DIGITIMES Asia: News and Insight of the Global Supply Chain

PixArt targets 2Q26 growth as gaming mouse and console demand offset weak PC sales

Lily Hess — Wed, 13 May 2026 09:14:41 GMT

IC design firm PixArt Imaging said on May 12 that its three core business areas will post strong growth in the second quarter of 2026, with revenue expected to rise by the double digits quarter over quarter. The company said better-than-expected game console shipments lifted first-quarter 2026 results above its earlier forecast, helping offset a weak PC market.

Intel's preliminary Apple deal puts Samsung's foundry ambitions under pressure

DIGITIMES — Wed, 13 May 2026 09:07:46 GMT

Intel's reported preliminary agreement to manufacture some chips for Apple is putting new pressure on Samsung Electronics, as the US chipmaker gains momentum with major technology customers and leans on Washington's support to revive its foundry business.

Inventec sees strong AI, general-purpose server demand through 2028

Eifeh Strom — Wed, 13 May 2026 09:05:53 GMT

Inventec expects both artificial intelligence (AI) servers and general-purpose servers to see growth in 2026, with company president Jack Tsai noting that orders for the latter are expected to grow through 2028. The company also plans to double capital expenditure in 2026, focusing on expanding production sites to meet customer demand.

Ajinomoto raises ABF substrate film prices 30%

Charlene Chen — Wed, 13 May 2026 09:02:37 GMT

Ajinomoto has informed IC substrate makers that it will raise prices for its key ABF build-up film by 30%, with the new pricing expected to take effect in the third quarter of 2026. Taiwanese package substrate makers confirmed they have received the official notice, as cost pressure in the IC substrate supply chain remains elevated.

Dixon Technologies sees margin pressure as stagnation offsets full-year growth

DIGITIMES — Wed, 13 May 2026 09:01:14 GMT

Dixon Technologies reported fiscal 2026 results showing full-year revenue growth, but underlying profitability momentum weakened toward the end of the year, with a flat fourth quarter and mounting cost pressures across its core electronics manufacturing services (EMS) business.

AI demand lifts Zhen Ding as server and chip substrate sales surge

Elaine Chen — Wed, 13 May 2026 08:59:09 GMT

Taiwanese printed circuit board maker Zhen Ding Technology Holding reported first-quarter 2026 revenue that reached a record for the period, as booming demand for artificial intelligence infrastructure helped offset the seasonal slowdown typically associated with consumer electronics.

Commentary: AI server ODMs face margin squeeze as memory costs soar

Lily Hess — Wed, 13 May 2026 08:32:37 GMT

As AI server orders surge, system assembly makers are finding that more business does not always mean better profits. High-priced GPUs and soaring memory costs are pushing up revenue without lifting manufacturing fees at the same pace, leaving original design manufacturers (ODMs) facing lower gross margins as assembly orders grow.

Taiwan capacitor maker Chinsan locks in Thailand AI server capacity through 2026

Levi Li — Wed, 13 May 2026 08:02:42 GMT

Taiwan Chinsan Electronic Industrial said strong demand from cloud and server customers pushed related revenue contribution to 35% in the first quarter of 2026, with high-margin AI server applications accounting for roughly half of the segment.

AI server tracker: ASPEED sees sustained growth as AI server demand strengthens BMC market outlook

DIGITIMES — Wed, 13 May 2026 07:44:54 GMT

ASPEED Technology has continued to show strong revenue momentum in recent years, supported by structural changes in global data center infrastructure and the rapid expansion of AI server deployments.

L&T Semiconductor Technologies signs multiyear agreement with Synopsys for AI-enabled power module design

DIGITIMES — Wed, 13 May 2026 07:39:13 GMT

L&T Semiconductor Technologies' multiyear agreement with Synopsys to use AI-enabled multiphysics simulation software could accelerate the development of power modules and intelligent power modules, potentially affecting global electric mobility, renewable energy, and industrial automation by improving design efficiency, reliability, and time-to-market for next-generation power electronics, and by enhancing supply-chain resilience.

