DIGITIMES Asia: News and Insight of the Global Supply Chain

Copper crunch hits components cost amid AI demand surge

Jingyue Hsiao — Wed, 27 May 2026 02:00:00 GMT

Tight upstream copper concentrate supply has kept prices high despite rising exchange inventories, squeezing margins for electronics companies and prompting suppliers to pass costs on and cut low-margin output — developments that could push component prices higher worldwide as AI-driven demand accelerates consumption and firms stockpile materials across the manufacturing and infrastructure sectors.

Broadcom and Taiwan's chipmakers ride ASIC wave

Elaine Chen — Wed, 27 May 2026 01:59:46 GMT

The world's largest chip designers are steadily growing more bullish on the future of cloud artificial intelligence (AI) chips known as ASICs (application-specific integrated circuits) — a market increasingly seen as the next major battleground in the global AI boom.

Transcend to spotlight AI-ready enterprise SSDs and DDR5 memory at COMPUTEX 2026

DIGITIMES — Wed, 27 May 2026 01:58:28 GMT

Transcend announced it will exhibit enterprise solid-state drives, DDR5 7200 memory, and embedded camera modules at COMPUTEX 2026 in the Storage and Management Solutions area, saying the showcase will demonstrate integrated capabilities in AI computing storage, high-speed transmission, and reliable data processing. The firm highlighted that as AI expands to endpoint applications, performance and stability have become baseline requirements for hardware suppliers.

Sercomm to showcase enterprise edge AI servers, security and power solutions at COMPUTEX 2026

DIGITIMES — Wed, 27 May 2026 01:49:14 GMT

Sercomm announced it will exhibit at COMPUTEX 2026 to present enterprise edge AI technologies designed to accelerate AI deployment across edge environments and enhance power management. The networking equipment maker said it will highlight SR-series Open Compute Project servers, an Edge SCM edge security management module, AI camera vision solutions, and high-efficiency power products in its booth demonstration.

China Electric outlines AI-driven digital transformation to lift 2026 profits

DIGITIMES — Wed, 27 May 2026 01:47:45 GMT

China Electric Manufacturing Corporation said at its May 26 shareholders meeting that first-quarter 2026 revenue was flat while gross margin rose to 38%, and it planned a phased digital transformation in the second half of 2026 to drive significant net profit growth versus 2025. The firm announced it would deploy cloud computing, Internet of Things, and artificial intelligence technologies, integrated with its existing enterprise resource planning system, to improve operational efficiency and attract new customers.

Kinpo accelerates ODM push into AI servers and EV chargers

Charlene Chen — Wed, 27 May 2026 01:45:00 GMT

Kinpo Electronics outlined its 2026 core strategy at a shareholders' meeting on May 25, centering on "bearing fruit" as it builds on years of product-mix adjustments, expands into AI-related products, and accelerates its shift toward an ODM model.

AI infrastructure spending lifts Taiwan electronics sector outlook

DIGITIMES — Wed, 27 May 2026 01:41:42 GMT

Cloud providers' large-scale investments in AI infrastructure have strengthened demand for Taiwan's electronics supply chain, boosting optimism among local manufacturers, according to a Taiwan Institute of Economic Research (TIER) survey. The survey noted that nearly 40% of Taiwan's electronics and machinery makers were optimistic about business conditions over the next six months as cloud service providers planned massive capital outlays in 2026 to meet surging AI compute needs.

Motorola launches Razr fold in Taiwan as foldable market gains momentum

DIGITIMES — Wed, 27 May 2026 01:40:11 GMT

Motorola launched its Razr foldable in Taiwan on April 26, after first unveiling the device at MWC 2026 in Barcelona in March 2026, and introduced new accessories, including wireless Bluetooth earbuds and a stylus. Executives said the company has seen strong foldable sales in recent years, particularly in North America and Latin America, where it ranks among the top three and leads the market, respectively.

Taiwan smartphone shipments fell nearly 4% in April as component costs push prices higher

DIGITIMES — Wed, 27 May 2026 01:32:22 GMT

Taiwan's smartphone shipments declined in April 2026 as the market entered its traditional slow season and rising component prices pressured handset pricing, industry participants said. Mobile channel sources reported about 402,000 units shipped in April, down 4% from 418,000 units in March, and executives warned that elevated memory and other component costs are likely to keep retail prices up and weigh on demand into the second half.

Column: Quantum-classical computing's promise meets its hardware limits

Jingyue Hsiao — Wed, 27 May 2026 01:30:00 GMT

AI's rapid evolution — from AI servers to agentic AI and emerging physical AI — centers on high-performance computing, and integrating general fault-tolerant quantum computers into that stack could change what HPC can do. The transition, however, confronts deep technical mismatches between classical AI servers and quantum processors.

Covestro highlights material solutions for AI data centers and embodied intelligence at COMPUTEX 2026

DIGITIMES — Wed, 27 May 2026 01:29:54 GMT

Covestro showcased a portfolio of engineering plastics and thermoplastic polyurethane materials at COMPUTEX 2026 aimed at supporting AI computing, embodied intelligence, and networking devices, executives said. The supplier presented applications spanning AI data centers, high-performance computing servers, semiconductor manufacturing, robotics, and consumer electronics to address rising performance and supply-chain demands.

