DIGITIMES Asia: News and Insight of the Global Supply Chain

Nvidia highlights role of optical networking as Coherent breaks ground on Texas AI chip facility

DIGITIMES — Wed, 17 Jun 2026 02:09:16 GMT

AI infrastructure is increasingly dependent on light, and more of that technology is being built in Texas. Coherent's new Sherman expansion, backed by public and private funding, could strengthen global supply chains for the lasers and optical components that connect data centers, chips, and servers worldwide.

Xiaomi Auto veteran says Tesla's EV edge starts on factory floor

Levi Li — Wed, 17 Jun 2026 02:04:41 GMT

Xiaomi Auto is putting manufacturing and supply chain control at the centre of its electric vehicle strategy, with former Tesla Shanghai Gigafactory head Song Gang saying Tesla's real competitive moat lies not in branding alone, but in manufacturing execution.

EssilorLuxottica, Applied Materials team up on smart eyewear technology

DIGITIMES — Wed, 17 Jun 2026 01:55:18 GMT

EssilorLuxottica and Applied Materials have agreed to a long-term partnership to speed development of intelligent optical systems for augmented reality and AI-powered smart eyewear, a move that could help shape future consumer devices used by people around the world. The companies said the effort aims to make advanced display glasses lighter, more capable, and easier to manufacture at scale.

Ajinomoto's chip film faces supply test as AI demand climbs

DIGITIMES — Wed, 17 Jun 2026 01:45:00 GMT

The global appetite for AI chips is putting new strain on materials suppliers, turning one of Ajinomoto's lesser-known products into a pressure point for advanced semiconductor packaging.

PSMC buys NT$1.04 billion in Lam Research equipment to support capacity growth

Eifeh Strom — Wed, 17 Jun 2026 01:42:25 GMT

Powerchip Semiconductor Manufacturing (PSMC) announced on June 16 that, effective from May 22, 2026, it purchased semiconductor production facilities and machinery from Lam Research for use in wafer production, in a transaction totaling NT$1.04 billion (approx. US$32.94 million). The move comes as the company steps up investment in equipment and new technologies to seize artificial intelligence (AI) opportunities.

Superior Plating Technology turns to AI liquid cooling and CPO

Charlene Chen — Wed, 17 Jun 2026 01:30:00 GMT

Superior Plating Technology chairman Lei-Je Hua said the company is shifting more resources into AI liquid cooling, CPO communication modules, and nearline HDDs for AI data centers, while expanding production in Thailand and adding a new manufacturing base in Vietnam to build a multinational supply chain and meet customers' capacity-relocation needs. After years focused on precision metal surface treatment, the company said its revenue exposure to major smartphone customers has fallen sharply as it aligns with its group's long-term strategy. It is now targeting a more diversified, higher-margin product mix.

Tata Electronics pollution probe closure highlights lingering risks for Apple's India supply chain

DIGITIMES — Wed, 17 Jun 2026 01:11:15 GMT

Reuters reported on June 16 that Tamil Nadu's pollution control board closed its probe into Tata Electronics' Hosur iPhone component plant after the company addressed violations of water contamination regulations. The decision removes the threat of a shutdown, but it also underscores the operational and regulatory risks still facing Apple's suppliers in India.

Amkor alone cheers 10-year TSMC packaging deal in Arizona

DIGITIMES — Wed, 17 Jun 2026 00:51:46 GMT

Taiwan Semiconductor Manufacturing Company (TSMC) and Amkor Technology have signed a 10-year agreement to jointly expand advanced semiconductor packaging capacity in Arizona, a move that would bring a more complete chip supply chain onto American soil.

Hiwin unit Matrix Precision deepens Japan cooperation as demand for high-precision gears rises

DIGITIMES — Wed, 17 Jun 2026 00:43:32 GMT

Matrix Precision, a unit of Hiwin Technologies, said it deepened cooperation with Japan after a delegation from the Japan Gear Manufacturers Association visited its facilities as gear machining demand rose due to geopolitical shifts, supply chain restructuring and manufacturing upgrades. The firm announced the visit reinforced Taiwan-Japan ties and helped both sides reach a deeper consensus on future development in high-precision gearmaking.

