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May 26, 1994

DEC POSIED FOR RECOVERY FOLLOWING GOOD ASIA-PACIFIC TURNOVER

By CBR Staff Writer

Digital Equipment Corp is poised for a recovery on the back of the fast-growing Asia-Pacific market, Bobby Choonavala, president of Digital Equipment Asia Pacific Pte, told Reuters: Our competitors are due for a major revamp of their architectures, and when that happens, they will go through the same cycles we have, he said – but independent of what they do, we are poised for a major recovery, he said but he couldn’t say just when; Asia contributed 14% of last year’s $14,000m turnover and is said to have grown 20% to 25% in each of the past few years; the company has plants in Taiwan, Singapore, India, Japan and Australia, is opening a disk drive factory in Penang in Malaysia and a head gimbal plant on Batam island in Indonesia – and Choonavala said as demand grows, the company would need additional manufacturing capacity – New plants could be in China, Brazil, India and Russia, he suggested.

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