DIGITIMES Asia: News and Insight of the Global Supply Chain

Elon Musk aims for record maximum usable compute per wafer for AI6 chip

Emily Kuo — Thu, 18 Jun 2026 07:51:20 GMT

Following the announcement in April 2026 that the AI5 chip design had been finalized, Tesla CEO Elon Musk introduced a new benchmark, stating that under yield considerations, the AI6 chip is expected to set a new record for maximum usable computing power per wafer.

Smart glasses race pulls Taiwan and China optical suppliers into waveguide battle

Levi Li — Thu, 18 Jun 2026 07:43:03 GMT

Smart glasses shipments are rising steadily, making the category one of the most closely watched consumer electronics growth drivers after notebooks and smartphones. Taiwanese optical suppliers entered the field early, while leading Chinese optical makers are also moving to capture the opportunity.

AI data center boom drives Taiwan passive component makers to record sales

Levi Li — Thu, 18 Jun 2026 07:38:52 GMT

Demand in the passive components market is recovering significantly, lifting operating momentum at Taiwan's two leading suppliers, Yageo and Walsin Technology. Average book-to-bill ratios at both companies have risen above 1.3, placing industry conditions near their highest levels in recent years and reinforcing expectations for sequential growth through 2026.

SiC cuts AI data center costs; 5% efficiency gain saves US$5 billion

Charlene Chen — Thu, 18 Jun 2026 07:38:49 GMT

Power is now compute, and it is becoming a major driver of AI data center build costs. Renesas technical director Mu-Sen Lin said traditional data centers rely on low-voltage AC (LVAC), long wiring runs, and repeated AC-to-DC conversions through uninterruptible power supply (UPS) systems, reducing energy transmission efficiency.

Foxconn chairman maps out Taiwan's global AI and manufacturing expansion strategy

Charlene Chen — Thu, 18 Jun 2026 07:36:49 GMT

Taiwan's electronics industry is stepping up its global ambitions as AI, data center infrastructure, and advanced manufacturing reshape supply chains. Speaking at the Chinese National Association of Industry and Commerce (CNAIC) on June 18, 2026, Foxconn chairman and Taiwan Electrical and Electronic Manufacturers' Association (TEEMA) chairman Young Liu outlined a strategy that combines overseas industrial parks, AI-driven transformation and next-generation factory automation.

NIO founder warns China's auto market could shrink by 20% this year

Lily Hess — Thu, 18 Jun 2026 07:30:16 GMT

Nio founder and chairman William Li warned at the 2026 China Auto Chongqing Summit that China's auto industry has entered its "most brutal final stage," saying 2026 passenger-vehicle retail sales in China could fall 15% to 20% from last year. He urged the industry to prepare early as the Chinese new energy vehicle market enters a more severe phase of competition.

Darwin organ chip joins Nvidia AI medical push

Charlene Chen — Thu, 18 Jun 2026 07:24:38 GMT

Backlight module maker Darwin held its shareholders' meeting on June 17, 2026, and said it remains cautiously optimistic about 2026 revenue as its new businesses continue to gain traction. The company cited fresh commercial display orders in the US market and said organ-chip partner Anivance AI is also listed on an "Nvidia backdrop," adding momentum to its medical technology push.

Panjit ramps investment in AI and automotive as book-to-bill rises to 1.5

DIGITIMES — Thu, 18 Jun 2026 07:22:25 GMT

Panjit International announced at its shareholders' meeting on June 18 that it will pursue a "dual-engine" growth strategy focused on automotive and artificial intelligence as demand in both sectors accelerates, backed by a capital investment target of more than NT$10 billion over the next five years.

Imec, Sony unveil backside interconnect method for 3D chip stacking

DIGITIMES — Thu, 18 Jun 2026 07:10:58 GMT

Imec and Sony Semiconductor Solutions Corporation (Sony) have jointly presented a new integration method for connecting the front and back sides of semiconductor wafers, a step the two organizations say could support future 3D chip-stacking designs for logic and memory devices.

Tim Cook says Apple price hikes are unavoidable as AI squeezes memory supply

DIGITIMES — Thu, 18 Jun 2026 07:00:34 GMT

In an exclusive interview with The Wall Street Journal, Apple CEO Tim Cook made an unusually blunt admission. The company is preparing to raise product prices because memory and storage costs have surged to a point Apple can no longer absorb. He said Apple has spent the past stretch trying to shield customers from these cost increases, but the situation has become "unsustainable."

