AI applications and preventive inventory stocking in the supply chain are providing support ?X Taiwan??s foundry industry revenue is expected to reach US$130 billion in 2025, with over 10% growth projected for 2026.

Foxconn chairman Young Liu used the company’s latest earnings call to deliver a message: artificial intelligence is no longer just a growth driver—it is now the most decisive force shaping Foxconn’s future.

Samsung Electronics is targeting 2027 to turn its foundry business profitable, driven by expected orders from major clients such as Tesla and the full-scale operation of its new Texas fab, according to South Korean media outlet ET News. The company has reportedly shared this goal with partners while outlining future investment plans.

Taiwan’s major materials distributors — Niching Industrial, Wah Lee Industrial, Topco Scientific (TSC), and Chang Wah Electromaterials (CWE) — have released their latest earnings reports and outlooks for the fourth quarter of 2025. Many are benefiting from booming demand in semiconductor packaging and testing, with heat sinks and lead frames driving double-digit annual growth for Niching in October.

The escalating need for AI computing power is significantly accelerating global data center construction and prompting server upgrades. Market forecasts indicate that capex by the four major US cloud service providers (CSPs)—including AWS, Microsoft, Meta, and Google—is expected to increase by 31% annually through 2026, signaling sustained strong growth in the sector.

Electronic components supplier Chicony Electronics reported stable growth in the third quarter of 2025, supported by higher sales of high-margin products, a slight depreciation of the New Taiwan dollar, and ongoing product mix optimization strategies. Revenue increased 1% quarter-on-quarter to NT$24.808 billion (US$799.3 million), while net profit after tax rose 23% quarter-on-quarter to NT$2.086 billion.