DIGITIMES: News and Insight of the Global Supply Chain

Huawei sees AI agents driving 90% of token traffic by 2035

DIGITIMES — Thu, 17 Sep 2026 02:53:45 GMT

Huawei expects autonomous AI agents to become the dominant source of AI traffic over the next decade, creating a sharp increase in demand for computing, networking, storage and power infrastructure.

Foxconn links FII and FIT to tackle AI infrastructure beyond the chip

Levi Li — Thu, 17 Sep 2026 02:45:00 GMT

Foxconn Industrial Internet (FII) chairman Brand Cheng said Foxconn is integrating four core capabilities — technology, manufacturing, management and vertical integration — to move beyond standalone product supply toward system-level solutions across AI servers, high-speed interconnects, optical communications, power and cooling.

Dassault Systemes shifts to AI-native platforms, stakes its next phase on Taiwan

Jingyue Hsiao — Thu, 17 Sep 2026 02:38:28 GMT

Dassault Systemes marked 20 years in Taiwan with a sharper message about where it plans to go next. The company said it is moving beyond AI-enabled software and toward an AI-native platform, arguing that industrial users need systems built around AI from the start, not just software with added tools and features.

ByteDance's Anew Labs reportedly raises US$290M as AI drug discovery gains momentum

DIGITIMES — Thu, 17 Sep 2026 02:04:18 GMT

ByteDance has completed a US$290 million funding round for Anew Labs, its AI drug-discovery business spun off from the Chinese technology group, valuing the company at US$1.5 billion, according to Reuters. ByteDance will retain a 56% stake following the fundraising.

Taiwan machine tool makers target aerospace, semiconductor boom at major trade shows

Eifeh Strom — Thu, 17 Sep 2026 01:59:30 GMT

Taiwanese machine tool manufacturers are taking part in two major manufacturing trade shows in Europe and the US this September. The participation reflects a shift in Taiwan's machine tool industry from supplying standalone equipment and components toward integrated processes and smart manufacturing solutions.

Google reportedly weighs CoWoS backup for 2027 TPU as EMIB-T substrate yields lag

Scarlett Yu — Thu, 17 Sep 2026 01:58:46 GMT

Google's Humufish TPU project, scheduled to enter mass production by the end of 2027, is set to adopt Intel's EMIB-T advanced packaging technology with support from ASIC partner MediaTek. MediaTek has also stated during an earnings call that EMIB-T yields have reached levels capable of supporting stable mass production, expressing confidence in the project's 2027 production plans.

Exclusive: China's CAS institute charts DUV route to 3nm GAA without EUV

Levi Li — Thu, 17 Sep 2026 01:50:37 GMT

China's advanced semiconductor research has reached another milestone. The Institute of Microelectronics of the Chinese Academy of Sciences has established a gate-all-around (GAA) device development path for advanced process nodes below 3nm that does not rely on extreme ultraviolet (EUV) lithography as its core technology.

China's FAW may become GAC's second-largest shareholder, possibly restructuring the Toyota China model

Yunnie Cheng — Thu, 17 Sep 2026 01:45:27 GMT

Consolidation chatter within China's automotive industry has reignited following an announcement by Guangzhou Automobile Group (GAC Group). Late on September 14, GAC disclosed that it had entered into a non-binding intent agreement with China First Automobile Group (FAW). Under the proposed transaction, GAC intends to acquire a partial stake in an undisclosed vehicle joint venture held by FAW via the issuance of new GAC shares. Upon completion of the share swap, FAW is expected to emerge as GAC's second-largest shareholder.

Chip equipment and materials suppliers lead India investment pledges ahead of SEMICON India 2026

DIGITIMES — Thu, 17 Sep 2026 01:34:57 GMT

Foreign commitments timed around SEMICON India are moving deeper into the supply chain. In the three days before the 2026 edition opened on September 17, Lam Research, Applied Materials, and Fujifilm announced India plans worth a combined INR144 billion (US$1.50 billion), covering silicon components, chip equipment, and process chemicals rather than chip production itself.

Onsemi puts power density at the center of its next-decade strategy

DIGITIMES — Thu, 17 Sep 2026 01:31:02 GMT

Onsemi is seeking to capture more value from AI, electrification, and automation by expanding from individual semiconductors into integrated power systems. Its strategy for the next decade centers on improving power density: delivering more power in less space while managing heat, efficiency, and reliability.

Fujifilm to invest US$83 million in semiconductor materials plant in India

DIGITIMES — Thu, 17 Sep 2026 01:14:58 GMT

Japan's Fujifilm plans to set up a greenfield semiconductor materials manufacturing facility in India with a total investment of approximately INR8 billion (US$83.33 million), the company said in a statement on September 16, 2026. Construction of the first phase is scheduled to begin in fiscal year 2026, with commercial production targeted for fiscal year 2028.

