THE AMERICAN CHAMBER OF COMMERCE IN TAIPEI IN OF COMMERCE THE AMERICAN CHAMBER December 2020 | Vol. 50 | Issue 12 TAIWAN BUSINESS TOPICS TAIWAN December 2020 | Vol. 50 | Issue 12 Vol. 2020 | December 中 華 郵 政 北 台 字 第 5000 號 執 照 登 記 為 雜 誌 交 寄 12_2020_Cover.indd 1 2020/12/6 下午11:32 CONTENTS NEWS AND VIEWS 8 Taiwan Briefs DECEMBER 2020 VOLUME 50, NUMBER 12 By Jeremy Olivier 一○九年十二月號 12 An Editor Looks Back Reflections on my over 50 years Publisher 發行人 in Taiwan, including nearly two Leo Seewald 李豪 Editor-in-Chief 總編輯 decades of service at AmCham. Don Shapiro 沙蕩 By Don Shapiro Deputy Editor 副總編輯 6 President’s View Jeremy Olivier 歐嘉仁 Reflecting on a tough year, and look- Art Director/ 美術主任/ Production Coordinator 後製統籌 ing forward to better days ahead Katia Chen 陳國梅 By Leo Seewald Manager, Publications Sales & Marketing 廣告行銷經理 Caroline Lee 李佳紋 7 Editorial Translation 翻譯 Healthy U.S.-Taiwan Ties Need Kevin Chen, Andrew Wang Continuity 陳又銘, 王先棠 力守友台立場 延續良好關係 American Chamber of Commerce in Taipei COVER SECTION 129 MinSheng East Road, Section 3, 7F, Suite 706, Taipei 10596, Taiwan P.O. Box 17-277, Taipei, 10419 Taiwan Unlocking Taiwan's 5G Potential Tel: 2718-8226 Fax: 2718-8182 e-mail: [email protected] 解鎖台灣5G的潛能 website: http://www.amcham.com.tw 名稱：台北市美國商會工商雜誌 發行所：台北市美國商會 25 Taiwan Blazes New Trails 臺北市10596民生東路三段129號七樓706室 電話：2718-8226 傳真：2718-8182 with Extended Reality Taiwan Business Topics is a publication of the American Chamber of Commerce in Taipei, ROC. Contents are Taiwan has already begun independent of and do not necessarily reflect the views of the Officers, Board of Governors, Supervisors or members. forging a reputation as a © Copyright 2020 by the American Chamber of Commerce in Taipei, ROC. All rights reserved. Permission to reprint producer of VR creative original material must be requested in writing from AmCham. Production done in-house, Printing by Farn Mei content. Now the introduction Printing Co., Ltd. of 5G is driving the 登記字號：台誌第一零九六九號 印刷所：帆美印刷股份有限公司 development of its VR industry 經銷商：台灣英文雜誌社 台北市108台北市萬華區長沙街二段66號 to new levels. 發行日期：中華民國一○九年十二月 中華郵政北台字第5000號執照登記為雜誌交寄 By Louise Watt ISSN 1818-1961 19 Taiwan’s Telecom Industry Enters the 5G Era Chairperson: C.W. Chin Vice Chairpersons: Fupei Wang, Timothy Shields Following a knockout Secretary: Seraphim Ma spectrum auction that ended Treasurer: Angela Yu earlier this year, Taiwan’s 2019-2020 Governors: Albert Chang, Seraphim Ma, Paulus Mok, Manohar telecom operators have moved Thyagaraj. quickly to develop nationwide 2020-2021 Governors: C.W. Chin, Brian Sung, Timothy Shields, Fupei Wang, Roger Yee, Angela Yu. 5G networks, roll out 5G-specific applications and 2020 Supervisors: Mark Horng, Stephen Tan, Terry Tsao. content for consumers, and COMMITTEES: begin partnering with other Agro-Chemical/ Melody Wang; Asset Management/ Eric Lin, Angela Yang, Derek Yung; Banking/ Paulus industries on a wide range of 28 Traversing Taiwan’s OTT Mok; Capital Markets/ Mandy Huang, Eric Jai, C.P. vertical applications. Liu; Chemical Manufacturers/ Charles Liang, Michael Environment Wong; Cosmetics/ Abigail Lin; Defense/ Manohar By Jeremy Olivier Thyagaraj, Roger Yee; Digital Economy/ Max Chen, Over-the-top (OTT) platforms Renee Chou, Tai Chi Chuan; Energy/ Richard Freer, Randy Tsai; Human Resources/ Christine Chen, David are experiencing a peak in Tsai; Infrastructure & Engineering/ Wayne Chin, Paul popularity in Taiwan as the Lee; Insurance/ Emily Chen, KT Lim, Linda Tsou; Intellectual Property & Licensing/ Jason Chen, Peter pandemic alters consumer Dernbach, Vincent Shih; Marketing & Distribution/ (tba); Medical Devices/ Louis Ko, Jeffrey Wang; habits and more people turn Pharmaceutical/ Justin Chin, Rie Nakajima, Shuhei Sekiguchi; Private Equity/ Echo Yeh; Public Health/ away from subscription cable Joyce Lee, Pongo Peng, Tim Shields; Retail/ Ceasar Chen, Peggy Liao; Sustainable Development Goals/ services. However, proposed Kenny Jeng, Cosmas Lu, Fupei Wang; Tax/ Heidi Liu, government regulations Cheli Liaw; Technology/ Cynthia Chyn, Stella Lai, Angela Yu; Telecommunications & Media/ Thomas Ee, 24 Moving Toward Open could create some significant David Shin; Transportation & Logistics/ (tba); Travel & Tourism/ Gina Tsai, Jason Yeh, Fiona Yuan. Networks barriers. By Jeremy Olivier By Jeremy Olivier COVER DESIGN: GRACE YANG 4 TAIWAN BUSINESS TOPICS • DECEMBER 2020 12 contents.indd 4 2020/12/6 下午11:33 DECEMBER • VOLUME 50 NUMBER 12 TAIWAN BUSINESS 34 A New Chapter in Taiwan’s Love Affair with Scooters Local companies are betting that e-scooters and the sharing economy represent the future of mobility. By Jules Quartly 37 Reorganization of a Taiwanese Corporate Icon Tatung is a household name inTaiwan and was a major player in the country’s industrial rise.Yet this century-old enterprise has fallen on hard