Imec's IC-Link joins TSMC 3DFabric Alliance, extending 3D integration access worldwide

DIGITIMES — Wed, 13 May 2026 07:23:32 GMT

Imec's IC-Link has joined TSMC's OIP 3DFabric Alliance, opening up broader access to TSMC's 3D stacking and packaging technologies for global ASIC customers. The move could accelerate the development of multi-die systems, smoothing paths to high-volume manufacturing and benefiting designers across AI, high-performance computing, automotive, and telecommunications markets worldwide—as well as technology supply chains.

Global smartphone AP industry, 1Q 2026: Memory price hikes pressure smartphone AP market

DIGITIMES — Wed, 13 May 2026 07:22:52 GMT

Global smartphone AP shipments in the second quarter of 2026 are estimated to see a yearly decline of 15.2% as memory price hike pressure emerges.

Anthropic in talks to acquire Stainless, SDK startup serving Google and OpenAI

DIGITIMES — Wed, 13 May 2026 07:22:22 GMT

Anthropic is reportedly in advanced talks to acquire Stainless, a startup that builds software development kits for AI companies, including Google and OpenAI. The deal could value Stainless at over US$300 million, according to The Information.

Canada opens limited EV market to China as automakers jockey for position

Elaine Chen — Wed, 13 May 2026 07:18:52 GMT

Under a new Canada-China electric vehicle (EV) agreement, Lotus, owned by China's Geely Group, has become one of the first automakers to begin shipments to Canada from Chinese ports. Other Chinese brands, including Chery and BYD, are expected to enter the Canadian market gradually before the end of the year. At the same time, market speculation has emerged that Tesla may have quietly shifted supply sources for its Model 3 in Canada to its Shanghai factory, after the model recently appeared at sharply lower prices.

TECO expands into AI data centers with Malaysia acquisition deal

Elaine Chen — Wed, 13 May 2026 07:15:42 GMT

Taiwan-based industrial manufacturer TECO Electric & Machinery said on May 12 that its board had approved the acquisition of Malaysian engineering firm Dynaciate Engineering Sdn. Bhd. for about RM200 million (approx. US$50.8 million), in a deal expected to close in August 2026. After completion, TECO will gain controlling ownership, with revenue and earnings from the acquired company expected to begin contributing to consolidated results in the second half of 2026.

Altasec deepens edge AI imaging push into Europe and US security markets

Rodney Chan — Wed, 13 May 2026 07:13:51 GMT

Altasec Technology, a smart security and control solutions provider founded in 2011, will list on Taiwan's Emerging Stock Board on May 14 as it moves to capture demand from AI applications and expand further into the European and US security markets.

Y.S. Tech sees strong high-end cooling demand, but new plant costs weigh on profit

DIGITIMES — Wed, 13 May 2026 06:01:33 GMT

Y.S. Tech reported that demand for high-end networking IT cooling and automotive orders lifted consolidated revenue to NT$1.129 billion in the first quarter of 2026 and operating profit to NT$41.97 million, increases of 14.45% and 24.26% year-over-year respectively, while quarterly after-tax profit fell to NT$38.27 million with earnings per share of NT$0.48 due to new plant entry costs and equipment depreciation that began in the fourth quarter of 2025.

Compal lifts non-PC revenue to 35%, eyes 2Q26 server surge

Jingyue Hsiao — Wed, 13 May 2026 05:55:44 GMT

Compal Electronics' non-PC operations grew to 35% of first-quarter 2026 revenue, signaling a shift in global supply chains as the notebook and server maker advances toward a 40% annual target; investors and customers worldwide may see a changing product mix, margin pressures, and inventory dynamics affecting suppliers, pricing, and markets.

Tesla boosts Berlin output with US$250M battery cell expansion

DIGITIMES — Wed, 13 May 2026 05:11:46 GMT

Tesla is investing US$250 million to expand battery-cell production at its Berlin-Brandenburg Gigafactory, reinforcing its long-term commitment to Europe just as the company starts to regain momentum in the region after more than a year of weak sales.

