AI suppliers inside XAXJ
XAXJ tracks MSCI AC Asia ex Japan. Growth comes from earnings and valuations of index companies, especially Taiwan and Korea chipmakers that supply the global AI build-out. Buyers are the demand shock. They are not the holdings.
Not in the index: Nvidia, AMD, Broadcom, hyperscalers, and model labs. Their capex shows up as orders for wafers, HBM, advanced packaging, AI servers, substrates, and rack power at the names below.
Three names — TSMC, Samsung Electronics, and SK hynix — are roughly a third of the index. That concentration is the AI transmission channel into XAXJ.
Three names — TSMC, Samsung Electronics, and SK hynix — are roughly a third of the index. That concentration is the AI transmission channel into XAXJ.
| Layer | Company | Ticker | Market | Approx. weight | What it sells into AI | How it can grow XAXJ |
|---|---|---|---|---|---|---|
| Foundry | Taiwan Semiconductor | 2330 TT | Taiwan | ~17.4% | Leading-edge wafers for AI accelerators and custom ASICs. The main manufacturing bottleneck outside the buyers. | Largest single earnings and valuation driver. Node mix, pricing, and utilization move the index more than any other name. |
| Memory / logic | Samsung Electronics | 005930 KS | Korea | ~8.4% | HBM, DRAM, NAND, and foundry. Preferred line (005935) adds about 1% more index weight. | Memory upcycle plus HBM share gains re-rate Korea. Missed HBM qualification is the main downside. |
| HBM | SK hynix | 000660 KS | Korea | ~6.6% | High-bandwidth memory stacked beside AI GPUs. Cleanest pure HBM exposure in the index. | Volume and margin on HBM have already lifted Korea’s weight. Further earnings beats keep that channel open. |
| Platform | Tencent | 0700 HK | China | ~3.0% | Cloud, ads, and WeChat AI features. Application layer, not silicon. | Monetization of China AI usage. Smaller earnings beta to global GPU capex than the chipmakers. |
| Cloud / models | Alibaba | 9988 HK | China | ~2.1% | Alibaba Cloud and Qwen. Domestic inference and enterprise AI. | Cloud revenue and multiple expansion. Policy and competition cap the weight versus Taiwan/Korea silicon. |
| Edge silicon | MediaTek | 2454 TT | Taiwan | ~2.0% | Smartphone, auto, and IoT SoCs with on-device NPUs. | Handset cycle plus higher AI silicon content. Second-tier Taiwan IT weight after TSMC. |
| Power | Delta Electronics | 2308 TT | Taiwan | ~1.0% | Server power supplies and data-center power systems. | AI racks use far more power content than ordinary servers. Earnings follow hyperscaler build-out. |
| AI servers | Hon Hai (Foxconn) | 2317 TT | Taiwan | ~0.9% | Assembly of AI servers for global buyers. | Volume lever. Margins are thinner than foundry or HBM, so the index impact is smaller per dollar of sales. |
| Holdco | SK Square | 402340 KS | Korea | ~0.7% | Listed holder of the SK hynix stake. | Indirect HBM exposure. Moves with hynix, at a holding-company discount. |
| Packaging | ASE Technology | 3711 TT | Taiwan | ~0.7% | OSAT and advanced packaging that sits next to CoWoS-class demand. | Packaging bottlenecks turn into revenue. Still a mid-weight versus TSMC. |
| Substrates | Samsung Electro-Mechanics | 009150 KS | Korea | ~0.6% | MLCCs and FC-BGA substrates used on AI servers and accelerators. | Content gain per server. A Korea IT satellite around Samsung and hynix. |
| Foundry | United Microelectronics | 2303 TT | Taiwan | ~0.5% | Mature and specialty nodes, AI-adjacent rather than leading-edge accelerators. | Cyclical utilization. Not the AI multiple driver TSMC is. |
| Devices | Xiaomi | 1810 HK | China | ~0.5% | Phones and IoT with on-device AI. | Edge-device cycle. Small index weight. |
| AI servers | Quanta Computer | 2382 TT | Taiwan | <0.5% | ODM of AI servers for U.S. cloud buyers. | Direct volume link to cluster builds. Weight is too small to lead the index. |
| AI servers | Wistron | 3231 TT | Taiwan | <0.5% | AI server and accelerator-board assembly. | Same demand channel as Hon Hai and Quanta, smaller free-float weight. |
| Networking | Accton Technology | 2345 TT | Taiwan | <0.5% | Switches used inside AI clusters. | Networking content per cluster. Satellite Taiwan IT holding. |
| Substrates | Unimicron | 3037 TT | Taiwan | <0.5% | ABF substrates for advanced CPUs and accelerators. | Substrate tightness feeds earnings. Low weight, high operating leverage. |
| Wafers | GlobalWafers | 6488 TT | Taiwan | <0.5% | Silicon wafers upstream of TSMC and other fabs. | Indirect. Benefits if foundry loadings stay high. |
| Connectivity | Realtek | 2379 TT | Taiwan | <0.5% | Connectivity and edge chips in PCs and devices that add AI features. | PC and edge refresh, not training-cluster capex. |
| Memory | Nanya Technology | 2408 TT | Taiwan | <0.5% | Commodity DRAM. Benefits from a tight memory market, not HBM leadership. | Price leverage if AI soaks up DRAM supply. Small weight. |
| Foundry | SMIC | 981 HK | China | <0.5% | Domestic mature-node foundry for China AI and industrial chips. | Localization theme. Not a substitute for TSMC leading-edge in this index. |
| Models / cloud | Baidu | 9888 HK | China | <0.5% | Ernie models and AI cloud. Application layer inside China. | Usage and cloud mix. Immaterial next to TSMC and hynix. |
| IT services | Infosys | INFO IN | India | <0.5% | Enterprise deployment and integration of AI tools. | Services revenue, not silicon. India is ~12% of the index, mostly banks and IT, not chipmakers. |
| IT services | Tata Consultancy Services | TCS IN | India | <0.5% | Large-scale AI implementation for global enterprises. | Slow compounder. Does not transmit the GPU capex cycle the way Korea memory does. |