iPhone 16 Boosts Demand, Taiwan PCB Makers Thrive

As Apple prepares for the launch of its new iPhone 16, industry experts are optimistic that the inclusion of advanced artificial intelligence features will spark a new wave of device upgrades. Recent activity in the PCB supply chain has been notably positive, with Zhen Ding Technology (Zhen Ding-KY) achieving record-breaking revenue in August and HDI board manufacturer Wus Printed Circuit looking forward to substantial growth in the third quarter.

Market expectations suggest that the AI-enhanced iPhone 16 series could see approximately 90.1 million units shipped in the latter half of the year, marking a 10% increase compared to the iPhone 15's performance during the same period last year.

Zhen Ding Technology (Zhen Ding-KY) reported consolidated revenue of NT$17.814 billion (approximately RMB 3.942 billion) for August, reflecting a 29.2% year-over-year increase and a 32.4% month-over-month rise, setting a new record for the month. The company noted that its revenue growth was particularly strong in IC substrates, with notable achievements in mobile communications, automotive, server, and base station sectors, aligning with the company's previous projections.

Looking ahead to the second half of the year, Zhen Ding-KY expects continued benefits from increased customer demand for new products. The company anticipates higher capacity utilization across its product lines, including IC substrates, servers, and automotive applications, contributing to a positive outlook for the remainder of the year.

As a key supplier for Apple, Wus Printed Circuit has seen new orders in flexible and rigid-flexible boards, leading to optimistic projections for the third quarter, with expected revenue growth compared to the second quarter. Meanwhile, Taiwan Optical Electronic's HDI boards have also benefited from rising demand in high-end AI servers, 5G, and electric vehicles, with August revenue increasing by 47.54% year-over-year.