Guotai Asset Management sees AI-led tech rebound extending after July pullback

SMH•2026-08-17

AI-driven rebound in China tech

Guotai Asset Management flagged a renewed AI-driven rebound in China tech, citing a volume-backed surge in semiconductors, chip design and communication equipment.

Semiconductor, networking and memory catalysts

Key AI catalyst in networking: Nvidia’s Spectrum-X Ethernet Photonics silicon-photonics switch entered full mass production, cutting lasers 4x and power 5x.

Semiconductor equipment outlook strengthened as two domestic foundries topped expectations with utilization near capacity, pointing to faster expansion and tool validation.

The memory cycle was also viewed as supportive; Sandisk results showed 2027 over half capacity booked and 2028 over two-thirds, reinforcing expansion momentum.

Guotai estimated global AI capex could reach USD 1.5 trillion in 2027, rising more than 70% year-on-year.

Sources

Guotai Asset Management sees AI-led tech rebound extending after July pullback

Publicnow

Guotai Asset Management sees AI-led tech rebound extending after July pullback

AI-driven rebound in China tech

Semiconductor, networking and memory catalysts

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Guotai Asset Management sees AI-led tech rebound extending after July pullback

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