Urgent orders boost memory packaging and testing in 2Q25; AI stabilizes variables for 2H25

Benefiting from a rapid recovery in memory market demand during the first half of 2025, memory packaging and testing companies are sharing in the gains. Although the US 90-day tariff exemption period is about to expire, increasing uncertainties around order visibility starting from the third quarter are expected to make customers adopt more conservative stocking strategies.

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New front opens in CPO, SiPh race: TSMC and Taiwanese supply chain in the lead

Surging demand for AI compute is driving global investment in GPUs, ASICs, and next-generation datacenter infrastructure. As conventional electronic interconnects fall short of meeting high-bandwidth, low-latency data exchange needs, silicon photonics (SiPh) and co-packaged optics (CPO) are emerging as foundational technologies for next-generation AI system performance.

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Taiwan launches multi-pronged AI strategy to advance innovation and global competitiveness

Taiwan’s Ministry of Digital Affairs (MODA) has introduced a comprehensive set of artificial intelligence (AI) development policies, emphasizing the private sector as the primary engine of innovation. Minister Yen-nun Huang noted that the government’s role is to create an enabling environment through targeted policy tools that support a vibrant and sustainable AI ecosystem.

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