[Taiwan Information] NVIDIA's CPO Switch Mass Production Begins──Optical Communication Shift Benefits Taiwanese Suppliers <Wise Machinery Industry Journal May 2026 First Week Issue>

Wise Consulting Group (Headquarters: Taipei City, Republic of China; Representative Director: Yasushi Yoshimoto) has published the May 2026 first-week issue of its Taiwanese machinery industry specialized magazine, 'Wise Machinery Industry Journal.' Wise Machinery Industry Journal No. 0650 This issue features the outlook for increased orders for Taiwanese suppliers related to optical communication (CPO) following the start of mass production of NVIDIA's next-generation AI data center network switches. It also details cases of Taiwanese machine tool manufacturers who, by leveraging the downturn in demand, have introduced AI-powered production forecasting and quality inspection systems to secure high-end orders for aerospace and semiconductor industries. Furthermore, the journal analyzes and provides diverse insights into the structural transformation and latest business opportunities in Taiwan's manufacturing industry, including the trends of KoJem International, which has achieved reconstruction and business transformation through CMP component development for TSMC and entry into the low-earth orbit satellite (LEO) business, as well as an analysis of machine tool import/export data for Q1 2026 (exports up 1.2%). [Topic 1] NVIDIA's CPO Switch Mass Production Begins──Optical Communication Shift Benefits Taiwanese Suppliers U.S. NVIDIA has begun mass production of 'Spectrum-X,' a network switch using optical communication technology for AI data centers. In the medium to long term, the shift to optical communication, which achieves wide bandwidth and low latency, is inevitable. Taiwanese suppliers with strengths in core CPO components, such as BroWave, which handles shuffle boxes, and FOCI, which supplies FAU (Fiber Array Units), are expected to see increased orders. [Topic 2] Taiwanese Machine Tool Manufacturers Tap High-End Demand with AI Amid a global demand slowdown, Taiwanese machine tool companies are promoting high value-added production using AI technology. Remarkable results have been achieved, such as a significant extension of warranty periods and securing high-precision component orders from North American aerospace sectors, through the introduction of production volume forecasting AI by Tongtai Machine & Tool and an assembly quality inspection AI system by Kao Fong Machinery. [Topic 3] KoJem International Accelerates Growth with Semiconductor CMP Parts and Low-Earth Orbit Satellites KoJem International, a semiconductor equipment component manufacturer, has independently developed CMP retainer rings using high-purity plastic materials, securing orders for TSMC's advanced processes. Furthermore, it acquired a struggling valve manufacturer and rebuilt it for the semiconductor industry, and also entered the aluminum alloy mechanical component business for low-earth orbit (LEO) satellite communication, planning to increase the sales ratio from new markets to 40%. [Topic 4] Taiwan Machine Tool Exports in Q1 2026 Up 1.2% Year-on-Year Taiwan's machine tool exports for January-March 2026 amounted to US$457 million, a slight increase of 1.2% year-on-year. While exports to China, the top destination, were robust with a 6.3% increase, exports to Japan saw a significant decrease of 22.1%. Exports of machine tool components also performed well, increasing by 11.9% to US$375 million, with 'ball and roller type linear sliders' leading the growth with a 15.1% increase. https://www.ys-consulting.com.tw/research/128262.html https://www.ys-consulting.com.tw/research/l/86/213/ 1. Access to Taiwan information in Japanese This is a Japanese information magazine specializing in the machinery industry. 2. Full of information on individual fields It is packed with information on semiconductor equipment, electronic materials and components, machine tools, machinery equipment, machine control devices, hand tools, power tools, screws, nuts, rivets, fasteners, molds, automobiles, aerospace, automation and robotics, renewable energy, and more. 3. Provides diverse information Covers industry trends, corporate movements, statistical data, and legal revisions. 4. Easy-to-read layout Provided in an easy-to-read PDF format with rich photos and diagrams, designed for viewing on PCs. 5. Article database search Past articles can be freely searched from the article database on the homepage. ● Apply for a two-week free trial Please select 'Machinery Industry Journal' from the inquiry types. https://www.ys-consulting.com.tw/contact/ [Company Profile] Company Name: Wise Consulting Group Location: 8F, No. 9 Xiangyang Road, Taipei City, Republic of China Representative: Yasushi Yoshimoto Established: November 1996 URL: https://www.ys-consulting.com.tw/ Business Activities: ・Management Consulting