Japan lasers in on India's Assam state for chip and infrastructure corridor

Levi Li — Thu, 18 Jun 2026 06:56:01 GMT

Japanese Prime Minister Sanae Takaichi is scheduled to visit Assam in northeastern India in early July 2026. According to Nikkei, more than 50 Japanese companies and business groups, including Suzuki, Itochu and Toyota Tsusho, are expected to accompany the delegation, with market attention focused on cooperation in semiconductors and infrastructure.

China Airlines cuts cargo fuel surcharges after oil prices ease on US-Iran deal

DIGITIMES — Thu, 18 Jun 2026 06:46:31 GMT

China Airlines will lower cargo fuel surcharges from July 1 after international oil prices eased following a US-Iran memorandum signed June 17 that raised prospects for renewed shipping through the Strait of Hormuz.

BMW opens Neue Klasse reservations early; car business margin forecast unexpectedly cut in half

Emily Kuo — Thu, 18 Jun 2026 06:41:59 GMT

Although BMW's Neue Klasse BEV lineup is receiving strong market feedback and demand, it is also facing challenges due to weakness in the Chinese auto market and the conflict in the Middle East. It has lowered its financial outlook, cutting its automotive business margin forecast from the original 4-6% range to 1-3%.

AI chip boom strains probe card supply, Taiwan test interface maker weighs prepayment deals

Levi Li — Thu, 18 Jun 2026 05:57:17 GMT

MPI Corporation, a major probe card supplier, said AI demand is tightening supply across the probe card market and extending order visibility, with the company considering a prepayment mechanism to guarantee customers priority access to capacity.

Unitree IPO tests China's bet on low-cost humanoid robots

DIGITIMES — Thu, 18 Jun 2026 04:24:58 GMT

Unitree Robotics is heading toward a Shanghai listing with a pitch drawing attention well beyond China: humanoid robots can be built cheaply enough, and at enough scale, to begin taking on narrow labor tasks.

SpaceX acquires Cursor to bolster xAI and court AI developers

Lily Hess — Thu, 18 Jun 2026 04:20:17 GMT

SpaceX has agreed to acquire AI coding tool developer Cursor for US$60 billion, in a deal that underscores how competition in the AI industry is extending beyond foundation models into the application layer and developer ecosystems. The purchase gives SpaceX direct access to enterprise customers, developer communities, and high-value code data instead of rebuilding a product from scratch. Markets see it as a key addition to Elon Musk's AI strategy.

Exclusive: Winbond NOR flash reportedly enters Nvidia supply chain

Charlene Chen — Thu, 18 Jun 2026 04:14:01 GMT

Winbond's NOR flash has reportedly entered Nvidia's supply chain for the first time, as AI server demand drives a surge in memory consumption and Nvidia's next-generation Vera Rubin platform prepares for volume shipments in the second half of 2026. Industry sources said Winbond will align NOR flash shipments with customer rollout schedules and is expected to win a major share on the Vera Rubin platform.

G7 AI talks reveal trust gap behind US model power

DIGITIMES — Thu, 18 Jun 2026 04:06:53 GMT

The world's most powerful AI companies entered the G7 summit in France this week with a message for democratic governments: frontier AI needs global rules, but those rules are increasingly being shaped by US strategic interests.

Samsung, SK Hynix weigh first chip packaging plants in South Korea's Honam region

DIGITIMES — Thu, 18 Jun 2026 03:52:49 GMT

Samsung Electronics and SK Hynix are each reviewing locations in South Korea's Honam region for new semiconductor packaging plants, according to The Elec and Hankyung, citing industry sources, as the two companies look for ways to add back-end capacity beyond their existing manufacturing hubs.

Mirle Automation names CEO as chair

Charlene Chen — Thu, 18 Jun 2026 03:16:25 GMT

Mirle Automation announced that chairman Houng Sun will step down and hand the role to chief executive officer Shih-Tung Lin, as the automation equipment maker moves to strengthen long-term development and leadership succession. Sun will remain on the board and has also been named honorary chairman.