China's fiber optic giant unveils world's largest preform for AI data center boom

Levi Li — Wed, 13 May 2026 04:55:39 GMT

China's Fiberhome Telecommunication Technologies has unveiled what it claims is the world's largest optical fiber preform, highlighting China's accelerating push to strengthen its position in AI-driven optical networking and high-speed data infrastructure.

India's smartphone shipments fall in 1Q26, signaling value-led market shift

DIGITIMES — Wed, 13 May 2026 04:49:49 GMT

India's smartphone shipments fell 4.1% year over year to 31.0 million units in the first quarter of 2026, according to IDC. Rising memory prices and subdued consumer demand pushed average selling prices higher, reshaping the balance between volume and value in the world's second-largest smartphone market — and signaling a structural shift that carries significant implications for global suppliers.

ChipMOS 1Q26 earnings jump 186% on strong packaging and testing demand

Eifeh Strom — Wed, 13 May 2026 04:44:14 GMT

Taiwanese outsourced semiconductor assembly and test (OSAT) services company ChipMOS Technologies reported strong growth in both revenue and profit for the first quarter of 2026. Net profit after tax for the quarter reached NT$505 million (approx. US$16.03 million), up 1% from the previous quarter and 186.37% from a year earlier, while earnings per share (EPS) came to NT$0.72, the highest in the past 10 quarters.

SEMI says global semiconductor materials market hit record US$73.2 billion in 2025

DIGITIMES — Wed, 13 May 2026 04:36:54 GMT

The global semiconductor materials market reached a record high of US$73.2 billion in 2025, up 6.8% year-over-year, according to the latest Materials Market Data Subscription (MMDS) report released by SEMI on May 13, 2026.

Samsung labor talks collapse as bonus dispute threatens chip output

DIGITIMES — Wed, 13 May 2026 04:30:12 GMT

Samsung Electronics and its largest labor union failed to reach a pay deal following government-mediated talks, raising the risk of an 18-day strike beginning May 21, 2026, that could disrupt production of memory and other chips.

SpaceX pushes toward global launch network for rapid Starship operations

DIGITIMES — Wed, 13 May 2026 04:05:09 GMT

SpaceX is exploring potential sites in the US and overseas to build new "spaceports," CEO Elon Musk said on X on May 12, as the company prepares for a future in which its Starship rocket could launch at an unprecedented scale.

Commentary: Trump's China dealbook favors Boeing, soybeans, and Wall Street over AI chips

Levi Li — Wed, 13 May 2026 03:47:17 GMT

Against a backdrop of persistently high tensions between the US and China, the upcoming Trump-Xi summit is being closely watched not only for its implications for trade, technology controls, and geopolitics, but also as a key signal of how both sides are reassessing the remaining areas where cooperation may still be possible.

Doosan to build new CCL plant in Thailand

Charlene Chen — Wed, 13 May 2026 03:35:00 GMT

South Korean copper clad laminate (CCL) maker Doosan is reportedly moving to strengthen its overseas capacity in Thailand, a key production hub for Taiwan PCB suppliers serving global tech giants. The company has announced plans to set up a new subsidiary in Bangpu Industrial Estate and build a new CCL plant there.

Trump frames China summit around trade as US companies seek regulatory relief

DIGITIMES — Wed, 13 May 2026 03:26:12 GMT

US President announced aboard Air Force One that his meeting with China's president would center on bilateral trade, with economic and commercial topics set to dominate discussions when the leaders met in China. The president said the talks would advance a new bilateral trade coordination mechanism, aiming to prioritize trade over Middle East developments and other geopolitical tensions.

Samsung Foundry comeback takes shape—AI chips, HBM4 lift 4nm demand

DIGITIMES — Wed, 13 May 2026 03:21:28 GMT

Samsung Electronics' foundry business is showing signs of recovery after a prolonged downturn, as AI chip projects and HBM4-related demand begin to raise utilization at its advanced-process lines.

