Yesterday, I organized the semiconductor industry chain, and some friends expressed a desire for more similar content. Today, I will summarize AIPCB. AIPCB is an upgraded printed circuit board designed specifically for high computing power and high transmission efficiency needs, driven by artificial intelligence technology. Its core lies in breakthroughs through high-layer boards (18+ layers), HDI (High-Density Interconnect), laser drilling, and HVLP copper foil technologies, meeting the stringent requirements for signal integrity, heat dissipation, and integration in various cutting-edge fields. With the global demand for AI computing power exploding, AIPCB is rapidly penetrating from traditional communications and consumer electronics into fields such as servers, automotive electronics, and humanoid robots, becoming a core link driving the upgrade of the electronic industry chain. As the global PCB manufacturing center, China is accelerating the layout of high-end production capacity, resonating with domestic substitution and technological innovation, driving continuous market expansion.
Incremental Drive
Firstly, the upgrade of AI computing power drives the iteration of PCB technology, forming core incremental demand. The density of AI server computing power is increasing, forcing PCBs to upgrade from conventional 8-12 layer boards to high-layer boards of over 20 layers, while requiring high-frequency and high-speed materials to reduce signal loss—copper-clad laminates need low dielectric loss, and HVLP copper foil requires low roughness. The drilling technology is upgrading from mechanical drilling to laser drilling, with the penetration rate of laser drilling in PCB processing continuously increasing as the hole diameter decreases.Secondly, emerging fields such as automotive electronics and humanoid robots open up incremental demand space. In the automotive electronics sector, the penetration rate of new energy vehicles is increasing alongside upgrades in intelligent driving, requiring high-reliability PCBs for BMS and ADAS controllers. The global automotive electronics PCB market is expected to reach $9.2 billion in 2024, with a compound annual growth rate (CAGR) of 6.1% from 2024 to 2029. In the humanoid robot sector, Tesla’s Optimus hand requires 26 actuators, driving the demand for PCBs and supporting materials, with the global humanoid robot market expected to reach $3.4 billion in 2024 and $5.3 billion in 2025, a year-on-year increase of 55.9%.Thirdly, the acceleration of domestic substitution in upstream equipment and materials releases supply increments. On the equipment side, domestic manufacturers of laser drilling equipment are breaking through from mid-to-low-end to high-end. Companies like Dazhu CNC and Chip Microelectronics are competing with Mitsubishi and ESI, while Dier Laser’s ultra-fast equipment is entering research and development testing. On the materials side, the domestic production rate of HVLP copper foil is expected to increase from 15% in 2023 to 30% in 2025, with Defu Technology and Tongguan Copper Foil breaking through HVLP4 mass production. In the copper-clad laminate sector, Shengyi Technology and Huazheng New Materials are replacing foreign investments in high-frequency and high-speed fields, further enhancing domestic supply capabilities to match downstream demand.
Institutions predict that the AIPCB-related market will maintain high growth, with a general CAGR exceeding 5% from 2024 to 2029, and high-end fields achieving growth rates of over 10%. By 2029, the market is expected to reach $94.7 billion, with a CAGR of 5.2%. Among them, high-layer boards (18+) are the fastest-growing segment, with a projected output value of $2.4 billion in 2024 (+40.3%), $3.4 billion in 2025 (+41.7%), and $5 billion in 2029, with a CAGR of 15.7%.