Xiaomi outlines AI-first roadmap as MiMo tokens and Miclaw shape product strategy

DIGITIMES — Wed, 27 May 2026 01:23:23 GMT

Xiaomi placed AI at the center of its first quarter 2026 strategy, saying it will "take the agent as the core" of a new OS approach and pushing its MiMo model and token plans to drive product adoption and monetization across phones, cars, IoT, and robotics.

Aixtron wins orders from Lumentum for G10-AsP systems to expand InP production

DIGITIMES — Wed, 27 May 2026 01:11:22 GMT

Aixtron has received multiple orders from Lumentum for its G10-AsP MOCVD systems, a move that could boost global production of indium phosphide (InP) lasers and detectors for 800G and beyond. The deal underscores growing demand for high-speed optical interconnects in AI data centers and signals capacity expansion in photonics manufacturing worldwide.

Mexico emerges as new front line in global auto supply chain

Elaine Chen — Tue, 26 May 2026 23:35:32 GMT

Amid a sweeping reconfiguration of global supply chains, North America—and Mexico in particular—has emerged as a critical battleground for manufacturers caught between geopolitics and trade barriers. Yet for companies expanding into Mexico early, the reality on the ground is proving more complex than the strategic narrative suggests, shaped by cross-border management frictions, cultural divides, and policy uncertainty.

China tightens drone, flying-car rules as low-altitude market takes off

DIGITIMES — Tue, 26 May 2026 23:35:22 GMT

China is building a more formal safety and regulatory framework for its low-altitude economy, as drones, electric vertical takeoff and landing aircraft, and other aerial services move closer to commercial use.

Taiwan optoelectronics materials maker Wah Hong targets high-end PCB and chip packaging demand

Levi Li — Tue, 26 May 2026 23:35:07 GMT

AI, low-carbon sustainability, smart cities, and advanced displays are set to drive the global optoelectronics industry in 2026, shifting demand away from traditional consumer electronics panels and toward higher-value applications, including Micro LED, Mini LED, e-paper, and optical communications.

SK Hynix seeks to embed cooling inside HBM to beat the heat

DIGITIMES — Tue, 26 May 2026 23:34:55 GMT

SK Hynix has unveiled a new high-bandwidth memory technology designed to reduce heat buildup in next-generation AI systems, as rising computing density turns thermal management into a more critical front for HBM suppliers.

TSMC and Micron's fabs expanding; how do Samsung and SK Hynix's bonus systems come into play?

Emily Kuo — Tue, 26 May 2026 23:34:44 GMT

Samsung Electronics' 2026 tentative labor-management agreement is expected to pass after already surpassing an 86% voting participation rate within just three days. While the agreement has temporarily eased concerns over potential strikes, South Korea's semiconductor industry is increasingly worried that the newly expanded performance bonus structure, which guarantees employees a fixed percentage of business performance, could negatively impact the country's long-term semiconductor competitiveness.

Huawei Tau Law series 2: Advanced packaging, AI interconnects, EDA lead the way

DIGITIMES — Tue, 26 May 2026 23:34:31 GMT

Huawei's Tau Law proposal is rapidly redirecting attention across China's semiconductor industry away from pure lithography competition and toward advanced packaging, 3D stacking, optical interconnects, and system-level architecture design.

PCB drill bit maker Topoint raises NT$600 million, brings in PCB giants as strategic investors

Eifeh Strom — Tue, 26 May 2026 23:34:15 GMT

Printed circuit board (PCB) drill bit manufacturer Topoint Technology approved a private placement of unsecured convertible corporate bonds with a maximum issuance amount of NT$600 million (approx. US$19.10 million) at its shareholders' meeting on May 26. The company also welcomed Unimicron Technology, Gold Circuit Electronics (GCE), and Zhen Ding Technology Group (ZDT) as strategic investors.

Taiwan's quiet fix for GPS-denied drones and satellites

DIGITIMES — Tue, 26 May 2026 23:34:04 GMT

At the Plug and Play May Summit in Sunnyvale, a Taiwanese startup called Aegiverse quietly made its case to US defense and aerospace investors — not with flashy slides or moonshot promises, but with a 16-year track record and a business model built to last.

Thunder Tiger, Elan eye defense and commercial drone markets

Sherri Wang — Tue, 26 May 2026 23:33:44 GMT

Thunder Tiger said on May 26 that it has signed a memorandum of understanding (MoU) with Elan Microelectronics to jointly develop AI guidance, image-recognition, and communications technologies for drones, marking a step in the drone maker's shift beyond unmanned vehicle system integration.

TSMC CEO to address bonus backlash in person as Jensen Huang's visit puts Taiwan chipmaker in spotlight

Eifeh Strom — Tue, 26 May 2026 23:33:26 GMT

Taiwan Semiconductor Manufacturing Company (TSMC) is scheduled to hold a company-wide communication meeting on the morning of May 27, during which chairman C.C. Wei is expected to address employees in person over the growing backlash surrounding reports that the company will cut employee bonuses by 15%.

