As the world shifts toward an "everything AI" paradigm, compute demands are rapidly outpacing hardware performance gains, ushering in what industry leaders are calling a golden decade for custom-designed AI chips (ASICs), beginning in 2025.
Flexible copper clad laminate maker Taiflex Scientific Co. said downstream customers increased inventory purchases in the first quarter amid uncertainty over new US tariff policies, driving shipment momentum for standard materials. The Taiwan-based manufacturer expects consumer electronics demand to face headwinds from macroeconomic volatility, though it doesn't anticipate destocking pressure in the second half of 2025.
Generalplus has announced that its self-developed MCU product, the GPM32F9010RLQ, has passed the AEC-Q100 Grade 1 automotive-grade certification. This milestone represents the company's initial entry into the automotive electronics market, with a product meeting stringent industry standards. The certification verifies that the MCU complies with critical automotive requirements concerning functional safety, environmental tolerance, and reliability.
With US-China tariff tensions intensifying and global manufacturers racing to decentralize their supply chains, Southeast Asia is emerging as the new strategic hub for IC distributors. Beyond the geopolitical calculus, companies are increasingly drawn to the region's potential as a high-growth cluster for automotive electronics, IC testing and packaging, and emerging tech ecosystems.
Bosch Global Software Technologies (BGSW) has signed a Memorandum of Understanding (MoU) with Chennai-based fabless semiconductor startup Mindgrove Technologies to jointly develop high-performance system-on-chip (SoC) solutions aimed at applications in automotive, industrial automation, consumer electronics, and smart IoT infrastructure.
At Nvidia's 2025 annual shareholder meeting, CEO Jensen Huang presented the company's strategic outlook for the coming decade, emphasizing the critical role of AI infrastructure, the expansion of US-based manufacturing, and the acceleration of next-generation computing technologies. His remarks highlighted both Nvidia's near-term momentum and long-term investments to address a global surge in demand for advanced AI systems.
Taiwanese chipmakers TSMC and ASE Holdings are quietly positioning themselves at the forefront of panel-level packaging (PLP), an emerging advanced packaging format poised to succeed wafer-level CoWoS as AI chip demand scales. Unlike traditional wafer-level methods, PLP uses large square panels instead of circular wafers, allowing more chips to be packaged simultaneously, which boosts throughput and reduces costs. Long considered a niche technology, PLP is gaining traction as GPU makers explore it for next-generation AI accelerators.
In a sharply bifurcated foundry landscape, TSMC continues to assert dominance, driven by surging AI demand, even as macroeconomic headwinds—including stronger tariffs and a strengthening New Taiwan dollar—threaten to erode profitability across the broader sector. Chairman C. C. Wei remains undeterred, projecting record-high revenue and net income for 2025 despite mounting operational frictions.
Chin-Ching Liu, chairman of the National Development Council (NDC), stated during a briefing at Taiwan's Economic Committee on June 25 that manufacturers' annual shipments are usually fixed. If customers pull orders forward in the first half of 2025, caution should be exercised for the second half. Additionally, Nvidia's GB300 chip will begin shipping in the second half of the year, supporting Taiwan's export performance. Private investment in Taiwan is projected to reach NT$5.7 trillion (US$194.1 billion) for the full year, potentially driving GDP growth by an additional 3.1 percentage points.
China's semiconductor equipment industry is witnessing renewed consolidation as leading toolmaker Naura Technology assumes control of Kingsemi, a specialist in lithography systems. The boardroom shake-up signals a strategic effort by China to streamline its equipment ecosystem and accelerate the development of homegrown technologies for advanced front-end chip manufacturing.
Micron's ATMP facility in Sanand, Gujarat, has reportedly entered the critical cleanroom validation stage, moving closer to partial operations in the second half of 2025. The 500,000-square-foot cleanroom marks a major milestone in the delayed US$2.75 billion project, which aims to boost India's semiconductor manufacturing capabilities.
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