Worcester Business Journal

16 Worcester Business Journal • March 16, 2015 www.wbjournal.com where, Tarmy said, but the need for test- ing equipment from manufacturers in a number of sectors will be plentiful as the middle classes boom. When it comes to demand for tech- nology, rapid mobile device adoption is one trend that's touched nearly every part of the world. Because of infrastruc- ture differences, it's happened more quickly in the West than in the East, but Asia is catching up. This is good news for companies such as SeaChange International, an Acton- based video software maker that recent- ly hired industry veteran David Ulmer to lead its growing Asia-Pacific region. Broadcasters there want to embrace technology giving customers access to over-the-top video services through the Internet, given the "multiscreen phe- nomenon" in which viewers are con- suming content from multiple devices at once. But they need the infrastructure to do it, particularly in Southeast Asia, where building it is challenging because the region has thousands of islands. "The middle class (in parts of Asia) have absolutely been unable to reach these kinds of services in a legitimate fashion up to this point," Ulmer said. SeaChange provides the software to deliver this content in the region, where the potential is "uncapped." Ulmer said projections indicate there could be more digital television subscribers in Southeast Asia than in the U.S. by 2020. Cultural considerations Devens-based AMSC, a clean energy technology company that does a signifi- cant amount of business in Asia, is still reeling from the hit it took when its then-largest customer, Sinovel Wind Group of China, allegedly stole trade secrets and failed to pay for services. That was crippling for AMSC. The company has tried to collect more than $450 million in damages in the Chinese court system, which has been less than favorable toward AMSC's plight. While the AMSC case may be an extreme example of what can go wrong when doing business overseas, it's worth noting that doing business in a different country presents risks and obstacles. Rupert, of AIM, said this is a reality in China, which, compared to the rest of Asia, is a "particularly challenging place to do business," she said. For example, the Chinese government recently proposed new cybersecurity rules that would require tech companies that sell computer equipment to Chinese banks to provide government regulators with source code as well as build "back doors" in their hardware and software. The draft law raised the ire of technolo- gy companies that are loath to share that kind of information. But challenges aren't unique to China. Ulmer, of SeaChange, said there's a lot of variation in how business is done from one Asian country to the next. That's something business executives sometimes don't realize. "Many companies will approach Asia as a single entity in the same way that many companies approach the U.S. as one entity," Ulmer said. For those that do, it quickly becomes apparent that a local approach is needed. For example, Indonesia has a deep con- nection to Islam, and religion must be taken into account when scheduling business meetings and in all interactions with clients. For a video software ser- vices company such as SeaChange, reli- gion also impacts the type of program- ming that's allowed. Ulmer said hiring local staff with diverse backgrounds is vital for this reason. '"There are deep historical and cul- tural differences in the countries," Ulmer said. n Growing Asian consumption lifts Central Mass. tech firms Jane Loranger, VP and Commercial Banking Officer; Mark McGwin III, SVP and Commercial Banking Officer; Tom McGregor, SVP and Regional Commercial Banking Executive; Todd Mandella, SVP and Commercial Banking Officer Changing the way you do business, by changing the way you bank. Every business is unique — and yours is no different. That's why we built an experienced, highly skilled commercial lending team that specializes in creating customized lending solutions that fit your needs. With deep community roots, unrivaled market knowledge and local decision-making, United Bank is redefining commercial banking in Central and Eastern Massachusetts. Contact Tom McGregor at 508.793.8350 or tmcgregor@bankatunited.com. Member FDIC Equal Housing Lender 866.959.BANK bankatunited.com CHANGING THE COMMERCIAL BANKING LANDSCAPE FOR THE BETTER. T E C H N O LO G Y << Where Mass.-made products go in Asia Last year, Massachusetts companies shipped more than $1 billion worth of technology to China and Japan. Here are the top 10 Asian export destinations by value of technological goods for the last three years. China $1,176,259,992 $898,618,844 $892,157,807 Japan $1,017,156,783 $884,956,269 $947,455,398 South Korea $575,328,633 $436,034,272 $541,577,912 Hong Kong $375,247,915 $273,650,837 $296,560,599 Taiwan $316,074,520 $499,705,875 $560,846,129 Singapore $249,356,022 $209,680,678 $232,841,495 Malaysia $172,306,245 $207,775,303 $232,187,710 Philippines $169,632,390 $155,763,575 $226,286,665 India $143,848,649 $154,162,574 $121,070,003 Thailand $60,101,753 $74,836,243 $84,891,881 2014 2013 2012 Source: WISERTrade >> Continued from Page 12

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