Gogoro mourns backer Samuel Yin, who committed US$50 million before a single scooter rolled out

Joseph(C) Chen — Tue, 26 May 2026 09:54:41 GMT

Gogoro has issued a statement mourning the death of Ruentex Group president Samuel Yin, who passed away peacefully at Taipei Veterans General Hospital in the early hours of May 26 at the age of 76.

Darfon Electronics invests in AI cooling systems maker GrAndvance

Elaine Chen — Tue, 26 May 2026 09:19:20 GMT

As demand for high-performance computing continues to rise, thermal management has emerged as one of the most critical constraints on server performance. Liquid cooling systems, once a niche solution, are rapidly moving into the mainstream. At the center of that shift is the coolant distribution unit ( CDU), which has become a strategic component as major suppliers race to secure positions in the liquid cooling supply chain.

Let there be limits—Pope Leo invokes scripture on AI's moral peril, Anthropic in tow

DIGITIMES — Tue, 26 May 2026 09:18:14 GMT

Pope Leo XIV released a major document on May 25, warning about the dangers of AI, from autonomous weapons to what he claims is its relation to "new forms of slavery" arising from the industry. An unexpected attendee of the pope's Vatican event announcing the document's release was Anthropic co-founder Chris Olah, a presence that signals the AI developer's relationship with the Catholic Church as it seeks to bolster its image as an AI company concerned with ethics.

LED maker Ennostar pivots to optical interconnects after high-value shift agin traction

Levi Li — Tue, 26 May 2026 09:02:32 GMT

Ennostar Holdings' transformation has begun to show clear results, with chairman Paul Peng saying the company's "3+1" strategy is taking shape, as higher-value applications now account for more than half of revenue. Despite continued uncertainty in the global environment, Peng remains cautiously optimistic about the second half of 2026 and expects the company to maintain relatively strong performance.

Alchip: ASIC growth may outpace the broader GPU market

Elaine Chen — Tue, 26 May 2026 08:56:49 GMT

For the past three years, graphics processing units, or GPUs, have dominated the artificial intelligence boom. But Johnny Shen, chairman of Alchip Technologies, believes the next phase of the market may belong to something more specialized.

Nvidia and Marvell CEOs to share Computex stage— How US$2 billion turned rivals into partners

DIGITIMES — Tue, 26 May 2026 08:55:22 GMT

When Nvidia quietly wrote a US$2 billion check to Marvell Technology earlier this year, it was less a financial bet than a strategic maneuver — one that converted a potential rival into a committed partner. Now, for the first time since that deal was struck, the two companies' CEOs will share a stage.

The US$16.5 Billion Bet: How Co-Packaged Optics Will Rewire AI's Backbone by 2030

DIGITIMES — Tue, 26 May 2026 08:47:51 GMT

Mastering the 140%+ CAGR of CPO Semiconductor Revenue Explosion

Inside China's chip war: How Xiaomi, BYD, and Nio are rewriting the rules

DIGITIMES — Tue, 26 May 2026 08:31:55 GMT

China's semiconductor war has been underway for seven or eight years now.

Chiplet boom puts Taiwan's InPsytech and its AI connectivity IPs in the spotlight

Emily Kuo — Tue, 26 May 2026 07:04:44 GMT

As the global semiconductor industry pivots toward chiplet-based designs — where multiple smaller chips are packaged together rather than built as a single monolithic die — the specialized intellectual property that makes those chips communicate reliably has become critical infrastructure. InPsytech, a Taiwanese IP design firm and subsidiary of Egis Technology, has staked its business on exactly that.

Wonderful Hi-Tech sees rising demand from low-orbit satellites and AI data centers

Elaine Chen — Tue, 26 May 2026 06:50:14 GMT

At its annual shareholders' meeting on May 25, Ringo Chang, chairman of Wonderful Hi-Tech, said the cable and connectivity supplier expects revenue growth to resume in 2026, with profit growth outpacing sales expansion.

Samsung's reported 900-layer V-NAND prototype puts NAND race with YMTC in focus

DIGITIMES — Tue, 26 May 2026 06:46:56 GMT

The race to dominate next-generation NAND flash memory has long been measured in layers — and Samsung Electronics appears to be pulling ahead. The South Korean chipmaker has reportedly developed a 900-layer-class V-NAND prototype, a significant leap that brings the memory industry closer to the 1,000-layer threshold as chipmakers intensify efforts to pack more storage into smaller chips while cutting power consumption.

Huawei Tau Law series 1: How China's chip industry is pivoting beyond Moore's Law

DIGITIMES — Tue, 26 May 2026 06:00:00 GMT

When Huawei unveiled its "Tau (τ) Scaling Law" at ISCAS 2026 in Shanghai, the announcement signalled more than another chip architecture update. It marked China's most ambitious attempt yet to redefine how semiconductor performance is measured in the post-Moore era.