Topkey accelerates carbon fiber footprint into drones, robots, and LEO satellites

Willis Ke — Wed, 17 Jun 2026 00:42:01 GMT

Taiwan-based carbon fiber composite maker Topkey is accelerating its expansion into high-growth technology sectors, with formal evaluations underway for applications in drones, industrial robots, and low-Earth orbit (LEO) satellites. The initiative marks a strategic step in the company's transformation from a traditional sporting goods supplier into a provider of advanced composite solutions for aerospace, electronics, and smart machinery.

Samsung Electro-Mechanics expands silicon capacitor push on integration edge

Charlene Chen — Wed, 17 Jun 2026 00:41:48 GMT

Samsung Electro-Mechanics (Semco) is rapidly gaining ground in the silicon capacitor market as AI infrastructure investment and technology upgrades accelerate demand. After landing its first major silicon capacitor order, the company is in talks with additional potential customers, while its multilayer ceramic capacitor (MLCC) business is also expanding and operating profit is expected to hit a record high.

Exclusive: Galatek eyes up to 200% chip growth with Malaysia packaging push

Sherri Wang — Wed, 17 Jun 2026 00:41:35 GMT

Singapore-based Galatek Technologies is expanding into scarce advanced packaging equipment as it builds localized manufacturing capacity in Malaysia, aiming to capture demand from a shifting global semiconductor supply chain.

Gem Terminal eyes new growth curve in 2026 with shipments of AI-related thermal materials

Kevin Wang — Wed, 17 Jun 2026 00:41:22 GMT

Gem Terminal Industry is seeing the results of its recent efforts in developing new copper materials, with expectations of sequential quarterly growth in 2026 as production capacity in the company's Taiwan copper plant continues to ramp up, amid steady progress in its AI-related thermal materials layout, and new opportunities emerging from China's transition toward a new national standard for electric terminals. Going forward, the company is eyeing further operational growth in 2027.

China cuts AI compute prices, revealing pressure to fill supercomputing capacity

Levi Li — Wed, 17 Jun 2026 00:41:09 GMT

China's state-backed National Supercomputing Internet has launched a 618 computing-power promotion, offering low-priced token packages, free tokens, and discounts on optical character recognition (OCR) services in an effort to draw more enterprises and developers to its AI services.

AI PC design wins, drone business to boost Elan in 2H26

Scarlett Yu — Wed, 17 Jun 2026 00:40:56 GMT

In light of tensions concerning non-China supply chains, microcontroller unit (MCU) supplier Elan Microelectronics expects stronger performance in the second half of 2026 as new AI PC programs enter production following the newly established drone business.

Acer E-Enabling posts nearly 20% revenue growth as AI agent demand boosts cloud and security services

DIGITIMES — Wed, 17 Jun 2026 00:40:55 GMT

Acer E-Enabling Service Business said enterprise adoption of AI Agent applications has driven stronger demand for cloud services, cybersecurity, and AI solutions, lifting its revenue in January to May 2026 by nearly 20% year on year. The firm reported consolidated revenue of NT$575 million (US$18.22 million) in May 2026, a 30.5% increase from May 2025, and cumulative revenue of NT$4.416 billion for the first five months of 2026, up 19.7% year on year.

Space data centers face cooling hurdles and cost barriers

Lily Hess — Wed, 17 Jun 2026 00:40:41 GMT

As SpaceX's listing has sparked discussion of space data centers, SpaceX CEO Elon Musk said the concept requires no magic and is simpler than existing Starlink systems. But supply chain sources say that cooling remains a major hurdle, while DIGITIMES Research shows that the timing is another key problem: launch costs have yet to reach commercial viability.

