DIGITIMES Asia: News and Insight of the Global Supply Chain

AUO eyes MicroLED for short-range optical interconnects, potentially shifting data center wiring and power dynamics

Jingyue Hsiao — Mon, 25 May 2026 03:55:02 GMT

MicroLED short-range optical interconnects are attracting global R&D investment for their low power consumption and high-speed modulation, and AUO has formed a supply-chain alliance to pursue chip-scale optics for scale-up networking within racks. Microsoft, among other major players, is testing the approach for AI data-center links.

Anthropic-Microsoft deal could broaden ASIC demand across cloud supply chains

Lily Hess — Mon, 25 May 2026 03:50:42 GMT

Anthropic has reportedly approached Microsoft about renting AI computing power running on Microsoft's in-house chips to expand support for its Claude model business. The move is a positive sign for Microsoft and could generate momentum for the mass production of its recently unveiled Maia 200 chip, while ASIC players such as Global Unichip and Ethernet chip suppliers Marvell Technology and Broadcom also stand to benefit.

Topco and Bloom Energy install Taiwan's first on-site SOFC low-carbon data center power system

DIGITIMES — Mon, 25 May 2026 03:48:08 GMT

Topco Energy Service, a Topco Group unit, and Bloom Energy installed a 2.6MW solid oxide fuel cell on-site power system at a Taiwan IC design firm's Miaoli data center, creating what they called the nation's first data center using a distributed low-carbon generation model. The project began with a 1.3MW phase that entered service in January 2026 and reached full 2.6MW capacity in June, with the developers saying the installation can generate about 21.6 million kilowatt-hours annually.

AI data centers spark 800V HVDC rush for Taiwan lead frame suppliers

Levi Li — Mon, 25 May 2026 03:45:36 GMT

The shift toward 800V high-voltage direct current (HVDC) power architectures in AI data centers is driving a surge in demand for power semiconductors, boosting shipments for Taiwanese lead frame suppliers SDI Corporation and Jih Lin Technology and raising expectations for double-digit revenue growth in 2026.

Hiroca ramps global expansion and smart cockpit products to drive second-half recovery

DIGITIMES — Mon, 25 May 2026 03:45:15 GMT

Auto parts maker Hiroca said it expected operations to return to a growth track in the second half of 2026 as overseas orders and its push into smart cockpit technologies began to yield results. Executives said the company was broadening its customer base across China, North America, and Asia-Pacific and diversifying its product portfolio to reduce concentration risk tied to a single vehicle lineup and market.

Ample Electronic says AI demand is boosting MLCC-related passive components

DIGITIMES — Mon, 25 May 2026 03:42:26 GMT

Ample Electronic said rising demand from artificial intelligence end customers has driven a stronger market for multilayer ceramic capacitors and related passive components, lifting orders, driving inventory builds, and prompting a shift toward longer-term material lock-in agreements. The conductive paste supplier reported a positive outlook for the second half of 2026 and said customers who initially carried low inventories were replenishing stock and, in some cases, signing extended supply arrangements.

Huawei bypasses 3D NAND limits with 122TB AI SSD packaging breakthrough

DIGITIMES — Mon, 25 May 2026 03:42:18 GMT

Huawei is using self-developed packaging technology to build ultra-high-capacity enterprise SSDs, underscoring how Chinese technology companies are increasingly turning to advanced packaging and system-level engineering to navigate US semiconductor restrictions.

Global PMX shifts into AI server cooling as demand for AI compute soars

DIGITIMES — Mon, 25 May 2026 03:40:11 GMT

Global PMX reported full-year consolidated revenue of NT$7.823 billion (US$249.3 million) for 2025, up 1.71% year-over-year, and after cost and product-mix improvements posted net income attributable to the parent of NT$696 million with earnings per share of NT$6.04, the company announced. Executives said the firm expects to benefit from accelerating global demand for AI compute and related infrastructure investment.

DeepSeek makes 75% API discount permanent, intensifying global AI price war

DIGITIMES — Mon, 25 May 2026 03:22:52 GMT

Chinese AI startup DeepSeek has permanently reduced the API pricing of its flagship DeepSeek-V4-Pro model to one-quarter of its original rates, escalating competition in the global AI model market.