Clevo PC shipments grow against trends, targeting double-digit on-year growth

Emily Kuo — Thu, 18 Jun 2026 03:12:16 GMT

PC shipments have been affected by shortages and price increases for memory and processors, and market research firms generally expect full-year 2026 shipments to decline by double digits. Clevo, which focuses on niche markets, expects its 2026 shipments to grow compared with 2025, with a possibility of achieving double-digit shipment growth.

Taiwan chip makers signal durable upcycle as memory prices and AI demand align

DIGITIMES — Thu, 18 Jun 2026 02:58:44 GMT

Taiwan's listed semiconductor manufacturers reported strong May revenue figures, with a sweeping recovery in DRAM prices and rising artificial intelligence infrastructure spending lifting most of the sector's 27 tracked companies to double-digit year-on-year gains.

FOPLP race heats up as Innolux reportedly teams with TSMC

Charlene Chen — Thu, 18 Jun 2026 02:46:57 GMT

As AI chip technology advances, larger chip sizes and heterogeneous integration packaging are driving bigger package dimensions, pushing semiconductor makers to adopt FOPLP over FOWLP and improve manufacturing efficiency by "replacing round with square." DIGITIMES believes that panel makers have an edge because their existing glass substrates are larger than those used by OSATs, making FOPLP development more favorable.

AI glasses race turns into a battle of devices, LLMs, and user interfaces

Levi Li — Thu, 18 Jun 2026 02:35:55 GMT

AI glasses are gaining momentum as Meta, Rokid, RayNeo, Xreal, Viture, HTC, and other vendors step up their efforts, with Google and Samsung Electronics expected to enter the market in the second half of 2026. The category is widely seen as a potential essential mobile device after the smartphone.

Analysis: Chinese firms tap Singapore-Malaysia model to shed 'Made in China' label — but hurdles remain

Scarlett Yu — Thu, 18 Jun 2026 02:27:39 GMT

The global semiconductor and high-tech manufacturing landscape continues to undergo structural realignment. An increasing number of Chinese technology and semiconductor companies are adopting a dual-location strategy, establishing corporate entities in Singapore while locating manufacturing operations in Malaysia in an effort to reduce their association with the "Made in China" label.

Nichicon raises e-cap prices as supply tightens, costs increase

Eifeh Strom — Thu, 18 Jun 2026 02:16:18 GMT

Japanese capacitor manufacturer Nichicon has announced a broad price hike for aluminum electrolytic capacitors (e-cap), as order volumes for some products have exceeded the company's existing production capacity. The announcement comes amid another round of price increases in the passive components industry.

SMIC narrows Intel's metal pitch gap, but Kirin 9030 teardown shows China's chip limits remain

DIGITIMES — Thu, 18 Jun 2026 02:09:54 GMT

A teardown of Huawei's latest Mate 80 Pro Max smartphone has put China's semiconductor progress back under scrutiny, after analysis showed the HiSilicon Kirin 9030 processor was made on SMIC's third-generation 7nm-class N+3 process with a local metal pitch narrower than that of Intel's 18A chip used in Panther Lake.

Acer founder outlines New WangDao leadership white paper at Tokyo AI forum

DIGITIMES — Thu, 18 Jun 2026 01:54:04 GMT

The founder of Acer Group traveled to Tokyo to present a Taiwan-origin leadership framework and release a multilingual white paper on New WangDao at the international AI forum, titled "Global Innovation Reimagined Conference: AI Resilience," on June 17. The white paper was published in Chinese, English and Japanese, and the founder delivered additional briefings to Japanese companies and alumni of Thunderbird School of Global Management on June 18 and June 19, according to event materials.

Samsung advances 1d DRAM roadmap; pilot production eyed by end-2027

Scarlett Yu — Thu, 18 Jun 2026 01:48:51 GMT

Samsung Electronics is reportedly working with multiple partners to develop production equipment for its seventh-generation 10nm-class (1d) DRAM process. The company aims to begin tool installation as early as the second quarter of 2027, with initial volume production expected by the end of that year.

Acer builds inventory to record high; price increases slowing

Emily Kuo — Thu, 18 Jun 2026 01:47:14 GMT

Acer Chairman Jason Chen said that PC shipments may decline in the second half of 2026. However, as average selling prices (ASP) continue to rise, the overall impact on revenue should remain manageable. He is optimistic that Nvidia's RTX Spark launch could bring momentum into the PC industry and further develop the AI PC market.

