Asustek Computer Inc. (Asus) has announced a strategic expansion of its artificial intelligence (AI) product and service portfolio as part of its 2025 business objectives. Chairman Jonney Shih revealed these plans on 27 April 2025, signalling the company’s commitment to advancing its offerings in AI-driven technologies including AI PCs, AI servers, edge AI, and AIoT (AI of Things).

Highlighting that AI development remains in its early stages, Shih noted the growing diversity of AI applications, which is expected to stimulate innovation across the technology market. Asus’s strategy for 2025 centres on launching high-end products with a focus on enhancing user experience and reinforcing brand value.

This development marks the latest phase in Asus’s 35-year transformation. Established in 1989 as a motherboard manufacturer, Asus has evolved into a diversified technology firm. Over the years, it has progressively moved up the value chain—from component manufacturing to complete systems, and further into premium gaming products with its Republic of Gamers brand introduced in 2006. The company’s ongoing pivot reflects broader trends in the hardware sector, where firms seek higher-margin, value-added offerings as traditional component manufacturing becomes increasingly commoditised.

The current emphasis on AI products exemplifies this trajectory. Asus’s attainment of a leadership position in “Copilot+ PCs” – AI-enhanced computing devices designed to integrate advanced AI functionality directly into user workflows – demonstrates its front-running role in this sector. AI capabilities, similar to earlier gaming innovations, now command premium pricing within the PC market, offering a new avenue for revenue growth amid a generally mature industry.

Analysts identify the AI PC market as a rare area of expansion in an otherwise plateaued global PC industry. Forecasts project the AI market’s value will leap from an estimated US$757 billion in 2025 to roughly US$3.68 trillion by 2034, with a compound annual growth rate of approximately 19.2%. AI-enabled PCs constitute a significant portion of this growth, as these devices tend to have higher average selling prices and profit margins than traditional models.

North America currently holds a dominant position in the AI marketplace, but Asus is well placed with its Taiwanese manufacturing base and well-established international distribution networks to broaden its market share worldwide. The industry is also witnessing a shift wherein AI functionalities are increasingly integrated as standard features rather than optional enhancements, signalling a new baseline for consumer expectations by 2025.

Asus’s strategic focus on AI extends beyond PCs into several distinct segments: AI servers, edge AI solutions, and AIoT devices. This deliberate segmentation exemplifies a broader industry pattern that sees AI hardware development take on specialised, purpose-built forms tailored to unique application requirements rather than a singular general-purpose approach.

In addition, Asus prioritises sustainability alongside AI innovation, acknowledging the significant energy demands of AI workloads compared to traditional computing. This underscores the ongoing challenge to align next-generation computing developments with environmental responsibilities.

The Tech in Asia publication reports that Asus’s plans reflect both significant opportunities and challenges for hardware manufacturers. While AI has the potential to reduce product development time by up to 50%, integrating AI technologies requires overcoming complex technical and operational hurdles. Asus’s multifaceted approach to AI product development highlights how legacy hardware companies are adapting to the transformative influence of artificial intelligence in the technology sector.

Source: Noah Wire Services