Exclusive: G2 Lithium battery rivalry heats up—US taps 4th-gen LFP to crack China's patent wall

Emily Kuo — Mon, 25 May 2026 03:07:29 GMT

The US is shifting from ternary batteries used in electric vehicles (EVs) toward lithium iron phosphate (LFP) batteries for both energy storage and automotive applications. This is one tactic the US is using to circumvent Chinese patents. However, fourth-generation LFP technology is also subject to China's lithium battery export restrictions.

Univacco sees steady 2026 sales growth from Poland plant, North America momentum

Rodney Chan — Mon, 25 May 2026 03:02:27 GMT

Univacco, which held its shareholders' meeting last week, said that 2025 was a challenging year for the global economy and its industry, with exchange-rate swings, geopolitical risks, rising net-zero and sustainability compliance requirements, and shifting international trade policies all weighing on operations.

Analysis: Lisa Su moves on China — and Nvidia's CUDA moat

Emily Kuo — Mon, 25 May 2026 03:01:38 GMT

For AMD CEO Lisa Su, the current moment presents an opening that Nvidia does not have. Nvidia's high-end chips have repeatedly faced scrutiny and export restrictions in China, and Nvidia CEO Jensen Huang only recently confirmed in May that Nvidia once held as much as 95% market share there. That dominance has since been reset, with the bulk of that share ceding to domestic rival Huawei.

Weekly news roundup: TSMC faces its first real rivals; Agibot claims 100% success rate in factory deployment

DIGITIMES — Mon, 25 May 2026 02:45:19 GMT

Below are the most-read DIGITIMES Asia stories from the week of May 18-24, 2026:

Huawei targets AI optical networking with InP chip startup investment

Levi Li — Mon, 25 May 2026 02:32:08 GMT

Huawei is expanding deeper into AI optical networking and silicon photonics (SiPh) through a new investment in an indium phosphide (InP) optical chip startup, as rising AI data center demand accelerates upgrades across the global optical communications industry.

Singapore launches physical AI testbed at Punggol Digital District

DIGITIMES — Mon, 25 May 2026 02:20:57 GMT

Singapore will launch a new testbed at the Punggol Digital District (PDD) later in 2026 to research, test, and deploy physical artificial intelligence (AI) systems, as the government seeks to accelerate the adoption of robotics and embodied AI in real-world environments. The initiative is being led by the Infocomm Media Development Authority (IMDA), JTC, and the Singapore Institute of Technology (SIT) in collaboration with eight industry partners.

BOE seeks Galaxy S27 OLED panel order by undercutting Samsung Display by US$5

Eifeh Strom — Mon, 25 May 2026 02:13:20 GMT

China-based BOE Technology Group is reportedly looking to supply OLED panels for the standard model of the Samsung Galaxy S27 smartphone by offering a price that is US$5 lower than that of Samsung Display (SDC). The development has raised concerns in the industry that South Korean panel makers will come under pressure if BOE secures supply qualification for the Galaxy S series OLED panels through lower pricing.

Stellantis and Qualcomm expand Snapdragon Digital Chassis deployment across global vehicle lines

DIGITIMES — Mon, 25 May 2026 02:06:09 GMT

Stellantis and Qualcomm expanded their multi-year collaboration to deploy Snapdragon Digital Chassis system-on-chip (SoC) solutions across Stellantis' global vehicle portfolio, affecting cockpit, connectivity, and driver-assistance systems. The move aims to standardize platforms, cut costs, and accelerate the deployment of advanced driver-assist and automated-driving features for customers worldwide, while enabling continuous updates and AI-driven driving experiences.

Manus eyes US$1 billion buyback after Beijing blocks Meta deal

Eifeh Strom — Mon, 25 May 2026 01:52:18 GMT

Chinese artificial intelligence (AI) startup Manus is reportedly evaluating a US$1 billion fundraising round to buy back control of the company from Meta Platforms, in response to Chinese authorities ordering the company to withdraw from Meta's more than US$2 billion acquisition deal.

Samsung Electro-Mechanics secures large silicon capacitor supply contract

DIGITIMES — Mon, 25 May 2026 01:38:11 GMT

Samsung Electro-Mechanics (Semco)'s KRW1.5 trillion (approx. US$990 million) silicon capacitor supply contract with a major global company could reshape component supply for AI servers, GPUs, and HBM worldwide, promising denser integration and more stable power delivery in data centers, autonomous vehicles, and mobile devices as demand for high-performance computing grows and supply chains.

