Latest news with #Ang
Business Times
7 hours ago
- Business
- Business Times
AI demand drives chip equipment sales forecast to new highs but tariff jitters cloud outlook
[SINGAPORE] Fuelled by the explosive demand for artificial intelligence (AI), global semiconductor manufacturing is poised for growth, with equipment sales projected to hit a record US$121 billion this year – surpassing last year's high – even as geopolitical tensions loom large. While high-end AI models continue to push demand for more powerful and efficient chips, there is also growing interest in low-power AI semiconductors from global firms looking to integrate AI into everyday operations, said Alvin Nguyen, senior analyst at Forrester. 'Generative AI is an obvious driver of semiconductor growth,' he noted, adding that demand is also rising for chips used in Internet of Things (IoT) and edge computing devices. Industry group Semiconductor Equipment and Materials International (Semi), similarly expects long-term semiconductor equipment demand to be driven by advances in AI-related technologies. Global sales of semiconductor manufacturing equipment by original equipment manufacturers did better than expected, increasing 10 per cent to US$117.1 billion in 2024. That momentum is expected to continue, with sales forecast to rise to US$121 billion in 2025, and further to US$139 billion by 2026, driven by growth across both front-end and back-end segments. The front-end segment typically includes the wafer fabrication stage, while the back-end segment refers to assembly, packaging and testing. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up In Singapore, industry players see AI as a long-term catalyst, with demand expected to remain strong across multiple application areas. Executive director Ang Wee Seng of the Singapore Semiconductor Industry Association (SSIA) expects AI-related demand to remain robust over the next one to two years, led by investments in data centres, edge computing and generative AI applications. 'This structural growth is creating new requirements across the value chain, from chips to cooling systems, and will continue to be a strong driver for the industry,' said Ang, adding that equipment manufacturers should expect a moderate rebound in demand by mid-2025. Ang noted, however, that the industry is still working through the tail-end of the 2023 oversupply. While inventory levels are improving and demand is picking up in consumer electronics, automotive and industrial segments, the recovery remains uneven across markets. He also flagged that Asean-based suppliers could face pressures from the recalibration of the US trade policies, underscoring the importance of diversification and regional collaboration. Similarly, Forrester's Nguyen pointed to the uncertainty created by tariffs, which have delayed investment decisions by some semiconductor players. Big plus for smaller players Smaller players such as Grand Venture Technology (GVT) and Frencken Group are well-positioned to ride the AI-driven wave, said SSIA's Ang, provided they remain agile and responsive to fast-evolving customer needs, such as precision components for advanced packaging and AI accelerators. However, their smaller scale also makes them more vulnerable to tariff shifts. In this environment, supply chain resilience and broader regional market access will be critical to weathering the challenges ahead. Conversely, Nguyen from Forrester explained that these companies may also benefit from supply chain impacts as the larger manufacturers look for alternative partners to simplify their supply chain logistics and lower overall risk. Both GVT and Frencken Group made it to the 2025 edition of RHB's Top 20 Small Cap Jewels report, which highlights high-potential small-cap companies in Singapore. Analysts from RHB and DBS are sanguine about the prospects of Frencken Group, which saw net profit rise 12 per cent to S$10 million in the first quarter of FY2025. RHB analyst Alfie Yeo expects Frencken Group's outlook for the remainder of the first half to remain stable, with growth likely to continue despite tariff-related headwinds. In fact, Yeo expects minimal tariff impact, since the group's exposure to the US is relatively small, and the tariffs primarily affect its customers rather than the company itself. The group's sales to a key customer in Europe, along with a rebound in Asian demand helped boost the semiconductor segment revenue of its mechatronics division by 33.7 per cent to S$106.2 million. This in turn drove revenue higher to S$215.8 million – up 11.5 per cent from the corresponding year-ago period. Yeo said that the house remained 'upbeat on Frencken Group on the back of the growth in its semiconductor and medical segments' and maintained its recommendation of 'buy', with a target price of S$1.48. DBS analyst Ling Lee Keng also maintained her 'buy' recommendation on the group, adding that its expansion in its front-end equipment is set to boost revenue. Ling