Looking ahead, Taiwan's printed circuit board giant Zhen Ding Technology expects a strong growth trajectory beginning in the second quarter, as clients ramp up production on next-generation platforms. The company projects that momentum in its server and optical communications businesses will expand quarter by quarter, while its IC substrate segment is set to benefit from robust AI computing demand, driving sequential growth. Zhen Ding anticipates entering a new phase of accelerated expansion in 2026.

Prices for gallium arsenide (GaA) substrates — a key material used in power amplifiers for wireless communications — are rising, driven by surging costs for gallium, a critical upstream metal. After months of sustained increases in raw material prices, industry executives say a reversal appears unlikely.

Samsung and SK Hynix delivered record performance in 2025, driven by strong investment in AI infrastructure. Yet the gains have not flowed upstream. Materials and component suppliers are facing a second consecutive year of price cuts, with contract terms for 2026 again revised lower.

By late March, Taiwan's equity market is offering a more nuanced read of the AI infrastructure boom. While accumulated revenue and year-over-year growth through February continue to point to strong structural demand, recent share price movements suggest that the market has begun to recalibrate expectations. The result is a growing divergence between backward-looking financial data and forward-looking capital market signals.