Hon Hai Precision Industry Co (鴻海精密) has signed a memorandum of understanding (MOU) with Mitsubishi Electric Corp for the development of artificial intelligence (AI) data center solutions, the iPhone assembler said in a statement on Thursday.
Hon Hai, also known as Foxconn Technology Group (富士康科技集團), said that the cooperation with Mitsubishi is intended to bring together the know-how and networks of both companies to facilitate the global supply of energy-efficient and highly reliable AI data center solutions.
“In the future, the two companies aim to jointly create new values, solutions and business models outside the AI data center field by leveraging their knowledge assets in the process of addressing social issues such as sustainability,” Hon Hai said.
Photo: Hon Hai Precision Industry Co
The Taiwanese company is expected to take advantage of the strength of the Japanese firm in power module supply for the development of AI data center solutions, analysts said.
Mitsubishi ranks second globally in market share in power modules, according to statistics released by market information advisory firm OMDIA.
The Japanese firm takes the first spot in market share in the high voltage direct current technology that uses voltage source converters, OMDIA data showed.
Hon Hai has intensified its efforts in AI development in recent years to diversify its product portfolio.
The company’s consolidated sales grew 15.55 percent from a year earlier to NT$6.39 trillion (US$206.2 billion) in the first 10 months of this year. Hon Hai is scheduled to hold an investor conference on Wednesday to detail its third quarter results and give more guidance for the fourth quarter and beyond.
MANAGING RISKS: Taiwan has secured LNG sufficient to cover 95 percent of electricity demand for next month, UBS said, describing the government’s approach as proactive UBS Group AG has raised its forecast for Taiwan’s economic growth this year to 8 percent, up from 6.9 percent previously, and said expansion could reach as high as 8.6 percent if external energy shocks are avoided. The upgrade reflects a stronger-than-expected first-quarter performance and sustained momentum in artificial intelligence (AI)-driven exports, which UBS said are providing a firm foundation for growth despite geopolitical and energy risks. Taiwan’s GDP expanded 13.69 percent year-on-year in the first quarter, the fastest growth since the second quarter of 1987, the Directorate-General of Budget, Accounting and Statistics (DGBAS) reported on Thursday. On a seasonally
Ryanair, Transavia, Volotea and other low-cost airlines are feeling the financial pain from high jet fuel prices as a result of the Middle East war and are cutting flights. The closure of the Strait of Hormuz has taken a huge chunk of oil supplies off the market, sending the price of jet fuel soaring and triggering fears of shortages that could force airlines to cancel flights. Airlines are not waiting for a lack of supplies to react. “Travel alert: Airlines are cutting thousands of flights right now,” Travel Therapy host Karen Schaler said in an Instagram reel this past weekend.
Shares of Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) have repeatedly hit new highs, but an equity analyst said the stock’s valuation remains within a reasonable range and any pullback would likely be technical. The contract chipmaker’s historical price-to-earnings (P/E) ratio has ranged between 20 and 30, Cathay Futures Consultant Co (國泰證期) analyst Tsai Ming-han (蔡明翰) told Central News Agency. With market consensus projecting that TSMC would post earnings per share of about NT$100 (US$3.17) this year, supported by strong global demand for artificial intelligence (AI) applications, and the stock currently trading at a P/E ratio of below 25, Tsai said the valuation
The list of Asian stocks that benefit from business partnership with Nvidia Corp is getting longer, as the region further integrates into the artificial intelligence (AI) chip giant’s business ecosystem. Just in the past week, South Korea’s LG Electronics Inc, Taiwan’s Nanya Technology Corp (南亞科技), as well as China’s Huizhou Desay SV Automotive Co (德賽西威) and Pateo Connect Technology Shanghai Corp (博泰車聯) have become the latest to rally on news of tie-ups, supply-chain participation or product collaboration with the US chip designer. Asian suppliers account for about 90 percent of Nvidia’s production costs, up from about 65 percent last year, data compiled
RSS