ASUS: AI Demand Explodes, Server Revenue Target for This Year Revised Up to At Least Double
ASUS has revised its 2026 server business revenue target from an initial 50%-100% increase to "at least double" due to the explosive growth in AI infrastructure demand. The company anticipates a 2x year-on-year increase and a 50% quarter-on-quarter increase in server revenue for Q2.
📋 Article Processing Timeline
- 📰 Published: May 12, 2026 at 20:21
- 🔍 Collected: May 12, 2026 at 20:32 (10 min after Published)
- 🤖 AI Analyzed: May 13, 2026 at 10:22 (13h 50m after Collected)
Central News Agency
(Central News Agency reporter Wu Chia-hao, Taipei, 12th) Computer brand manufacturer ASUS held an investor conference today, where its management team stated that benefiting from the explosive demand for artificial intelligence (AI) infrastructure and the strength of its gaming brand, overall revenue for the second quarter of this year will continue to grow. Due to strong customer demand and high order visibility for servers, the full-year server revenue growth target has been revised upwards from the original 50% to 100% year-on-year increase to at least double.
ASUS's consolidated brand revenue for the first quarter of this year reached NT$194.051 billion, a 2% increase quarter-on-quarter and a 44% increase year-on-year, setting a new single-quarter record. Operating profit was NT$10.502 billion, a 30% increase quarter-on-quarter but an 8% decrease year-on-year, mainly because operating profit surged in the same period last year due to the reversal of server bad debts. Affected by a decline in non-operating income, net profit attributable to the parent company was approximately NT$9.797 billion, a 14% decrease quarter-on-quarter and a 23% decrease year-on-year; earnings per share were NT$13.2.
Looking ahead to Q2 operations, ASUS expects PC product revenue to increase by 10% to 15% quarter-on-quarter and 10% to 15% year-on-year; component product revenue will be flat compared to Q1 and decrease by 10% year-on-year; servers, however, will show strong growth momentum, expected to increase by 50% quarter-on-quarter and double year-on-year.
Regarding the server business outlook, ASUS Co-CEO S.Y. Hsu stated that with the global AI infrastructure entering an explosive growth period, ASUS's server business has already achieved rapid growth in Q1. Based on the visibility of orders for Q2 and the second half of the year, and strong demand from emerging cloud service providers (Neo Cloud) customers, ASUS has revised its full-year server growth target from the original 50% to 100% to at least 100% growth.
S.Y. Hsu also stated that ASUS has confirmed it will maintain its position as a first-tier supplier for NVIDIA's next-generation Vera Rubin AI server architecture platform.
Regarding PC market strategy, ASUS Co-CEO Samson Hu pointed out that research institutions estimate global PC shipments this year may decline by 10% to 15%. ASUS's internal target is to outperform the industry average, expecting full-year shipments to remain flat; however, due to an increase in average selling price (ASP), full-year PC-related revenue is still expected to grow significantly.
Samson Hu added that memory prices almost doubled in Q1 this year. ASUS had negotiated memorandums of cooperation with major upstream manufacturers in the second half of last year to ensure supply. Although suppliers cannot provide excess inventory due to capacity limitations, ASUS currently has sufficient materials to meet business growth needs and will transform cost fluctuations into operational resilience through excellent product portfolios and brand premium.
Regarding Apple's launch of the affordable MacBook Neo, Samson Hu admitted that ASUS had been aware of related news since last year and had originally planned corresponding products to compete. However, due to the sharp increase in memory prices in Q1 this year, the price range of the originally planned corresponding products shifted.
Samson Hu frankly stated that Apple has the advantage of scale and signed long-term supply contracts before memory prices rose, giving it a cost advantage. ASUS is currently discussing countermeasures with upstream and downstream partners in the industry and will provide further explanations once a final decision is made. (Edited by Lin Chia-hsien) 1150512
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(Central News Agency reporter Wu Chia-hao, Taipei, 12th) Computer brand manufacturer ASUS held an investor conference today, where its management team stated that benefiting from the explosive demand for artificial intelligence (AI) infrastructure and the strength of its gaming brand, overall revenue for the second quarter of this year will continue to grow. Due to strong customer demand and high order visibility for servers, the full-year server revenue growth target has been revised upwards from the original 50% to 100% year-on-year increase to at least double.
ASUS's consolidated brand revenue for the first quarter of this year reached NT$194.051 billion, a 2% increase quarter-on-quarter and a 44% increase year-on-year, setting a new single-quarter record. Operating profit was NT$10.502 billion, a 30% increase quarter-on-quarter but an 8% decrease year-on-year, mainly because operating profit surged in the same period last year due to the reversal of server bad debts. Affected by a decline in non-operating income, net profit attributable to the parent company was approximately NT$9.797 billion, a 14% decrease quarter-on-quarter and a 23% decrease year-on-year; earnings per share were NT$13.2.
Looking ahead to Q2 operations, ASUS expects PC product revenue to increase by 10% to 15% quarter-on-quarter and 10% to 15% year-on-year; component product revenue will be flat compared to Q1 and decrease by 10% year-on-year; servers, however, will show strong growth momentum, expected to increase by 50% quarter-on-quarter and double year-on-year.
Regarding the server business outlook, ASUS Co-CEO S.Y. Hsu stated that with the global AI infrastructure entering an explosive growth period, ASUS's server business has already achieved rapid growth in Q1. Based on the visibility of orders for Q2 and the second half of the year, and strong demand from emerging cloud service providers (Neo Cloud) customers, ASUS has revised its full-year server growth target from the original 50% to 100% to at least 100% growth.
S.Y. Hsu also stated that ASUS has confirmed it will maintain its position as a first-tier supplier for NVIDIA's next-generation Vera Rubin AI server architecture platform.
Regarding PC market strategy, ASUS Co-CEO Samson Hu pointed out that research institutions estimate global PC shipments this year may decline by 10% to 15%. ASUS's internal target is to outperform the industry average, expecting full-year shipments to remain flat; however, due to an increase in average selling price (ASP), full-year PC-related revenue is still expected to grow significantly.
Samson Hu added that memory prices almost doubled in Q1 this year. ASUS had negotiated memorandums of cooperation with major upstream manufacturers in the second half of last year to ensure supply. Although suppliers cannot provide excess inventory due to capacity limitations, ASUS currently has sufficient materials to meet business growth needs and will transform cost fluctuations into operational resilience through excellent product portfolios and brand premium.
Regarding Apple's launch of the affordable MacBook Neo, Samson Hu admitted that ASUS had been aware of related news since last year and had originally planned corresponding products to compete. However, due to the sharp increase in memory prices in Q1 this year, the price range of the originally planned corresponding products shifted.
Samson Hu frankly stated that Apple has the advantage of scale and signed long-term supply contracts before memory prices rose, giving it a cost advantage. ASUS is currently discussing countermeasures with upstream and downstream partners in the industry and will provide further explanations once a final decision is made. (Edited by Lin Chia-hsien) 1150512
Choose to stand with facts, every sponsorship you make is a force to protect press freedom.
Download the Central News Agency's "First-hand News" APP to stay updated with the latest news.
The text, images, and videos on this website may not be reproduced, publicly broadcast, or publicly transmitted and used without authorization.