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Quanta Forecasts Strong Second Half Amid AI Server Supply Challenges

Quanta Continues Expansion of Overseas Production to Meet Sustained Demand for AI Servers
Taiwan
q 2382.TW Blue Chip 150 Tech 350
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Foundry giant Quanta, in its annual meeting today, highlighted ongoing challenges and strategic responses in the AI server supply chain. Yang Qiling, senior deputy general manager of Quanta and general manager of Yunda Technology, expressed optimism despite current obstacles, predicting a surge in shipments later in the year.

The first half of the year saw the AI server supply chain grappling with material shortages, impacting Quanta’s delivery capabilities. However, Yang anticipates a significant recovery in shipment volumes by May and June, leading to a robust second half for the company.

Quanta is actively engaging in the AI server market, a sector marked by rapid advancements and evolving demands. Despite the uncertainty surrounding the introduction of new equipment and hardware in this space, Quanta is maintaining a strong focus on fulfilling existing product demands. This commitment is driving the company’s continued expansion of its overseas production capacity.

Yang detailed the strategic layout of Quanta’s production capabilities. Over the past two years, the company has been expanding its facilities in Mexico, Germany, and Thailand, with plans to further extend its global footprint this year. Notably, the Taiwan factory is also poised for expansion.

A significant development in Quanta’s production strategy involves diversifying its manufacturing locations. Approximately half of Quanta’s surface mount technology (SMT) production is currently split between Taiwan and Thailand. Additionally, there are plans to establish a server motherboard assembly line in Thailand this year, further solidifying the company’s commitment to expanding its production capabilities to meet the growing demand in the AI server sector.

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