DIGITIMES: News and Insight of the Global Supply Chain

Supermicro's record AI server sales put margins and cash conversion in focus

DIGITIMES — Tue, 3 Nov 2026 23:56:34 GMT

Supermicro's latest results show its expansion into complete AI data center systems gaining scale, while leaving open how much of that growth can translate into durable profitability and cash. Record sales lifted earnings sharply, but the company retained less of each sales dollar than in the preceding quarter and continued to consume operating cash.

Palantir nearly doubles 3Q26 revenue, riding wave of commercial demand

DIGITIMES — Tue, 3 Nov 2026 23:55:32 GMT

Palantir reported third-quarter 2026 revenue results that nearly doubled from the previous year. Its performance comes on the back of higher US commercial revenue, overtaking government-related earnings for the first time.

Samsung Electro-Mechanics' long-term deals top KRW5 trillion

DIGITIMES — Tue, 3 Nov 2026 23:55:18 GMT

Samsung Electro-Mechanics (Semco) has disclosed more than KRW5 trillion in long-term supply agreements (LTAs) this year after signing another AI server capacitor contract. The company expects such agreements to account for more than half of its multilayer ceramic capacitor (MLCC) revenue in 2027.

USI to launch Wi-Fi 8 SiP modules in 1Q27 for AI devices

Charlene Chen — Tue, 3 Nov 2026 23:55:04 GMT

Universal Scientific Industrial (USI), a subsidiary of ASE, plans to launch Wi-Fi 8 (IEEE 802.11bn) products in the first quarter of 2027, building on its experience developing and integrating Wi-Fi 6E and Wi-Fi 7 system-in-package (SiP) solutions to help customers capture new opportunities in wireless connectivity innovation.

Macronix sees new memory strategy emerging within 6 months

Lily Hess — Tue, 3 Nov 2026 23:54:50 GMT

Macronix (MXIC) chairman Miin Wu said the memory shortage will continue through 2030, with prices unlikely to weaken from current levels as production capacity becomes a scarce resource. He also disclosed for the first time that Macronix is considering an acquisition or partnership, with a new strategic direction potentially emerging within six months.

Powerchip stake dispute puts Tatung, Yageo takeover battles in focus

Charlene Chen — Tue, 3 Nov 2026 23:53:45 GMT

Since Powerchip founder Frank Huang passed away on July 31, 2026, changes to the ownership and management control of Powerchip Holding have remained a market focus. A dispute has now erupted over an alleged NT$13.6 billion (US$415.4 million) campaign to solicit shares in Powerchip Holding, renewing concerns over corporate control, funding sources, and technology security in Taiwan's technology sector.

Team Group expands capacity 50% for AI and industrial control as memory shortage peaks through 2Q27

Yunnie Cheng — Tue, 3 Nov 2026 23:53:06 GMT

Taiwanese memory module maker Team Group is gearing up for a major expansion. Chairman Dann-Ning Hsia stated that 2026 has been a pivotal year of strong financial performance and strategic transformation. To support its growth, the company acquired a new 1,000-ping (approx. 3306 square meters) facility in New Taipei City, which is scheduled to come online in the second quarter of 2027 and boost overall production capacity by roughly 50%. Meanwhile, Team Group projects that the current memory supply crunch will reach its peak between the fourth quarter of 2026 and the end of the second quarter of 2027.

Column: Can post-quantum encryption survive AI's next breakthrough?

Levi Li — Tue, 3 Nov 2026 23:52:34 GMT

Modern cryptography relies heavily on trapdoor one-way functions: mathematical operations that are easy to perform but difficult to reverse without additional information. Quantum computing and advances in artificial intelligence, however, are raising questions about how long this protection can last.

Taiwan eyes US FDPR alignment to block AI transshipment

Yunnie Cheng — Tue, 3 Nov 2026 23:52:03 GMT

As US export controls make it increasingly difficult for China and other restricted nations to obtain advanced chips and AI servers, Taiwan is taking proactive measures to tighten its own export controls and prevent the nation from becoming a transshipment loophole. Under the Agreement on Reciprocal Trade (ART) between Taiwan and the US, Taiwan's Ministry of Economic Affairs (MOEA) plans to align local regulations with the US Foreign Direct Product Rule (FDPR).

