News Briefing 
       
Taiwan’s communication equipment industry has benefited from the upgrade of various types of network equipment and products such as mobile phones, WLAN, GPS, Ethernet LAN Switch and Cable CPE, as driven by 5G. Thus, the output value of the industry is estimated to reach as much as NT$ 868 billion in 2021, which is 4% higher than that of 2020.

Impact Analysis 
        
The Taiwanese chain of the communication equipment industry is performing a crucial role, globally. Due to the fact that the customer base is relatively dispersed, the fluctuations in the output value are strongly correlated to the overall market demands. In terms of output value, mobile phones, WLAN, GPS, Ethernet LAN Switch, and Cable CPE are ranked as the top-five products.

The current forecast for 2021 predicts that the impact of the pandemic on supply and demand will not be as great as that in 2020, and it is estimated that the growth of mobile phones will increase, slightly. As WLAN has gradually become predominant in the market, and with the development of Wi-Fi 6 (estimated to account for more than 50% of the overall shipments for Wi-Fi chips in 2021), it should trigger an increase in shipments of WLAN modules and AP Routers. On the other hand, Ethernet LAN Switch will, because of increasing network traffic, bolster the need to replace 400G switches. As for Cable CPE, it is next-generation technology since the release of DOCSIS4 specifications, whereas new products will be successively launched in mature markets such as those in northern America and Europe.

Even if Netcom equipment is not seen as as the primary application of the PCB industry in Taiwan, when taking into account the proportional output value, it plays a supporting role in the industry. This is especially the case when the output values for smartphones come across turbulence from market fluctuations. Furthermore, the upgrade of product specifications has resulted in some significant contributions to the value of related circuit boards.