Taiwan's MediaTek Prepares for Possible U.S. Chip Tariffs, Remains Optimistic on AI

Taipei, Taiwan - MediaTek, Taiwan's leading chip design company, is proactively simulating the potential impact of U.S. tariffs on the country. Despite the uncertainty, CEO Rick Tsai believes the company can manage the situation in 2025.

In a recent earnings call, Tsai acknowledged the unpredictability surrounding the tariffs but stated that MediaTek has been conducting simulations to prepare. He emphasized that the company is not passively waiting and is taking proactive steps to mitigate any impact.

For the current year, Tsai anticipates the impact to be "manageable." While he did not provide specific details, he expressed confidence in MediaTek's ability to navigate the challenges posed by tariffs.

Despite concerns about the potential impact on the tech industry, Tsai remains positive about the AI market. He views the rise of DeepSeek AI as an opportunity to democratize AI and make it more accessible to average users.

MediaTek's stock performance this year reflects the company's optimism. Its shares have outperformed the broader market, rising by 7.8% year-to-date. The company's shares remained stable on Friday, the day of the earnings release.