Advantest Speaks of High Demand for Chips and Hardware due to ChatGPT

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The demand for chip-testing devices is increasing rapidly due to the growing popularity of OpenAI’s ChatGPT and other AI-driven technology. Yasuo Mihashi, co-chief strategy officer of Advantest Corp. shared in an interview with Bloomberg News that the company is reaping the benefits of the global competition to develop powerful computing clusters and AI training systems.

With the US launching campaigns to limit the trading of advanced semiconductors to China, the Japanese company is still seeing an increase in orders from NVIDIA and AMD, even with the lack of demand for consumer electronics. Advantest states that these orders are strengthened by the usage of AI to improve web tools as well as the surge of AI in China, where companies like Alibaba, SenseTime, and Baidu are leading the way in the development of new platforms.

Data centers are vital for the AI models used in autonomous driving and advanced chatbot services. Graphics Processing Units (GPUs) are necessary for running these models in real-time making hardware like chip testing tools in high demand. This is where Advantest has become the industry leader, and strives to lead the way in AI chip testing for its customers – such as NVIDIA and AMD.

The company’s stock prices have risen 36% this year and projected operating profits for the fiscal year 2020 ending on March 31, 2021 are estimated to rise by 48% to Â¥170 billion ($1.3 billion). This has increased its competition with other chip testers, specifically North Reading, Massachusetts-based Teradyne Inc.

Advantest is among those that are following with Japan’s strict export regulations, and the company could potentially remain free of these restrictions. As technology advances and miniaturization of chips increases, the need for chip testing increases – as this is necessary to guarantee the performance and quality of chips manufactured.

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Advantest Corporation is a service industry leader globally in IC testing tools and semiconductor testing systems. Founded in 1954, the Tokyo-based corporation is a market leader in the field of advanced semiconductor testing. They focus on providing their clients with superior testing solutions and products that are essential for the development of high-tech hardware and to ensure that quality measures are met. Advantest products are used in the development of chips for many applications, such as wafers for the audio industry, TV broadcasting core components, and automotive infotainment systems.

Yasuo Mihashi, co-chief strategy officer for Advantest Corp., has over 30 years of experience in the IT industry in various roles such as development and engineering, as manager of the product strategy and marketing divisions, and product development and research management. He has a deep knowledge of the semiconductor test solution market, product development, and strategic business planning. His intellectual property in the industry has been utilized by leading semiconductor companies world wide to help identify digital test solutions to assist with the technology needs and applications of the future.

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