Applied Materials announces 10-year investment plan ahead of SEMICON India

DIGITIMES — Thu, 17 Sep 2026 01:03:39 GMT

US-based semiconductor equipment maker Applied Materials will invest INR36 billion (US$375 million)) in the Indian state of Karnataka over the next 10 years, Karnataka Industries Minister M B Patil said on September 15, 2026. The project, to be located in the Bengaluru Signature Business Park (BSBP) area, is expected to create around 1,000 jobs, according to Moneycontrol and PTI.

Lam Research plans US$1 billion India manufacturing expansion

DIGITIMES — Thu, 17 Sep 2026 00:59:18 GMT

Lam Research plans to invest INR100 billion (approx. US$1.04 billion) in India over the next several years, adding its first silicon component manufacturing facility in the country and expanding its advanced research and development operations.

Meta's next smart glasses reportedly drop the camera as privacy concerns mount

DIGITIMES — Thu, 17 Sep 2026 00:09:07 GMT

Meta Platforms is preparing a new pair of smart glasses without a camera, a move that could address a key social barrier facing wearable devices as the market expands rapidly.

Musk hints at Tesla-SpaceX merger, but the companies are already converging underneath

DIGITIMES — Thu, 17 Sep 2026 00:08:24 GMT

The broader high-tech landscape has wondered for years about the subtle transactions and movements unfolding underneath the enormous technology ecosystem Elon Musk has stitched together amid a rapidly expanding business reach across AI-driven industries.

SK Hynix reportedly eyes Intel Ohio plant for US memory production

Charlene Chen — Thu, 17 Sep 2026 00:07:16 GMT

SK Hynix is reportedly lining up US memory chip production and is in talks with Intel over possible cooperation, including leasing part of Intel's Ohio facilities. The move would give SK Hynix its first memory chip manufacturing base in the US as Washington steps up pressure on chipmakers to expand domestic investment.

Elon Musk urges rival testing to expose AI safety flaws

DIGITIMES — Thu, 17 Sep 2026 00:06:34 GMT

Elon Musk is warning that AI agents are showing "autonomous evasion capabilities" and says the industry should let competitors test one another's models before launch to uncover safety loopholes. The xAI founder outlined the approach at All-In Summit 2026, saying AI companies should build a self-regulatory defense line without waiting for government rules.

Column: China tightens rare earth controls, exposing hidden vulnerabilities in Taiwan's supply chain

Scarlett Yu — Thu, 17 Sep 2026 00:05:21 GMT

China's rare earth export controls are changing the rules governing global critical mineral supply chains. For Taiwan, the real concern is not that China could suddenly halt all exports one day, but that export licensing, end-use reviews, price volatility, longer lead times, and "hidden dependencies" embedded in intermediate materials and components could gradually raise the cost and uncertainty of maintaining normal production.

Physical AI targets factory assembly pain points

Rodney Chan — Thu, 17 Sep 2026 00:04:25 GMT

Deloitte Taiwan has warned that only 3% of companies have broadly integrated physical AI into operations, while just 5% say it has already driven transformation. The firm said adoption remains slow because physical AI involves compliance and safety issues, and its growth pace is nowhere near that of agentic AI or generative AI.

BizLink's expansion strategy signals a wider shift toward localized, risk-aware global supply chains

Jingyue Hsiao — Thu, 17 Sep 2026 00:03:22 GMT

BizLink chairman Roger Liang said customer demand, market access, supply chain resilience, and local service needs have driven the company's overseas expansion as geopolitics, tariffs, and localization pressures reshape global manufacturing. He said every site, venture, and acquisition must be judged on controllable risk, reasonable returns, and long-term growth.

Kinpo's push into higher-margin products, quantum control signals a wider industrial pivot

Jingyue Hsiao — Thu, 17 Sep 2026 00:00:32 GMT

Kinpo Electronics said it is reshaping its business toward higher-margin products and expanding factory capacity across several countries in response to AI-driven industry change. The company also outlined a multi-year plan for quantum computer control systems, power products, and satellite communications, underscoring a broader shift in its technology portfolio.

SK Hynix shifts supply chain planning for AI capex boom

DIGITIMES — Thu, 17 Sep 2026 00:00:07 GMT

AI-driven capacity expansion is pushing up demand for semiconductor equipment, and SK Hynix is strengthening supply chain management for equipment and components while shifting to a longer-term strategy.

South Korea's chip boom lifts 2027 corporate tax above KRW200 trillion

DIGITIMES — Wed, 16 Sep 2026 23:59:37 GMT

South Korea's semiconductor boom is spilling over from corporate profits into government tax revenue. Corporate tax revenue for fiscal 2027 is projected to reach KRW216.7 trillion (about US$160 billion), up 113.9% from the 2026 supplementary budget, topping KRW200 trillion for the first time and, after 15 years, overtaking income tax as the country's largest tax source.

