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AI Servers Lift Quanta and Wistron as PC Demand Weakens

Reporter Richard Brown
Release time：2026/11/12 13:54
Last update time：2026/11/12 13:54

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Wistron’s record quarterly revenue of approximately US$35.1 billion was more than double a year earlier.
Wistron’s record quarterly revenue of approximately US$35.1 billion was more than double a year earlier. (Image courtesy of Richard Brown.)

Quanta Computer and Wistron reported sharply higher third-quarter sales and profits as AI server orders outweighed weakness in their notebook businesses. The two manufacturers, which design and build computers and servers for global brands and cloud operators, expect AI demand to support further growth through the end of 2026.

Quanta’s quarterly revenue reached a record NT$1.12 trillion (approximately US$34.0 billion), up 125.2% from a year earlier and 7.6% from the previous quarter. Net profit attributable to shareholders rose 73% year on year to NT$28.42 billion (US$867 million, or NT$7.08 per share.

The company expects AI server revenue to rise in the fourth quarter even if it ships fewer racks. Customers are moving from Nvidia’s GB300 systems to its Vera Rubin platform, and shipments of high-density AI racks could decline slightly from the third quarter during the changeover, but higher prices for the new systems should lift the total. Customers are adopting Vera Rubin on different schedules, with small-volume shipments beginning this quarter and larger volumes expected in early 2027. Quanta said it had seen no customer order adjustments associated with concerns about US data center investment.

Margins are narrowing as revenue grows. Gross margin fell to 4.75%, from 5.02% in the second quarter because costly components such as AI processors and memory made up a larger share of server revenue, reducing the percentage left after production costs. Quanta is discussing arrangements in which customers supply more components directly, reducing the funds it must commit to inventory. It is targeting a broadly stable operating margin in the fourth quarter.

Wistron’s record quarterly revenue of approximately NT$1.15 trillion (US$35.1 billion) was more than double a year earlier and up 28.3% sequentially. Net profit attributable to shareholders rose approximately 149% year on year to NT$18.40 billion (US$561 million), with earnings per share of NT$5.74. The consolidated figures include server subsidiary Wiwynn. October revenue came to NT$402.62 billion (US$12.3 billion), and Wistron expects stronger AI-related deliveries in November and December.

Notebooks are moving in the opposite direction. Wistron and Quanta each expect fourth-quarter shipments to fall by a double-digit percentage from the previous quarter, widening the divergence between personal computing and data center investment.

Both companies are expanding production, and their investments reflect the requirements of complete server racks, including more demanding assembly, testing, and power infrastructure. Wistron approved another NT$12.84 billion (US$391 million) for facilities and equipment in Tainan and Hsinchu, plus US$17.8 million for server capacity in Mexico. Quanta expects to double its AI server production capacity by year-end compared with the end of 2025, with California and Thailand leading its expansion.

US$ conversions use an illustrative exchange rate of NT$32.8 per US$1.