MediaTek has been expanding on the application-specific integrated circuits or ASICs product line for AI, data centers and cloud infrastructures and has secured orders from Google for the next-generation Tensor Processing Unit(TPU). Volume shipment is slated for the fourth quarter this year.
According to industry sources, these customized chips will be manufactured by TSMC adopting the 7nm process combined with the Versatile Heterogeneous Memory (VHM) technology developed by AP Memory Technology Corp. for the DRAM memory.
MediaTek has seen positive growth in the ASIC segment, which provides a customized chip design service allowing data centers to provide unique and differentiated solutions. Given the growth momentum of 5G network, AI, and cryptocurrency mining needing higher mining efficiency. With almost every industry needing such service, the ASIC market size is expected to expand to US$29 billion by 2027.
Since MediaTek began targeting the ASIC business in 2018 in face of a slowed down smartphone market, the fabless semiconductor has delivered SerDes chips for Cisco enterprise servers and seen subsequent tractions entering supply chains of Google and Amazon.
MediaTek will announce sales performance of the first quarter, and outlooks for the second at earning calls held on 28 April. Industry sources optimistically predict sales to continue setting new records after reaching a new peak for the first quarterly combined revenue.