DIGITIMES: News and Insight of the Global Supply Chain

Column: AI usage patterns may be shifting the case for self-hosted servers

Jingyue Hsiao — Sun, 20 Sep 2026 23:45:26 GMT

A new Anthropic threat intelligence report offers an unusual glimpse into how advanced AI systems are being used under heavy, real-world workloads. The findings suggest that the decision to buy or host AI servers may depend less on model quality alone, and more on which tasks consume tokens, how long they run, and how much operational state they must preserve.

AMAX expands liquid-cooled data center in push beyond hardware

Sherri Wang — Sun, 20 Sep 2026 23:45:09 GMT

Amax is expanding its self-built liquid-cooled data center as the company moves beyond hardware into infrastructure and engineering services, with customer demand giving it more than a year of order visibility.

US-Mexico trade talks put AI servers in focus as Taiwan ODMs seek common ground

Scarlett Yu — Sun, 20 Sep 2026 23:44:54 GMT

The US is reportedly pressuring Mexico to tighten rules of origin for AI hardware to limit the use of components produced outside North America, particularly in China. Server supply chain sources said the Mexican government began consultations with Taiwanese original design manufacturers (ODMs) around 10 days ago to explore mutually acceptable solutions, signaling a willingness to negotiate.

DIGITIMES Insight: AI chip upgrades shift substrate supply bottleneck from upstream materials to equipment

Yunnie Cheng — Sun, 20 Sep 2026 23:44:24 GMT

DIGITIMES Intelligence has observed that as the performance of AI accelerators and server CPUs continues to advance, chips are increasing not only in compute core counts and I/O channels but also in integration complexity. Higher integration of high-bandwidth memory (HBM), high-speed SerDes, and chiplet designs makes signal transmission, power delivery, and component interconnects within the package far more complex, driving high-end IC substrates toward larger surface areas and higher layer counts.

Dassault Systèmes: AI-native transformation emerges as Taiwan's next industrial frontier

Willis Ke — Sun, 20 Sep 2026 23:43:52 GMT

Digital transformation is no longer the endpoint for Taiwan's technology industries. As artificial intelligence moves from individual applications into core business operations, companies are entering a new phase in which AI, engineering models, and industrial knowledge are increasingly integrated into product development and operations, Dassault Systèmes said.

HEC Compucase AI server products drive 2026 revenue growth

DIGITIMES — Sun, 20 Sep 2026 23:43:30 GMT

HEC Compucase's AI server-related rollout continues to gain traction as AI racks, cooling modules, and high-end power supplies move into mass production or volume shipments. The company expects fourth-quarter 2026 shipments and operating momentum to strengthen further, with full-year 2026 revenue set to maintain double-digit growth and first-half gross margin rising to 24%, about 3 percentage points higher than a year earlier.

ACES targets AI compute and power with cable ramp-up

DIGITIMES — Sun, 20 Sep 2026 23:43:11 GMT

High-speed transmission demand continues to rise on the back of AI server and data center buildouts, while cloud service providers (CSPs) accelerate adoption of in-house application-specific integrated circuit (ASIC) platforms. As a result, demand for high-speed connectors and high-speed transmission cables inside servers is also increasing.

Tyntek optical communications MPD ramps quarterly, 2027 capacity triples

Charlene Chen — Sun, 20 Sep 2026 23:42:45 GMT

Tyntek is rapidly expanding into optical communications as AI data-center demand drives a surge in high-speed transmission needs, with shipments set to rise significantly from the third quarter and gross margin and profitability expected to improve sharply. Backed by clear orders from a major US customer, the company has already launched an NT$1.2 billion (US$37.7 million) expansion plan approved by its board in August, aiming to triple monthly capacity to 1,500 wafers by the end of 2027.

Samsung reportedly cuts QD TV output 80% as Neo QLED phaseout looms

Charlene Chen — Sun, 20 Sep 2026 23:42:28 GMT

Samsung Electronics will reportedly slash quantum-dot (QD) LCD TV production in 2026 to 2 million to 3 million units, down as much as 80% year-over-year, while it also plans to gradually scale back Neo QLED output and potentially stop production as early as 2028. The move shifts the company's LCD TV focus toward Mini LED models without QD.

Ampoc AI PCB orders surge as it expands into CPO

Lily Hess — Sun, 20 Sep 2026 23:41:58 GMT

Printed circuit board (PCB) wet-process equipment maker Ampoc Far-East said demand for its in-house high-end equipment has surged on AI servers and high-performance computing applications, driving brisk orders in the first half of 2026 and strong utilization rates. Capacity is now close to fully booked, and customers have also begun laying out long-term orders for the next one to two years.

AI safety debate heats up: Pegatron chairman urges risk controls, not an innovation halt

Levi Li — Sun, 20 Sep 2026 23:41:41 GMT

AI safety concerns are intensifying debate over whether development should slow, with US technology executives divided over the trade-off between innovation and risk. Pegatron chairman T.H. Tung, speaking at a forum on September 18, likened the current AI race to three sports cars speeding against each other through city streets, prompting calls to slow down.