Nvidia, Intel, and AMD all in on AI: server supply chain faces shortage of orders, but does for three critical resources

Emily Kuo — Mon, 25 May 2026 01:30:23 GMT

Nvidia, AMD, and Intel are all optimistic about AI development. However, server supply chain companies admit that orders are no longer the issue. Instead, what is most lacking are three critical resources: power, human labor, and financial resources. Among these, power and labor have become the biggest obstacles for manufacturers, which is intensifying competition across the supply chain for electricity and talent.

EGAT pivots into drones to capture US and European defense and commercial demand

DIGITIMES — Mon, 25 May 2026 01:07:39 GMT

Evergreen Aviation Technologies Corporation (EGAT) said it expanded into drone manufacturing to serve growing overseas demand, pursuing customers in the US and shipments to Europe after winning a domestic defense tender in 2024. The company announced the move as part of a broader diversification strategy that also includes semiconductor equipment component manufacturing, and said its drone business currently contributes about 3% of total revenue.

Global Electronics Policy Council formed to coordinate industry response to tariffs and export controls

DIGITIMES — Mon, 25 May 2026 00:37:10 GMT

The Global Electronics Association announced the formation of the Global Electronics Policy Council on Monday to centralize policy advocacy for the electronics supply chain in response to rising tariff volatility, export controls, and domestic-investment policies across multiple countries. Founding members include Taiwan Semiconductor Manufacturing Company, US electronics manufacturing services firms Jabil, Flex, and Plexus, and printed circuit board makers AT&S and TTM Technologies, and the council will operate with formal bylaws and a defined leadership structure.

Taiwan to showcase Open Source Team Taiwan pavilion at COMPUTEX to highlight AI and industry collaboration

DIGITIMES — Mon, 25 May 2026 00:27:44 GMT

Open Source Team Taiwan will debut at COMPUTEX / InnoVEX 2026 as a government-backed pavilion showcasing how open-source frameworks underpin corporate product strategy, AI commercialization, and cross-industry collaboration. The pavilion is promoted by the Administration for Digital Industries under the Ministry of Digital Affairs, with support from the Information Management Association. It brings together Taiwan-led open-source projects, technology firms, academia, and developer communities to promote business models and standards around open-source software and AI.

BenQ Materials secures US$190M loan to fund shift into medical, semiconductor and display materials

DIGITIMES — Mon, 25 May 2026 00:23:38 GMT

BenQ Materials, part of the BenQ Qisda Group, announced on May 22 that it completed a five-year syndicated loan of NT$6 billion (US$190.4 million) led by E.SUN Bank to refinance debt and support its transition to a cross-industry materials platform. The facility drew participation from 10 financial institutions, was oversubscribed by 1.9 times, and includes sustainability-linked interest-rate discounts tied to ESG targets.

Grok falters across government and enterprise as SpaceX pivots to lease idle compute

DIGITIMES — Mon, 25 May 2026 00:21:59 GMT

Elon Musk's AI startup xAI faced weak uptake for its chatbot Grok across US government, corporate, and consumer markets, and SpaceX moved to lease idle computing capacity to Anthropic after Grok underused the infrastructure, raising questions about the viability of SpaceX's IPO valuation, according to reporting by Reuters and The Wall Street Journal.

AI spending forces enterprises to shorten SaaS deals and demand new pricing protections

DIGITIMES — Mon, 25 May 2026 00:19:21 GMT

Rising enterprise investment in AI tools is prompting customers to compress traditional software-as-a-service contracts and extract stronger commercial protections, executives and reporting said. Over the past several months, buyers in the US and global markets moved to shorten multi-year agreements, introduce review windows, and seek clauses that limit vendor price hikes as they redirect budgets toward AI suppliers.

Nichidenbo appoints WT Microelectronics representative as chairman to cement share-swap tie-up

DIGITIMES — Mon, 25 May 2026 00:17:16 GMT

Nichidenbo's May 22 board changes and planned equity link with WT Microelectronics signal a strategic pivot that could influence global component supply chains, as leadership shifts and a share-swap partnership aim to deepen collaboration, expand market reach, and increase customer-focused solution development across international markets, driving long-term global growth.

