Taiwan, which accounts for more than half of the global outsourced semiconductor assembly and testing market, is well-positioned to develop copackaged optics (CPO) and manufacture precision silicon photonics chips, the Ministry of Economic Affairs said yesterday.
Silicon photonics are emerging as a mainstream optical communications technology and is seen as key to overcoming bottlenecks in AI computing power.
The technology is a key project under the government’s New 10 Major AI Infrastructure Projects, with industry, government, academia and research institutions working to overcome critical technological hurdles and build a self-reliant silicon photonics supply chain, the ministry said.
Photo: Ritchie B. Tongo, EPA
Nvidia Corp in March invested US$4 billion in silicon photonics technology, the ministry added.
The technology was a major topic at Semicon Taiwan, which concluded on Friday last week.
Silicon photonics replaces traditional copper wire transmission of electronic signals between chips with optical signals.
As light generates almost no heat during transmission, the technology can reduce power consumption by 30 to 50 percent, allowing devices to stream high-definition content and generate artificial intelligence content more quickly, the ministry said.
Taiwan has key advantages in the transition, including a comprehensive semiconductor ecosystem and more than 90 percent of global advanced semiconductor manufacturing capacity for 7 nanometer chips or below, the ministry said.
Taiwan accounts for more than half of the global semiconductor assembly and testing market, which gives it a key role in developing CPO, a technology aimed at overcoming the 1.6-terabit-per-second bandwidth limit of traditional electronic transmission.
The government launched a silicon photonics research and development (R&D) initiative under its A+ Enterprise Innovation R&D Program earlier this year to support the development of key technologies.
The ministry and the SEMI have helped more than 30 leading companies, including Taiwan Semiconductor Manufacturing Co (台積電), ASE Technology Holding Co (日月光投控), MediaTek Inc (聯發科) and Hon Hai Precision Industry Co (鴻海精密), establish the Silicon Photonics Industry Alliance in 2024, it said.
The alliance aims to overcome key technological hurdles, particularly in CPO, and ensure that Taiwan retains control of the silicon photonics supply chain, it said.
Palau’s president yesterday called for a “unified” Pacific response to a missile test by China in July, while Taiwan and its Pacific allies a day earlier at the Pacific Islands Forum (PIF) reaffirmed their commitment to peace, stability and prosperity. China gave only a handful of nations short notice before test-firing an intercontinental ballistic missile in July, sparking condemnation from several Pacific leaders. The 18-member PIF being held in Palau was expected to release a communique after press time last night, with a formal response to the test possibly included. Palau, which invited Taiwan to attend sideline events as an aid partner, urged
MILITARY BUILDUP: Aside from this year’s budget, the defense ministry detailed its mid-term plan to upgrade, develop and procure defense materiel amid Chinese threats The military is reviewing budget execution trends and postponing non-urgent projects to maximize defense spending, the Ministry of National Defense said yesterday as it submitted its budget for next year and other defense documents to the legislature. The ministry said China’s “gray zone” harassment of Taiwan has intensified while its military capabilities continue to expand rapidly. The assessment was included in its “Five-Year Force Buildup and Administration Plan Report” (五年兵力整建及施政計畫報告), submitted alongside the defense budget for this year and the “2026 China Military Power Report” (中共軍力報告書). China continues joint combat-readiness patrols, military exercises and China Coast Guard operations, while using maritime militia
STATE DEPARTMENT: A US official said that Washington would provide more than US$150m for Pacific island nations, with Minister Lin Chia-lung welcoming the plans The US Department of State has announced partnerships with Taiwan on two Palau projects after Washington pledged more than US$150 million for Pacific island nations. Following the opening of the 55th Pacific Islands Forum (PIF) Leaders Meeting in Palau on Sunday, the department on Tuesday issued a statement titled “Promoting Pacific Prosperity: US Engagement at the Pacific Islands Forum,” which said that the US’ commitment to the security and prosperity of Pacific island nations “is steadfast and enduring, and remains a core pillar of its ‘America first’ foreign policy.” Meanwhile, US Deputy Secretary of State Christopher Landau announced at the PIF Partners
China’s continued efforts to inject geopolitical rivalry into the region and disrupt Pacific nations’ discussions of regional issues warrant greater international attention, a foreign affairs official said yesterday. Minister of Foreign Affairs Lin Chia-lung (林佳龍) last week led a delegation to diplomatic ally Palau to attend events related to the 55th Pacific Islands Forum (PIF) summit. However, the absence of some member-state leaders has been interpreted by some people as a sign of fracturing in Pacific unity. Thirteen PIF members were represented by their heads of state or government, while Fiji, New Caledonia, Vanuatu and Samoa sent ministerial-level representatives, a diplomatic official