C. C. Wei, chief government officer of Taiwan Semiconductor Manufacturing Co. (TSMC), left, and Jensen Huang, chief government officer of Nvidia Corp., in the course of the TSMC sports activities day occasion in Hsinchu, Taiwan, on Saturday, Nov. 8, 2025.
Bloomberg | Bloomberg | Getty Pictures
Asian chip shares rallied in early buying and selling Thursday after American AI chip darling Nvidia posted robust third quarter earnings, in an indication that AI bubble considerations aren’t slowing down the AI trade.
South Korea’s SK Hynix popped round 4%. The reminiscence chip maker is Nvidia’s prime provider of high-bandwidth reminiscence utilized in AI purposes.
Samsung Electronics, which additionally provides Nvidia with reminiscence, was up almost 4%. The corporate has been working to catch as much as SK Hynix in high-bandwidth reminiscence to land extra contracts with Nvidia.
Taiwan Semiconductor Manufacturing Firm, the world’s largest contract chipmaker, which produces most of Nvidia’s chip designs, rose 4% in Taipei. Hon Hai Precision Trade — also called Foxconn, and producer of server racks designed for AI workloads — climbed 3.28%.
The Asian chip giants’ rally comes after Nvidia’s earnings topped Wall Road expectations on Wednesday, with the corporate offering a stronger-than-expected gross sales steerage for the fourth quarter.
Nvidia’s gross sales and outlook are intently watched by the know-how trade as an indication of the well being of the AI growth, and its earnings come towards the backdrop of latest market fears relating to an AI bubble.
Nonetheless, the corporate’s robust outcomes and forecasts ought to ease rapid AI bubble considerations, Rolf Bulk, fairness analysis analyst at New Road Analysis, informed CNBC.
“Demand is diversified, with AI-native firms deploying agentic AI options, and enterprises more and more integrating AI throughout their present services and products,” Bulk mentioned.
“We count on Nvidia’s outcomes to drive larger earnings estimates throughout the sector, together with for its major GPU provider TSMC, reminiscence distributors SK Hynix and Samsung, and the broader Asian subcomponent and meeting worth chain,” he added.
In Tokyo, Renesas Electronics, a key Nvidia provider, added about 4%. Tokyo Electron, which offers important chipmaking tools to foundries that manufacture Nvidia’s chips, gained 5.87%. One other Japanese chip tools maker, Lasertec, was up about 6%.
Japanese tech conglomerate SoftBank skyrocketed almost 7%, although the agency lately offloaded its shares of Nvidia. Softbank owns nearly all of British semiconductor firm Arm, which provides Nvidia with chip structure and designs.
SoftBank can be concerned in quite a few AI ventures that use Nvidia’s know-how, together with the $500 billion Stargate challenge for information facilities within the U.S.
“There’s been numerous discuss an AI bubble,” Nvidia CEO Jensen Huang informed traders on an earnings name. “From our vantage level, we see one thing very completely different.”