Canada warns US tariff rollback is non-negotiable as USMCA review looms

DIGITIMES — Wed, 13 May 2026 03:20:56 GMT

Canada and industry groups pushed back against the prospect of linked concessions as the US prepared for a high-level summit with China on May 14 and North America readied for the sixth-year review of the USMCA, scheduled for July 1. Canadian officials and automotive associations insisted the US must unconditionally remove the 25% tariffs imposed under section 232 on passenger vehicles and that the tariff rollback is essential to the survival of decades of North American economic integration, a spokesperson announced.

OpenAI trial exposes deep rift between Sam Altman and Elon Musk

DIGITIMES — Wed, 13 May 2026 03:13:57 GMT

The courtroom battle between Sam Altman and Elon Musk intensified this week as Altman rejected Musk's accusations that OpenAI abandoned its original mission to benefit humanity in favor of profit.

Google unveils Gemini-powered Android future at Android Show: I/O Edition

DIGITIMES — Wed, 13 May 2026 03:07:58 GMT

At the Android Show: I/O Edition on May 12, Google unveiled a comprehensive set of updates to its Android platform and related services, marking a significant shift from operating systems toward what the company describes as an "intelligence system." The announcements, made on May 12, 2026, span artificial intelligence (AI) integration, automotive technology, creative tools, and cross-platform compatibility features.

Hanwha Semitech to supply FO-PLP equipment for SpaceX-linked chip production

DIGITIMES — Wed, 13 May 2026 02:53:09 GMT

South Korean semiconductor equipment maker Hanwha Semitech is reportedly preparing to supply fan-out panel-level packaging (FO-PLP) equipment for advanced chip packaging in the second half of 2026, with the systems expected to be used in the mass production of networking chips for SpaceX.

Malaysia explores semiconductor listings to strengthen domestic capital markets

DIGITIMES — Wed, 13 May 2026 02:51:55 GMT

Malaysia is exploring ways to encourage more semiconductor-related companies to list on Bursa Malaysia as the government seeks to better align the country's capital markets with its growing role in the global chip supply chain.

Google launches Googlebook, a new AI-native laptop category built around Gemini

DIGITIMES — Wed, 13 May 2026 02:49:38 GMT

Google on May 12 unveiled Googlebook, a new line of laptops it describes as the first designed from the ground up for AI, merging Android's app ecosystem with ChromeOS's browser capabilities and centering Gemini as the core intelligence layer.

China CPU vendors seize AI inference surge as Intel, AMD supplies tighten

Levi Li — Wed, 13 May 2026 02:35:07 GMT

The global race for AI computing power continues to intensify, beyond ongoing GPU shortages. CPUs, long viewed as secondary components in servers, are once again becoming critical parts of data center infrastructure due to the rapid rise of AI inference and AI agent applications.

SMIC lands nearly US$6bn mega deal to deepen China AI push

DIGITIMES — Wed, 13 May 2026 02:29:31 GMT

China's top foundry SMIC is entering a new growth phase after regulators approved a record CNY40.6 billion (US$5.98 billion) asset acquisition that strengthens its grip over one of its most profitable wafer fabs, while surging domestic AI infrastructure spending is rapidly reshaping the company's long-term outlook.

Taiwan's semiconductor supply chain posts broadly positive April; AI demand clearly visible across ecosystem

DIGITIMES — Wed, 13 May 2026 02:18:32 GMT

Of the 238 Taiwan-listed semiconductor and related companies tracked by Digitimes, 73% (173 companies) posted positive year-on-year revenue growth in April 2026, and 58% (139) grew month-over-month. Memory makers, AI server assemblers, and advanced packaging houses led the advance, while silicon wafer suppliers and a handful of fabless names faced ongoing headwinds.

Ableprint posts record first-quarter profit as CPO orders set to begin in June

DIGITIMES — Wed, 13 May 2026 02:00:00 GMT

Ableprint reported record first-quarter 2026 revenue and profit as customers installed and qualified new advanced packaging production lines and expanded shipments of high-end process equipment, with the company saying demand tied to co-packaged optics started to convert into orders. The firm posted net profit after tax of NT$415 million, up 82.1% year on year, and first-quarter revenue rose 81.9% year on year to NT$876 million.

