Cloud computing equipment supplier Wiwynn Corp (緯穎科技) on Thursday said it expects revenue this year to exceed last year’s level, as shipments of new servers based on application-specific integrated circuits (ASIC) and graphics processing units (GPU) are set to begin in the second half of this year.
Shipments of both platforms are expected to drive growth and raise the share of artificial intelligence (AI) revenue this year, Wiwynn chairwoman Emily Hong (洪麗甯) told an online earnings conference.
Revenue from AI servers this year is expected to remain dominated by ASIC orders, while on the GPU side, the company is shifting its focus to Nvidia Corp’s next-generation servers, Hong said.
Photo: Reuters
Wiwynn is positive about orders for its ASIC-based AI servers and general-purpose servers this quarter, as order momentum is expected to support stable year-on-year growth, company CEO and president William Lin (林威遠) said.
Meanwhile, as customers increasingly separate AI workloads from general computing due to cost considerations, demand for general-purpose servers has risen, giving Wiwynn strong visibility into shipment growth for such systems, Lin said.
Shipments of general-purpose servers this year are expected to exceed last year’s level, with year-on-year growth projected in each quarter, he said.
Last year, AI servers and general-purpose servers each accounted for about half of the company’s revenue, Lin said.
Within the AI segment, servers powered by ASICs made up about 90 percent of the revenue, he added.
This year, AI servers are expected to account for more than half of the company’s total revenue, Lin said.
For the second half of this year, Wiwynn has not only secured new ASIC-based server orders, but also those powered by GPUs from Nvidia and Advanced Micro Devices Inc, he said.
The recent surge in memory prices has had little effect on Wiwynn’s profitability so far, despite memory accounting for about 30 percent of the bill of materials (BOMs) for its general-purpose servers — a share that could rise further if prices continue climbing, he said.
Memory accounts for a relatively small share of AI server BOM costs, as such systems are already pricy, and the company has secured sufficient memory supply through at least next quarter, Lin said.
Wiwynn is expanding production capacity in Taiwan, Malaysia, Mexico and the US, with output from its new Texas plant going online last quarter and mass production expected to begin in the first half of this year, he said.
The company’s capital expenditure this year is expected to rise significantly from NT$13 billion (US$415.99 million) last year to meet AI demand, he said.
To cope with increases in operating funds as the cost of producing server racks surges, as are costs for components such as memory chips, Wiwynn is adjusting its cash dividend distribution approach this year, Hong said.
Wiwynn’s board on Thursday approved its first dividend policy combining cash and stock payouts, with a cash dividend of NT$145 per share and a stock dividend of NT$20 per share for last year.
South Korea’s equity benchmark yesterday crossed a new milestone just a month after surpassing the once-unthinkable 5,000 mark as surging global memory demand powers the country’s biggest chipmakers. The KOSPI advanced as much as 2.6 percent to a record 6,123, with Samsung Electronics Co and SK Hynix Inc each gaining more than 2 percent. With the benchmark now up 45 percent this year, South Korea’s stock market capitalization has also moved past France’s, following last month’s overtaking of Germany’s. Long overlooked by foreign funds, despite being undervalued, South Korean stocks have now emerged as clear winners in the global market. The so-called “artificial intelligence
CONFUSION: Taiwan, Japan and other big exporters are cautiously monitoring the situation, while analysts said more Trump responses ate likely after his loss in court US trading partners in Asia started weighing fresh uncertainties yesterday after President Donald Trump vowed to impose a new tariff on imports, hours after the Supreme Court struck down many of the sweeping levies he used to launch a global trade war. The court’s ruling invalidated a number of tariffs that the Trump administration had imposed on Asian export powerhouses from China and South Korea to Japan and Taiwan, the world’s largest chip maker and a key player in tech supply chains. Within hours, Trump said he would impose a new 10 percent duty on US imports from all countries starting on
Chinese artificial intelligence (AI) start-up DeepSeek’s (深度求索) latest AI model, set to be released as soon as next week, was trained on Nvidia Corp’s most advanced AI chip, the Blackwell, a senior official of US President Donald Trump’s administration said on Monday, in what could represent a violation of US export controls. The US believes DeepSeek will remove the technical indicators that might reveal its use of American AI chips, the official said, adding that the Blackwells are likely clustered at its data center in Inner Mongolia, an autonomous region of China. The person declined to say how the US government received
Like many of us who are mindful of our plastic consumption, Beth Gardiner would take her own bags to the supermarket and be annoyed whenever she forgot to do so. Out without her refillable bottle, she would avoid buying bottled water. “Here I am, in my own little life, worrying about that and trying to use less plastic,” she says. Then she read an article in this newspaper, just over eight years ago, and discovered that fossil fuel companies had plowed more than US$180 billion into plastic plants in the US since 2010. “It was a kick in the teeth,” Gardiner
RSS