Transcom Inc., Taiwan’s leading supplier of solid-state power amplifiers (SSPA), reported first-quarter revenue of NT$266 million (US$8.3 million), down 4.2% year-on-year despite increasing demand for military applications.
The company, which specializes in defense-related applications, is capitalizing on growing global military expenditures as geopolitical tensions rise worldwide. Transcom aims to complete certification for at least five military-grade products by year-end, strengthening its position to secure defense contracts.
Taiwan’s defense ministry plans to increase spending to 3% of GDP from the current 2.45%, potentially adding NT$140 billion (US$4.4 billion) to the military budget – a 22% increase that would benefit domestic suppliers like Transcom.
The company is advancing development of next-generation gallium nitride millimeter wave (GaN mmWave) SSPA modules entering trial production this year. These high-efficiency amplifiers target international military customers currently using gallium arsenide technology.
Orders from European, American, and Asian military clients seeking SSPAs for large unmanned aerial vehicles are increasing, which Transcom expects will significantly boost its defense revenue contribution in 2025. The company’s March revenue was NT$82.84 million, slightly down 11.79% from last year.