Samsung to offer 2nm prototype runs as South Korea pushes chip design

DIGITIMES — Thu, 18 Jun 2026 01:07:06 GMT

Samsung Electronics' foundry division plans to open its Multi-Project Wafer, or MPW, service to its 2nm process next year, giving South Korean fabless chip designers access to one of the most advanced foundry nodes being commercialized without having to pay for a full wafer run, according to ZDNet Korea and iNews24.

TSMC, ASML and Imec push 2D transistors toward manufacturing

DIGITIMES — Thu, 18 Jun 2026 01:06:54 GMT

Imec, ASML and TSMC have demonstrated a 300mm integration route for 2D-material n-type and p-type field-effect transistors, marking a step toward moving atomically thin channel materials from laboratory devices closer to semiconductor manufacturing.

SK Hynix ships HBM4E samples to customers

DIGITIMES — Thu, 18 Jun 2026 01:06:38 GMT

SK Hynix has begun shipping samples of HBM4E, its next-generation high-bandwidth memory, to major customers. The South Korean chipmaker said the 12-layer product was delivered on schedule.

AbonMax eyes double-digit drone revenue by end-2026

Lily Hess — Wed, 17 Jun 2026 23:55:52 GMT

AbonMax Technology said on June 16 that drone revenue still accounts for only about 7% to 8% of its total sales, but the company expects more visible operating results by the end of 2026 as government procurement orders and overseas expansion begin to take effect.

Samsung pushes vertical transistor design as chip scaling hits limits

DIGITIMES — Wed, 17 Jun 2026 23:55:23 GMT

Samsung Electronics has demonstrated a 3D stacked transistor structure with a 42-nanometer gate pitch, a research milestone that extends vertical integration, long used in memory chips, into logic semiconductors.

Taiyo Yuden to boost AI server MLCC capacity, resists price hikes

DIGITIMES — Wed, 17 Jun 2026 23:54:55 GMT

Taiyo Yuden is preparing to accelerate production of multilayer ceramic capacitors, or MLCCs, as AI servers and hyperscale data centers tighten supply across the global component market. But the Japanese supplier is resisting the kind of broad price increases now spreading through parts of the industry.

Samsung said to open fab data to suppliers in AI factory push

DIGITIMES — Wed, 17 Jun 2026 23:54:36 GMT

Samsung Electronics is developing and operating a data-sharing platform with semiconductor materials, components and equipment suppliers, according to a report by South Korea's ETNews, which cited industry sources.

Meta puts brakes on AI use as token costs hit tech giants

Lily Hess — Wed, 17 Jun 2026 23:54:06 GMT

Meta's internal AI costs have spiraled, and a broader pullback in spending by major tech companies is bringing a long-ignored contradiction into focus: the business logic of AI is being undermined by the cost pressure it creates.

Taiwan 2026 GDP could top 10%, says Minister of Economic Affairs

Lily Hess — Wed, 17 Jun 2026 23:53:40 GMT

Taiwan's 2026 GDP growth is on track to exceed 10% as AI demand powers the island's economy, Minister of Economic Affairs Ming-hsin Kung said, adding that this level of growth may be achieved given current trends. He pointed to stronger-than-expected exports from the AI supply chain and traditional industries such as machinery.

SK Hynix scraps degree rules to court AI chip talent

Lily Hess — Wed, 17 Jun 2026 23:52:43 GMT

SK Hynix has eliminated degree requirements from its regular recruitment process for new employees, as the memory chip giant seeks to strengthen its lead in high-bandwidth memory (HBM) and secure talent for the fast-changing AI semiconductor market. Industry watchers said the move reflects a greater focus on practical creativity and execution in the AI era rather than formal academic credentials.

China launches probe into Beidou infrastructure quality scandal

Lily Hess — Wed, 17 Jun 2026 23:52:15 GMT

China has launched a probe into a Beidou high-precision smart monitoring project in Shandong, after reports of severe construction defects at the base sparked public concern over the quality of new infrastructure projects. The project, with a total investment of nearly CNY300 million (US$44.4 million), has drawn scrutiny after its base structures were described as "easy to tear apart by hand."

