DIGITIMES Asia: News and Insight of the Global Supply Chain

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.

AI drives IC price hikes, lifts China chip exports 83.7% in April

Lily Hess — Tue, 12 May 2026 09:19:27 GMT

Global investment in AI computing power is continuing to boost semiconductor demand, and China's chip exports are surging in tandem. Data from China's General Administration of Customs show that China's IC export value rose 100.1% year-over-year in April 2026, marking the first time it has doubled and reflecting how price hikes in AI servers, data centers, and memory are spreading rapidly through the IC supply chain.

TSMC CoWoS shortage drives SK Hynix-Intel 2.5D push

Charlene Chen — Tue, 12 May 2026 09:17:57 GMT

TSMC's tight CoWoS supply is reportedly pushing SK Hynix to work with Intel on advanced packaging, as the industry looks to diversify the 2.5D packaging supply chain for AI accelerators.

Trade talks to test US-China leverage on rare earths, tariffs, and AI

DIGITIMES — Tue, 12 May 2026 09:14:57 GMT

US President Donald Trump is set to travel to China this week to meet with Chinese President Xi Jinping for trade talks. The meeting comes at a time when both powers are grappling with technological competition, trade tensions, and the Middle East conflict. Many observers are not expecting a transformative outcome, but rather a continuation of small gestures to tamp down a trade war that erupted last year.

From substrates to servers, Taiwan industry gains from the AI infrastructure surge

DIGITIMES — Tue, 12 May 2026 09:11:28 GMT

April results across Taiwan's electronics hardware supply chain underscored how deeply artificial intelligence infrastructure is reshaping demand patterns — from advanced materials to server systems.

PC chip demand stays murky in 2H26 as pre-buying clocks key

Charlene Chen — Tue, 12 May 2026 09:08:49 GMT

Demand for PC, notebook, and other IT application chips in the first half of 2026 remains relatively strong, driven not only by memory and CPU shortages and price increases, but also by solid pull-in demand for peripheral chips. Many industry players say the current buying momentum is stronger than in a typical seasonal low and reflects customers' expectations that component costs will keep rising. By past patterns, inventory digestion would usually emerge in the second half, but chipmakers now cannot say for sure whether customer orders will see a major correction.

SK Hynix reportedly buys Silicon Valley property to bolster AI supply chain

Charlene Chen — Tue, 12 May 2026 08:54:45 GMT

SK Hynix has reportedly acquired a building in San Jose, California, as the memory chip maker moves to establish a new production and R&D base in Silicon Valley, a key battleground for AI semiconductors. Industry observers said the move is part of a broader push to expand its global footprint and strengthen its position in the AI semiconductor supply chain.

Aurotek posts record first-quarter revenue and profit as robot demand surges

DIGITIMES — Tue, 12 May 2026 08:13:16 GMT

Aurotek Corp. reported record results for the first quarter of 2026 as rising demand for smart manufacturing robots drove consolidated revenue and profit higher. The company said the results reflect its transition from an equipment and component supplier into an AI smart robot integrated solutions provider.

Samsung labor dispute rattles global supply chain

Jingyue Hsiao — Tue, 12 May 2026 07:59:26 GMT

Samsung Electronics' escalating labor dispute has sparked global supply-chain concerns, with Apple and HP said to be warning they could exit the company's ecosystem. Suppliers, industry groups, and clients are now assessing contingency measures as mediation resumes, with potentially wide-ranging implications for production schedules, procurement stability, investor confidence, and the wider technology hardware market at large.

TSMC's US and Japan expansion lifts Trusval

Levi Li — Tue, 12 May 2026 07:30:48 GMT

Taiwan-based semiconductor facility engineering firm Trusval reported strong results for the first quarter of 2026, supported by continued growth in global AI computing demand, TSMC's accelerated expansion of 2nm process and advanced packaging capacity, and ongoing fab construction projects across the semiconductor, high-tech, and memory industries.

Applied Materials and TSMC team up at EPIC Center to fast-track AI chip development

DIGITIMES — Tue, 12 May 2026 07:06:16 GMT

Applied Materials and TSMC have announced a partnership to accelerate semiconductor technologies for AI, aiming to speed commercialization and improve the energy efficiency of chips spanning data centers and edge devices. The collaboration promises global supply chains, cloud services, and device makers faster access to advanced nodes and reduced time from development to high-volume manufacturing.

China AI model boom pulls smartphone supply chain into ecosystem battle

Levi Li — Tue, 12 May 2026 06:59:19 GMT

China's generative AI sector is seeing another wave of aggressive fundraising, with leading large language model (LLM) developers rapidly securing capital while expanding ties with consumer electronics and device ecosystems.

