AI Server Demand Drives Record February Revenue
The rapid expansion of AI server demand has significantly boosted the performance of leading manufacturers, with Quanta Computer and Wistron Group reporting record-breaking revenue figures for February.
Quanta's financial report, released on March 7, revealed consolidated revenue of NT$150.5 billion for February, marking a 5.6% month-over-month increase and a substantial 78.6% year-over-year growth. Strong shipments of notebooks and servers contributed to this performance, making it the second-highest February revenue in the company's history and one of the busiest months to date.
For the first two months of 2024, Quanta's cumulative revenue reached NT$293.1 billion, up 86.43% year-over-year. February notebook shipments totaled 3.1 million units, reflecting a 10.7% monthly increase and a 6.9% year-over-year growth. Although seasonal factors are expected to cause a 10% decline in notebook shipments compared to Q4 2023, the overall first-quarter performance remains stronger than in previous years. Quanta projects low single-digit percentage growth in annual notebook shipments compared to 2023.
In the server sector, Quanta noted that demand for general-purpose servers from Q4 2023 carried into January, though momentum slowed in February. However, as supply chain constraints for AI servers ease, shipment volumes are expected to pick up toward the end of Q1. The company anticipates that shipments of NVIDIA GB200 units in Q1 will surpass Q4 2023 levels, with a significant surge expected in Q2.
Wistron and its subsidiary Wiwynn also posted impressive February revenue figures. Wistron recorded NT$102.7 billion in revenue, reflecting a 2.78% monthly increase and a 26.66% annual growth. The company's cumulative revenue for the first two months of 2024 stood at NT$193.5 billion, up 30.39% year-over-year. Wiwynn reported NT$46.5 billion in February revenue, representing a 24% monthly increase and a remarkable 91.22% annual growth. Its cumulative revenue for the first two months reached NT$84 billion, surging by 94.89% year-over-year.
Wistron expects triple-digit percentage growth in AI server shipments on a quarterly basis during the first half of 2024, with second-half shipments surpassing the first half. The company forecasts a three-digit percentage year-over-year increase in AI-related and server product shipments.
Quanta has also been actively expanding its presence in the U.S. market, investing $1.23 billion (approximately NT$40.4 billion) in manufacturing facilities on both the East and West coasts. These facilities support AI server production, covering the full manufacturing process from L6 (motherboard assembly) to L10 (final server assembly and testing). In response to tariff challenges introduced under the Trump administration, Quanta has seized the opportunity to strengthen its U.S. market presence. According to Quanta's Executive Vice President, Yang Qi-Ling, the company remains committed to expanding its U.S. operations.
For 2024, Quanta has allocated NT$15–16 billion in capital expenditures to enhance global production capacity, including expansions in California and Tennessee. This strategic investment is expected to further strengthen Quanta's position in the global AI server market.
With AI server demand continuing to rise, both Quanta and Wistron have achieved record-breaking revenue performances in February. Quanta's dual focus on notebooks and servers, coupled with Wistron's strong AI server momentum, highlights the immense growth potential of the industry. Additionally, Quanta's proactive expansion in the U.S. market lays a solid foundation for its future global development.
