HK Stock Market Move | SICC Co., Ltd. (02631) rose nearly 10% in midday trading. TSMC is optimistic about the large-size CoWoS SIC and expects the industry to see increased production.

SICC Co., Ltd. (02631) rose nearly 10% during trading, and as of the time of writing, it had risen by 8.19% to HKD 62.75, with a turnover of HKD 1.46 billion. On the news front, TSMC's Q1 revenue surged 45.2% year-on-year, reaching a historical high. According to reports, TSMC made it clear during a conference on April 16 that there is a tight capacity for advanced packaging, and the core strategy is to develop larger-size CoWoS technology. Sinolink previously pointed out that TSMC plans to introduce 5.5x size in 2026 and achieve 9.5x size in 2027 for CoWoS, supporting 12-layer HBM and multi-chip integration. Advanced packaging has become a key variable for AI computing power. The large size brings new bottlenecks in heat management and warping control. SiC materials, with high thermal conductivity and low CTE characteristics, are expected to gradually introduce them as heat diffusion layers and structural support layers to solve the heat-mechanical coupling problem. Public information shows that by 2025, SICC Co., Ltd. has achieved a market share of 27.6% for conductive silicon carbide substrates, surpassing Wolfspeed to become the world's number one. Among them, the market share of the company's 8-inch silicon carbide substrates is leading by a large margin with a market share of 51.3%. Galaxy Securities believes that driven by the continuous extension of emerging application scenarios and the accelerated penetration of traditional application scenarios, the market size of silicon carbide substrates is expected to grow to RMB 66.4 billion by 2030.