TAIPEI (Taiwan News) — Amazon Web Services' growing investment in AI chips is expected to create new business opportunities for Taiwanese suppliers.
The company on Wednesday showcased three self-developed chip platforms, Graviton, Trainium, and Inferentia, at the AWS Summit Taipei. Analysts said this highlights a broader industry shift, as major cloud providers increasingly develop their own chips to support AI computing needs, according to CTEE.
Among Taiwanese companies, Alchip Technologies Ltd. is regarded as one of AWS' closest chip design partners. The firm's June revenue has already reflected initial shipments related to the project, while mass production of AWS' next-generation Trainium 3 AI training chip is expected to provide further growth momentum.
AWS' AI infrastructure expansion extends beyond chip design. Deploying its processors at scale requires a wide range of data center equipment, creating opportunities for Taiwanese suppliers of networking, cooling, and power systems.
Foxconn Co. has entered AWS' supply chain for compute trays, which house key computing components within AI servers. As AWS increases deployment of Graviton processors across server racks, demand for these compute trays is likely to grow.
In networking, Accton Technology Corp. provides network interface cards that connect servers to data center networks. BizLink Holding Inc. stands to benefit from AWS' transition toward higher-speed cable technologies.
Cooling suppliers are another group positioned to benefit from the AI infrastructure buildout. Asia Vital Components Co., Taiwan Microloops Corp., and Jentech Precision Industrial Co. are among the key Taiwanese companies providing related technologies.
Analysts said air-cooled Trainium 3 servers require more advanced cooling solutions than previous generations, raising the value of cooling components. AWS is also developing liquid-cooled versions, which could carry a price tag three to four times higher than air-cooled systems.
The AI server buildout will also create opportunities for power equipment suppliers. Delta Electronics Inc. and Lite-On Technology Corp. provide power units, while Advanced Energy Solution Holding Co. and Dynapack International Technology Corp. stand to benefit from growing demand for backup power solutions.
As competition in AI computing intensifies, AWS continues to increase investment in its proprietary chips and data center infrastructure. Morgan Stanley estimates Amazon's capital expenditure will reach NT$9.9 trillion (US$308 billion) next year and NT$10.24 trillion in 2028, with a significant portion allocated to AWS data centers, Trainium AI chips, and other AI infrastructure.
