Summary of Key Points from the Conference Call Industry and Company Overview - The report focuses on the technology sector, specifically highlighting Apple's newly launched products including the iPhone 17 series, Apple Watch Ultra 3, and AirPods Pro 3 [1][2][3]. Core Insights and Arguments iPhone 17 Specifications - The iPhone 17 series features significant upgrades: - Rear cameras upgraded from 12MP to 48MP Fusion cameras for Pro/Pro Max models [2] - Front cameras upgraded from 12MP to 18MP with enhanced software [2] - Thickness of the Air model is reduced to 5.6mm [2] - Display refresh rate increased to 120Hz from 60Hz [2] - Starting prices: iPhone 17 at US$799, iPhone 17 Pro at US$1,099 (10% increase), and iPhone 17 Pro Max at US$1,199 [2]. Apple Watch Ultra 3 Specifications - Key upgrades include: - Adoption of satellite network for emergency calls [3] - Display area increased to 1,245 sqmm with a resolution of 422x514 pixels [3] - Battery life extended to 42 hours [3] - Starting price remains at US$799 [3]. AirPods Pro 3 Specifications - New features include: - Active noise cancellation and heart rate monitoring [8] - Live translation capabilities [8]. Supply Chain and Stock Recommendations - Positive outlook on companies benefiting from Apple's supply chain: - **Buy Recommendations**: Largan, AAC, FII, Hon Hai, BYDE, TSMC, ASE, Realtek, EMC, NYPCB, Delta [1]. - **Neutral Recommendations**: Sunny Optical, JCET, BOE, Quanta, ASMPT, Vanguard, Novatek, Unimicron, Kinsus [1]. Additional Important Information - The report includes a detailed analysis of revenue exposure for various companies in the Greater China tech supply chain related to Apple products, indicating significant dependencies on Apple for revenue generation [9]. - The report emphasizes the potential for increased shipment volumes due to the new product features, which may drive replacement demand [1]. This summary encapsulates the critical aspects of the conference call, focusing on product specifications, market implications, and investment recommendations within the technology sector related to Apple.

Summary of Key Points from the Conference Call Industry Overview - **Event**: Taiwan Tech Tour held on August 19-21, focusing on AI and its impact on the technology sector [1] - **Key Themes**: - AI remains a central topic with discussions on Nvidia's B300 AI server ramp-up expected in Q3/Q4 2025 [1] - Transition to AI platforms and its potential impact in the second half of 2025 [1] - Tight supply of substrate raw materials affecting production [1] - Growth in supply chain content value anticipated from Rubin/Rubin Ultra platforms in 2026/27 [1] - Positive outlook for ASIC development into 2026 [1] - Increased R&D requirements driven by AI, with fewer suppliers expected to outperform [1] - Potential for CoWoP (Chip-on-Wafer-on-Package) technology, though challenges remain [1] Semiconductor and Equipment Insights - **Testing Interface**: Optimism expressed by testing-interface companies regarding AI GPU/accelerators demand due to a new product cycle expected in late 2025 [2] - **Wafer Sorting Complexity**: Increased complexity in wafer sorting and testing noted, with leading foundry suppliers likely to keep advanced packaging in-house [2] - **Inventory Levels**: Non-AI areas reported healthy inventory levels, with clients placing rush orders [2] Substrate and Material Supply - **Substrate Tightness**: General consensus on tightness in substrate raw materials, with larger clients less affected in the near term [3] - **CoWoP Technology**: Seen as a downgraded version of CoWoS, facing significant challenges before it can be scaled effectively [3] Hardware Supply Chain Developments - **Power Supply and Cooling**: Rising content value for power supply and cooling components highlighted, with Delta expecting server power demand to grow 35-40% YoY in 2025 [4] - **Liquid Cooling Trends**: Liquid-to-air cooling remains mainstream due to easier deployment compared to liquid-to-liquid cooling [4] - **HPC/AEC Business Growth**: BizLink anticipates content growth in HPC/AEC business, with upgrades in specifications and increased lengths for interconnects [4] Company-Specific Insights - **Delta