Foxconn's AI infrastructure edge goes beyond assembly — precision manufacturing, vertical integration set a higher bar

Levi Li — Tue, 3 Nov 2026 23:51:43 GMT

Foxconn is leveraging its precision manufacturing and vertical integration capabilities to strengthen its position in AI infrastructure, where rapid server upgrades increasingly demand tighter component tolerances and faster system delivery. At its recent Technology Day, the company demonstrated how its expertise in materials processing, optical communications assembly, AI racks, and modular data centers can shorten the path from product design to deployment.

Horngyu targets AI power demand with Vietnam plant, North American expansion

Rodney Chan — Tue, 3 Nov 2026 23:51:18 GMT

Taiwan-based Horngyu Electric is leveraging manufacturing in Vietnam to meet rising demand for electrical equipment from AI data centers (AIDCs), Taiwan makers investing in the US, and new-energy projects. Horngyu's Vietnam plant is scheduled to begin trial production by the end of 2026 and enter mass production in 2027.

MediaTek targets global AI leadership as Nvidia invests US$3.5 billion

Eifeh Strom — Tue, 3 Nov 2026 23:06:06 GMT

MediaTek CEO Rick Tsai delivered a speech at the opening ceremony of Taiwan Weeks 2026 on November 3, emphasizing that the company is expanding beyond smartphone and connectivity chips into computing, automotive, and artificial intelligence (AI) data centers. He also noted that Nvidia and Alphabet's recent investment in MediaTek convertible bonds represents more than just capital injections, but also confidence in MediaTek from leading global AI players.

CSBC Taiwan, Havoc advance local production of unmanned boats

Charlene Chen — Tue, 3 Nov 2026 09:42:11 GMT

CSBC Taiwan is working with US autonomous systems company Havoc to localize production of autonomous surface vessels (ASVs) in Taiwan, showcasing their jointly developed "Rampage" alongside its domestically built "Endeavor Manta" at the 2026 Taiwan Marine Tech & Unmanned Robotics Expo (MATURE Taiwan) in Tainan.

South Korea urged to link chip fab support to local suppliers

DIGITIMES — Tue, 3 Nov 2026 09:27:10 GMT

South Korea should tie government support for new semiconductor fabs to commitments that benefit domestic chip designers, equipment makers, and packaging suppliers, a state-funded researcher proposed on November 2, a move that could influence chipmakers' sourcing decisions if adopted.

Nvidia selects Taipei tech park for overseas headquarters

DIGITIMES — Tue, 3 Nov 2026 09:12:50 GMT

Premier Jung-tai Cho said on November 3 that Taiwan's government provided Nvidia with timely support in three areas—budget, legal frameworks, and policy—to establish its first overseas R&D center and headquarters in Taipei's Beitou-Shilin Technology Park (BSTP). Nvidia's decision has also become a key achievement for Taipei Mayor Wayne Chiang as he seeks reelection.

Nvidia uses 8,192 GPUs to set fault-tolerant quantum simulation record, targeting error correction costs

Scarlett Yu — Tue, 3 Nov 2026 09:12:21 GMT

Nvidia CEO Jensen Huang's latest European trip has highlighted another strategic priority: using massive computing resources to simulate quantum systems and establish a foothold in the underlying quantum computing ecosystem.

Ceva takes NeuPro NPU into AI data centers, targeting efficiency gaps rather than Nvidia's dominance

Levi Li — Tue, 3 Nov 2026 09:11:55 GMT

US semiconductor intellectual property (IP) provider Ceva has expanded its NeuPro neural processing unit (NPU) portfolio into AI infrastructure for the first time. At a November 2 press conference in Taiwan, chief strategy officer Iri Trashanski said the company was not seeking to compete with Nvidia or other major chipmakers, but to meet demand for a common architecture spanning edge AI and cloud computing.

