Medical device industry has been identified as one of the potential industry that may become a powerful source for Taiwan economy's future growth beyond current ICT industry. Compared to the ICT industry, the medical device industry is currently a minority industry in Taiwan, whose characteristic is not yet well understood by the majority businesses. This has been one of the challenges faced by those ICT companies trying to enter the medical device industry. This study uses Michael Porter's five forces analysis as the basic framework to gain understanding of the medical device industry. Item by item analysis of the five forces will be used as a guideline to understand the otherwise limitless aspects of the medical device industry. The analysis will be done from a newcomer perspective, using a collection of data from existing market information and literature as reference, along with existing knowledge about the ICT industry as comparison. Through five forces analysis as the pivotal point, this study will try to gain some insight into Taiwan’s medical device industry, which can later be used as reference to formulate a strategy for entering the medical device industry.