Pegatron Technology is poised to compete for notebook ODM orders from Dell to make up for Toshiba canceling orders for consumer notebooks in 2016, according to industry sources.

Toshiba has decided to focus on business-use notebooks and undertake consumer model production in-house, and so stopped outsourcing production at the end of 2015, the sources said. Toshiba placed ODM orders for consumer notebooks with Pegatron (about 50%) and Compal Electronics (40%), the sources indicated.

Pegatron is a main ODM for Dell's AIO (all-in-one) PCs currently, the sources said. However, as Dell has released ODM orders for 70-80% of its notebooks to be launched in 2016 to Compal and the remaining portion to Wistron, Pegatron is unlikely to obtain orders from Dell in 2016 but is likely to in 2017 if its quotes are competitive, the sources indicated.