Hon Hai (2317) Chairman Liu Yangwei attended the "Taiwan Industrial Innovation and Transformation Summit Forum" today. He used "New Directions for Taiwan's Industrial Upgrading and Transformation" as the main theme of his speech, emphasizing the need for Taiwan to develop the software industry. Now that semiconductors have become the focus of the world, if the advantages in this field are slightly tilted, it can drive the software industry chain, form an ecosystem, and become the driving force for future economic growth.

Liu Yangwei believes that Taiwan was unable to form a strong software industry chain in the past, not because the market was too small or the hardware capabilities were too strong, but because there was a lack of benchmark software companies. As for why China needs to develop the software industry? In addition to helping to increase the added value of the industry, promoting the transformation of hardware manufacturing and injecting smart technology, it can also drive new innovations and create employment opportunities. The threshold for software development is relatively low, and creative workers can start businesses through software, thereby improving economic prospects. Infused with living water.

Liu Yangwei observed that the global semiconductor output value is US$627.9 billion, and Taiwan's semiconductor output value already accounts for 27% of the world. While the global software industry will reach US$2 trillion, Taiwan's software output value accounts for less than 1%. From the perspective of the U.S. digital industry, local software services account for 91.5% of the digital industry; but in Taiwan's digital industry, software services account for only 16.6% of the digital industry.

Liu Yangwei said that relevant data fully shows that Taiwan occupies a key position in the global hardware supply chain, but the development of the software industry is relatively weak and the added value has not been fully utilized. In the era of the rise of emerging technologies such as AI, big data, and cloud, due to digital Industrial demand is strong, and the development of the software industry is even more indispensable. The current dilemma of domestic software companies is that most of the relevant players are small and medium-sized enterprises. The market value of listed OTC companies in the information services industry only accounts for 0.4% of the total, making it difficult to achieve economies of scale. Moreover, resource allocation and policies are mostly biased towards the hardware field.

Liu Yangwei suggested that the government should lead software developers to help build software platforms and ecosystems based on people's livelihood needs, promote the development strategy of "software as the main component, hardware as the supplement", and introduce application fields such as AI, robots, smart cities, and smart manufacturing. , provide tax incentives for the software industry, reduce business operating costs, establish innovation funds, support software industry research and development and innovation, cultivate domestic talents and introduce international experts to participate.

Liu Yangwei said that smart cities are a very good entry point for the software industry. Taking Hon Hai's current layout as an example, through the strategy of "software platform = massive users + software development environment", it has joined hands with the Kaohsiung City Government to create the "CityGPT" digital platform , setting the tone of generative AI as the core, integrating transportation, tourism citizen services, urban governance, cultural creation, and health care, connecting people, enterprises and governments, and is expected to be integrated into large-scale products in 2026, and further integrated after 2027 Its smart manufacturing and smart electric vehicle platforms.