Taiwan's IC design houses are gearing up to prepare new AI-related chip products for the second half of the year, in response to positive feedback from both enterprise and consumer markets in AI applications.
Industry observers are skeptical of market demand for non-AI-related applications and products, with shipment growth restricted unless they are AI-related.
Leading IC design houses in Taiwan have made significant deployment in AI applications. MediaTek, a leader in edge AI, has integrated AI into various computing SoC platforms such as smartphones, and introduced AI algorithms into wireless networking chips to enhance transmission capabilities.
Novatek Microelectronics and Realtek Semiconductor, although not primarily producing computing chips, have also incorporated AI technology into their SoC products and various imaging and audio chips. Himax Technologies has introduced a series of AI imaging solutions. These leading fabless chipmakers are highly confident in their medium to long-term growth due to their extensive adoption of AI technology.
Meanwhile, the ability of small and medium-sized IC design houses to keep pace with AI development has become a focal point of the market. Most semiconductor companies have noted that without signs of a significant economic recovery, shipment momentum is only likely to improve slightly without the boost from AI applications.
Acknowledging this dilemma, Sunplus Technology has developed a new generation of AI computing platforms targeting various AIoT applications to strengthen edge AI capabilities. ELAN Microelectronics is integrating its AI algorithms into existing product lines such as touchpads and fingerprint recognition modules, while leveraging other affiliated companies to develop automotive-related AI imaging, effectively entering the automotive market.
Egis Technology is undergoing a business transformation through mergers and acquisitions, shifting its focus from fingerprint recognition chips to AIoT-related ASIC businesses. The company's strengths lie in various computing and data transmission-related IPs. Fitipower Integrated Technology has also begun introducing AI solutions, making its product line more comprehensive.
Additionally, some IC peripheral design companies targeting AI applications are preparing to launch new products to accelerate growth in the second half of the year. Parade Technologies is introducing a USB4 retimer for AI PCs and a PCIe Gen5 retimer for the cloud market.
Weltrend Semiconductor's USB-PD ICs and motor driver ICs will also be shipped alongside AI PCs and AI servers. While PMIC and DDI companies may not benefit from AI to the same extent as other chip types, they still have the opportunity to gain momentum from specification upgrades.
