Shanghai Fudan Microelectronics Group said its first-half earnings will rise sharply, reflecting stronger chip demand and a recovery in the sector that may matter to global electronics and industrial supply chains. The company also cited gains from product upgrades and an investment valuation boost.

Novatek reported June revenue of NT$10.023 billion, up 6.48% from the previous month and 18.96% from a year earlier, pushing second-quarter revenue to NT$28.66 billion. The chip designer’s second-quarter result rose 24% quarter over quarter and 9.59% year over year, topping its earlier forecast of NT$27.5 billion to NT$28.5 billion.

US cloud service providers (CSPs) are continuing to expand AI-related capex, which has in turn driven up data center server rack specifications and power architectures. As a result of the continued rise in per-rack power consumption, high-voltage direct current (HVDC) power racks are expected to enter the market starting from the second half of 2026, with initial shipments focused on select platforms and specific customers.