Japan's power semiconductor sector, once a global stronghold, is losing ground to fast-rising Chinese rivals as stalled consolidation and mounting financial pressures undermine its competitiveness. Talks between Toshiba and Rohm — two of Japan's five leading power semiconductor firms — have stalled, highlighting how fragmentation is preventing Japan from countering China's increasingly aggressive push.

As part of its broader effort to strengthen competitiveness in the next generation of vehicles, Hyundai Motor Group is accelerating its transformation toward software-defined vehicles (SDVs)—a shift that includes not only the development of in-car software platforms but also a strategic move toward in-house automotive semiconductor development.

Google has officially launched its latest lineup of Pixel devices, all powered by the next-generation Tensor G5 chip, built using TSMC's cutting-edge 3nm process. In a rare move, Google's US headquarters publicly acknowledged its partnership with the Taiwanese chipmaker, underscoring the growing strategic importance of Taiwan's semiconductor supply chain.

Taiwan's MPI Corporation is set to benefit from a major shift in semiconductor testing, as global cloud providers ramp up custom AI chip development and drive demand for advanced wafer probe cards. Starting in 2026, Google and Amazon Web Services (AWS) are expected to lead a surge in CoWoS advanced packaging capacity, powered by their in-house AI application-specific integrated circuits (ASICs). These chips have already progressed from 7nm to 5nm and 4nm, with the next wave targeting sub-3nm nodes.