Research Insight: Japanese automakers pivot to HEV profits, AI, and SDV

Lily Hess — Wed, 17 Jun 2026 00:40:26 GMT

Toyota, Honda, and Nissan are accelerating strategy shifts as Chinese automakers rise rapidly, global EV competition intensifies, and software-defined vehicles (SDV) and AI advance, according to DIGITIMES Research. The research firm noted that Japanese automakers are moving away from scale expansion and toward profitability and smart-vehicle development, with hybrid electric vehicles (HEV) remaining the near-term growth anchor.

Huawei raises end-consumer product prices from July

Lily Hess — Wed, 17 Jun 2026 00:40:12 GMT

Huawei has notified partners and channel distributors that it will raise end-customer prices across its Intelligent Collaboration product line from July 1 this year, as the AI computing buildout tightens chip and component supply across the global semiconductor chain. The move follows Lenovo's earlier price increase and underscores mounting cost pressure on enterprise devices.

China's six-network plan signals a long-term infrastructure and technology self-reliance push

DIGITIMES — Wed, 17 Jun 2026 00:39:58 GMT

China's elevation of six infrastructure categories to national strategic priority status could reshape its industrial base, reduce its reliance on foreign suppliers, and strengthen its position in artificial intelligence, telecommunications, and advanced manufacturing. The framework bundles water, power, compute, communications, urban pipelines, and logistics into a single planning system.

AI era reshapes power dynamics between software firms and model providers

Jingyue Hsiao — Wed, 17 Jun 2026 00:39:17 GMT

As companies adapt to the rise of artificial intelligence, technology leaders are increasingly debating how to preserve their competitive advantage while integrating AI into their operations. According to Microsoft CEO Satya Nadella, companies should develop "learning loops" that enable human expertise and AI capabilities to reinforce each other, rather than allowing knowledge to become concentrated among a small number of AI model providers.

Volkswagen cuts deeper as market headwinds erase savings

DIGITIMES — Wed, 17 Jun 2026 00:39:03 GMT

Volkswagen Group announced expanded layoffs and production cuts as it sought to secure net annual savings of ?6 billion by 2030, citing persistent pressure from geopolitical tensions, war, energy costs and inflation that have undermined earlier cost reductions. The company disclosed the move ahead of its annual general meeting and said savings from prior workforce and output cuts had been fully offset by adverse market conditions.

Nvidia sells US$25 billion in bonds as investors seek foothold in AI boom

DIGITIMES — Tue, 16 Jun 2026 09:07:00 GMT

Nvidia launched a sale of US$25 billion worth of high-grade bonds on June 15, ultimately garnering up to US$85 billion in orders, or more than triple the bond's original size. This is one of several debt offerings this year from tech giants, which are responding to investor excitement and a need for cash to capitalize on the AI boom.

ASML, TSMC, and imec move 2D transistors closer to manufacturing reality

DIGITIMES — Tue, 16 Jun 2026 09:00:10 GMT

ASML, TSMC, and imec have demonstrated a major advance in the effort to bring two-dimensional (2D) semiconductor materials from research laboratories into high-volume semiconductor manufacturing. At the 2026 IEEE/JSAP Symposium on VLSI Technology and Circuits, the partners unveiled a 300mm wafer integration flow that produced both n-type and p-type 2D-material transistors at a 50nm contacted poly pitch (CPP), marking the first time such scaled devices have been demonstrated using an industry-compatible process.

AI chip race sends semiconductor equipment sales to record US$36.55 billion

DIGITIMES — Tue, 16 Jun 2026 08:45:26 GMT

Global semiconductor manufacturing equipment sales reached a record US$36.55 billion in the first quarter of 2026, driven by AI-related investment in advanced logic, DRAM, and advanced packaging capacity, according to the latest Worldwide Semiconductor Equipment Market Statistics report from SEMI.

Samsung reportedly moves closer to 5nm-class MRAM as TSMC advances its roadmap

DIGITIMES — Tue, 16 Jun 2026 07:00:55 GMT

Samsung Electronics has secured key technology for a 5nm-class magnetoresistive random-access memory cell, according to Korean financial daily Sedaily, moving ahead just four months after presenting what it described as the world's first 8nm-class MRAM at an international conference.

