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ASE Technology Holding turns customers’ bare chips into packaged semiconductors and tests them before delivery. Customers generally supply the chips, so the company earns money for packaging and testing rather than selling the underlying silicon. These services generate most of its revenue. It can also combine packaging, testing and shipment directly to the customer’s designated recipient.
A substantial second business is electronics manufacturing through USI Group. It designs, assembles and manufactures electronic components and equipment for customers, extending the business beyond chip packaging into finished electronic assemblies.
Revenue is concentrated among a small group of customers, with one customer and businesses served on its behalf contributing a particularly large share. TSMC also designates ASE as a non-exclusive preferred packaging and testing provider for chips made by TSMC; that arrangement can be terminated.
The business depends on manufacturers continuing to outsource production and on demand for their electronics. AI processors and high-performance computing increasingly drive advanced packaging and testing demand. Profitability also depends on keeping expensive equipment busy, because many factory costs remain when orders fall. Taiwan’s rules restrict certain investments in mainland China, limiting some opportunities to expand there.
The risk section is the longest, dullest part of the filing. This keeps only what can really hurt you: where it hits, how hard, when it plays out.
Every company claims an edge. Each one is checked against hard numbers like margins and returns: which hold, and which line gives way first.
ASE’s results depend on outsourced chip packaging and testing demand and its sizable electronics manufacturing business, while JCET Group is an important packaging-and-test rival missing from this list.
Amkor competes with ASE for chipmakers’ outsourced packaging and testing orders, including advanced packaging and combining chips in one package, or system-in-package. Watch Amkor’s Advanced Products sales for the competitive pressure in work that both companies pursue.
TSMC makes chips from customers’ designs and names ASE a non-exclusive preferred provider to package and test them, but also competes with ASE in advanced packaging. Watch TSMC’s InFO packaging developments for competition within that alliance.
ChipMOS competes with ASE to package customers’ chips and test them both on wafers and after packaging, but focuses more on memory and display drivers. Its display-driver assembly and testing revenue offers a narrower view of demand than ASE’s broader business.
ASE buys chip testers from Teradyne, one of its primary suppliers, to meet customers’ forecast testing needs. Teradyne’s Semiconductor Test sales are the relevant signal for testing capacity and chip complexity; ASE’s margins also depend on how fully it uses that equipment.
UMC makes wafers for customers and outsources packaging and testing to ASE and its subsidiary SPIL when customers choose its turnkey service. Watch UMC’s wafer output for the production volume behind this downstream work, rather than treating all its output as ASE orders.
Kulicke & Soffa’s equipment orders offer a read on packaging investment in ASE’s industry: it sells tools that bond and assemble chips to outsourced packaging providers and other manufacturers. Watch demand for its bonding tools, since wirebonding remains part of ASE’s packaging revenue.
Cohu Inc sells equipment that moves chips into testing, controls their temperature and makes electrical contact, serving the wafer and packaged-chip testing processes ASE operates. Its test and inspection system sales offer a view of capacity investment, separate from its recurring sales of parts, software and services.
Camtek sells chip manufacturers tools to inspect and measure wafers through the start of assembly, processes that expand as ASE builds advanced packaging capacity. Watch demand for those inspection and measurement systems as a signal of investment in the processes behind ASE’s advanced packages.
FormFactor Inc. sells cards that make electrical contact with chips on wafers and systems for probing them, giving a view of a growing part of ASE’s testing business. Watch its Probe Cards sales: wafer probing rose from 35.4% of ASE’s testing revenue in 2023 to 44.0% in 2025.
Amkor Technology Inc earningsAMKR
Amkor’s report will show how chipmakers are spending on advanced packaging, where Amkor and ASE Technology compete for orders.
Read Amkor’s Advanced Products sales alongside ASE Technology’s packaging and testing revenue. Rising sales at Amkor would point to demand for advanced packaging that both companies pursue; if ASE’s results are weak at the same time, competition or customer allocation deserves attention, but Amkor’s growth alone cannot show that it took ASE’s orders. Falling sales at Amkor would be a weaker signal for the shared market, leaving ASE’s own results to show whether its business is holding up.
Teradyne, Inc. earningsTER
Teradyne’s report will show demand for chip-testing equipment, which ASE Technology buys to meet its customers’ testing needs.
Read Teradyne’s Semiconductor Test sales alongside ASE Technology’s testing revenue and margin. Stronger Teradyne sales point to a firmer market for test equipment and support the case for expanding or refreshing ASE’s test capacity; weaker sales suggest equipment demand may be cooling, making ASE’s use of its costly equipment more important. Teradyne’s sales are not the same as ASE’s purchases, so ASE’s own testing revenue and margin show whether its equipment is supporting enough business.
FormFactor Inc. earningsFORM
FormFactor’s report will show demand for probe cards, used in wafer testing that is taking a larger share of ASE Technology’s testing business.
Read FormFactor’s Probe Cards sales alongside ASE Technology’s wafer-probing revenue. Rising probe-card sales point to stronger customer investment in equipment for testing chips while they are still on wafers, consistent with wafer probing’s growing share of ASE’s testing business. Falling sales weaken that equipment-demand signal but do not prove ASE’s wafer-probing revenue is falling. Together, the results show whether growth in this testing activity is matched by demand for its equipment.
United Microelectronic Corp. earningsUMC
UMC’s report will show how its wafer production is changing, a signal of potential downstream packaging and testing work for ASE Technology.
Read UMC’s wafer output alongside ASE Technology’s packaging and testing revenue. Higher output becomes work for ASE only when UMC’s customers choose ASE’s turnkey service; growth at both companies would show that upstream production and ASE’s downstream business are moving in the same direction. Lower UMC output reduces potential work, but UMC’s wafers are not automatically ASE orders. ASE’s own revenue shows how much business it actually serves.
ASE Technology Holding Co., Ltd. earningsThis company
ASE Technology’s packaging and testing profits depend on keeping costly equipment busy, and this report will show whether demand is translating into higher revenue and margins.
Read packaging and testing revenue alongside their gross margins, then compare them with EMS revenue. If packaging and testing revenue and margins rise together, more orders are helping fill equipment with high fixed costs. If both fall, those factories may be underused even if EMS supports total revenue. The results show whether profit strength comes from demand and utilization in ASE’s packaging and testing businesses or whether another business is carrying revenue.