Manufacturing
The midstream core link of AIPCB is responsible for the production of high-layer boards, HDI boards, and packaging substrates, directly connecting to downstream demands from AI servers, automotive electronics, and humanoid robots. The global PCB output value is $73.6 billion, with China accounting for over 50%. Leading companies are accelerating the expansion of high-layer boards (18+ layers) and HDI boards to meet AI server demands.Huadian Co., Ltd.: A leading global supplier of server motherboards and core switches, planning to invest 4.3 billion yuan by 2025 to build a high-end PCB expansion project for artificial intelligence chips, with trial production expected in the second half of 2026 to further expand high-layer board capacity;Shenghong Technology: Core supplier for Nvidia, advancing AI HDI projects in Vietnam and high-layer board projects in Thailand;Pengding Holdings: Covers FPC, HDI, SLP, etc., deeply integrated into the supply chains of Apple and Tesla;Shenzhen Circuit: Expanding high-layer boards and HDI through the Nantong Phase IV project and the Thailand factory;Dongshan Precision: A core supplier for Apple and Tesla, announcing an investment of up to $1 billion in 2025 to build a high-end PCB project to meet AI server demands;Shengyi Electronics: Developed high-end PCB products suitable for GPU board groups and switch backplanes, supporting low-loss signal transmission and heat dissipation performance optimization;Jingwang Electronics: Planning to invest 5 billion yuan in the Zhuhai Jinwan base for HDI expansion by August 2025, focusing on AI computing power and automotive intelligent driving demands, with revenue of 7.095 billion yuan in H1 2025 (year-on-year +20.9%);Shengyi Technology: Balancing copper-clad laminate and PCB manufacturing;Founder Technology: A leading domestic PCB company, laying out three major production bases in Zhuhai multilayer, Zhuhai high-density, and Chongqing high-density, covering HDI boards, conventional multilayer boards, system boards, and large backplanes;Zhijing Electronics: Achieving differentiated breakthroughs in AIPCB and humanoid robot fields, exclusively supplying Tesla Optimus joint FPC modules, with integrated rigid-flex technology breaking through 6G communication bottlenecks, while also covering conventional HDI boards and multilayer board production;Shiyun Circuit: Focusing on high-end PCB manufacturing, with products suitable for automotive electronics and servers;Aoshikang: Deeply engaged in the research and development of high-layer boards and HDI boards, with clients covering leading communication equipment companies;Jinbaize: Providing customized PCB services, accumulating technological advantages in high-frequency and high-speed PCB fields, adapting to personalized needs of AI computing devices;Mankun Technology: Focusing on automotive electronics PCBs while gradually expanding into the AI server field;Chongda Technology/Hongxin Electronics: Focusing on multilayer boards and flexible PCBs;Junyu Technology/Bomin Electronics/Xiehe Electronics: Companies that have formed distinctive layouts in multilayer boards and communication PCB segments, not elaborated here.
Drilling Equipment
PCB drilling equipment is a core upstream device for AIPCB, responsible for processing through holes, blind holes, and micro holes. The technology route is upgrading from mechanical drilling to laser drilling, with domestic manufacturers achieving replacement in the mid-to-low-end market, while high-end ultra-fast laser drilling equipment is breaking through foreign barriers, becoming a core link in the domestic substitution of laser drilling.Dazhu CNC: A global leader in PCB equipment, with laser drilling equipment covering CO₂ laser drilling machines, UV laser drilling machines, and ultra-fast laser drilling machines, with products covering 80% of the top 100 PCB companies worldwide;Dier Laser: Focusing on ultra-fast laser drilling, with picosecond and femtosecond equipment in research and testing stages for HDI and IC carrier board processing, while mass-producing TGV laser micro-hole equipment capable of achieving 5-micron high-precision glass substrate processing;Inno Laser: Launched ultra-precision laser drilling equipment, meeting 70μm-30μm drilling needs on ABF carrier boards;Tianjun Technology: CO₂ laser drilling machines have been validated by multiple customers and are sold in bulk, capable of high-speed drilling of micro blind holes in rigid boards and rigid-flex boards, supporting automatic switching for different hole diameters;Chip Microelectronics: Launched CO₂ and UV laser drilling machines, with a minimum processing precision of 35μm, competing with Mitsubishi and ESI;Dingtaigaoke: A global leader in PCB drilling needles, leading the global market share in 2024, supporting mechanical drilling equipment demand;China Tungsten High-Tech: Its subsidiary Jinzhou Precision is expected to break through 700 million micro drill sales in 2024, providing core consumables for the drilling process.
Exposure/Electroplating/Testing Equipment
PCB exposure/electroplating/testing equipment is a key auxiliary device for AIPCB upstream, with exposure equipment responsible for forming circuit patterns, electroplating equipment ensuring the reliability of conductive pathways, and testing equipment ensuring PCB yield. Domestic manufacturers have reached a global leading position in electroplating equipment, while exposure and testing equipment are accelerating their replacement.Chip Microelectronics: A leader in laser direct imaging (LDI) equipment, with products suitable for high-precision exposure needs of high-layer boards and HDI boards, integrating blind hole online inspection functions based on LDI algorithm interoperability;Tianjun Technology: Laying out exposure equipment, forming synergy with its drilling equipment to enhance PCB processing integration capabilities.Dongwei Technology: A global leader in high-end precision electroplating equipment, with products covering vertical continuous electroplating lines for PCBs, while also crossing into the new energy and semiconductor fields, leading the market share in PCB electroplating equipment, supplying Pengding Holdings and Shenzhen Circuit;Matrix Technology: Providing automatic optical inspection (AOI) equipment for PCBs, used for outer layer etching and final quality inspection, ensuring the integrity of PCB circuit patterns;Kaige Precision Machinery: Laying out PCB testing equipment, deeply binding with leading PCB manufacturers;Jintuo Technology: Launched testing equipment for PCB appearance and electrical performance testing, suitable for high-end PCB yield requirements;Huace Testing/Guangdian Measurement/Su Testing/Puni Testing: Providing third-party testing services for PCBs, covering material performance and reliability testing, supporting high-end PCB quality control.Guanghua Technology: Laying out chemical reagents for PCB testing, providing supporting materials for the testing process.Bozhong Precision: A leader in 3C equipment, entering the PCB automation testing field, leveraging Apple supply chain resources to expand AIPCB customers;Jepter: Focusing on laser testing equipment, utilizing laser technology advantages to enhance PCB defect detection accuracy, suitable for high-density detection needs of high-layer boards.
