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Yi-Chi's AI Optical Business Poised for Growth with 40% Revenue Target
Electronic Technology · Electronic Components · economic_daily · 2026-10-15
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Yi-Chi Technology expects AI-related revenue to surge to 40% by 2027, supported by a $1.5 billion capital expenditure plan and potential US facility expansion.
What Happened
Growth Momentum: Yi-Chi Technology Chairman Tseng Kung-sheng announced that the company is experiencing strong demand for AI optical communication products. With the Malaysia plant now operational, the company expects AI-related revenue to jump from 6% this year to 40% by 2027.
Capital Expenditure: To meet robust customer demand, Yi-Chi plans to increase its capital expenditure to NT$1.5 billion next year, a 50% increase from this year. The three-year investment target has also been raised to NT$5 billion to support capacity expansion.
Global Footprint: The company is currently evaluating a potential manufacturing site in Texas, USA, with a final decision expected by year-end. This expansion is intended to enhance global delivery capabilities and complement existing operations in China and Malaysia.
Future Outlook: Despite a temporary dip in earnings due to currency fluctuations and startup costs, management remains optimistic. The company views 2026 as a transition year for mass production, with significant growth expected in 2027 as new projects and capacity come fully online.