mentioned that global industry association Semi expects the demand rebound to be accompanied by new highs in wafer shipments and surges in demand for silicon, supporting AI and various industrial applications. However, though the upward trend can remain intact, Ling also sees a slower momentum in growth, citing cautious market sentiments as 'pickings are likely to be harder after the low-hanging fruits dwindle'. She also maintains a 'buy' recommendation for semiconductor player GVT, which reported a 96.4 per cent jump in earnings to S$10.9 million for FY2024 from a year ago, beating DBS' estimates. Revenue grew 43.3 per cent to S$159.5 million, more than half of which came from the semiconductor segment. For the first half of 2025, DBS projected that GVT could post year-on-year revenue growth of 31.7 to 40.5 per cent, reaching between S$90 million and S$96 million on the back of rising demand for AI-related and complexity-driven equipment sales. The equipment maker is aiming to move up the value chain by upgrading its facilities with advanced semiconductor manufacturing technologies. Its acquisition of ACP Metal Finishing has also helped stabilise and diversify its customer base, Yeo noted. He also observed that GVT would have minimal impact from US tariffs, with less than 10 per cent exposure to them in FY2024. GVT's key customers are in the Asia and Europe markets. 'I think these companies are on the right track and working with the right semiconductor customers who are involved in the AI chip supply chain,' said Maybank analyst Jarick Seet. Asean will stay a key player in the global semiconductor supply chain, and trying to recreate what it has even briefly in the US won't be easy, he said. Still, Seet cautioned that no single trend can carry the industry. The semiconductor market's long-term success will hinge on sustained demand across a range of sectors.
AsiaOne
a day ago
- Automotive
- AsiaOne
PHV drivers rally to raise funds after Grab driver dies suddenly, leaving behind 2 children, Singapore News
Several private-hire vehicle (PHV) drivers are rallying to raise funds for the family a Grab driver who died suddenly from a stroke, leaving behind two teenage children. Gavin Neo, a 49-year-old single father, died on Thursday (May 29), according to an obituary notice shared within a Facebook group for PHV drivers. According to user Lambo Lee who first made the announcement, Neo had suffered a stroke on Tuesday, two days before his death. In their posts, several other drivers also appealed for donations to the family, affirming Neo's hardworking personality and dedication to his children as the sole breadwinner. 'It's for my kids and their future' Neo was also known to work up to 16 hours daily, drinking three cans of Red Bull just to stay awake, according to Lee. After working through the night, he would then rush home to send his daughter to school before sleeping and repeating the cycle. "Gavin was a humble and down-to-earth guy, [who] always shares his experience with his peers and newer drivers in the same trade," wrote Facebook user Bryan Ang, another friend of Neo's. Ang also shared a personal anecdote where he would sometimes ask Neo why he always opted for the cheapest meal — a $3.80 plate of chicken rice. "It's for my kids and their future," Neo would say, spending frugally so that he could support his children as much as possible, shared Ang. Wrote another driver: "He has two kids, he is someone that doesn't spend on himself, he doesn't buy branded [goods] or eat expensive food. He doesn't drink or gamble, all his money goes to his kids." Neo's long hours earned him a four-star rating and a Diamond Tier on Grab, which is only awarded to the top 10 per cent of drivers on the platform who complete up to 2,000 trips every three months — an average of 22 trips a day — according to a driver whom Shin Min Daily News spoke to. Not covered by insurance Neo was not a member of the National Private Hire Vehicles Association (NPHVA), according to Kelvin Lam, a fellow PHV driver who also vouched for Neo's tireless work ethic in a lengthy Facebook post. Without the insurance coverage that is offered to members, he is "not entitled for the additional $40k death support which may help to tide the family in this difficult time", Lam added. He appealed to netizens to send donations to Neo's family "to help his children tide over a few years more till adulthood". "If you can afford, a simple token, crowdfunding is ongoing now, can PayNow however big or small an amount, every drop helps make the ocean," he said. Family still in shock Neo's family is still struggling to come to terms with his sudden death, according to his sister who spoke to Shin Min at the wake. She attested that her brother worked long hours every day to provide for his two children. While she was surprised by the outpouring of support online, she also expressed gratitude for the concern shown. "We appreciate it and hope everyone can give our family some space," she told Shin Min. [[nid:717685]]
