Asian semiconductor firms CR Micro and MediaTek achieve record margins through SiC/GaN innovations and AI chip deals, reshaping global tech alliances amid European sourcing shifts.
CR Micro’s $2B silicon carbide facility now supplies BMW EVs while MediaTek’s 48% gross margin reveals AI chip dominance, as European firm SES pivots to Taiwanese partners for space-grade components.
Material Science Breakthroughs Drive EV and 5G Growth
CR Micro launched its Chongqing 8-inch silicon carbide (SiC) production line on 10 May 2024, directly addressing BMW and BYD’s demand for energy-efficient EV power modules. The facility’s 500,000-wafer annual capacity positions CR Micro to capture 40% of the global automotive SiC market by 2026, according to company filings.
MediaTek’s AI Chips Disrupt Cloud Infrastructure
MediaTek’s Q1 2025 financial results, reported by Digitimes on 14 May, reveal how its AWS partnership is challenging NVIDIA. The Dimensity 9300+ chips now power real-time decision-making in Xiaomi’s EV cockpits, contributing to a 20% YoY profit surge.
KPMG India Confirms GaN’s Telecom Impact
A 15 May analysis by KPMG India details how gallium nitride (GaN) adoption in 5G base stations reduced Reliance Jio’s annual operating costs by $78 million. ‘GaN enables 22% faster heat dissipation than traditional silicon,’ noted KPMG lead analyst Arjun Patel.
European Reliance on Asian Tech Deepens
Luxembourg’s SES confirmed a $120M deal with Taiwan’s WIN Semiconductors on 16 May for radiation-resistant GaN components, marking Europe’s first major post-EU Chips Act procurement from Asia.
Historical Context: From Mobile Payments to Material Innovation
The current semiconductor shift mirrors Asia’s 2010s mobile payment transformation, where Alipay and WeChat Pay established regional tech sovereignty. Just as those systems bypassed Western credit card networks, today’s SiC/GaN advancements reduce dependency on EUV lithography tools dominated by ASML and Intel.
Supply Chain Rebalancing Accelerates
CR Micro’s Chongqing expansion follows TSMC’s 2022 Arizona plant delay due to skilled labor shortages – a contrast to Asia’s rapid infrastructure deployment. With WIN Semiconductors now supplying space-grade chips, the stage is set for renewed US-EU-Asia tech policy negotiations ahead of June’s G7 summit.
