Following inventory corrections and demand adjustments in the global ICT industry from 2023 to 2025, the sector’s economic landscape has shown clear divergence. AI server demand centered on data center construction continues to expand rapidly, standing out as one of the few high-growth areas. In contrast, industrial applications such as industrial PCs (IPCs), automation equipment, and machine tools have seen slower-than-expected recovery due to high inflation, rising geopolitical risks, and cautious corporate capital expenditures.

Chinese AI startup Z.ai issued a rare public apology on February 21 after its new large model, GLM-5, rollout triggered user backlash over billing, throttling, and flaws in its upgrade mechanism, underscoring operational risks as large AI models rapidly advance.

What if the next pillar of the global semiconductor industry isn’t built in one country — but three?

Huawei’s 2025 annual revenue exceeded CNY880 billion (US$127.6 billion), driven by artificial intelligence and its HarmonyOS ecosystem.