Taiwan’s semiconductor industry is expected to post annual growth of 16.2 percent to top NT$6 trillion (US$183.51 billion) in production value for the first time, driven by artificial intelligence (AI) and high-performance computing devices, the Industrial Technology Research Institute (工研院) said yesterday.
That would mean that Taiwan would continue to outgrow the global semiconductor industry, which is estimated to climb 11.2 percent to NT$697.9 billion this year, the institute said.
The production value of the local semiconductor industry is expected to rise to NT$6.17 trillion this year, compared with NT$5.31 trillion last year, which was up 22.4 percent year-on-year, the institute said, adding that Taiwan would be the major beneficiary of the AI boom.
Photo: CNA
Foundry service providers, such as Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), are set to outpace all other semiconductor segments again this year by growing production value by 20.1 percent to NT$3.89 trillion, accounting for 63 percent of the semiconductor industry’s total output.
TSMC last month said that its revenue this year would grow at an annual rate of 25 percent on robust AI demand and demand for advanced 3-nanometer and 2-nanometer chips.
Chip designers, led by smartphone chip designer MediaTek Inc (聯發科), followed with production value estimated to grow 11.3 percent to NT$1.41 trillion this year, marking a second straight year of growth.
Memorychip makers are to grow production value by 6.3 percent this year to NT$186.7 billion, but this segment is expected to suffer from an annual decline of 13.3 percent this quarter, marking a second consecutive quarter of contraction, the institute said.
The production value of chip packagers is to rise 8.9 percent this year to NT$460.8 billion, while chip testers are to post 9.6 percent growth to NT$219.5 billion, it said.
ASE Technology Holding Co (日月光投控), the world’s biggest provider of chip packaging and testing, last week gave an optimistic revenue growth forecast for its advanced packaging and testing services this year thanks to rising demand.
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