The theme of this year’s Computex Taipei was “AI Together,” featuring three key exhibition areas: AI computing, robotics, and smart mobility.
NVIDIA was the center of attention. Key highlights include: 1) Vera Rubin is set for mass production in 2H26. Its rack-level inference performance is 3x that of the previous generation, while the supply chain ecosystem has doubled in size, spanning 150 partners. The architecture includes the Vera CPU, designed for agentic AI and enhanced multi-rack collaboration. 2) NVIDIA will launch a new agentic AI PC platform and, together with Microsoft, introduce RTX Spark. Built on the proven Blackwell architecture, Adobe Premiere and Photoshop have been re-engineered for RTX Spark, delivering 2x faster performance than Intel and AMD platforms.
The U.S.-Iran conflict remains fluid. After Israel struck Lebanon, Iran suspended talks with the U.S. and proposed blocking the Strait of Hormuz, driving oil prices higher on fears of renewed Middle East tensions. However, reports that President Trump does not intend to escalate the conflict, coupled with strong AI demand and solid 1Q earnings, continued to support U.S. equities. Semiconductor stocks rallied, while the other major indices traded range-bound near highs.
U.S. April PCE data showed a YoY increase of 3.8%, in line with market expectations. Core PCE rose 3.3% YoY, also matching forecasts. Driven by higher energy prices during the Iran war, April inflation recorded the fastest pace in nearly three years. Ahead of the release, markets had already priced in expectations of inflation staying elevated, with no further rate cuts anticipated this year. The probability of a 25bp hike by year-end remained at 37.5%. Two-year yields were little changed, while longer-term yields fell on ceasefire hopes.
SpaceX IPO Set to Debut, Strengthening Long-Term Space Growth Outlook
SpaceX is expected to list on Nasdaq on June 12 under ticker SPCX, targeting a valuation of US$1.75-2.0tn. The deal could surpass Saudi Aramco’s US$29bn IPO in 2019 to become the largest IPO in history.
U.S. electricity prices have risen more than 8% YoY this year, driven by the retirement of stable power sources in favor of renewables, as well as tighter supply from rapid AI infrastructure expansion amid geopolitical-driven energy volatility. To ease pressure on consumers, the Trump administration has required major tech firms and AI startups to fund new power generation and grid upgrades, boosting demand for electrical equipment.
Under evolving regulations, self-generated power is becoming the norm for new data centers. Significant investment in U.S. transmission and distribution infrastructure will be required to meet rising power demand and address aging grids. Based on NERC data, Goldman Sachs estimates U.S. power generation investment will reach US$609bn during 2026–2030. Around 56% of future data center power demand will require new generation capacity, while existing infrastructure can meet only 44%, supporting strong growth in demand for electrical equipment.