Electronics**: - Q3 2025 sales expected to grow QoQ, with AI-related power supply and infrastructure as main drivers [12] - Anticipates liquid cooling to comprise 5-6% of total sales in 2025 [16] - **MPI Corporation**: - Plans to enter 2nm-based projects in 2026, maintaining a dominant market share in ASIC projects [13] - **Vanguard International Semiconductor**: - Expects a flat demand outlook from IT products into 2H25, with a focus on power-related products [13] - **Unimicron**: - Anticipates a significant uptick in AI-related shipments from Q4 2025, with supply constraints easing [13] - **Auras**: - Projects 35-40% YoY sales growth in 2025, with a focus on liquid cooling contributions [16] - **Lotes**: - Maintains a sales growth guidance of 13-17% YoY for 2025, with a focus on the auto business [16] Financial Outlook and Risks - **Delta Electronics Price Objective**: NT$750 based on a P/E of 29x for 2026E, justified by strong market position and growth in AI-related products [27] - **BizLink Price Objective**: NT$820 based on a P/E of 17x, reflecting expanding margins and macro uncertainties [24] - **Auras Price Objective**: NT$825 based on a P/E of 18x, driven by strong demand in the cooling component market [21] - **Risks**: Include potential softer demand in AI servers, macroeconomic uncertainties, and competition pressures [23][26][28] Conclusion The conference highlighted significant growth opportunities in the AI and semiconductor sectors, with companies like Delta, MPI, and Auras positioned to benefit from rising demand and technological advancements. However, challenges such as material supply constraints and competitive pressures remain critical considerations for investors.

Summary of Conference Call Notes Industry Overview - The focus is on the **Taiwan ABF (Ajinomoto Build-up Film) substrate market**, particularly in relation to **ASIC (Application-Specific Integrated Circuit) AI servers** and their suppliers, including **Unimicron**, **NYPCB**, and **Ibiden**. Key Points and Arguments Market Demand and Growth Projections - The **2026/27 AI server ABF Total Addressable Market (TAM)** has been raised by **35%/55%**, reflecting a strong demand outlook for ASIC AI servers, with projected shipments of **3.4 million** and **4.7 million** units in **2026E/27E** respectively, compared to **5.6 million** and **7.1 million** for GPU AI chips [1][8] - The **average selling price (ASP)** for ASIC AI substrates is expected to be **US$180/US$220** in **2026E/27E**, while GPU AI substrates are projected at **US$143/US$183** [1][8] - The combined market share for Taiwan's ASIC AI substrate suppliers (Unimicron and NYPCB) is estimated to be **71%/65%/59%** for **2025E/26E/27E**, significantly higher than the **10%/19%/21%** for GPU AI server market share [9] Supplier Performance and Projections - **Unimicron** and **NYPCB** are expected to benefit the most from the improving demand outlook, with revenue contributions from AI servers projected to reach **16%** and **20%** respectively by **2027E**, up from previous estimates of **13%** and **12%** [1][4] - **Ibiden** is also anticipated to gain market share in the ASIC AI server substrate market due to its technology leadership and plans for **40% capacity expansion** from **2025-27** [2] Pricing and Supply Chain Dynamics - Prolonged lead times for high-end ABF substrates are expected due to **T-glass material shortages**, which could lead to higher pricing despite a low equipment utilization rate (UTR) forecast of **75%** for **2H25-1H26E** [3][39] - Price hikes for ABF substrates are anticipated to occur in **late September/early October**, coinciding with quarterly contract negotiations, but may not significantly impact earnings outlook for suppliers in **2H26** [3][40] - The overall ABF substrate market is projected to grow at an **18% CAGR** from **2025-27E**, driven primarily by AI server applications [38] Earnings Revisions and Target Price Adjustments - **Unimicron**'s earnings estimates for **2025E/26E/27E** have been raised by **1%/3%/3%**, reflecting higher expected demand for ASIC AI server substrates [51] - The target price for **Unimicron** has been increased to **NT$116** from **NT$110** [4][55] - **NYPCB**'s earnings estimates have been revised upwards by **96%/67%/32%** for **2025E/26E/27E**, with a new target price of **NT$125** [57][62] Long-term Outlook and Risks - The long-term outlook for high-end ABF substrate suppliers remains positive, driven by the overall AI server demand uptrend, with an **81% CAGR** expected from **2024-27E** [10] - Key risks include slower-than-expected recovery in PC demand, delays in ABF substrate upgrades, and challenges in qualifying new high-end capacities [66] Additional Important Insights - The report emphasizes the potential conflict of interest due to Goldman Sachs' business relationships with the companies covered in the research [4] - The analysis suggests that while short-term oversupply may weigh on stock performance, the long-term demand growth for high-end substrates will support earnings [44]

Summary of Key Points from the Conference Call Industry Overview - The discussion centers around the semiconductor packaging industry, specifically focusing on NVIDIA Corporation (NVDA) and its proposed technology shift from CoWoS (Chip-on-Wafer-on-Substrate) to CoWoP (Chip-on-Wafer-on-PCB) packaging technology [1][2]. Core Insights and Arguments 1. **CoWoP Technology Proposal**: NVDA is considering replacing CoWoS with CoWoP, which utilizes advanced PCB technologies like mSAP and SLP to enhance performance by eliminating the ABF substrate layer [1]. 2. **Potential Benefits of CoWoP**: - Simplified system structure leading to reduced transmission losses and improved NVLink interconnect range [1]. - Enhanced thermal management and lower power consumption [1]. - Decreased substrate costs, which have been increasing with each generation [1]. - Possible reduction in backend testing steps [1]. 3. **Commercialization Challenges**: The likelihood of CoWoP being commercialized in the medium term is assessed as low due to significant technological hurdles, including the need for finer line/space dimensions and the current limitations of PCB technology [2]. 4. **Current Roadmap Conflicts**: NVDA's established roadmap, which includes CoWoS-L and CoPoS, appears contradictory to the new direction of CoWoP, indicating a potential preference for more mature technologies [2]. 5. **Supply Chain Implications**: If CoWoP is adopted, it could negatively impact ABF substrate players as the value add from substrates may diminish, while PCB makers with advanced capabilities could benefit [7][8]. 6. **Testing and Foundry Impact**: CoWoP may alter the testing landscape by reducing the number of testing steps but could increase demand for board-level testing, which may lead to a shift in testing equipment spending [11][12]. Additional Important Insights 1. **Market Participation**: There is limited participation from high-value packaging players like TSMC in the CoWoP development, which may hinder its commercialization prospects [5]. 2. **Material Considerations**: The high current and voltage requirements of PCBs may exclude certain materials, suggesting that improved versions of mSAP will likely be used for platform PCBs [9][10]. 3. **Investment Requirements**: Significant investments in clean rooms, automation, and lithography tools will be necessary for the successful implementation of CoWoP, indicating a high barrier to entry for new players [8]. 4. **NVIDIA's Leadership**: Regardless of the success of CoWoP, NVDA is positioned as a leader in datacenter AI infrastructure, continuing to innovate in packaging technologies and system-level approaches [13]. Companies Discussed - **NVIDIA Corporation (NVDA)**: Focused on advanced packaging technologies and AI infrastructure [20]. - **TSMC**: Noted for its limited engagement in the CoWoP technology development [12]. - **ABF Material Vendors**: Companies like Ajinomoto and Ibiden may face negative impacts from the shift to PCB-based technologies [7]. - **PCB Manufacturers**: Unimicron is highlighted as a strong player due to its involvement in advanced PCB technologies [8][10]. This summary encapsulates the key points discussed in the conference call, providing insights into the potential shifts in the semiconductor packaging landscape and the implications for various stakeholders.

