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Pegatron ships first T1 batch as chairman predicts AI’s “tenfold growth” harvest

From Liberty Times · () Chinese

Translated from Chinese and summarized by DistantNews. Read the original for the full story.

At a glance

News Named sources Ongoing story
  • Pegatron has shipped the first batch from its T1 project for the cloud-computing business at its Taoyuan plant, supporting NVIDIA GB300 AI server operations.
  • Chairman Tung Tzu-hsien said AI is not overheated and that the current boom is only beginning, while acknowledging that future market conditions remain difficult to predict.
  • Tung said Taiwan’s established technology supply chain and traditional manufacturers’ shift into advanced materials are strengthening the island’s role in AI production.

Pegatron has begun shipping the first batch from its T1 project at its Taoyuan plant, marking what the company’s chairman calls the harvest season of AI’s “tenfold growth.” The shipment involves the company’s cloud-computing business and comes as its NVIDIA GB300 server operations gain momentum.

The AI industry does not have a problem with overheating. This wave of industrial growth has only just begun.

— Tung Tzu-hsienPegatron’s chairman rejected the idea that the current AI boom had already become excessive.

Chairman Tung Tzu-hsien said the AI industry has not become overheated. In his view, the current wave has only just started. He described AI as potentially one of the largest revolutions in industrial history, moving from technical development toward practical use.

Tung said countries would continue investing in AI because successful adoption could widen gaps with competitors in economic efficiency and even military strength. He also cautioned that predicting whether the industry will overheat would be too bold at this stage. Ultimately, he said, demand and supply would determine which products survive. Products that lack practical use would find no buyers or subscribers and would be eliminated by the market.

If a product is not practical, no one will want to buy or subscribe to it, and it will naturally be eliminated by the market.

— Tung Tzu-hsienTung said market demand would ultimately determine which AI products survive.

He presented Taiwan’s industrial transformation as part of that shift. The island moved from garment production to personal computers, then to chips and related industries, and is now extending into AI. Traditional companies are also moving upward. Nan Ya Plastics developed advanced adhesive materials for high-end copper-clad laminates, while Taiwan Glass has converted traditional glass kilns to produce electronic-grade fiberglass cloth, whose value can be many times higher than ordinary glass.

Taiwan is no longer riding a public bus. It is riding a high-speed train.

— Tung Tzu-hsienHe used the comparison to describe Taiwan’s rapid move into AI from earlier industrial sectors.

Tung said Taiwan’s strength lies in tailoring products across a complete chain that includes IC design, wafer manufacturing, packaging, substrates, printed circuit boards and equipment. Unlike earlier electronics booms centered on laptop production in Shanghai or Zhengzhou, he said, the current AI supply chain is largely located in Taiwan. He added that the expansion will increase energy demand, making efficiency, stable supply and affordable power important for future industrial growth.

Put simply, he cannot do without Taiwan.

— Tung Tzu-hsienTung made the remark while discussing the Taiwan-based AI supply chain and U.S. President Donald Trump’s stance toward Taiwan.
About this summary

Originally published by Liberty Times in Chinese. Translated, summarized, and contextualized automatically by DistantNews, with a note on how the source frames the story. Not individually reviewed before publishing. How this works.

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