Lite-On, Delta benefit from surge in AI server power demand

DIGITIMES — Wed, 13 May 2026 01:45:00 GMT

April results from Taiwan's power electronics sector underscored how deeply artificial intelligence infrastructure is reshaping demand for energy systems, with strong growth across data center power management, backup batteries, and advanced cooling solutions.

Middle East war triggers helium crunch, sends China gas prices up 10-fold

Levi Li — Wed, 13 May 2026 01:38:28 GMT

As the Iran war and the geopolitical uncertainty it has triggered continue to intensify, global technology supply chains are coming under heavier-than-expected pressure. In addition to surging metal raw material prices, shortages of high-specification ISO containers used to transport helium, as well as specialty industrial solvents, are driving up production costs and threatening the stability of semiconductor manufacturing capacity.

Taiwan to set up US industrial parks as bilateral ties deepen

Lily Hess — Wed, 13 May 2026 01:30:00 GMT

The US may soon see Taiwan-style industrial parks, according to officials and industry representatives who recently visited the country to attend a trade summit. The development could see companies in Taiwan's chip ecosystem establish a presence at US locations near TSMC's facilities.

Foxconn research arm, Quobly launch open-source QPE toolbox for fault-tolerant quantum computing

DIGITIMES — Wed, 13 May 2026 01:19:12 GMT

French silicon-based quantum computing pioneer Quobly and Hon Hai Research Institute (HHRI) on Tuesday announced the release of a jointly developed open-source numerical toolbox designed for Quantum Phase Estimation (QPE), a foundational algorithm for fault-tolerant quantum computing with critical applications in quantum chemistry and materials science.

Tesla Semi nears mass production with US-made 4680 battery and 1.2 MW charging

DIGITIMES — Wed, 13 May 2026 01:13:19 GMT

Tesla's Electric Semi Truck (Tesla Semi) has revealed production specifications and a US-made 4680 lithium battery breakthrough, according to certification documents filed with the California Air Resources Board in May 2026 and reporting by Reuters. The disclosures showed the Semi supports megawatt-level fast charging and uses a second-generation 4680 cell called Cybercell, enabling the truck to enter mass production and compete more directly with diesel rigs on charging speed and range.

Acter reports record first-quarter results as AI-driven orders push backlog past NT$50 billion

DIGITIMES — Wed, 13 May 2026 01:01:11 GMT

Acter Group reported record first-quarter 2026 results as sustained demand from semiconductor, AI data center, and high-tech electronics customers drove factory buildouts and expansions, the firm announced. Revenue rose 36% year on year to NT$11.6 billion (US$370 million), net profit climbed 146% to NT$1.58 billion, and earnings per share reached NT$12.76, also up 146% from a year earlier.

GLT shifts to auto and medical markets as display revenue drops to 1%

Charlene Chen — Tue, 12 May 2026 23:59:37 GMT

Global Lighting Technologies (GLT) has moved away from its traditional display business and is now focusing on optical microstructures for automotive, wearables, and biomedical applications, with display revenue accounting for just 1% in the first quarter of 2026. Chairman Man-Shiang Lee said the company has expanded its core technology into new fields and will reposition itself around optical microstructures in 2026.

Taiwan telecoms post strong April on 5G migration and enterprise ICT momentum

Willis Ke — Tue, 12 May 2026 23:59:21 GMT

Taiwan's major telecom operators delivered robust April results, supported by continued 5G migration, seasonal smartphone demand around Mother's Day, and sustained contributions from enterprise ICT projects. Chunghwa Telecom posted record April revenue and EBITDA, Taiwan Mobile outperformed in profitability and year-to-date EPS, while Far EasTone Telecommunications extended its monthly mobile service revenue growth streak to 62 consecutive months.

