Demand for AI servers was strong in June for Taiwanese IT vendors
Taiwanese technology and chip suppliers experienced strong sales in June, driven by increasing demand for artificial intelligence (AI) servers and a recovery in the computer sector, according to a report from Nikkei Asia on Friday, July 12.
Key Highlights
Revenue Growth: Taiwan’s 19 largest tech companies reported a combined revenue of NT$1.24 trillion (US$38.05 billion) in June, marking a 13.5% year-over-year increase. This growth represents the fourth consecutive month of rising revenue for these companies.
Chip Sector:
Asus: Sales increased by 21.5%, attributed to the launch of new computers with enhanced AI performance and robust sales of AI servers.
Compal Electronics: Recorded a 1.3% increase in sales, its first year-over-year rise in five months, due to increased computer demand.
Quanta Computer: Saw a 23.4% rise in sales, driven by growth in AI server sales as GPU shortages eased.
Foxconn: Reported a 16.1% increase in sales, bolstered by rising server and computer sales, though smartphone sales declined.
Pegatron: Experienced a 14.2% decline in sales.
Taiwan Semiconductor Manufacturing Co. (TSMC): Achieved a revenue of approximately NT$207.87 billion in June, a 32.9% year-over-year increase. TSMC noted strong demand in the high-performance computing (HPC) market and for its 3nm and 5nm chips, projecting Q2 revenue between US$19.6 billion and US$20.4 billion.
United Microelectronics Corporation (UMC): Reported a 7.9% sales decline in June due to a slower recovery for mature processes.
MediaTek: Recorded a 12.8% growth in sales for June.
The overall positive performance in June underscores the growing influence of AI technology and the recovery in traditional computing sectors, indicating a robust market for Taiwan's tech and chip manufacturers.