times, its property the only remaining asset of value. What caused Tatung’s downfall, and will it be able to rise again? By Chohan Yang, CommonWealth Magazine Special Report FORECAST 2021 43 Opportunities and Challenges Await in 2021 Taiwan has been a major beneficiary of global circum- stances in 2020. It must now take steps to maintain economic momentum as a new year approaches. By Jane Rickards 46 What’s in Store for Next Year? By Jane Rickards 47 For Some Tech Products, Social Distancing has been Good News By Jane Rickards EXECUTIVE SUITE 48 Meet Louis Ko of Johnson & Johnson By Jeremy Olivier AMCHAM EVENT 31 2020 AmCham Taipei Longevity Forum 42 2020 AmCham Annual General Meeting SPONSORED CONTENT 16 Favorable Prospects for Taiwan’s Industry and Economy in 2021 32 Powered by 5G, Taiwan Mobile Pushes the Bounds of Cloud Gaming 40 PineBridge Spearheads Sustainable Investing in Taiwan with Innovative ESG Products 50 Seeing Taiwan Getting in Hot Water: Welcome to Taiwan’s Geothermal Springs TAIWAN BUSINESS TOPICS • DECEMBER 2020 5 12 contents.indd 5 2020/12/6 下午11:33 PRESIDENT'S VIEW Reflecting on a tough year, and looking forward to better days ahead s we head to the end of what has been a two decades of service. Fortunately for us, very difficult year, I would like to thank he will continue to support the Chamber and our readers and advertisers for their TOPICS on a part-time basis. His work on the Acontinued support! This year marked the 50th magazine over the past 18 years has been a big anniversary of Taiwan Business TOPICS mag- reason for its success. Don has shared some of azine and we are very proud of the status it has his reflections from his many years in Taiwan in achieved. For those who have not read the spe- this edition of TOPICS. Please join me in con- cial 50th edition issue from April of this year, I gratulating Don on his amazing contributions to highly recommend it; the cover story recounts AmCham and to our TOPICS magazine! the history of this powerful publication. Finally, although we are lucky to be in Next year will be an important anniversary Taiwan in terms of the impact of COVID-19, for AmCham as well. We will be celebrating our thoughts this holiday season are with the our 70th anniversary and will at the same time many friends and family members who are launch our new brand as the American Chamber enduring less fortunate circumstances. of Commerce in Taiwan beginning in January On behalf of the AmCham team, I wish you 2021. President Tsai was very supportive of our all a joyful holiday season and a healthy, happy, name change and mentioned it in her address to and prosperous year in 2021! our Annual General Meeting last month. Plan- ning for the 70th anniversary celebration has already begun, and we are looking to hold the main event in September. We have generously been offered the use of the historic Taipei Guest House by the Ministry of Foreign Affairs to hold the anniversary party. More details will follow. As many are aware, AmCham Senior Leo Seewald Director and TOPICS Editor-in-Chief Don Sha- President, piro will retire from the Chamber after nearly American Chamber of Commerce in Taipei 6 TAIWAN BUSINESS TOPICS • DECEMBER 2020 12 presidents view.indd 6 2020/12/7 下午3:13 E D I T O R I A L Healthy U.S.-Taiwan Ties Need Continuity iven the importance for Taiwan of its relationship with Discussing this trend at a recent virtual panel discussion, Bonnie the U.S., a pending change in administration in Wash- Glaser, a prominent Washington, D.C.-based expert on Chinese G ington always sets off intense speculation on the island foreign and security policy, described the current period as one as to what to expect from the incoming American government. of “significant convergence between Taiwan and U.S. interests.” This year, with Joe Biden about to replace Donald Trump in the A major factor in that convergence is the U.S. determination to White House, there has been even more conjecture than usual. restructure global tech supply chains to make them more secure, Trump, after all, famously took a congratulatory phone call from with recognition that Taiwan and its well-established tech sector Taiwan President Tsai Ing-wen before even being sworn in. And his constitute a natural ally in that effort. administration went on to adopt a series of measures designed to In addition, public opinion in the U.S. has shown increasing bolster Taiwan’s defense and strengthen the overall bilateral rela- dissatisfaction with China over a host of issues: Beijing’s trade and tionship. Among these steps were a record level of weapons sales, IPR abuses, suppression of the Uighur minority, crackdown on including 66 F-16V fighter jets; the dispatch to Taiwan of the dissent in Hong Kong, and lack of transparency in the early days highest-ranking U.S.