Micro-Star International Co’s (微星科技) revenue this quarter is likely to remain flat from last quarter, beating earlier market expectations of a slight decline, as price hikes, cost controls and better-than-expected demand from China supported performance, people familiar with the matter said yesterday.
The company raised prices on some products by about 10 percent earlier this quarter in response to a sharp increase in the price of memory chips, said the people, who asked not to be identified as they were not authorized to speak publicly.
For motherboard products, the company also passed on part of the costs to distributors and customers, the people said.
Photo: CNA
However, Micro-Star continues to face supply constraints on RTX 50-series graphics cards — particularly flagship models such as the RTX 5090 and 5080 — in both the DIY market and among high-end system integrators, as the new cards are in demand for their enhanced artificial intelligence computing capabilities and gaming performance, the people said.
The company’s high-end gaming notebook computer business also faces headwinds, especially intense competition in North America, they said.
Micro-Star on Monday reported record monthly sales of NT$22.27 billion (US$707.9 million) for last month, up 33.73 percent year-on-year.
The company’s first-quarter revenue over the past three years ranged from NT$43.6 billion to NT$53.54 billion, company data showed.
Major electronics manufacturers and industry experts have warned that the surge in memory prices causes higher retail prices for consumer products, while creating cost pressures, and weighing on firms’ profitability and shipments outlook.
HORMUZ ISSUE: The US president said he expected crude prices to drop at the end of the war, which he called a ‘minor excursion’ that could continue ‘for a little while’ The United Arab Emirates (UAE) and Kuwait started reducing oil production, as the near-closure of the crucial Strait of Hormuz ripples through energy markets and affects global supply. Abu Dhabi National Oil Co (ADNOC) is “managing offshore production levels to address storage requirements,” the company said in a statement, without giving details. Kuwait Petroleum Corp said it was lowering production at its oil fields and refineries after “Iranian threats against safe passage of ships through the Strait of Hormuz.” The war in the Middle East has all but closed Hormuz, the narrow waterway linking the Persian Gulf to the open seas,
RATIONING: The proposal would give the Trump administration ample leverage to negotiate investments in the US as it decides how many chips to give each country US officials are debating a new regulatory framework for exporting artificial intelligence (AI) chips and are considering requiring foreign nations to invest in US AI data centers or security guarantees as a condition for granting exports of 200,000 chips or more, according to a document seen by Reuters. The rules are not yet final and could change. They would be the first attempt to regulate the flow of AI chips to US allies and partners since US President Donald Trump’s administration said it rescinded its predecessor’s so-called AI diffusion rules. Those rules sought to keep a significant amount of AI
Apple Inc increased iPhone production in India by about 53 percent last year and now makes a quarter of its marquee devices there, reflecting the US company’s efforts to avoid tariffs on China. The company assembled about 55 million iPhones in India last year, up from 36 million a year earlier, people familiar with the matter said, asking not to be named because the numbers aren’t public. Apple makes about 220 million to 230 million iPhones a year globally, with India’s share of the total increasing rapidly. Apple has accelerated its expansion in the world’s most populous country in recent years, bolstered
HEADWINDS: The company said it expects its computer business, as well as consumer electronics and communications segments to see revenue declines due to seasonality Pegatron Corp (和碩) yesterday said it aims to grow its artificial intelligence (AI) server revenue more than 10-fold this year from last year, driven by orders from neocloud solutions clients and large cloud service providers. The electronics manufacturing service provider said AI server revenue growth would be driven primarily by the Nvidia Corp GB300 server platform. Server shipments are expected to increase each quarter this year, with the second half likely to outperform the first half, it said. The AI server market is expected to broaden this year as more inference applications emerge, which would drive demand for system-on-chip, application-specific integrated circuits
RSS