like wearable device. However, India will get to experience these products after the company waters down costs to make it suitable for a price-sensitive market. This is an excerpt from an article published on TechInAsia. You can read the full story here