Borneo Post
2 days ago
- General
- Borneo Post
Gawai Dayak: A celebration of unity, hope and cultural pride
Ang expresses pride in the Dayak community's achievements and their significant contributions to Malaysia's development and prosperity. — Photo by Chimon Upon KUCHING (May 31): Gawai Dayak has grown to become a powerful symbol of unity, hope, and aspiration for the Dayak community – the majority ethnic group in Sarawak. Datuk Seri Ang Lai Soon, founder of St John Ambulance Sarawak, noted that Gawai was originally celebrated at different times across various longhouses and villages, marking the end of a successful harvest. 'The ethnic Dayak community then decided to celebrate the event on one day; thus, it's celebrated by all as the most important day by all different Dayak groups. 'It is now one of Sarawak's important gazetted holidays,' he said in his Gawai Dayak message. Ang expressed pride in the Dayak community's achievements and their significant contributions to Malaysia's development and prosperity. However, he also reminded the public that the Covid-19 pandemic is 'still far from over.' 'Some global communities have decided 'to live with the virus' after the majority of the people have been fully vaccinated. 'Still, while we are reopening, I am sure that we will still continue to be careful and vigilant,' he said. Ang went on to lament the continued existence of wars, conflicts, and unrest in many parts of what he described as 'an uncertain and unpredictable world'. 'The people suffer untold miseries and sufferings, especially the most vulnerable: the poor, the sick, the children, the seniors and underprivileged. 'All countries should ideally consider devoting their funds, time and energy to make life safer, happier and more bearable for everyone in this rather difficult, troubled and tumultuous world, instead of production of lethal weapons, especially nuclear weapons with the capacity to destroy the human kind,' he said. He added that universal peace and happiness could be achieved if all nations committed to total disarmament. Trillions of dollars currently spent on arms could instead be used to improve living standards across the globe, he added. 'That will be the day to celebrate.' The Universal day of peace Ang also highlighted global inflation and threatening famine caused by geopolitical tensions should be addressed immediately. The much feared climate change and its ill effects on humankind, flora and fauna and the Environment is a monumental issue, he said. 'We see such ill-effects already even within our own country as torrential rains and serious floods seem to be occurring with greater frequency,' he said. Intense forest fires caused by prolonged droughts are affecting nations like the United States, Canada, Japan, and Australia, and in the Philippines, typhoons continue to grow in intensity year after year, he said. 'As we celebrate another Gawai festival, let us be reminded again to celebrate in moderation. 'Both humans and Planet Earth must stay healthy for their own sake and that of future generations. 'God bless our people, God bless our country. 'Selamat Ari Gawai, Gayu Guru, Gerai Nyamai! Selamat hari Kaamatan.' culture Gawai Dayak pride unity
The Star
3 days ago
- The Star
Abdullah Ang, inmate who had water bed in Kajang Prison, has died
PETALING JAYA: Ang Swee Kang, a former managing director of the now-defunct Malaysian Overseas Investment Corporation who sparked national outrage in 1989 for receiving luxury and privileged treatment while jailed in Kajang Prison, has died. Better known as Abdullah Ang, 79, he breathed his last on Wednesday (May 28) after a long illness. Ang, who was sentenced to eight years' jail and fined RM100,000 in 1986 for criminal breach of trust involving over RM338,000, was embroiled in another scandal just three years later during incarceration when an English-language daily revealed he was receiving special treatment in Kajang prison. It was reported that unbefitting for a prisoner, Ang's cell Was furnished with a carpet, refrigerator, TV, video player and a water bed. The newspaper also revealed that investigations revealed Ang, who was said to be close to the then-prime minister Tun Mahathir Mohamed, also frequently left prison grounds to manage his business in Kuala Lumpur. This triggered public uproar over preferential treatment for wealthy or well-connected inmates. Soon after, several prison officials faced inquiries and a shake-up of the Prisons Department followed. Ang's former legal adviser, Selva Sugumaran, who worked for Ang for over 25 years, told The Star that the businessman had been unwell for eight years and was frequently hospitalised. He said Ang had ventured into business soon after his release from prison and ran a latex glove manufacturing company. Selva, 64, said he and Ang stayed in touch over the years until his demise on Wednesday. Ang's funeral is scheduled for this coming Monday (June 2) in Kuala Lumpur.
