ASE shares get a boost from Apple Watch launch
Shares of Advanced Semiconductor Engineering Inc. (ASE), the world's largest integrated circuit packaging and testing services provider, jumped after Apple Inc. unveiled its Apple Watch.
Because ASE is believed to be the sole IC packaging and testing services supplier for the Apple Watch, many expect the new device to bolster ASE's shipments, especially after the global semiconductor sector climbs out of its first quarter doldrums.
In a news conference held in San Francisco overnight, Apple CEO Tim Cook unveiled the Apple Watch, saying that the Apple Watch is "the most personal device we have ever created."
The gadget is a miniature computer consumers can wear on their wrists, but the product requires an iPhone to be fully functional.
The Apple Watch is scheduled to go on sale on April 24 in select countries, such as the United States, Japan, Hong Kong and China, and Apple will start taking pre-orders online on April 10.
"Many market analysts expect Apple to ship about 20 million Apple Watches in the first year. Shipments could double in the second year. ASE is the sole IC packaging and testing service provider and will no doubt become one of the major beneficiaries," Hsu said.
