Summary of Key Takeaways from SEMICON Taiwan 2025 Industry Overview - The conference focused on the semiconductor industry, particularly advancements in probe card technology and packaging solutions, with significant participation from various companies in the sector [1][2][3]. Company Highlights MPI (6223.TWO; Buy) - MPI presented various probe card solutions, including: - **Kestrel Probe Card**: Designed for low force probing, ideal for pitches above 70μm, applicable in HPC/AI ASICs/GPUs. - **Osprey Probe Card**: Targets finer pitches down to 40μm, suitable for SSD and networking applications. - **EVS Probe Card**: Features MEMS-like characteristics, ideal for pitches above 80μm with higher current carrying capacity [2]. - Management noted a significant increase in average pin counts for AI/HPC applications, rising from 20-25k to over 30k pins, with expectations to expand MEMS capacity to 2 million pins by Q1 2026 [3]. WinWay (6515.TW; Buy) - WinWay introduced a new product, the **hyper socket**, which addresses sensitive contact resistance test requirements and is priced 20-30% higher than coaxial sockets. Demand for system-level testing (SLT) is expected to be 4-5 times larger than final testing (FT) [4][6]. - Management anticipates flattish revenue growth into 2026, supported by MEMS probe card demand for CPU/networking applications [7]. GPTC (3131.TWO; Buy) - GPTC expects sequential revenue growth into Q3 and Q4 2025, driven by strong demand from OSAT customers. Management is optimistic about maintaining at least flattish growth in 2026 [8]. - The company has introduced a new X-ray inspection tool for defect detection, which is expected to contribute to earnings in 2026 and beyond [9]. All Ring (6187.TWO; Buy) - All Ring showcased its latest **CPO Active Alignment equipment**, which automates the bonding of Fiber Array Units onto Photonic Integrated Circuits. The company is also expanding its underfill solutions for panel-level packaging, with initial shipments expected in 2026 [10][11][13]. - Management anticipates that CoWoS equipment shipments in 2026 will match or exceed 2025 levels, driven by innovations in advanced packaging technologies [13]. Kinik (1560.TW; Not Covered) - Kinik reported a significant increase in market share for diamond disks, rising from 30-40% at mature nodes to 70% at the 3nm node, with expectations to reach 80% at the 2nm node. The company plans to expand reclaim wafer capacity from 300kwpm in 2025 to 400kwpm in 2026 [15][16]. PVI (7768.TWO; Not Covered) - PVI's CMP pads are expected to be a primary growth driver, with management confident in increasing market share from a current 3%. The company is expanding capacity with two new fabs expected to be operational in Q1 2026 [20]. G2C Alliance - C Sun (2467.TW; Not Covered) - C Sun reported that semiconductor and PCB-related revenue accounted for 40% and 51% of total revenue in 1H25, respectively. The company is making strides in advanced packaging and expects initial client demand for burn-in testing ovens in Q4 2025 [21]. GPM (5443.TWO; Not Covered) - GPM is supplying new CMP equipment to reclaim wafer manufacturers, responding to rising quality requirements as the industry transitions to the 2nm node [22]. GMM (6640.TW; Not Covered) - GMM holds over 90% market share in the chip sorter market and anticipates rapid growth in its chip bonder segment, with expectations for 2H25 revenue to surpass 1H25 [23]. Valuation and Risks - **MPI**: Target price of NT$1,420, with risks including softer AI/HPC demand and intensifying competition [25][26]. - **WinWay**: Target price of NT$1,465, with similar risks as MPI [27][28]. - **GPTC**: Target price of NT$1,900, with risks including slower adoption of new technologies [29][30]. - **All Ring**: Target price of NT$475, facing risks related to AI/HPC demand and competition [31][32]. Conclusion - The semiconductor industry is poised for growth, particularly in AI and HPC applications, with companies like MPI, WinWay, and GPTC leading innovations in probe card technology and advanced packaging solutions. The outlook for 2026 appears optimistic, although potential risks related to demand and competition remain.