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Singapore Chip-Gear Maker GVT Says AI Boom Far From Over

Jan 16, 2025 - financialpost.com
Grand Venture Technology Ltd. (GVT), a Singapore-based semiconductor equipment maker, is capitalizing on the growing demand for advanced memory chips driven by the adoption of AI technologies across various sectors such as healthcare, education, and finance. As major companies like Micron Technology and Infineon Technologies expand their manufacturing facilities in Asia, GVT aims to become a key supplier by providing essential chipmaking tools. The company has seen significant growth since its 2019 market debut, tripling its revenue and stock price, and is considering a second stock listing in Kuala Lumpur to further expand its investor base and fund potential acquisitions.

Despite global efforts to diversify chip production, Asia remains the central hub for the semiconductor supply chain. GVT's CEO, Julian Ng, emphasizes the complexity of relocating production to the US or Europe, citing the need for years of qualification and ecosystem understanding. GVT is advancing technologies like hybrid bonding to enhance chip efficiency, crucial for AI computing. However, the industry faces challenges from potential US tariff policies and economic slowdowns in China, which could impact major chipmakers' capital expenditures.

Key takeaways:

  • Grand Venture Technology Ltd. aims to capitalize on the growing demand for advanced memory chips driven by AI adoption in sectors like healthcare, education, and finance.
  • GVT has significantly increased its revenue and stock price since its 2019 debut, benefiting from the semiconductor industry's growth in Asia.
  • Despite global efforts to diversify chip production, Asia remains the primary hub for the chip supply chain, according to GVT's CEO Julian Ng.
  • GVT plans to list on the Kuala Lumpur stock exchange to diversify its investor base and fund potential acquisitions of advanced material firms.
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