MediaTek expects its first artificial-intelligence accelerator to generate $2.5 billion in fourth-quarter revenue, providing an early measure of the Taiwanese chip designer’s expansion beyond smartphones and into custom cloud computing.
Initial shipments began in September, and management said demand for the accelerator remains strong. A second AI-accelerator project is scheduled to enter high-volume production during the first quarter of 2028.
MediaTek reported third-quarter revenue of NT$168.1 billion, approximately $5.16 billion, representing an 18.3% increase from a year earlier.
Net income increased 10.8% to NT$28.2 billion.
The expansion represents an important strategic shift for a company historically associated with smartphone processors. MediaTek is attempting to become a significant supplier of custom AI silicon to major cloud-computing companies, opening a substantially larger potential market.
The company raised $3.9 billion through overseas convertible bonds in August, with Nvidia investing $3.5 billion and Alphabet also participating.
MediaTek shares have risen sharply during 2026 as investors price in the company’s potential AI expansion.
The next important test will be whether its first accelerator reaches the expected fourth-quarter revenue level and whether MediaTek can convert initial cloud relationships into a durable business alongside its smartphone operations.