Summary of Key Points from the Conference Call Industry Overview - The conference call focuses on the **Greater China Technology Hardware** industry, particularly the implications of **Amazon's** results for **Asia Pacific Tech Hardware Stocks** [1][4]. Core Insights - **Amazon's Investment Strategy**: Amazon has expressed a positive outlook on continued investments in **data centers, chips, and power** to capitalize on large **Generative AI** opportunities, which is expected to positively impact its data center hardware supply chain [2][7]. - **AWS Performance**: Amazon Web Services (AWS) reported a revenue of **US$30.9 billion**, reflecting a **17.5% year-over-year increase**. The annualized revenue run rate has increased to **US$123 billion** from **US$117 billion** in the previous quarter [7]. - **Capital Expenditure**: Amazon's capital expenditure for the second quarter was **US$31.4 billion**, with management indicating that this level of investment is expected to continue into the second half of 2025, primarily driven by AWS [7]. - **Supply Constraints**: AWS is currently facing supply constraints in several areas, including **power, chips, and server components**, indicating that demand still exceeds supply [7]. Company-Specific Insights - **Unimicron and NYPCB**: Within the coverage, **Unimicron** (focused on ABF substrates for Trainium) is rated **Equal-weight (EW)**, while **NYPCB** (ABF substrates for networking chips) is rated **Underweight (UW)** due to concerns over **ABF overcapacity** and **stretched valuations** [3]. - **Trainium Supply Chain**: Companies like **Wiwynn** and **Gold Circuit** are favored in the **Trainium2 server supply chain**, while **Quanta** and **Wistron** are identified as beneficiaries of AI GPU server demand [8]. Additional Important Information - **Analyst Ratings**: The report includes various stock ratings for companies within the Greater China Technology Hardware sector, indicating a mix of **Overweight (O)**, **Equal-weight (E)**, and **Underweight (U)** ratings across different companies [64]. - **Investment Banking Relationships**: Morgan Stanley has disclosed potential conflicts of interest due to its investment banking relationships with several companies mentioned in the report [5][20]. This summary encapsulates the critical insights and data points from the conference call, providing a comprehensive overview of the implications for the technology hardware sector in the Asia Pacific region.

Summary of Conference Call Notes Industry Overview - **Industry**: Greater China Technology Hardware - **Date**: July 29, 2025 - **Analysts Involved**: Howard Kao, Shoji Sato, Shawn Kim, Joseph Moore, Charlie Chan, Sharon Shih Key Points on Nvidia and CoWoP Technology - **Nvidia's Chip Packaging Technology**: There is speculation regarding Nvidia's potential adoption of CoWoP (Chip on Wafer on PCB) for its next-generation data center GPUs, specifically Rubin Ultra [3][4] - **Current Technology**: Nvidia currently utilizes TSMC's CoWoS (Chip on Wafer on Substrate) technology, which reportedly has a yield rate close to 100% [6] - **Challenges with CoWoP**: - The transition to CoWoP would require a significant reduction in the line/space (L/S) of the PCB to below 10/10µm, which is currently challenging given that average HDI PCBs are at 40/50µm [4] - The complexity and risks associated with shifting to CoWoP, including yield risks and supply chain reshuffling, make it unlikely for Rubin Ultra to adopt this technology in the near term [4] - **Potential Development**: Nvidia may still be developing CoWoP technology alongside existing mass production methods to address issues like substrate warpage and supply tightness [5] Implications for Suppliers - **Beneficiaries of CoWoP**: If CoWoP is adopted, suppliers with mSAP (modified semi-additive) manufacturing capabilities, such as Zhen Ding and Unimicron, could benefit [12] - **Negative Impact on ABF Suppliers**: Companies like Ibiden and Unimicron, which are key partners for Nvidia's AI GPU substrates, may face negative implications if CoWoP becomes widespread [12] Valuation and Risks - **Unimicron Valuation**: The target price-to-book (P/B) ratio for Unimicron is set at 1.2x for 2025, reflecting a decrease from the 2020-23 average of 2.2x due to expected lower return on equity (ROE) [15] - **Risks to Upside**: - High-value-added ABF package products could support earnings more than anticipated [17] - Better-than-expected demand for ABF substrates from PC and server customers [20] - **Risks to Downside**: - Sudden demand shortfalls and technological changes that reduce the need for ABF substrates could negatively impact suppliers [20][25] Additional Insights - **CoWoP vs. CoWoS**: CoWoP aims to resolve issues like substrate warpage and improve cooling efficiency, but the high yield rate of CoWoS presents a strong argument for its continued use [7][11] - **Market Dynamics**: The shift towards CoWoP could lead to increased competition and pricing pressure among suppliers, particularly in the context of evolving technology and market demands [20][25] This summary encapsulates the critical insights from the conference call, focusing on Nvidia's technology developments, implications for suppliers, and the broader market context within the Greater China Technology Hardware industry.

