Taiwan's leading OSAT ASE Technology expects revenues from backend services for automotive chips to break a landmark level of US$1 billion in 2022 after growing 60% on year in 2021.
At a recent investors conference, ASE's chief operating officer Tien Wu disclosed that international IDMs are outsourcing increased backend operations for automotive chips solutions, with their order visibility clear through 2023 thanks to the company's highly reliable and stable processing quality.
ASE Technology's consolidated 2021 revenues jumped 19.5% on year to NT$569.997 billion (US$20.47 billion), and net profits shot up 132% on year to a record high of NT$63.91 billion.
The company's profits will grow further to another new high in 2022, Wu estimated, adding its first-quarter 2022 sales would outperform traditional seasonal pattern, given that its January revenues advanced 18.9% on year to NT$48.574 billion, a record high for the same month.
Wu said ASE will see its backed business lines including traditional wirebonding, advanced packaging, high-end testing and SiP (system in package) services grow on year in 2022.
The company's wirebonding revenues are expected to see a double-digit increase in 2022 after growing 36% on year in 2021; its testing business is estimated to double this year, and advanced packaging revenues to log a higher on-year growth than 23% seen in 2021; and its SiP sales are expected to exceed US$500 million by the end of the year thanks to a stable customer base expansion.
Wu also noted that the global logic IC industry is estimated to grow 5-10% on year in 2022, but ASE's backend business growth rate for the segment is expected to double the industry average thanks to its expanded market share and accelerated outsourcing from IDMs.
Article translated by Willis Ke