E Ink eyes 25% growth in 2026 on surface push

Charlene Chen — Tue, 12 May 2026 06:43:14 GMT

E Ink expects its operations to keep growing in 2026, with chairman Johnson Lee saying the e-paper maker sees revenue growth of 20-25% as applications expand across e-readers, e-notebooks, electronic shelf labels (ESLs), and digital signage. He said retail digitization and outdoor surface applications will be the next major growth drivers.

Taiwan AI server sales show gains spreading beyond TSMC

DIGITIMES — Tue, 12 May 2026 06:29:38 GMT

Taiwan's AI server supply chain delivered another month of strong April sales, with growth extending from TSMC's chipmaking base to server assemblers and suppliers of cooling, board materials, rail kits, and server-management chips.

Fitipower eyes 2Q26 growth on OLED DDI ramp

Charlene Chen — Tue, 12 May 2026 05:52:33 GMT

Fitipower said revenue grew quarter-over-quarter in the first quarter of 2026, driven by electronic shelf labels (ESL), EPD, and other chip products such as T-Con, and the Taiwan DDI maker plans to raise prices on selected items as it prepares for further growth in the second quarter of 2026. The company is expanding across applications, products, and regions while developing new offerings to strengthen competitiveness amid global market uncertainty.

VSO Electronics pins growth on AI cable demand and in-house leak-detection line for late 2026

DIGITIMES — Tue, 12 May 2026 05:43:24 GMT

VSO Electronics said at its annual shareholders meeting on May 12 that it approved its 2025 financial statements and will pay a cash dividend of NT$2.5 per share. Executives reported that orders for the second quarter of 2026 were fully booked, that April 2026 consolidated revenue topped NT$300 million (US$9.7 million), and that cumulative revenue for January through April 2026 rose more than 20% year on year, as AI-related products offset declines in the PC business.

Taiwan thermal firms ride AI server boom, AVC and Auras lead 2026 surge

DIGITIMES — Tue, 12 May 2026 04:34:00 GMT

Taiwan's thermal management sector continued to diverge sharply in early 2026, with AI server demand increasingly separating high-growth liquid cooling and advanced server thermal suppliers from more traditional cooling players.

Kuaishou targets US$20B Kling AI spin-off to tap video generation demand

DIGITIMES — Tue, 12 May 2026 04:23:08 GMT

Kuaishou is holding talks with potential investors to spin off its Kling AI video unit in a pre-IPO funding round valuing it at US$20 billion, according to The Information. The Chinese social media company aims to capture investors' growing interest in AI stocks as video generation platforms reshape the face of social media and entertainment.

Taiwan AI testing boom lifts KYEC, MPI, and WinWay to record 2026 revenue

DIGITIMES — Tue, 12 May 2026 04:22:21 GMT

Taiwan's semiconductor testing and probe card supply chain maintained solid momentum entering 2026, driven by continued AI accelerator, high-performance computing (HPC), and advanced packaging demand.

Viking AI revenue jumps to 12% as resistor lead times stretch to 15 weeks

Charlene Chen — Tue, 12 May 2026 04:16:58 GMT

Viking, a major maker of automotive thin-film resistors, said AI-related revenue rose quickly to 12% in the first quarter of 2026 from less than 5%, helped by stronger shipments for data centers, server power supplies, and other applications. The company also said resistor lead times have stretched from five weeks to about 15 weeks as AI demand tightens capacity.

Innolux shares surge on reports of potential TSMC FOPLP partnership

Elaine Chen — Tue, 12 May 2026 04:15:58 GMT

Unlike AUO, which remained in the red in the first quarter of 2026, Innolux returned to operating profitability, posting net income of NT$1.79 billion (approx. US$56.9 million) for the quarter.

Taipower new president focuses on AI power demand, grid resilience

Rodney Chan — Tue, 12 May 2026 04:13:38 GMT

Taiwan Power Company (Taipower) is entering a new wave of generation system installations at its Tunghsiao, Talin, and Hsinta Phase II plants. New president Kuo Tien-Ho, who took office on May 11, 2026, said 13 gas-fired combined-cycle units are scheduled to come online over the next 10 years to meet surging electricity demand from AI and other emerging technologies.

Altos targets South Korean AI server market with software edge

Kevin Wang — Tue, 12 May 2026 04:03:52 GMT

Altos Computing, Acer's AI server subsidiary, is targeting South Korea's relatively mature demand for high-end computing with flagship systems based on Nvidia Blackwell architecture. The company is also leaning on its in-house Altos aiWorks software as a key differentiator, as it transitions from a hardware maker into an AI infrastructure solutions provider.