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Advancing e. Automation Advantech Technology, Products, and Partners Development Strategy Alex Lin President , Advancing e. Automation Advantech Technology, Products, and Partners Development Strategy Alex Lin President , Industrial Automation Group April 20, 2004

Industrial Automation e. Automation Revolution in Automation…. Unbind Automation e. Automation Empower Automation Simplify Industrial Automation e. Automation Revolution in Automation…. Unbind Automation e. Automation Empower Automation Simplify Automation Relay 1970 PLC 1980 PC 1990 Embedded/Web 2000

e. Automation- Unbind your Automation Ethernet simplifies automation architecture Web-HMI becomes e. Business enabler e. Automation- Unbind your Automation Ethernet simplifies automation architecture Web-HMI becomes e. Business enabler Open embedded system brings PC-technology to the factory Control moves to smart I/O block Smart Ethernet device becomes the mainstream CCR SCM Laboratory Notebook ERP WAP e. World e. Automation UNO-2000 Web. OIT VBOX-3000 ADAM-6000 HWI Home PC ADAM I/O system

Advantech e. Automation Roadmap e. Automation Appliance Value-Added Product & Service Fully e. Automated Advantech e. Automation Roadmap e. Automation Appliance Value-Added Product & Service Fully e. Automated Intelligent automation devices functioning interactively on a distributed Ethernet Industrial Network Value-Added Product & Service Ethernet Connectivity +5 -10 Years Become the leading e. Automation provider Build Simple Networking Today Integrate legacy devices into Ethernet networking

Evolution of e. Automation Role of Human Interaction Role of Device Decision Making by Evolution of e. Automation Role of Human Interaction Role of Device Decision Making by Human, Simple Execution by Device Phase I • Monitor & Analyze • Frequent • Decide • Complex • Act • Using Device Language • Network Port • Collect Data • Simple Net Server Strategic Analysis by Human, Complex Execution by Device Phase II • Analyze • Decide • Check • Upon Demand • Simplified • Using Web Language • Visualization • Data Collection • Monitor / Control Rule Setting by Human, Smart Task Performed by Device Phase III • Define Rules • Evaluate • Notified • Based on Business Needs • Artificial Intelligence • Using Business Language • Field Commander • Monitor / Control

Advancing e. Automation on Factory Floors • Open Embedded Controller • Distributed Control I/O Advancing e. Automation on Factory Floors • Open Embedded Controller • Distributed Control I/O • Web Ethernet I/O • Video over IP • Web HMI/SCADA S/W Ethernet Central Control Room Alarming Factory Building

Technology and e. Automation Platform Development § § Apply the mature e. Connectivity, information Technology and e. Automation Platform Development § § Apply the mature e. Connectivity, information technology from the e. World. Leverage the unique efficiency of embedded service from design to manufacture in Asia. Transform and embed the automation know how from technology alliance, Advantech in-house design into open system platform. Synergize e. Automation platform and solution partners in the worldwide service. System-On. Chip Embedded. Computing Automation Web Technology Know-how

Product Development Example – PAC (Programmable Automation Controller) § Open platform provides wider data Product Development Example – PAC (Programmable Automation Controller) § Open platform provides wider data computing/integration, multi-discipline control (sequential, motion and process), and visualization via the Ethernet/internet Data & Integration PC-based Automation Programmable Automation Controller PLC & DCS Visualization Control

Technology Synergy – PAC (Programmable Automation Controller) § § § Scalable platform from SOC Technology Synergy – PAC (Programmable Automation Controller) § § § Scalable platform from SOC (System-On-Chip), embedded computing, web-enabled networking - UNO, TPC and ADAM-8000 controller series Value-add with e. Automation Solution Partners Embedded know how from technology partners Fieldbus Comm. – Fieldbus communication Softlogic Software – Soft. Logic control software Wireless Network – Wireless networking Value-add with e. Automation solution partners UNO Series TPC Series ADAM-8000

e. Automation Platform & Focus Market Target Markets EMS FMS/BA ITS/IVS FA MA/ATE e. e. Automation Platform & Focus Market Target Markets EMS FMS/BA ITS/IVS FA MA/ATE e. Automation Solution & Channel Partner Global Product Sales & Marketing Industrial I/O e. Automation 3 U Compact. PCI l Low-profile Universal PCI I/O Cards l Motion Control Cards l Signal Conditioning l Lab. VIEW / MATLAB l Dasy. Lab / DAQView l Product Segments Industrial Computing Platform ADAM I/O System l Industrial Converters l UNO l Digital Video Server l Web. Link/Web. OIT Web. Link/ l A-Studio, ADAMView, Soft. Logic l Industrial Communication Ethernet Data Gateways LCD Panel Display Fieldbus Interfaces HMI Embedded & Web Technology Workstation

e. Automation Solution Partner Programe. ASP Program n Work collaboratively with Advantech to deliver e. Automation Solution Partner Programe. ASP Program n Work collaboratively with Advantech to deliver field proven, value-added solutions to the automation industry. Factory Automation Machine Automation Building/Facility Management System n Promote your solution through Advantech’s worldwide value-added channel partners network. Environmental Monitoring System Intelligent Transportation System

Critical Factors for Business Success 1. Customer’s expectation and needs for value-added service is Critical Factors for Business Success 1. Customer’s expectation and needs for value-added service is growing yearly 2. Need flexible solutions to meet customer-oriented project demands that require long term support Service Expected 100% 80% 60% 40% 20% 0% 1970 1980 1990 2000 2010 3. Only the leading companies with committed partners can enjoy profitable business

Our Commitment to e. Automation Premier Partners 1. Advancing e. Automation branding 2. 2. Our Commitment to e. Automation Premier Partners 1. Advancing e. Automation branding 2. 2. To build long term repeat business base with partners, mutual commitment in segments such as products, markets, applications, etc. 3. 3. To leverage effective global support and success to meet local needs 4. 4. To provide premier financial support in committed segments 5. 5. To invest e. Automation Competence Center to support partners in big project developments 6.

Global e. Automation Success for Your Local Business Needs Website RMA/ Logistic Customization e. Global e. Automation Success for Your Local Business Needs Website RMA/ Logistic Customization e. Store Competence Center Partner Zone Application Story e. Automation Solution Partner e. Automation Day

Success Partnership with Geveke Growth Business Commitment Joint Solution Brochure together 2004 Winning trust Success Partnership with Geveke Growth Business Commitment Joint Solution Brochure together 2004 Winning trust for e. Automation Biz. 2003 Launched Partner Program 2002 Establish Partnership 2000 B 2 B & Partner Zone Pricing Strategy Win-Win Success Marketing Sponsor

Geveke e. A Business Trend by Product Division Total 33% Total 73% 25% 104% Geveke e. A Business Trend by Product Division Total 33% Total 73% 25% 104% 31% 47% 93% 31% 38% 46%

e. Automation Platform e. Automation Day e. Automation Channel Partner Advancing e. Automation -Partnering e. Automation Platform e. Automation Day e. Automation Channel Partner Advancing e. Automation -Partnering for Success Thank You e. Automation Premier Partner e. A Competence Center e. Automation Solution Partner