Podcast highlights: iPhone Duo prices undercut expectations as Apple raises old models

Charlene Chen — Sun, 20 Sep 2026 23:41:02 GMT

DIGITIMES analyst Luke Lin said on his podcast that the foldable's pricing is more consumer-friendly than expected, but Apple's across-the-board price hikes on older models will weigh on iPhone shipments in the second half of the year. He added that the packaging changes for the A20 Pro are the signal that supply chain players should watch most closely.

CHT completes 4th Taiwan-Matsu subsea cable, boosting offshore resilience

Yunnie Cheng — Sun, 20 Sep 2026 23:40:36 GMT

Chunghwa Telecom (CHT) announced on September 18 that the nearly 300km-long Taiwan-Matsu submarine cable has been completed, landed, tested, and has officially been added to the Taiwan-Matsu external communications network. The project strengthens communications resilience for the outlying Matsu Islands by adding a third route with redundant backup and improving service stability for residents and public services.

ACM Research's Shanghai unit leans on overseas installs, panel-level plating for its next leg of growth

DIGITIMES — Sun, 20 Sep 2026 23:40:04 GMT

ACM Research Shanghai is staking its growth case on two developments: planned tool installations at customers outside mainland China and orders for panel-level advanced packaging equipment, according to Star Market Daily, Securities Times, and East Money.

India roundup: Semicon India 2026 puts commercial production and supplier investment in focus

DIGITIMES — Sun, 20 Sep 2026 23:39:38 GMT

India's semiconductor push is moving from policy to production, with new government funding, supplier investments, rising deal activity and expanding equipment, materials, testing and manufacturing capacity across the ecosystem nationwide.

Analysis: The race to superintelligence meets a demand for restraint — and the industry is split

DIGITIMES — Sun, 20 Sep 2026 23:39:19 GMT

The extraordinary technological progress humanity has witnessed since AI first emerged has propelled a fundamental shift in industrial development. With experts hailing AI as the next phase of the digital revolution and an extension of Industry 4.0, the technology is increasingly reshaping how industries operate.

Charts: Two-thirds of Taiwan's chip equipment growth comes from testing AI chips

DIGITIMES — Sun, 20 Sep 2026 00:28:17 GMT

Taiwan's listed semiconductor equipment, components, and solutions suppliers are growing at nearly twice the pace of the chipmakers they serve, and most of that growth traces back to one step in the production flow: test.

OpenAI, Microsoft filings intensify copyright fight over AI training

DIGITIMES — Sun, 20 Sep 2026 00:28:03 GMT

New court filings from The New York Times and other news organizations have put OpenAI and Microsoft's internal comments on AI and journalism at the center of a widening copyright dispute in the US. The documents, cited by Financial Times and Reuters, are being used to challenge the companies' fair use defense in a case that has stretched for nearly three years.

BYD plans four Europe factories as EU tariff pressure rises

DIGITIMES — Sun, 20 Sep 2026 00:27:52 GMT

BYD is planning four factories in Europe over the long term as it works to meet local manufacturing rules and expand its customer base. The Chinese electric vehicle maker wants three vehicle assembly plants and one EV battery plant, according to company adviser and former Fiat Chrysler executive Alfredo Altavilla.

AI capacity crunch drives up consumer tech costs, deepening China's deflation

Levi Li — Sun, 20 Sep 2026 00:27:42 GMT

Surging AI server demand is reshaping consumer electronics. Memory costs have risen sharply this year, prompting Huawei, Oppo, Xiaomi and Apple to raise prices on some smartphones. A senior Chinese technology industry source said the increase reflects memory suppliers prioritising capacity and investment for AI products rather than stronger handset demand, which is squeezing smartphone memory supply.

Wiwynn brings cobots to L10 server assembly as AI rack testing drives factory redesign

Scarlett Yu — Sun, 20 Sep 2026 00:27:32 GMT

Wiwynn is introducing collaborative robots (cobots) at its El Paso, Texas, facility and third plant in Mexico, alongside a central heat exchange system designed to support liquid-cooled server rack testing. The upgrades reflect the company's efforts to modernize manufacturing as AI servers become more complex and demand for liquid cooling increases.

Foxconn joins Quantron, Hongjing Drive in zero-emission commercial vehicle partnership

Scarlett Yu — Sun, 20 Sep 2026 00:27:22 GMT

German commercial vehicle company Quantron and China's Hongjing Drive have formally agreed to establish a joint venture, Quantron China, to develop a China-Europe technology and industrial platform for next-generation zero-emission commercial vehicles. Foxconn will serve as the industrial manufacturing partner for truck and bus platforms, supporting their international deployment.

Chinese memory supply is disruptive to pricing, Acer's Jason Chen says, as shortages ease

Joseph Chen — Sun, 20 Sep 2026 00:27:08 GMT

PC component shortages are easing, Acer chairman and CEO Jason Chen said, with memory tight only at the high end of DDR5 and CPUs no longer in short supply. Suppliers across the bill of materials are still pushing through price increases, he said, some of them hard to justify. He expects PC prices to keep climbing before reversing in the second half of 2027.

