Memory price increases are expected to moderate in the second half of 2026, but shortages will remain severe, particularly for DRAM, according to Apacer CEO C.K. Chang.

Yunnan Germanium has secured a major supply deal for indium phosphide (InP) wafers, underscoring how AI data center buildouts are reshaping global demand for high-speed optical parts. The contract could bolster the company’s revenue base, but execution risks, capacity expansion, and market swings will determine how much benefit reaches investors and customers worldwide.

China’s AI computing infrastructure is developing along two sharply divergent paths. As large language models and AI agents gain traction across industries, rapidly rising token consumption is driving shortages of advanced computing capacity. At the same time, portions of the country’s installed lower- and mid-tier capacity remain underutilized because of software compatibility issues, weak coordination between supply and demand, and inadequate resource scheduling.