Taiwan at a Glance
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Modern Taiwan made its first significant impact on the world as a global player in the information-technology (IT) industry. Its impressive development of high-tech enterprises is attributable to the government’s encouraging support for applied scientific development.

Over the years, the government has provided generous investment incentives and assistance, including seed funds to establish nearly 100 business incubator centers, mostly run by universities. With its support, the Industrial Technology Research Institute (ITRI), the National Applied Research Laboratories and the Institute for Information Industry all played an important role in jump-starting the nation’s rise as a technological powerhouse by conducting basic research, supporting the establishment of science parks, aiding the private sector with R&D and exploring new technologies.

ITRI has been instrumental in establishing several companies that have gone on to command prominent positions in the global marketplace, including Taiwan Semiconductor Manufacturing Company and United Microelectronics, the world’s two largest custom IC chipmakers. Leading at the forefront of technological innovation and research, ITRI won the R&D 100 Award, presented in 2008 for the top 100 innovations of the year by R&D Magazine, for its on-chip AC LED lighting technology.

Taiwan’s science parks are home to companies pursuing breakthroughs in fields such as information and communications technology (ICT), biotechnology, precision machinery and nanotechnology. Their exceptional performance is indicative of the nation’s research prowess. Taiwan ranked fifth in the world in 2008 for the number of U.S. patents granted to its nationals—6,339 utility patents and 1,423 design patents—after the United States, Germany, Japan and South Korea.

The biotech industry in particular is expected to make dramatic strides in coming years, thanks in part to the establishment of over a dozen biotechnology parks around Taiwan. Related R&D has targeted environmental biotechnology, herbal medicines, pharmaceuticals and vaccines, among others. In late 2007, an herbal medication for healing diabetic wounds developed by Chinese medication researchers at the Development Center for Biotechnology became the first Taiwan-developed herbal drug to be approved by the U.S. Food and Drug Administration for second-stage human testing.

Industry-academia-government cooperation has also played a significant role in the development of nanotechnology aimed at promoting high value-added industries and transforming traditional industries. Research teams have been working on developing cutting-edge technologies from fluorescent nanodiamonds for medical imaging to gold nanowires for boosting light-emitting efficiency in organic LEDs. These efforts underpin Taiwan’s commitment to scientific enhancement for social well-being and sustainable development.


Advanced biomedical research remains a key government priority for developing Taiwan’s next competitive niche. (Huang Chung-hsin)

Production Value & Global Share of Taiwan-made IT Products & Services (2008)

No. 1 Worldwide

Category

Production Value

Unit: US$ million  Global share (%)
Custom IC chip fabrication 13,612 64.3
Mask ROM 344 98.7
IC chip packaging 7,038 47.3
IC testing 3,063 65.2
TN/STN LCDflat panels 1,118 29.2

No. 2 Worldwide

IC chip design 10,712 25.2
DRAM chips 4,900 20.0
OLED flat panels 241 34.4
Large-sized TFT-LCD flat panels 26,540  37.0
Small & medium-sized TFT-LCD flat panels 4,318 21.2
LED 1,258 18.6
IC substrate 1,968 26.9
SOURCE: Industrial & Technology Intelligence Services Project, Ministry of Economic Affairs


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