Column: World Models—taxonomy and technical foundations in embodied AI

Jingyue Hsiao — Sun, 24 May 2026 23:31:15 GMT

"World models" have risen swiftly to prominence in AI discourse—and just as quickly become a source of confusion. Over the past two years, the term has grown simultaneously ubiquitous and ambiguous, invoked across generative AI and robotics research communities to describe fundamentally different architectural paradigms.

China's EV price war gives way to rising costs

DIGITIMES — Sun, 24 May 2026 23:30:59 GMT

China's electric-vehicle market is entering an unfamiliar phase: cars are getting more expensive.

Column: US summit signals shift to trusted supply chains, reshaping global manufacturing partnerships

Jingyue Hsiao — Sun, 24 May 2026 23:30:45 GMT

At the 2026 SelectUS Investment Summit in Maryland, US officials used the flagship investment forum to outline a national industrial strategy prioritizing supply chain reconstruction and alliances, casting manufacturing and AI infrastructure as strategic priorities. The event drew more than 5,500 attendees from over 100 countries.

Tech Forum 2026: AI data centers turn to on-site power amid grid constraints

Jingyue Hsiao — Sun, 24 May 2026 23:30:21 GMT

DIGITIMES analyst Sabrina Yu warned that artificial intelligence data centers face four major energy challenges — rising GPU thermal design power, a new high-voltage direct current architecture, persistent grid bottlenecks, and intensifying sustainability and carbon-emissions pressure on operators — prompting cloud service providers to increasingly rely on behind-the-meter power.

Samsung's China exit shows Korean brands under pressure

DIGITIMES — Sun, 24 May 2026 23:30:02 GMT

Samsung Electronics' retreat from China's TV and home-appliance market is raising broader questions for South Korean industry, as Chinese companies gain ground in consumer electronics, autos and memory chips.

India roundup: India accelerates chip ambitions, but ecosystem gaps remain a key challenge

DIGITIMES — Sun, 24 May 2026 23:29:47 GMT

India is advancing its technology and semiconductor ambitions through new fab projects, packaging facilities, data center investments, and industry partnerships. However, analysts say the next phase of the India Semiconductor Mission will depend on addressing weaknesses in equipment, materials, supply chains, talent, and R&D, as the country seeks to convert investment momentum into a sustainable semiconductor ecosystem and broader digital manufacturing growth.

Syntec Technology profit hits record as AI drives factory automation demand

Sherri Wang — Sun, 24 May 2026 23:29:22 GMT

Syntec Technology reported record quarterly revenue and profit for the first quarter of 2026, as demand for high-end control systems and robotics applications rose with manufacturers' push toward AI-enabled automation.

AI server boom lifts memory interface chip leader, but DDR5 risks linger

Levi Li — Sun, 24 May 2026 23:28:52 GMT

Montage Technology, a company that does not manufacture memory chips itself but instead supplies the interface chips linking CPUs and memory, has quietly emerged as one of the semiconductor sector's most valuable players during the current memory upcycle.

AI data centers drive UPS recycling demand; Jin Lian Cheng targets 98% refining rate by 2H27

Emily Kuo — Sun, 24 May 2026 23:28:27 GMT

Jin Lian Cheng (JLC) the lead-acid battery processing subsidiary under Ming Fu Group, Taiwan's largest end-of-life vehicle processing company, has recently entered the uninterruptible power supply (UPS) lead-acid battery recycling market for major semiconductor manufacturers in Taiwan by leveraging its legal licensing advantages and cross-generational precision smelting technologies. The company's total lead extraction rate is expected to rise from its previous 50–55% to 85%, with a further increase to 98% targeted by the second half of 2027.

Embedded substrates draw AI chip interest as packaging turns strategic

Jingyue Hsiao — Sun, 24 May 2026 23:27:48 GMT

Rising interest in embedded substrates among Nvidia, AMD, and Intel signals potential shifts in AI data‑center supply chains, as the technology promises improved signal integrity and power stability for high-performance chips. Global hardware makers and suppliers may need to adapt their manufacturing and investment priorities to support advanced packaging worldwide.

OpenAI opens first lab outside the US in Singapore as Google deepens government AI ties

Jingyue Hsiao — Sun, 24 May 2026 00:57:50 GMT

Google and OpenAI's expanded cooperation with Singapore aims to accelerate AI adoption, workforce training, and safety measures, providing a model for other countries. The moves could shape global AI policy, talent flows, and public-sector deployment by showing how major tech firms partner with a small, strategically positioned city-state and innovation.