Summary of Key Points from J.P. Morgan's Research on PCB, CCL, and Substrates Industry Overview - The report focuses on the PCB (Printed Circuit Board), CCL (Copper Clad Laminate), and substrates markets, particularly in the context of AI applications and supply chain dynamics [1][3]. Core Insights 1. **Tight Supply Chain for PCBs**: The PCB supply chain is expected to remain tight or face shortages due to rising specifications and modest capacity additions, particularly in Southeast Asia, which is not yet equipped to produce AI PCBs [3][8]. 2. **New Entrants in AI PCB Market**: There is potential for new suppliers to enter the AI supply chain, especially for major ASIC projects that require high layer count PCBs. Current leading GPU servers utilize HDIs but may revert to multi-layer PCB designs by 2026, which could exacerbate supply tightness [3][8]. 3. **Cooling Methods for ASICs**: Shipments for major ASIC servers are expected to rise in the second half of the year. Liquid-cooled motherboards are anticipated to start shipping in Q3, while air-cooled boards will remain dominant. This dual approach may mitigate the impact of design changes on CCL/PCB suppliers [3][8]. 4. **BT Substrate Price Trends**: The utilization rate (UTR) of BT substrates has increased to 80-90%, contrasting with sluggish performance in previous years. Price hikes are likely due to rising gold prices, although widespread price increases for BT substrates have not yet been observed [3][4][8]. 5. **Impact of Midplane PCB**: The introduction of midplane PCBs in future AI GPU servers is seen as a significant opportunity for the PCB/CCL industry, potentially creating a USD 1 billion annual market. However, the high capacity required for ultra-high layer count designs poses challenges [3][8]. 6. **Capex Expansion Expectations**: PCB and CCL manufacturers are expected to announce further capital expenditure expansions in the next six months due to sustainable supply tightness. China may become a focal point for these expansions, moving away from Southeast Asia [3][8]. Additional Considerations - **Substrate Expansion Outlook**: Substrate expansions are expected to be more subdued due to uncertainties in T-glass supply and modest UTR. The growth rate for ABF supply may fall below the current expectation of 7-8% per annum as some tier-2 suppliers consider suspending or disposing of tools [3][8]. - **Market Dynamics**: The report emphasizes the structural nature of the current supply shortages, driven by increasing board design complexity and the need for advanced materials [3][8]. This summary encapsulates the critical insights and projections regarding the PCB, CCL, and substrates markets as discussed in the J.P. Morgan research report.