SK Group tops KRW2,000 trillion as AI memory demand and Nvidia visit lift valuation

DIGITIMES — Wed, 17 Jun 2026 23:51:55 GMT

SK Group's combined market capitalization on the South Korean stock market surpassed KRW2,000 trillion (US$1.32 trillion) for the first time as of the June 16 close, driven by strength in AI memory demand and a high-profile visit by Nvidia's CEO that reinforced ties with SK Hynix and broader AI infrastructure plans. According to reports from SBS, YTN, ET News and Yonhap, the group's 19 listed subsidiaries reached a combined market value of KRW2,019.6 trillion, a 2.5% increase from the previous trading day.

WUS and its subsidiary keep complementary AI partnership

Lily Hess — Wed, 17 Jun 2026 23:51:36 GMT

A recent open letter from the UK-based fund Palliser Capital called Taiwanese printed circuit board (PCB) maker WUS Printed Circuit one of the most undervalued AI PCB companies in the capital market. This has once drawn industry attention to the current business cooperation between WUS and its subsidiary in China, WUS Printed Circuit Kunshan.

Research Insight: Fukuta deepens EV moat with hub motors and thin silicon steel

Charlene Chen — Wed, 17 Jun 2026 23:51:07 GMT

As the global electric vehicle (EV) market enters a correction phase, automakers are demanding more from both cost and efficiency. Fukuta has been steadily extending the design, integration, and manufacturing capabilities it built in automotive multi-in-one power systems into smaller power module applications.

China Electric targets 40% lighting market share with retail push

Kevin Wang — Wed, 17 Jun 2026 23:50:43 GMT

China Electric, which sells lighting products under the TOA brand, is aiming for a 2026 turnaround by reversing second-quarter losses, activating assets, and leasing existing factories, while also expanding into retail channels and contract manufacturing in the second half of the year.

Handheld device makers shift from scanners to edge AI field hubs

Levi Li — Wed, 17 Jun 2026 23:49:47 GMT

AI and smart applications are pushing handheld devices beyond barcode scanning and data entry, transforming them into intelligent terminals that combine edge computing, cloud management and vertical applications.

Exclusive: Penang moves up value chain; Galatek flags deep-tech, IP hurdles

Scarlett Yu — Wed, 17 Jun 2026 23:49:33 GMT

Penang has played a critical role in the global semiconductor back-end industry for decades, particularly in assembly, testing, and packaging (ATP). The region has built a highly competitive industrial base and, amid supply chain diversification and geopolitical shifts, has recently attracted record levels of investment.

Interview: MicroLED and SiPh eye 3.2T AI data race

Charlene Chen — Wed, 17 Jun 2026 23:49:17 GMT

The AI wave is rapidly reshaping the global semiconductor supply chain, and that upheaval is opening a new growth chapter for Taiwan's LED industry. As Taiwan's LED makers move away from the price wars of the consumer market, Nvidia's push to upgrade AI transmission standards to 1.6T, 3.2T, and beyond is exposing the physical limits of copper wiring, making scale-up the first battlefield in the competition between photons and electrons. Micro LED's high bandwidth and heat resistance position it as a key technology for the 3.2T-plus optical communications era.

Exclusive: Galatek sees Penang facility driving semiconductor, life sciences ecosystem growth

Scarlett Yu — Wed, 17 Jun 2026 23:48:32 GMT

Beyond its established role in assembly, testing and packaging (ATP), Penang's next stage of development will depend on its ability to deepen capabilities in precision engineering, automation and system integration, while moving into higher-value equipment manufacturing and R&D. Following the opening of Galatek's new facility in Penang, Malaysia, DIGITIMES spoke with Galatek Malaysia general manager Teo Swee Leng about the region's current development and future prospects.

UC San Diego researchers turn retired Pixel phones into low-cost computing cluster

Jingyue Hsiao — Wed, 17 Jun 2026 23:48:12 GMT

Backed by Google, researchers at the University of California, San Diego, are repurposing retired Pixel phones into a computing cluster that could lower costs and cut e-waste. The project matters far beyond one campus, as it points to a possible model for affordable, local cloud infrastructure that could interest schools and smaller organizations worldwide.

Commentary: US delays DeepSeek blacklist, exposing AI export-control dilemma

DIGITIMES — Wed, 17 Jun 2026 08:11:44 GMT

The US has held back from adding Chinese AI startup DeepSeek, memory chipmaker CXMT, and more than 100 other entities to a key trade blacklist, underscoring Washington's struggle to balance national security controls with a broader effort to contain tensions with Beijing.