G-Tech Optoelectronics Corp (正達國際), which makes cover glasses used in touch-panel displays, planned to expand its capital spending fivefold to NT$5 billion (US$173.4 million) on expanding capacity to meet voracious demand for Apple Inc’s iPhones and iPads, a company executive said.
Last year, the Miaoli-based company allocated NT$1 billion to new equipment, G-Tech spokesman Tony Chiu (邱火生) said.
G-Tech, which is nearly 43 percent owned by electronic service provider Hon Hai Precision Industry Co (鴻海精密) via its subsidiaries, primarily makes cover glass and indium tin oxide (ITO) glass used in touch panels for tablet devices. Hon Hai makes iPhones and iPads for Apple.
In recent months, there has been speculation that G-Tech might be involved in a major restructuring plan under close study by the nation’s top LCD panel maker, Chimei Innolux Corp (奇美電子).
Chimei, an LCD manufacturing arm of Hon Hai, is considering spinning off its handset and tablet manufacturing business unit to create a new entity. However, the plan seems to be in limbo now.
Solid demand for its cover glass and ITO glass has helped revenues grow more than fourfold year-on-year, or 20.59 percent month-on-month, to NT$574 million last month.
“Business looks quite good. Revenues in April and May will be higher [than in previous months],” G-Tech vice president Jason Huang (黃敏書) told reporters on the sidelines of a seminar arranged by Topology Research Institute (拓墣產業研究所) on Wednesday.
To cope with customer demand, G-Tech plans to boost capacity of cover glasses from 600,000 units to 3 million units a month, mostly from its Chinese factories, by the end of this year, Huang said.
G-Tech produces less than 1 million units of ITO glass at a 4.5-generation plant, Huang said, without specifying the exact figure. He added that the company has no plan to expand that capacity this year.
Shipments of tablet devices, which are equipped with touch screens, are expected to more than triple to 51 million units this year from 16.7 million last year, Topology forecast.
Topology forecast that about 85 percent of the 388 million smartphones shipped this year would be outfitted with touch screens, up from 76 percent last year.
G-Tech’s stocks rose 1.7 percent yesterday to NT$116.5 on the Emerging Stock Market.
Just a few years ago, the millennial generation — generally defined as those born from the early 1980s through the mid-1990s — was synonymous with youthful rebellion. However, now, as the millennials ease into early middle age, they are finding their path out of their parents’ basement to be a lot harder than it was for earlier generations. The fundamental problem is that millennials are not building wealth. The wealth of the median US household headed by someone 35 or younger has actually shrunk in inflation-adjusted terms since the mid-2000s, even as the wealth of older Americans has continued to grow. An
‘LITTLE CHOICE’: The airline said it expected only about 8,000 of its 29,000 employees to be working by next month, but hoped to have 21,000 in the next two years Qantas Airways Ltd plans to cut at least 6,000 jobs and keep 15,000 more workers on extended furloughs as Australia’s largest airline tries to survive the coronavirus pandemic. Qantas yesterday announced a plan to reduce costs by billions of dollars and raise fresh capital. The plan includes grounding 100 planes for a year or more and immediately retiring its six remaining Boeing Co 747 planes. Chief executive Alan Joyce said the airline has to become smaller as it braces for several years of much lower revenues. He said the furloughed workers faced a long interruption to their airline careers. “The actions that we’re taking
Apple Inc’s decision to stop using Intel Corp processors in its Mac computers and switching to its own chips might benefit Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) and boost Taiwan’s high-tech exports, Australia and New Zealand Banking Group (ANZ) said in a note on Tuesday. The US tech giant announced the “Apple silicon” initiative at its annual Worldwide Developers’ Conference, which started on Monday. The company said the first Mac powered by its own chips would debut by the end of this year and all product lines might shift to the new architecture in the next two years. TSMC is likely to
EXPERIMENTAL DRUG: While news about a COVID-19 vaccine is more eye-catching, developing a treatment would be more viable, the Senhwa boss said Senhwa Biosciences Inc (生華科) aims to raise NT$1.5 billion (US$50.57 million) by issuing 15 million new common shares in the third quarter of this year to fund the research of new drugs, including the experimental drug Silmitasertib for the treatment of COVID-19, the company said on Monday. That would be the firm’s largest fundraising effort after it raised more than NT$1.4 billion from an initial public offering on the Taipei Exchange (TPEX) in April 2017, chief financial officer Sarah Chang (張小萍) told the Taipei Times by telephone. The price of the new shares would depend on the firm’s average share price