Business Times
5 days ago
- Business
- Business Times
Singapore's real wages rise at faster rate of 3.2% in 2024; more firms give salary bumps: MOM
[SINGAPORE] Real wage growth in Singapore rose at a faster pace of 3.2 per cent in 2024 as nominal wage growth outpaced inflation, data from the Ministry of Manpower (MOM) showed on Wednesday (May 28). Lower headline inflation of 2.4 per cent in 2024, compared with 4.8 per cent in 2023, meant that 2024's real wage growth was higher than the 0.4 per cent recorded the year before and the highest since Covid-19, stated the ministry's latest wage practices report. This was while the proportion of firms that gave wage increases to their staff rose in 2024, even though the proportion of profitable businesses declined slightly from the year before. Nominal wages of full-time resident employees who had been with the same employer for at least a year increased 5.6 per cent. This figure included employer Central Provident Fund (CPF) contributions. This was a nudge higher than the 5.2 per cent nominal wage growth seen in 2023. 'Looking ahead, we expect wage growth this year to moderate,' said Ang Boon Heng, director of MOM's manpower research and statistics department, in a briefing for reporters. 'It's not going to be news because we know that times are uncertain.' BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up Even though there has been a slight improvement in Singapore's growth outlook in recent weeks, due to de-escalation of US-China trade tariffs, MOM still expects wage growth to moderate in 2025, added Ang. Nominal wage growth is expected to moderate, especially in trade-reliant sectors such as manufacturing and wholesale trade, the ministry said in its annual report. Still, the moderation in wage growth is not expected to be significant, noted Ang, given that the labour market remains tight, as well as with strong labour demand in certain sectors, such as consulting, and health and social services. The ministry's forward-looking survey, conducted in the first quarter of 2025, showed that a smaller proportion of firms plan to give wage increases to their employees. Rank-and-file employees (5.8 per cent) and junior management (5.6 per cent) had slightly higher wage increases than senior management (5.1 per cent), partly reflecting efforts to offset cost-of-living pressures, said MOM. It added that policy factors, such as increases in the local qualifying salary and the implementation of Progressive Wage Model initiatives, contributed to the uplift in wages of lower-income employees. 'The increase in wages of lower-income employees did not have a significant impact on cost competitiveness, as they only form a very small component of total business costs,' said MOM. Sectoral wages In 2024, all industries continued to experience wage growth, though the rate of increase across sectors varied, MOM said. The financial services (6.7 per cent) and community, social and personal services (5.7 per cent) sectors had above-average wage gains as demand for skilled workers continued. Meanwhile, the administrative and support services had the highest wage growth of 8.7 per cent, reflecting the impact of the Progressive Wage Model, said MOM. In contrast, the food and beverage (4.8 per cent), wholesale trade (4.2 per cent) and manufacturing (5.1 per cent) sectors had below-average wage growth. Wage increases in the latter two sectors are expected to moderate this year given ongoing geopolitical and trade tensions. In 2024, the proportion of firms that raised their staff's salaries rose to 78.3 per cent, from 65.6 per cent the year prior. MOM noted, however, that this was due to firms' past organisational performance, rather than forward-looking confidence. Meanwhile, the proportion of businesses that reported they were profitable dipped to 80.8 per cent, from 82.1 per cent previously. Profitability varied across industries, with the real estate services and wholesale trade sectors seeing fewer profitable businesses. In contrast, manufacturing had an increase in profitable firms, but this is expected to decline in the coming year due to global trade tensions. Firms that cut wages remained in the minority at 3.2 per cent, while 18.5 per cent of businesses left salaries unchanged. Flexible-wage system Over the past decade, there has been a gradual decline in the proportion of companies which has implemented at least one flexible-wage system, said MOM. This refers to either the monthly variable component and the annual variable component, or both. Only 8.5 per cent of firms have adopted both systems, while the prevalence of variable wages in the private sector firms was also low at 14.9 per cent. 'Establishments that have implemented at least one flexible-wage system component were more likely to have given wage increases by using the variable wage components,' said MOM. A majority of companies adopt the annual variable component, the ministry noted. Firms are also not adopting the monthly variable component, either due to a lack of awareness or because other firms in their industries do not have a practice of adopting it in their wage structure.