Exclusive: Synopsys CEO eyes subscription-plus-token model in AI Agentic era

Scarlett Yu — Tue, 16 Jun 2026 06:59:59 GMT

Synopsys celebrated the 35th anniversary of its Taiwan operations and the opening of its new Hsinchu office on June 15. During the event, Synopsys CEO Sassine Ghazi sat down with DIGITIMES to discuss how agentic AI is transforming electronic design automation (EDA), semiconductor development, and the future of engineering work.

Synopsys celebrates 35 years in Taiwan, pledges continued investment

Scarlett Yu — Tue, 16 Jun 2026 06:58:41 GMT

On June 15, Synopsys celebrated the 35th anniversary of its Taiwan operations and officially opened its new office at Hsinchu Science Park X Software Park.

China mass produces silicon-28 amid quantum computing race with US

DIGITIMES — Tue, 16 Jun 2026 06:52:38 GMT

China has achieved mass production of ultra-pure silicon, according to the state-owned China National Nuclear Corporation (CNNC) — an essential material for building silicon-based quantum computers. The breakthrough builds on a government push to sharpen its quantum research edge and reduce its reliance on foreign technology supply chains more broadly.

Murata and Synopsys deepen simulation integration as electronics design complexity grows

DIGITIMES — Tue, 16 Jun 2026 06:52:36 GMT

Murata Manufacturing has partnered with Synopsys to make its latest electromagnetic and thermal simulation models directly accessible through Synopsys' Ansys HFSS and Ansys Icepak environments, simplifying engineers' workflows as they develop increasingly complex electronic systems.

Western Europe auto output set to fall by one-third by 2030, with Germany hit hardest

DIGITIMES — Tue, 16 Jun 2026 06:50:02 GMT

Western Europe's auto industry is facing a deeper relocation shock, with passenger car and light commercial vehicle production projected to shrink by about one-third between 2015 and 2030 under pressure from slower-than-expected automotive electronics and electrification progress, geopolitics, trade tensions, and the shift toward localized manufacturing.

China's Nexchip breaks into foundry top eight after AI demand lifts market to record numbers

Levi Li — Tue, 16 Jun 2026 06:49:33 GMT

AI, high-performance computing, and early pull-ins from TV, PC, and notebook supply chains pushed the global foundry market to a record high in the first quarter of 2026. China's Nexchip Semiconductor delivered the key ranking shift, overtaking Taiwan's Vanguard International Semiconductor (VIS) for the first time to become the world's eighth-largest foundry.

AMD opens EFB front beyond CoWoS, putting Taiwan substrate trio in play

Levi Li — Tue, 16 Jun 2026 06:36:05 GMT

The AI data center buildout is driving demand for high-performance computing (HPC) and networking chips, sending the global IC substrate industry into a new growth cycle. Order visibility now extends two to three years, prompting Taiwan's three leading IC substrate suppliers, Unimicron, Kinsus, and Nanya PCB, to restart capacity expansion targeting GPU, CPU, and ASIC customers.

TSMC eyes A16 mass production in 4Q26 and Intel refines 18A roadmap with 18A-P

DIGITIMES — Tue, 16 Jun 2026 06:24:47 GMT

Researchers and chipmakers presented new logic, memory, and device architectures at the 2026 IEEE/JSAP VLSI Technology and Circuits Symposium in Honolulu, with several results pointing toward pilot production and mass manufacturing.

Tesla files for supervised Full Self-Driving approval with Taiwan regulator

DIGITIMES — Tue, 16 Jun 2026 06:21:18 GMT

Tesla Taiwan announced on June 16 that it formally submitted application documents for its Full Self-Driving (Supervised) system to Taiwan's Vehicle Safety Certification Center and said it will work with the Ministry of Transportation and Communications to begin the regulatory review process. The filing covers an assisted-driving package that Tesla emphasized requires active driver supervision and remains classified as a Level 2 driver-assistance system.