Copper Foil
A key material, HVLP (Ultra-Low Profile Copper Foil) has become the mainstream choice for AI servers due to its low roughness (Rz≤2.0μm), which can reduce high-frequency signal transmission loss, suitable for the high-frequency and high-speed needs of AI servers and high-end switches. The industry is shifting from Japanese dominance to domestic substitution, with leading manufacturers achieving breakthroughs through technological research and overseas acquisitions.Defu Technology: A leader in domestic substitution of HVLP copper foil, acquiring Luxembourg copper foil, with HVLP4/5 expected to achieve mass production in Q4 2025, combined with its own production capacity, expected to form over 7,000 tons of high-end HVLP production capacity by 2026;Tongguan Copper Foil: Building a complete product matrix from HVLP1-4, currently shipping HVLP2 in bulk, with HVLP4 entering downstream terminal testing phase, expected to have 10,000 tons of HVLP production capacity by 2026, deeply binding with Taiwanese CCL manufacturers such as Taiguang Electronics, Shengyi Technology, and Huazheng New Materials;Jiayuan Technology: With a production capacity of 10,000 tons of electronic circuit copper foil, HVLP1-2 in mass production, gradually integrating into Shengyi Technology and Nanya New Materials supply chains;Longyang Electronics: Focusing on high-frequency server scenarios, HVLP5 is in the sample testing phase, promoting high-end product validation;Norde Co., Ltd.: Cross-industry layout in the HVLP copper foil field, gradually advancing product validation based on copper foil production technology accumulation;Longyang Electronics: Achieving comprehensive coverage in customer cooperation, obtaining supplier certifications from several well-known companies in the industry, laying the foundation for HVLP5 product mass production, with its HVLP5 products for high-frequency servers directly addressing high-end chip demands such as Nvidia’s Rubin.
Copper-Clad Laminate
A core substrate, accounting for 27.3% of PCB costs, needs to have low dielectric loss and high thermal resistance to meet the high-frequency and high-speed demands of AIPCB. Domestic manufacturers are replacing foreign investments in the mid-to-high-end sector, forming a pattern of “leading enterprises dominating, with a complete tier structure.”Shengyi Technology: A global leader in copper-clad laminates, covering high-frequency and high-speed, metal-based, and flexible copper-clad laminates, with subsidiaries such as Jiangxi Shengyi and Suzhou Shengyi producing at scale, supplying Nvidia and AWS supply chains, leading the domestic market share in high-frequency and high-speed copper-clad laminates;Huazheng New Materials: Focusing on epoxy resin copper-clad laminates, closely following high-end PCB technology trends, enhancing product precision and stability, with clients including Taiguang Electronics and Shengyi Electronics;Nanya New Materials: Deeply engaged in lead-free and halogen-free, high-speed and high-frequency copper-clad laminates, optimizing key indicators such as Df and CTE to meet AI server PCB demands;Jin’an Guoji: Producing FR-4 and aluminum-based copper-clad laminates;Gaosibeier: Focusing on high-frequency copper-clad laminates, using hydrocarbon resin and PTFE composite materials for AI server and satellite communication PCBs, breaking through foreign technical barriers;Zhonying Technology: Mainstreaming PTFE/hydrocarbon series copper-clad laminates, with a high market share in high-frequency fields, suitable for high-end PCB signal transmission needs;Chaohua Technology: Layout of the entire industry chain from “copper foil-copper-clad laminate-PCB,” with copper-clad laminate production capacity supporting its own PCB production, enhancing cost advantages;International Composite Materials: Focusing on high-performance copper-clad laminate research and development, achieving technological breakthroughs in low dielectric loss and high thermal resistance copper-clad laminates, gradually entering the supply chains of Taiwanese and Japanese PCB manufacturers;Shengquan Group: Relying on resin material technology advantages to provide core raw material support for copper-clad laminate production, with its high-performance resin products meeting the needs of high-frequency and high-speed copper-clad laminates, indirectly serving the AIPCB industry chain;Zhonyi Technology: Laying out ultra-thin copper foil and copper-clad laminate supporting materials, enhancing product competitiveness through the synergy of copper foil and copper-clad laminate materials, suitable for flexible PCBs in AI terminal applications.
This article is compiled based on publicly available information and does not constitute investment advice.
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