[News] MediaTek Confirms Second AI ASIC Customer for 2028 Production; First ASIC Shipments Begin in Sept.
MediaTek reported double-digit revenue and profit growth in the third quarter of 2026. According to the company’s earnings release, consolidated revenue reached NT$168.06 billion, up 10.4% QoQ and 18.3% YoY, while gross margin remained stable at 46.3%. Net income rose 14.6% QoQ and 10.8% YoY to NT$28.20 billion, with earnings per share (EPS) of NT$17.50.
As noted by Central News Agency, MediaTek expects strong fourth-quarter growth driven by rising AI accelerator ASIC shipments. CEO Rick Tsai forecasts revenue of NT$210.1 billion to NT$221.8 billion, up 25% to 32% QoQ, with gross margin ranging from 43.5% to 46.5%. Full-year 2026 revenue growth in U.S. dollar terms is expected to exceed the company’s previous high-single-digit percentage target.
MediaTek Confirms Second AI ASIC Customer as Demand Grows
One of the key highlights of MediaTek’s earnings call was the confirmation of a second AI ASIC customer, marking a step toward diversifying its customer base, according to Mirror Media. While the new deal signals progress beyond a single major customer, MediaTek has yet to disclose the client’s identity, chip specifications or expected revenue.
Regarding market speculations that its second AI ASIC customer was ByteDance, MediaTek clarified that the customer is not a Chinese company. The new project is expected to enter mass production and begin contributing revenue in 2028, Mirror Media reports.
Meanwhile, Vice Chairman and CEO Rick Tsai said demand for MediaTek’s first AI accelerator remains strong, with small-volume shipments having begun in September. The company is confident of reaching US$2.5 billion in fourth-quarter revenue and the upper end of its previously stated 2027 revenue target range of approximately US$16 billion, equivalent to around 20% of the AI accelerator ASIC market, according to Mirror Media.
Second-Generation ASIC Tape-Out, Packaging Partnership in Focus
Addressing speculation about delays to its second-generation AI ASIC, Tsai said development remains on schedule. Several dies in the multi-die design have already completed tape-out, while larger, more complex dies, despite requiring several additional weeks, remain on track with the original timeline, as noted by ABmedia.
On advanced packaging, MediaTek is working closely with a U.S. integrated device manufacturer (IDM) and substrate suppliers to improve yields. Tsai said the team has identified key issues and potential solutions, expressing confidence that resolving two or three major problems could rapidly improve yields. Market observers believe the IDM partner is Intel and the technology is EMIB-T, according to Mirror Media.
The discussion over advanced packaging has also raised questions about MediaTek’s foundry strategy. Institutional investors questioned whether using Intel’s EMIB packaging could eventually require the company to adopt Intel’s foundry services. Tsai stressed that MediaTek does not rely on a single supplier and that TSMC remains its most important partner, with close cooperation across the supply chain, according to Taiwan’s Next Apple News.
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(Photo credit: MediaTek)
