Jakub Bolczyk | Noor Photos | Getty Images
Global semiconductor stocks climbed on Monday, buoyed by contract electronics giants Foxconn declare Fourth-quarter revenue hits record highshowing that the artificial intelligence craze still has greater room for development.
Hon Hai Precision Industry, which does business internationally as Foxconn, said in a statement on Sunday statement The company’s fourth-quarter revenue totaled NT$2.1 trillion (US$63.9 billion), an annual increase of 15%.
Foxconn – a supplier apple The statement said it also set a record for the highest fourth-quarter revenue in the company’s history.
The company’s bumper revenue performance was driven by growth in its cloud and networking products – including artificial intelligence servers designed by chipmakers and others NVIDIA – as well as components and other product areas.
Foxconn said there was a “slight decline” in computing products and smart consumer electronics, including iPhones and other smartphones.
Share prices of several semiconductor companies in Asia, Europe and the United States rose as a result.
In Asia, Taiwan Semiconductor Manufacturing Co. hit a record high on Monday, with Taiwan stocks closing up 1.9%.
TSMC is the world’s largest semiconductor manufacturer, producing chips for AMD and NVIDIA.
Shares of other Asian chip companies also rose – South Korea’s SK Hynix and Samsung gained nearly 10% and 4% respectively.
In Europe, the share price of ASML, a major global semiconductor equipment company, rose by nearly 6%, while the share price of ASMI, a Dutch chip company, rose by nearly 5%. Shares of Germany’s Infineon surged more than 6%.
Shares of European contract chip maker STMicroelectronics rose nearly 6% in Paris.
In the U.S., Nvidia shares rose 2% in U.S. pre-market trading, boosted by Foxconn’s results.
Also boosting chip stocks on Monday was Microsoft Corp. announcement Last weekend approx. Plans to invest $80 billion in data centers capable of handling artificial intelligence workloads by 2025.
Microsoft is one of the tech giants purchasing Nvidia GPUs (graphics processing units) in large quantities to train and run state-of-the-art artificial intelligence models.
Nvidia’s closest rival Advanced Micro Devices rose 3% in premarket trading on Monday, while U.S. chip companies Qualcomm and Broadcom each rose nearly 2%.
