Ceramic capacitors rank 16th in theme ranking as AI data center expansion fuels MLCC demand

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"Ceramic Capacitors" ranked 16th in the "Popular Theme Ranking" compiled by Minkabu and Kabutan.

Market expectations are growing for increased demand for multilayer ceramic capacitors (MLCCs) amid the rapid expansion of data centers specializing in artificial intelligence (AI) processing and data analysis. This is driven by the fact that AI servers incorporate more MLCCs than conventional servers.

MLCCs are essential electronic circuit components that support the function of semiconductor integrated circuits. Despite their small size, they offer high voltage capability, superior high frequency characteristics, and a long lifespan, making them widely adopted in smartphones, automotive equipment, 5G communication devices, and AI servers.

TAIYO YUDEN CO., LTD. <6976> revealed at its earnings briefing on May 8 that it plans to increase MLCC capacity by around 10% for the fiscal year ending March 2027. Its utilization rate, which stood at just under 85% in the fourth quarter of the fiscal year ended March 2026, has risen to around 90% on strong orders, and is expected to reach about 95% from the second quarter of the current fiscal year onward.

Murata Manufacturing Co.,Ltd. <6981> announced at its earnings briefing on April 30 that it will invest an additional approximately 80 billion yen in MLCCs over the two years through the fiscal year ending March 2028. The company stated it will execute this investment even if it exceeds the 680 billion yen capital investment plan outlined in its "Mid-term Policy 2027."

Other companies developing MLCCs include TDK Corporation <6762>, KYOCERA CORPORATION <6971>, and NIPPON CHEMI-CON CORPORATION <6997>. Related stocks also include DAIICHI KIGENSO KAGAKU-KOGYO CO.,LTD <4082>, which supplies zirconium compounds for MLCC additives; Nippon Chemical Industrial Co.,Ltd. <4092>, which provides high-purity barium carbonate used in MLCCs; TODA KOGYO CORP. <4100>, which handles fine particle dielectric materials for MLCCs; and NIKKATO CORPORATION <5367>, which produces ceramic products used in MLCC manufacturing.

Source: MINKABU PRESS

*Translated by generative AI. Click here for the original article.