INSIGHT ADVANTECH-INNOCORE
Edward Price Managing Director Advantech-Innocore
Craig Stapleton Product Director Advantech-Innocore
manufactured by Advantech engineers in our own factory. Manufacturing in-house provides gaming customers with a solid platform for high-performance graphics and the kind of longevity, revision control, and customisation they need. So, for example, if a customer wants different video output combinations, we can do that. If they want different sizes and shapes, maybe they want their thermal solution modified, we can achieve this because the cards are 100 per cent designed and manufactured by Advantech.
What’s exciting you about the upcoming G2E show in Las Vegas? And what can visitors to the booth expect to see from Advantech- Innocore?
Craig: We’re very excited about being back in Vegas next month for the G2E show. We'll have our usual booth and an array of products from Advantech. Highlights include two new DPX® platforms that we'll be announcing at the show, the DPX S455 and DPX M266.
Te DPX S455 is the latest release in our very popular S-Series family of platforms, an all- in-one scalable platform that’s GLI compliant for slot machines. It features the latest Intel® chipset, the 12th, 13th generation Intel Core iCPUs, so it offers a wide range of performance on the CPU side, from Pentium right through to Core i9 CPUs on the platform. It’s also scalable on the graphics side with internal graphics in the chipset, which also allows you to fit a discrete graphics card via the X16 graphics card slot.
Switching to the M-Series, we have a new AMD board, which is based on AMD's R2000, which is our M266. M-Series stands for Modular Multimedia, it’s our family of products for customers who don't need the full complement of gaming I.O. and security that you get with our other families of products. Te M-Series is for customers that have their own I.O., or we create modular I.O. to meet the requirements of the application.
In addition to the new S- and M-Series products, we also have an upgrade to our LED controller. We have a new operating mode that's utilising an industry open-source project called Fade Candy, which has been developed for artists who want to design LED lighting installations using this technology. We've built this compatibility into our LED controller enabling anyone familiar with Fade Candy to utilise it through our LED controller in a specific mode in addition to the original mode.
We’ll also have our usual array of graphics cards from AMD and Nvidia alongside our in- house manufactured Intel® Arc™ graphics cards, which are noteworthy because the cards are 100 per cent designed and
We'll also have additional solutions from Advantech’s product divisions, including: retail and hospitality products, kiosks, POS, and tablets, and, due to our collaboration with Microsoft as a premier level partner, we'll be highlighting Microsoft's products for embedded computing and gaming at the G2E show.
“I was in Taiwan two weeks ago at our headquarters where we've just finished our third phase campus development, which is a new six-storey
factory facility. With this facility and our plants in China and
Japan we now have a total of 1.8 million square feet of
manufacturing facility. To look forward to the next decade of our growth next year we’re starting a new extension and installation of an additional SMT line at our Japanese factory.” Edward Price
What have been the characteristics of 2023 thus far? If you had to summarise this year in context to 2022 and the pandemic years, what trends have you identified, and how are they informing your plans for the remainder of this year into next?
Edward: Te figures demonstrate the robust nature of our industry, which is great to see. In 2022, we saw a very strong recovery. Our numbers bounced back following the pandemic and 2023 has continued this trend. In fact, the bounce back has been stronger than we might have expected. We've seen this reflected by the majority of customers in practically every region, which is a good sign for the industry.
I do believe that Advantech-Innocore’s performance, in particular our supply performance in 2021 and 2022, has further strengthened our relationship with customers
and created new wins. Customers have focused on resilience in their supply chains and the pandemic highlighted that importance.
All manufacturers experienced increased component costs and lead time delays in recent years, but our size and purchasing power has enabled us to secure the best allocation possible, which helps to keep our customers' supply lines moving. We've achieved this through a huge increase in stock levels, particularly on the component side of our business, and we're also recruiting dozens more staff to our supply chain department.
Te other trend worth emphasising is the change in priority for our customers, who are looking for partners with strong purchasing power, in-house manufacturing, geopolitical resilience, and financial strength. Tese topics are foremost in the questions we're being asked from customers and Advantech has strong answers. We have more than 90 offices around the world, so we're located on the doorstep of our customers and, at the same time, we're investing heavily in new facilities.
I was in Taiwan two weeks ago at our headquarters where we've just finished our third phase campus development, which is a new six-storey factory facility. With this facility and our plants in China and Japan we now have a total of 1.8 million square feet of manufacturing facility. To look forward to the next decade of our growth next year we’re starting a new extension and installation of an additional SMT line (Surface Mount Technology) at our Japanese factory.
We've also broken ground on our new headquarters in California for our US staff along with a sub-assembly plant. And then in 2024, we're intending to start the build of another 10 floor factory in Taiwan with the aim of opening by 2026. So, I believe all these points really helped us through 2021-22 and supported our customers, which in turn drove impetus for the bounce back and the growth we’re seeing right now.
What markets are you especially excited for as upcoming opportunities, and which have provided the most interest this year and look set to develop further into 2024?
Craig: From a product standpoint, probably our most successful product in the last 12 months, as far as new interest, and samples we shipped, is our DPX-J100, a product we launched at the last G2E show, which is specifically designed to be very cost effective. We designed it from the ground up to ensure that the bill of materials was as low as possible, which has opened new markets for us, both geographically and in terms of gaming segments.
In the US markets, the pull tab, skill-based, charitable, and bingo markets, etc. which are very cost sensitive, we’ve seen a migration
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