TsangYow's Malaysia plant to start up in 2026

Charlene Chen — Tue, 12 May 2026 23:59:10 GMT

At the recently concluded SEMICON SEA, the scale of industry interest in Southeast Asia was clear. Alongside the growing presence of Chinese exhibitors and the expanding ranks of Singapore and Malaysia-based companies, Taiwan suppliers also showed strong participation, underscoring the ambition of Taiwan manufacturers to tap regional semiconductor demand.

Column: Global space race shifts from military to sovereign

Elaine Chen — Tue, 12 May 2026 23:56:44 GMT

The global space and defense industry is undergoing a strategic transformation — from treating space as a force multiplier to claiming it as a domain of sovereign control.

Taiwan machinery exports rise for 15th month on AI and semiconductor demand

DIGITIMES — Tue, 12 May 2026 23:56:35 GMT

Taiwan's machinery exports expanded for the 15th consecutive month in April 2026, as sustained demand for AI infrastructure and semiconductors lifted shipments of electronic equipment as well as inspection and metrology tools, the Taiwan Association of Machinery Industry said. The association reported a 16.9% year-on-year increase in April machinery exports and an 18% rise in cumulative exports for January–April 2026.

Singapore pushes ASEAN semiconductor alliance as AI reshapes global supply chains

DIGITIMES — Tue, 12 May 2026 23:56:22 GMT

At a time when the global semiconductor industry is undergoing a historic restructuring, the Singapore Semiconductor Industry Association says Southeast Asia is evolving from a backend manufacturing base into one of the world's most resilient semiconductor supply chain hubs.

Indian firms step up EV battery development amid China technology concerns

DIGITIMES — Tue, 12 May 2026 23:56:09 GMT

Indian conglomerates are accelerating efforts to develop domestic electric vehicle (EV) and battery technologies as access to Chinese know-how becomes increasingly uncertain.

Moore Threads builds China-made embodied AI stack with Lightwheel.ai

DIGITIMES — Tue, 12 May 2026 23:55:58 GMT

Moore Threads has entered a strategic partnership with Lightwheel Intelligent (Beijing) Technology (Lightwheel.ai) to jointly develop a domestic simulation and synthetic data infrastructure platform for embodied AI, highlighting China's broader push to reduce reliance on foreign AI computing and robotics software ecosystems.

Chinese battery firms gain market share as North American EV slowdown hits Korean Rivals

DIGITIMES — Tue, 12 May 2026 23:55:38 GMT

Global electric-vehicle battery demand continued to expand in the first quarter of 2026, even as growth in several major automotive markets slowed, underscoring the industry's shifting competitive landscape and the rising importance of energy-storage and infrastructure businesses.

AI server tracker: GUC surges ahead as Faraday and Alchip face slower 2026 start

DIGITIMES — Tue, 12 May 2026 23:55:23 GMT

Taiwan's ASIC and design services sector is showing sharply diverging fortunes in 2026, with new monthly revenue data highlighting strong momentum for GUC while rivals Faraday and Alchip face a slower start to the year.

Foxconn breach underscores rising cybersecurity threats facing Apple suppliers

DIGITIMES — Tue, 12 May 2026 23:53:24 GMT

Hon Hai Precision Industry, also known as Foxconn, said some of its facilities in North America were hit by a cyberattack, according to a corporate filing released on Monday.

TSMC adds four executives in latest reshuffle as US investment and succession push accelerate

Joseph(C) Chen — Tue, 12 May 2026 23:52:48 GMT

TSMC's board of directors approved a US$31.3 billion capital budget on May 12 for advanced-process capacity buildout, factory construction, and fab infrastructure — and separately approved a capital injection of up to US$20 billion into its wholly owned US subsidiary, TSMC Arizona.

BTL Group ramps AI server testing as orders extend through September

DIGITIMES — Tue, 12 May 2026 09:22:41 GMT

BTL Group, a Taiwan-based electronic testing lab, said AI server demand drove around-the-clock testing in April 2026, pushing monthly revenue to its second-highest level and lifting AI-related testing to more than 10% of total revenue. Executives said order scheduling for AI testing already runs through September, and the firm expected monthly revenue in the second quarter to challenge a new high as 2026 trends upward quarter by quarter.