Quanta Computer's white-box server subsidiary is planning to establish new branches in Hangzhou and Shenzhen, China to tighten its partnerships with China-based Internet players Alibaba and Tencent, while Wistron has cooperated with industrial PC (IPC) player Arbor Technology to seek Internet of things (IoT) business opportunities.

　　Quanta's white-box server subsidiary currently only has a service center in Beijing, but the ODM is planning to establish more centers in China to provide better service to its clients. Alibaba's headquarters are located in Hangzhou and Tencent is in Shenzhen.

　　To expand its business reach, Quanta has adopted a more flexible business model, which the ODM would not have adopted in the past. In addition to Quanta, Hewlett-Packard (HP), Dell, Microsoft and Intel have also been adjusting their business models to compete for cloud computing orders in China such as HP's partnership with Foxconn.

　　Since China has turned to nurture local server brand vendors, instead of placing orders to US-based vendors as a result of the political competition between the US and China, Taiwan server players are expected to benefit as most China vendors' servers are outsourced to Taiwan ODMs.

　　Quanta will also establish a new branch in Germany to build business opportunities in Europe.

　　Meanwhile, Wistron is mainly focusing on supplying servers to clients in North America and has also recently started planning for China and Europe.

　　Wistron's cooperation with Arbor is expected to complement each other's weaknesses and help the two expand their businesses into the IoT market.