The Taiwan-based Quanta Computer Inc. is actively planning to diversify its business operations into medical devices and auto electronics via acquisitions, according to company sources.

At the moment, Quanta commands an over-30% share of the global market for outsourced notebook PCs, with up to 88% of its annual revenue generated from the  products. However, as the figures can hardly grow further in the future, the firm has been aggressively diversifying its business into other fields, in a bid to seek stronger growth drives for its sales performance.

In fact, according to Quanta, now is the best time for the firm to venture into new segments by way of acquisitions, mainly because the recent global financial tsunami has caused listed prices of shares to plunge heavily around the world and the deterioration, among other factors, will help realize the acquisition projects more easily.

Quanta's another advantage for acquisitions is its plentiful cash. Institutional investors projected that the firm recorded a cash position of NT$74.058 billion at the end of the third quarter of this year.

Furthermore, Quanta has won subsidies from ADSI (A-mode Doppler Shake Instrument) Project held by Taiwan's Ministry of Economic Affairs, successfully venturing into the segment of medical devices as the foremost among its counterparts on the island.

Quanta noted that market prospects for medical devices and auto electronics are quite promising in the future. According to estimates by Espicom, a global market survey institute, production value of medical devices is estimated at over US$200 billion worldwide in 2010, with medical electronics to account for 45%, or US$90 billion.

In the meantime, the firm stressed that it will also increase its stakes in a notebook PC case maker to 30% this year, and will further integrate its supply chain of notebook PCs next year. However, the firm will neither expand its in-house production capacity of notebook PCs nor slash manpower to reduce operating costs presently.