Compal to be first Taiwan-based downstream electronics maker headed by foreigner

Personnel changes at leading notebook ODM Compal Electronics are rumored to include a bombshell announcement.

After chairman Rock Hsu takes up the helm of Compal’s parent Kinpo Group, vice chairman Ray Chen will take up the position of chairman. Rock Hsu’s only son, Hsu Chieh-Li, will serve as vice chairman.

Meanwhile, Anthony Peter Bonadero is said to become the company’s new president, making Compal the first Taiwan-based downstream electronics manufacturer to be headed by a foreigner. Current president Martin Wong will transition to a consulting role and keep his place on the board.

Compal declined to comment on these rumours, stating that all changes will adhere to legal procedures. The company will elect its new board during its shareholder’s meeting on May 31, and the above leadership changes are expected to be finalized as well.

Rock Hsu was not listed as a board member In Compal’s recently announced leadership succession plans, meaning he will step down from the position of chairman at Compal, instead serving as president of the Kinpo Group.

Major Taiwan-based downstream electronics companies, including Inventec, Wistron, and Hon Hai (Foxconn), have been undergoing leadership transitions in recent months. Of these key downstream players, Compal has generally been a leader in terms of the international makeup of its board: John Kevin Medica, former senior vice president at Dell, was brought in as vice chairman and group corporate advisor in 2008, and Sean Martin Maloney , former executive vice president of Intel, also served on the board in 2013.

Better known as “Tony” by his colleagues, Anthony Peter Bonadero began his career at Compal in May 2009. He has served as Compal’s chief marketing officer and executive vice president of its edge computing business.

Bonadero is currently the most senior executive of Compal’s PC business, in addition to serving on Compal’s board since 2018, for which he has been elected to another term. Before coming to Compal, Bonadero served as director of product management and product marketing at Dell. His new position as president of Compal is expected to build upon his experience in the PC industry to bring ties closer with Compal’s clients.

New leadership, new operating strategies

During Compal’s annual company banquet earlier this, chairman Rock Hsu announced a new “aggressive” acquisition strategy for the company, and industry watchers are eagerly waiting on how the new leadership team of Ray Chen, Hsu Chieh-Li, and Anthony Peter Bonadero will pursue this new direction.

Under the leadership of Rock Hsu, Ray Chen, and Martin Wong, Compal had already begun transitioning from its earlier role as a PC ODM, with its new medical, automotive, and 5G businesses boosting the company’s profits. Efforts in improving profits have yielded solid results: during Wong’s tenure as president, gross margin rose from 3.16% in 2018 to 4.47% in 2023, while operating margin rose from 0.96% to 1.27% in the same period.

Compal’s AI plans will undoubtedly be the focus of attention as the new leadership team takes charge. As the company is already one of the world’s leading AI PC suppliers, industry watchers are paying close attention to whether Compal will see an increase in AI server projects from its customers, or if it manages to take the pole position in the AI ​​race.

The following list of nominees for Compal’s board of directors will be presented at the company’s upcoming shareholder’s meeting: Ray Chen; Chen Wei-Chang, representative of Kinpo Electronics; Ko Charng-Chyi, representative of Taiwan Venture Capital Co., Ltd.; Hsu Sheng-Chieh; Hsu Chieh-Li; Hsu Wu-Chun, representative of Binpal Investment Co., Ltd.; Martin Wong; Hsu Chiung-Chi; Anthony Peter Bonadero; and Peng Sheng-Hua. In addition, the number of independent directors will increase to five, making up one-third of the board, of which one seat will be reserved for a female director. The only re-nominated independent director is Shen Wen-Chung, with newcomers including Tsai Duh-Kung, Chang Lee-Chiou, Hung Shui-Shu, and Huang Tzu-Ting.