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Says Long-Term Hardware Strategy with ASUS Softened Impact of Chip Shortages and Tariff Volatility

KT Group managed to avoid major disruptions from global chip shortages and tariff volatility by committing to a long-term hardware strategy with ASUS

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Industrial Solutions. Their decision to standardize kiosk platforms on ASUS provided operational stability, cost control, and continuity even as supply chains fluctuated and competitors struggled to source components.

Partnering with ASUS was smart move. Here is press release — KT PR ASUS

Key Benefits

KT Group’s 15-year partnership with ASUS ensured reliable component availability, supply chain stability, and avoidance of forced redesigns caused by abrupt end-of-life cycles faced by other vendors.
The strategy lowered failure rates, reduced thermal issues, and decreased overall ownership costs for their kiosk operators during industry-wide challenges.
Predictable procurement pricing and worldwide support from ASUS allowed KT Group to deliver and service kiosks without delays, even while other businesses faced months-long shortages.

Strategic Impact

KT Group’s relationship with ASUS evolved from a technical choice into a key business resilience move, directly enabling the company to scale globally while supporting betting operators and other clients worldwide.
The ASUS partnership will remain central to KT Group’s expansion plans across Europe, Africa, the US, and Asia.

Company Overview

KT Group is an international provider of turnkey self-service kiosk solutions, with experience in designing kiosks and digital signage for a diverse client base.
The company’s global presence and network allow it to offer efficient service to customers in different regions.

Insight — Pros and Cons

Standardizing computer hardware with a single manufacturer offers significant advantages for kiosk manufacturers, but there can also be drawbacks depending on business needs and market conditions. Many kiosk manufacturers standardized on Dell for example. Great price, field support, warranty and OEM lead support. Drawbacks though were larger form factor, yearly maintenence cycles, consumer-bound and consumer-grade hardware and software (Windows). Was it worth it?

Would have never worked in POS. HP and Dell have both tried to move into that market. HP with more success but neither in the lane-driven market much.

ASUS is so large (one advantage in itself but also disadvantage) that it plays in all the markets — commerical and consumer. Long cycle computer management is critical.

Benefits of Standardization

Supply Chain Stability: Long-term partnerships provide reliable access to components and continuity during industry shortages, helping kiosk manufacturers avoid forced redesigns and production delays.
Operational Consistency: Standardizing on a single platform reduces system failure rates and thermal issues, making it easier to maintain and support deployed kiosks over time.
Cost Control: Predictable procurement pricing and broad support coverage, allowing manufacturers to better manage costs and minimize downtime, especially during volatile tariff periods.
Simplified Maintenance: Consistent BIOS and platform components mean support teams can troubleshoot and service kiosks more efficiently, lowering the total cost of ownership for operators.

Possible Drawbacks

Vendor Dependence: Relying on a single supplier could expose kiosk manufacturers to risks if ASUS faces its own supply chain problems, shifts its product strategy, or raises prices unexpectedly.
Innovation Limitation: Standardizing may limit access to new technologies or alternative hardware platforms that could offer better features, performance, or pricing if ASUS product cycles lag behind competitors.
Customization Constraints: Some projects might require hardware outside ASUS’s catalog or platforms optimized for unique requirements that standardization cannot meet.

In summary, while standardizing on ASUS can provide strong operational and cost advantages, it may also reduce flexibility and increase vulnerability to supplier-specific changes or limitations.

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