OpenAI expands Abu Dhabi partnerships across energy, government, investment

DIGITIMES — Tue, 3 Nov 2026 09:10:35 GMT

OpenAI has signed a series of agreements in Abu Dhabi covering energy, investment, and public-sector applications, as the artificial intelligence company expands generative AI deployment across the United Arab Emirates. The initiatives involve the Abu Dhabi government, sovereign investment institutions, and energy companies, while regional funds are also reportedly discussing participation in a potential US$20 billion to US$30 billion financing round.

Stellantis warns chip shortages could disrupt Fiat production in Italy

DIGITIMES — Tue, 3 Nov 2026 09:10:33 GMT

Stellantis said on November 2 that shortages of critical electronic components for engine control units (ECUs) had significantly disrupted production of several Fiat models in Italy. The automaker said the supply-chain problem had already affected October sales and could continue into November and December as it works to find alternative parts and gradually restore normal production.

Apple's iPhone Duo launch lifts Samsung Galaxy Z Fold 8 sales in South Korea

DIGITIMES — Tue, 3 Nov 2026 09:10:08 GMT

Samsung Electronics' Galaxy Z Fold 8 weekly sales in South Korea increased by more than 20% in the week after Apple launched its first foldable iPhone Duo, according to Seoul Economic Daily and Financial News. The increase followed the iPhone Duo's South Korean debut on October 23, 2026, as reported problems involving shipment delays and cracked internal displays created additional attention for Samsung's competing foldable device.

Foxconn's EV strategy opens new export routes for Taiwan

Lily Hess — Tue, 3 Nov 2026 09:10:06 GMT

Foxconn outlined EV expansion plans for Europe and Japan at its 2026 Hon Hai Tech Day (HHTD 26), positioning Taiwan as more than a manufacturing base. The strategy could give Taiwan's auto industry new ways to enter international markets through vehicle exports, contract manufacturing, and overseas platform partnerships.

TDK invests JPY100B in physical AI sensors, targets 2029 production

Charlene Chen — Tue, 3 Nov 2026 09:09:13 GMT

Electronic components maker TDK will invest about JPY100 billion (US$633.5 million) to renovate an existing factory in Ojiya, Niigata Prefecture, Japan, and expand magnetic sensor production. The company aims to double capacity by fiscal 2030, which runs from April 2030 to March 2031, to capture demand from humanoid robots and other physical AI applications.

Thunder Tiger flexes unmanned surface vessel capabilities alongside US companies

Lily Hess — Tue, 3 Nov 2026 09:09:11 GMT

Thunder Tiger has made steady progress in its unmanned aerial vehicle business while also pursuing opportunities in unmanned surface vessels (USVs). At the 2026 Taiwan Marine Tech & Unmanned Robotics Expo (MATURE Taiwan) held this week, Thunder Tiger conducted a live demonstration of its self-developed and self-manufactured SeaShark 600 USV. Chairman William Chen also outlined the company's research and development achievements for the SeaShark series.

Car Quality Automotive targets Southeast Asia expansion, 3Q27 TPEx listing

Yunnie Cheng — Tue, 3 Nov 2026 09:09:09 GMT

Taiwanese automotive aftermarket retailer Car Quality Automotive is launching a major franchise expansion. Chairman Feng-Min Cho announced that the company began rolling out franchised stores in 2026, targeting 20 locations by the end of the year, expanding to 100 in 2027, and aiming for 300 stores within three years. On the operational front, Car Quality Automotive plans to complete its Southeast Asian market rollout within two years, with plans to submit an application for a Taipei Exchange (TPEx) over-the-counter listing in April 2027 and officially list in the third quarter of 2027.

Samsung reportedly plans Galaxy-style TV lineup for 2027

DIGITIMES — Tue, 3 Nov 2026 09:09:05 GMT

Samsung Electronics is considering a major overhaul of its TV lineup for 2027, replacing technology-based product names with three tiers modeled on its Galaxy smartphones as it looks to increase shipments and expand its services business, South Korea's ETNews reported.