OpenAI details AI jailbreak as Nvidia's CEO calls for engineering controllability

DIGITIMES — Wed, 16 Sep 2026 23:59:02 GMT

OpenAI released a technical postmortem in late August explaining how its AI agents circumvented sandbox restrictions during internal tests, "cheated" to broaden their activity, and compromised systems operated by the open-source AI platform Hugging Face. The report has since drawn intense Silicon Valley scrutiny, while Nvidia CEO Jensen Huang has urged stronger "engineering controllability" in response to growing fears over AI loss of control.

Intel CEO warns of 2027 memory crunch and tighter CPU supply

Charlene Chen — Wed, 16 Sep 2026 19:41:00 GMT

AI infrastructure expansion is turning memory supply into a major bottleneck for the semiconductor industry. Intel CEO Lip-Bu Tan warned that the memory shortage in 2027 could be worse than in 2026, with cost pressure already spreading to smartphones and notebook PCs.

Charts: Taiwan's chip packaging growth runs deeper than ASE

DIGITIMES — Wed, 16 Sep 2026 18:43:00 GMT

Taiwan's back-end semiconductor sector is growing well beyond its largest player. The 24 listed packaging and testing firms tracked by DIGITIMES posted combined January-August 2026 revenue of NT$768.9 billion (approx. US$24.1 billion), up 27.1% from a year earlier. Without ASE Technology Holding, the rest of the group still grew 25.4%.

Samsung looks to outside suppliers as HBM boom shifts priorities

DIGITIMES — Wed, 16 Sep 2026 17:54:00 GMT

Samsung Electronics has long benefited from a level of vertical integration few technology companies can match, spanning smartphones, memory, chip design, foundry manufacturing and packaging. However, recent sourcing moves suggest those internal links are becoming more selective as individual businesses pursue their own customers, margins and capacity priorities.

Apple's foldable phone puts thinness, weight in focus

Jingyue Hsiao — Wed, 16 Sep 2026 17:49:00 GMT

Apple's first foldable phone has sharpened global attention on smartphone design trade-offs, with weight, thickness, and component miniaturization becoming key benchmarks for consumers and competitors alike. For buyers worldwide, the latest competition suggests future handsets may be lighter, slimmer, and more expensive.

DIGITIMES Insight: SiC substrate capacity expansion continued; 6-inch substrate prices expected to rebound in 2027

Yunnie Cheng — Wed, 16 Sep 2026 17:39:00 GMT

DIGITIMES has observed that demand for silicon carbide (SiC) power devices has climbed rapidly in recent years as the EV market expands, triggering a massive wave of capacity expansion among SiC substrate makers. However, as SiC substrate capacity continued to surge, actual demand for SiC power devices from the EV sector fell short of expectations. This imbalance triggered a collapse in SiC substrate prices starting in 2024, extending the downward trend through 2026.

Huawei's 3D data center redesign targets the next AI compute density wall

DIGITIMES — Wed, 16 Sep 2026 17:38:00 GMT

Huawei has unveiled what it calls the world's first 3D data center, introducing a vertically stacked four-layer architecture designed for increasingly dense AI computing clusters and gigawatt-scale infrastructure.

TSMC's C.C. Wei says to solve problems, put customers first

Charlene Chen — Wed, 16 Sep 2026 16:40:00 GMT

TSMC chairman C.C. Wei and co-COO Y.J. Mii joined a forum on September 15, 2026, where Wei shared lessons from school, R&D and corporate management with National Taiwan University students via video, while Mii led a deeper discussion on advanced process technology and AI tools.

Jensen Huang's Galaxy Z Fold8 spotlights Nvidia-Samsung ties

Lily Hess — Wed, 16 Sep 2026 16:39:00 GMT

Nvidia CEO Jensen Huang has again been photographed using Samsung Electronics' latest foldable phone, the Galaxy Z Fold8, after being seen with a Galaxy Z Fold7 earlier in 2026. The latest sighting has drawn fresh attention to the close partnership between Samsung Electronics and Nvidia.

Charts: Memory chip designers carry Taiwan's IC design rebound

DIGITIMES — Wed, 16 Sep 2026 16:36:00 GMT

Taiwan's IC design sector is growing fast, but the gains are concentrated in memory. Combined January–August 2026 revenue at the 105 listed chip designers tracked by DIGITIMES reached NT$1.15 trillion, up 29.6% from a year earlier. Five memory-related companies added two-thirds of the NT$261.8 billion increase.

Huawei aims to become 'China's Nvidia,' rules out building satellites or spacecraft

Scarlett Yu — Wed, 16 Sep 2026 16:10:00 GMT

Huawei's internal Heart Voice Community recently published minutes from a discussion between Guo Ping, chairman of Huawei's supervisory board, and newly hired employees, offering a glimpse into the company's ambitions in AI, computing, semiconductors, and future technologies.

Analysis: Jensen Huang is in Trump's ear; what it means for Taiwan's chip supply chain

Sherri Wang — Wed, 16 Sep 2026 14:51:16 GMT

"The narrative is much more practical," Nvidia CEO Jensen Huang said of China's approach to artificial intelligence (AI) at the All-In Summit 2026, contrasting it with US warnings about AI bringing civilization to an end.