Summary of Key Points from the Conference Call Industry Overview - The focus is on the **Global Semiconductors & Hardware** industry, specifically the **AI server and edge AI** sectors [2][3]. Core Insights and Arguments - **Investment Surge**: Total investment in upcoming and under-construction data centers has reached approximately **US$750 billion**, with major contributions from hyperscalers, neoclouds, and sovereign funds. Expected capex growth for major cloud service providers (CSPs) is **46% YoY in 2025** and **6% in 2026**, reaching **US$386 billion** [3][30]. - **AI Funding**: Primary market AI funding hit a record **US$60 billion** in 1Q25, largely driven by OpenAI's **US$40 billion** financing round, representing **53% of all global startup funding** [25][30]. - **Server Shipments**: High-end GPU server shipments are projected to grow over **50% in 2025**, while ASIC server shipments are expected to comprise nearly **45% of total AI chip shipments** this year [4][37]. - **Financial Performance**: The AI supply chain remains resilient, with companies like Accton, Gold Circuit, and Wiwynn seeing upward revisions in earnings due to stronger-than-expected demand for ASIC servers [6][38]. Important Developments - **Edge AI Innovations**: While edge AI technologies are gaining traction, they are still in the early stages. AI glasses shipments surged by triple digits YoY in 1Q25, indicating competitive dynamics in the market [7]. - **Key Projects to Monitor**: Upcoming developments include monitoring capex guidance from CSPs, progress on mega projects like Stargate, and advancements in TSMC's AP7/AP8 technologies [8][26]. Potential Investment Opportunities - **Chroma and Delta**: Rated as outperform with price targets of **NT$480** and **NT$490** respectively, benefiting from the AI wave [11][12]. - **NVIDIA**: Rated outperform with a price target of **US$185**, capitalizing on the datacenter opportunity [17]. - **Broadcom and Marvell**: Broadcom expects a **US$60-90 billion** serviceable available market (SAM) for AI revenue by FY2027, while Marvell anticipates a **53% CAGR** in its data center total addressable market (TAM) from 2023 to 2028 [53][56]. Other Notable Points - **Market Dynamics**: The AI server market is expected to drive the global server market to nearly **US$400 billion by 2026**, with a significant increase in the mix of AI servers [35][39]. - **Supply Chain Resilience**: Despite market volatility, the AI supply chain has shown resilience, with stock performance of key suppliers indicating a recovery trend [6]. This summary encapsulates the critical insights and developments discussed in the conference call, highlighting the robust growth and investment opportunities within the AI server and semiconductor sectors.

Investment Rating - The report does not explicitly provide an investment rating for the industry or specific companies involved in AI ASIC servers. Core Insights - The AI ASIC market is expected to grow significantly, with Meta's MTIA AI servers potentially marking a milestone in 2026. The total AI ASIC volume could exceed nVidia's AI GPU volume by 2026 [1][3][12] - nVidia currently dominates the AI server market with over 80% market value, while ASIC AI servers hold approximately 8-11% market value share. However, unit comparisons suggest that Google and AWS's AI ASICs could reach 40-60% of nVidia's GPU volume by 2025 [1][3] - Meta's MTIA AI server is projected to ramp up significantly, with expectations of 1 to 1.5 million units of MTIA V1 and V1.5 by late 2025 to 2026 [10][12] Summary by Sections AI ASIC Market Dynamics - The AI ASIC market is experiencing aggressive growth, with more cloud service providers (CSPs) developing their own ASIC solutions, including Meta and Microsoft [1][3] - nVidia is responding to competition by unveiling NVLink Fusion, which allows inter-chip connections between its GPUs and third-party CPUs, indicating a proactive approach to maintain its market position [2] Meta's MTIA AI Server Development - Meta's MTIA AI server is set to launch its first ASIC (MTIA T-V1) by late 2025, with subsequent versions (V1.5 and V2) expected in mid-2026 and 2027, respectively [9][10] - The MTIA