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CCL manufacturer Iteq expects revenue from 5G to double by 2020

According to Dennis Chen, chairman of the company, Taiwan-based CCL manufacturer Iteq expects that by 2020, the revenue of high-frequency, high-speed materials for 5G base stations will double.

Chen said that 5G business opportunities will begin to take off in 2020, and solutions below 6GHz will become mainstream in a few years until the mature mmWave solution enters the market.

In addition to providing low loss and low loss copper clad materials for main board products in servers, storage devices and smart phones, ITEC has also introduced ultra-low loss materials for 5g base station applications and related materials for 5G power amplifier modules.

Chen revealed that strong orders for 5G-related sheets from China have enabled Iteq's production line to operate at full capacity, which has allowed the company to enjoy strong shipments at least in early 2020.

In order to meet growing orders, Iteq's new plant in Jiangxi Province, China will begin mass production at the end of the fourth quarter of 2019 with a monthly capacity of 300,000 units, which will double to full capacity during the first phase of the first phase of the plant development. The company also plans to build the second phase of the plant in the first half of next year at a cost of NT$1.8 billion (US$58.84 million). After that, the monthly production capacity will gradually increase to a maximum of 600,000 according to Chen's completion.

Overall, the company's current total revenue share in server, storage, smartphone and 5g base station applications has exceeded 50%. With efforts to increase market share in high-frequency and high-frequency segments, the proportion is expected to increase copper clad materials in 2020.