Abstract
With various types of Internet startups and the rise of cloud services, the datacenter’s high flexibility and low cost and high efficiency of demand trends having substantially changed the pattern of data centers; these also cause the cloud industry ecosystem changes to bring in new business model.From a dynamic capability perspective, this study chooses an EMS H company as an example to explore the technology strategy changes in the growth for cloud server, from OEM/ODM to IDM, which provides hardware and software integration solutions for customers’ overall data center, and thereby analyzes the evolution of its dynamic capabilities and future development.The result of this study shows that the case company uses its unique business model (E-enabled Components, modules, moves &services) to absorb technology sources and facilitate organization change and development, with perspective of dynamic learning in capability-strategy-experience to constructcore capabilities and to enhance the relevant of technology strategy, in order togenerate sustaining technology, product and service innovation. This study presents the unique loci of how dynamic capability influences the formulation of technology strategy and specific development tracks; summarized in chasing stage, niche positioning, strategic alliances and downstream to upstream evolution; These are to accomplish low cost and global logistics advantages, re-group resources, accumulate core technology and then develop the technology strategy of innovative thinking. The case company evolves a technology service-based business model from a hardware platform vendor and sustains competitive advantage on multiple niche markets.