OpenAI recruits former US Army secretary Dan Driscoll to strengthen its national security, cybersecurity ambitions

Levi Li — Tue, 3 Nov 2026 09:08:01 GMT

OpenAI has appointed former US Army Secretary Daniel P. Driscoll as senior counselor for national security modernization, seeking to expand the use of artificial intelligence (AI) in national security and cybersecurity. Driscoll will advise the company's leadership on applying AI across both areas.

Mitsui Kinzoku raises ultrathin copper foil capacity target for third time as optical demand surges

Scarlett Yu — Tue, 3 Nov 2026 09:05:55 GMT

Japan's Mitsui Kinzoku has announced its third capacity expansion plan since the start of fiscal 2026 for MicroThin, its ultrathin copper foil used in optical communications equipment. The company is accelerating production expansion to meet sustained growth in market demand.

Onsemi's AI data center revenue surges 175% as 3Q26 earnings outpace sales growth

DIGITIMES — Tue, 3 Nov 2026 08:41:20 GMT

Onsemi reported stronger-than-expected third-quarter 2026 results, driven by accelerating demand for power management solutions in AI data centers and industrial applications, as the semiconductor supplier continued to improve profitability through operational restructuring and higher-value products.

Motorola taps Taboola to bring trusted-media AI to smartphones

Kevin Wang — Tue, 3 Nov 2026 08:11:05 GMT

Performance advertising company Taboola is partnering with Motorola to bring its DeeperDive AI question-and-answer engine to the Moto G series of smartphones, offering users a new way to interact with AI.

Memory price surge hits smartphones, cutting 2026 mobile SoC shipments nearly 20%

Yunnie Cheng — Tue, 3 Nov 2026 07:50:09 GMT

The AI infrastructure boom has driven up memory prices across consumer electronics, dampening sales of smartphones and notebooks while hitting upstream system-on-chip (SoC) developers. With memory prices projected to keep climbing through 2027, industry observers generally expect end-market sales to remain sluggish, testing the resilience and strategy of players across the entire value chain.

Panasonic Industry to invest JPY92 billion in AI-related circuit board materials and capacitors

Yunnie Cheng — Tue, 3 Nov 2026 07:22:50 GMT

Panasonic Industry, the electronic components subsidiary of Panasonic Group, plans to invest approximately JPY92 billion (approx. US$582.8 million) in its AI-related businesses to meet surging demand driven by generative AI. The investment will accelerate production capacity expansion and R&D for advanced circuit board materials, specialized capacitors, and next-generation semiconductor materials.

Japanese distributor turns away new customers as DDR5 prices double

DIGITIMES — Tue, 3 Nov 2026 07:17:17 GMT

A Japanese electronics distributor has stopped accepting new customers because it cannot fully supply its existing ones, Nikkei reported, as demand from AI data centers tightens supply of the conventional DRAM used in PCs.

ESMT sees higher 4Q26 ASP as DDR2, DDR3 supply tightens

DIGITIMES — Tue, 3 Nov 2026 07:17:15 GMT

Memory IC designer Elite Semiconductor Microelectronics Technology (ESMT) expects shipments and gross margin to remain stable in the fourth quarter of 2026 despite higher memory wafer procurement costs, while its average selling price (ASP) will rise from the third quarter of 2026. The company also expects tight DDR2 and DDR3 supply-demand conditions to keep prices stable in 2027 as it continues securing foundry and OSAT capacity to meet customer demand.

Oracle to sell US$20 billion in stocks and bonds as concerns grow over debt-fueled expansion

DIGITIMES — Tue, 3 Nov 2026 06:59:26 GMT

Oracle aims to raise US$20 billion through selling stock and issuing bonds to fund its AI build-out. Its stock value dropped after the company filed the plans, a sign that investors are growing wary of hyperscalers' increasing debt before anticipated AI revenues trickle in.

Apple's US$5 trillion dilemma: iPhone Duo and AI raise stakes for next growth chapter

DIGITIMES — Tue, 3 Nov 2026 06:30:00 GMT

Apple's record fiscal 2026 performance left a central question unresolved: can premium-priced iPhones, AI, and expanding services sustain enough growth to justify a valuation approaching US$5 trillion? For new CEO John Ternus, the challenge is converting product innovation into lasting earnings growth rather than relying on Apple's established customer base.