Amazon Leo clears Taiwan's NCC review, with commercial launch pointed at 2027

Joseph Chen — Fri, 18 Sep 2026 23:21:37 GMT

FarEasTone Telecommunications has cleared four of the six regulatory steps required to bring Amazon Leo to Taiwan, but commercial service will not start until 2027 at the earliest, in line with Amazon's own timetable.

Power grids can't keep pace with AI data center boom in EU, US

Kevin Wang — Fri, 18 Sep 2026 23:20:07 GMT

According to supply chain players, most AI data center cost models used by analysts in both China and the West only count electricity consumption when estimating the cost of AI data centers or tokens, but do not take into account the cost of power generation, transmission, or grid infrastructure. As a result, actual AI data center build-out costs vary greatly by country and region, due to the vast differences in power mix, grid capacity, and energy policies.

Memory recovery, price hikes lift Niching IC substrate outlook, order visibility through 2H27

Yunnie Cheng — Fri, 18 Sep 2026 23:19:38 GMT

Semiconductor packaging and testing materials distributor Niching Industrial hosted an investor conference on September 17. chief financial officer Chih Fang Chiu stated that full-year 2026 revenue is projected to grow by 20% to 30%. Beyond the consolidation benefits of acquiring Ming Chun Yuan Micro Precise Technology in July 2026, growth momentum remains robust across heat spreaders, solid-state drive (SSD) enclosures, and IC substrates, alongside ongoing expansion in thermally conductive adhesives. The company aims to double total revenue within three years.

MediaTek, Vivo bring 30B MoE models on-device in next AI phone race

Levi Li — Fri, 18 Sep 2026 23:18:34 GMT

MediaTek's new Dimensity 9600 Pro puts agentic AI at the center of its flagship smartphone strategy, supporting on-device mixture-of-experts (MoE) models with up to 30 billion parameters. Vivo, among the first Chinese handset makers to adopt the platform, has followed with an expanded AI software stack spanning BlueLM, BlueLM Copilot, and a system-level BlueLM Harness.

Interview: Advanced packaging shifts toward system-level co-design for AI

Levi Li — Fri, 18 Sep 2026 23:18:19 GMT

Advanced packaging remains one of the semiconductor industry's hottest technology areas in 2026. In Taiwan, terms such as co-packaged optics (CPO), chiplets, and glass substrates are increasingly common as packaging moves deeper into system-level design.

Thailand plans to swap EV subsidies for import taxes to defend its production base

DIGITIMES — Fri, 18 Sep 2026 23:18:03 GMT

Thailand is preparing to abandon the subsidy-led policy that made it Southeast Asia's fastest-growing electric vehicle market, replacing it with a tax structure built to penalize carmakers that import rather than build. Finance Minister Ekniti Nitithanprapas said the excise tax on fully imported EVs could rise to around 30%, from 10% today — the first time the government has attached a number to the levy.

Beyond Volkswagen, XPeng seeks to turn automotive R&D into a global tech enterprise

DIGITIMES — Fri, 18 Sep 2026 23:17:38 GMT

It has become increasingly evident that one of the factors undermining China's unparalleled competence in the global EV industry is manufacturing scale. But the continued development of proprietary technologies in the automotive sector has strengthened their differentiation within a highly competitive landscape.

Charts: Taiwan's memory makers are outgrowing TSMC by a factor of eight

DIGITIMES — Fri, 18 Sep 2026 23:17:13 GMT

Taiwan's chipmakers are having their best year in a decade, and the headline number belongs to TSMC. The more interesting one does not.

Ams OSRAM takes an automotive-qualified force sensor into robotic hands

Lily Hess — Fri, 18 Sep 2026 23:16:16 GMT

Ams OSRAM is pushing its optical force sensor line into robotic hands on the argument that incumbent piezoelectric solutions cannot hold a reading, and it is using automotive qualification as the entry credential.

CXL adds memory capacity, but HBM retains its bandwidth edge

DIGITIMES — Fri, 18 Sep 2026 23:15:48 GMT

Growing memory requirements are increasing interest in Compute Express Link (CXL) as a way to add capacity beyond locally attached memory. But engineers from OpenAI and Intel see limits to using the interconnect as a substitute for high-bandwidth memory (HBM) where bandwidth remains critical.

Ventec invests NT$1.5 billion in Kunshan expansion for AI, HDI orders

Eifeh Strom — Fri, 18 Sep 2026 23:15:29 GMT

Copper-clad laminate (CCL) manufacturer Ventec International Group has approved an expansion budget of NT$1.5 billion (approx. US$47.11 million) to lease and convert an idle factory in Kunshan, Jiangsu Province, China, as it moves to capture spillover demand for artificial intelligence (AI) and high-density interconnect (HDI) materials. The expansion budget is to be invested in three phases. Depending on future growth demand, the company will proceed with further capacity expansion investments in the second and third phases.

Compal takes Compal Broadband Networks private to fold networking into its edge AI stack

Joseph Chen — Fri, 18 Sep 2026 23:15:05 GMT

Compal Electronics is buying out the shares of its listed networking arm, Compal Broadband Networks (CBN), in a cash deal that will end CBN's public listing and give Compal full control of a router and gateway business it wants to pair with its edge AI hardware.