T-V1.5 is anticipated to be significantly more powerful than V1, with a larger interposer size and complex design [9][10] Supply Chain and Component Insights - Key suppliers for Meta's MTIA projects include Quanta, Unimicron, EMC, WUS, and Bizlink, which are expected to benefit from the growing demand for AI ASICs [12][13][14][15][19] - The report highlights the importance of baseboard management controllers (BMCs) in Meta's ASIC AI server development, with an estimated 23 BMCs per rack [17][18] Competitive Landscape - Despite nVidia's current leadership in AI computing, the report suggests that the gap is narrowing as ASIC solutions improve in specifications and performance [3][7] - The specifications of AI ASICs from companies like Google and AWS are catching up to nVidia's offerings, although nVidia still holds advantages in connectivity and ecosystem [7][8]

Key Takeaways from the Taipei Computex Industry Overview - The report focuses on the Asia Tech Hardware industry, particularly highlighting developments from the Taipei Computex event held from May 20 to May 23, 2023. Key companies involved include Foxconn (2317 TT), Auras (3324 TT), Lite-on (2301 TT), Lotes (3533 TT), Winway (6515 TT), AVC (3017 TT), and Zhending (4958 TT) [1][1]. Core Insights - **GB300/B300 Display**: The GB300/B300 display was a focal point at the Computex, featuring computing trays with Cordelia interfaces and 20 sets of quick disconnect (NVQD). The GB300 is expected to adopt the Bianca design moving forward [2][2]. - **Component Shipments**: Component shipments for GB300 servers are anticipated to commence in Q3 2025, with limited rack shipments expected in Q4 2025. For the GB200, supply chain bottlenecks have been resolved, potentially increasing rack shipments to 7-8K in Q2 and reaching 10K in Q3 2025 [2][2]. - **Nvidia Collaboration**: Suppliers involved in the Cordelia design, such as Lotes, will continue to work with Nvidia to address issues in the new compute tray design planned for 2026 [2][2]. - **Market Confusion**: Investors expressed confusion regarding similar products from various suppliers at Computex. Inclusion in Nvidia's verified list (NVL) is crucial for securing orders, as CSPs ultimately determine key component suppliers [2][2]. - **Liquid Cooling Solutions**: Delta has gained significant traction among hyperscalers, with liquid cooling revenue expected to exceed NT$20 billion this year. Early entrants like AVC and Delta maintain healthy profitability despite competition [2][2]. Future Trends - **Datacenter Cooling Solutions**: Liquid-to-liquid (L2L) cooling and 800V HVDC are emerging as future solutions for datacenter cooling and power. New datacenters are increasingly adopting L2L solutions, while Nvidia collaborates with suppliers for 800V HVDC to support 1MW server racks by 2027 [2][2]. Investment Ratings - **Quanta Computer Inc (2382.TT)**: Rated Underperform with a target price of NT$240 [5][5]. - **Chroma ATE Inc (2360.TT)**: Rated Outperform with a target price of NT$480 [6][6]. - **Delta Electronics Inc (2308.TT)**: Rated Outperform with a target price of NT$490 [7][7]. - **Unimicron Technology Corp (3037.TT)**: Rated Outperform with a target price of NT$165 [7][7]. - **Luxshare Precision Industry Co Ltd (002475.CH)**: Rated Outperform with a target price of RMB47 [7][7]. Risks and Considerations - **Quanta Computer Inc**: Risks include higher-than-expected demand for AI servers and lower-than-expected demand for AI chips [49][49]. - **Chroma ATE Inc**: Risks include competition in the AI chip market and slower EV penetration [49][49]. - **Delta Electronics Inc**: Risks include competition in AI server power components and potential delays in the recovery of the automation market [55][55]. - **Unimicron Technology Corp**: Risks include weaker-than-expected demand for key products and margin pressures [55][55]. - **Luxshare Precision Industry Co Ltd**: Risks include competition and slower-than-expected market recovery [55][55]. Additional Insights - The report emphasizes the importance of securing orders through Nvidia's verified supplier list and highlights the competitive landscape among suppliers in the Asia Tech Hardware industry [2][2].