MediaTek has started shipping its first data center AI accelerator ASIC, projecting $2.5 billion in revenue from the silicon in the 4th quarter. CEO Rick Tsai announced the product line will generate roughly $16 billion by 2027, capturing 20% of the custom AI accelerator market. The company also lifted its full year growth forecast while preparing a 2nd generation processor scheduled for release in 2028.
Shipment volumes for the initial AI accelerator exceeded internal expectations following strong customer demand. Tsai confirmed that development on a 2nd custom ASIC is already progressing for next generation AI infrastructure. This upcoming design increases performance per watt by several multiples while cutting total operational costs for data center clients. MediaTek plans to begin mass production of this 2nd chip in the 1st quarter of 2028 to expand its enterprise footprint.
Surging ASIC demand will push total company revenue in the 4th quarter to between NT$210.1 billion and NT$221.8 billion. This represents a quarter on quarter revenue increase of 25% to 32%, with gross margins landing between 43.5% and 46.5%. Full year revenue measured in US dollars will exceed earlier corporate forecasts that pointed to high single digit percentage gains.
Financial results for the 3rd quarter showed revenue reaching NT$168.058 billion, up 10.4% from the prior quarter. Growth came from mass production starts across smart device platforms and higher memory pricing in television processors. Third quarter gross margin settled at 46.3%, while net profit rose 14.6% to NT$27.882 billion, producing earnings per share of NT$17.5.
Across the first 9 months of the financial year, total MediaTek revenue reached NT$469.391 billion, marking a 5.3% increase year on year. Gross margins across this period averaged 46.3%, reflecting a 1.7% drop compared to the previous year. Net profit for the 9 month stretch reached NT$76.371 billion, resulting in earnings per share of NT$47.94.
